The Procurement Business ProcessRequirement determination Selection of source Request for quotation Selection of a vendor Receipt of the goods Invoice verification Vendor payment Issue p
Trang 1Chapter 8
Procurement and Human Resource Business Processes
Trang 2Learning Objective 1
Describe the procurement
business process.
Trang 4The Procurement Business Process
Requirement determination
Selection of source
Request for quotation
Selection of
a vendor
Receipt of the goods
Invoice verification
Vendor payment Issue purchase order
Trang 5The Procurement Business Process
ERP ( enterprise resource planning ) systems are capable of storing and
processing a vast amount of information pertaining to the procurement business process.
Trang 6The Procurement Business Process
SAP R/3 supports procurement in its materials management module.
Documents in R/3 are
“online documents.”
Documents may also be printed
and exchanged manually.
Trang 7The Procurement Business Process
Purchase requisition Request for quotation
Quotation Purchase order Outline agreements Contracts
Scheduling agreements
Purchasing information
records
Trang 8The Procurement Business Process
All procurement documents are assigned a document type code.
This code determines the fields that are displayed on video screens.
It also controls the range of unique
numbers that are assigned to particular document types.
Trang 9Master Records
“objects” that reflect the organizational structure and business processes of the company.
identify company, plant, storage location, purchasing organization, and purchasing group.
Trang 10Inventory Management
The IM component of R/3 records both the value and quantity of inventory.
Enter and check goods movement.
Manage inventory stocks.
Take a physical inventory.
Trang 11Learning Objective 2
Illustrate controls that apply to procurement.
Trang 12Goods receipt processing
Receiving
Delivery
Receiving report
Verify goods
Receiving
Trang 13Vendor
Purchase order
Vendor
Purchase database
Invoice
Invoice verification
invoice
Accounts payable
Prepare
order
Order processing
Select vendor
Purchase
requisition
Competitive bidding
Trang 14Order processing
Purchase database
Receiving report
Stores
Match to purchase order
Vendor
Delivery
Trang 15report Invoice
Retrieve documents
Purchase
database
Journal voucher Voucher
Voucher check
Cash disbursements
Voucher processing
Accounts payable
Voucher register
General ledger
Prepare voucher
On due date
Trang 16Cash Disbursements
Accounts
Voucher check
Post
Check register
General ledger
Forward
direct to
payee
Cancel voucher after signing check
Sign checks
Voucher
Voucher check
Control total Voucher
check
Trang 17General Ledger
Control total
Compare post
Journal voucher
General ledger processing Journal
voucher
Control total
Accounts payable
General ledger Cash
disbursements
Trang 18Internal Audit
Bank
Cancelled checks
Bank reconciliation
Check register
Bank statement
Independent of cash disbursements
Bank reconciliation
Trang 19Additional Control Features
Purchasing does not control the actual goods.
Receiving is separate from final custody of the delivery.
Accounts payable handles only documents.
Purchase requisitions should
be independently reviewed.
Trang 20Integrity of the Procurement
Business Process
Purchase orders and receiving reports
control individual purchases.
They do not directly exercise control over the procurement business process.
Control centers on the integrity
of the buyer-vendor relationship.
Trang 21The Attribute-Rating Approach
to Vendor Selection
selection is appropriate whenever an objective evaluation of the opinions of several independent evaluators is desired.
Trang 22The Attribute-Rating Approach
to Vendor Selection
Identify and list the attributes to
be included in the evaluation.
Assign a weight to each attribute, based
on relative importance and objectivity.
Trang 23The Attribute-Rating Approach
Trang 24Learning Objective 3
Describe the cash disbursements
business process.
Trang 25Cash Disbursements Business Process
Check disbursements Cash disbursement
Trang 26Cash Disbursements Business Process
What is an imprest fund ?
It is a fund maintained at a specified,
Trang 27Voucher Systems
The major control features over disbursements
are the use of a voucher system.
It supports the drawing of checks, the separation of approval from payment, and an independent bank reconciliation.
Trang 28Voucher Systems
Accounts payable Cash disbursements General ledger Internal audit
Trang 29Voucher Systems
The real control over disbursements
is a final review of documents evidencing the entire transaction prior
to the authorization for payment.
Trang 30Voucher Systems
Physically signing off on a voucher package
Preparing a document to authorize
an entry in the voucher register Entering data into a computer device
Trang 31Voucher Systems
refers to trade accounts.
encompasses all expenditures.
Vouchers can take several forms, ranging
from a simple form or envelope to a
voucher-check combination.
Trang 33Voucher Systems
What are built-up voucher systems ?
These systems accumulate several invoices from the same vendor and pay them with a single check.
Three files are necessary to maintain useful information.
Trang 34Voucher Systems
1 a file of approved but unpaid invoices
2 a file of paid invoices
3 a vendor file showing both paid and unpaid amounts, ordered by vendor ID
Trang 35Learning Objective 4
Describe the human resource business process.
Trang 36Human Resource Management
Business Process
The HR system should provide tools for the setup and maintenance of information pertaining to the organizational structure.
A listing of jobs that exist in an organization
A listing of job descriptions
A listing of any qualifications that are required for a job
Trang 37HR Processing in SAP R/3
HR data is immediately available
to anyone who has authorization
to use it because HR data is online.
The HR component can be implemented
standalone or it can be integrated
with other modules.
Trang 38HR Processing in SAP R/3
Personnel Administration
module (HR-PA) Personnel Planning and Development
module (HR-PD)
Trang 39HR Processing in SAP R/3
Time Management
Payroll Travel Expense
Trang 41Learning Objective 5
Illustrate controls that apply
to payroll accounting.
Trang 42Transaction Cycle Controls
in Payroll Processing
Payroll processing is very complex.
All levels of government impose payroll taxes Regulations and rates are constantly changing.
The payroll system requires frequent modifications.
Trang 43Transaction Cycle Controls
in Payroll Processing
the law imposes not only a fine but a jail sentence for willful negligence
in maintaining adequate records.
Trang 44Transaction Cycle Controls
in Payroll Processing
Employee time cards
Job time
Employee time cards
Payroll register
Paychecks
Authorization, notification
Employee hiring, terminations, raises, and deductions Reconcile
Trang 45Transaction Cycle Controls
in Payroll Processing
What is an independent paymaster ?
The person who distributes the pay is independent of personnel, timekeeping, and payroll preparation.
Trang 46Payroll Processing Requirements
Numerous files must be maintained in a payroll system.
What are some examples of these files?
Basic employee information
Payroll register or journal
Government reports
Tax tables
Trang 47Payroll Processing Requirements
Social security and other tax legislation impose several taxes based on payrolls.
(FICA) old-age, survivors, disability, and hospital insurance
disability, and hospital insurance
Federal unemployment insurance State unemployment insurance
Income taxes withheld
Trang 48End of Chapter 8