Creating a requisition is the first step in the external replenishmentorder process. Since you learned about requisitioning in the Requisitioning and Approval CBT and Handbook, it will not be covered in detail here. This section will only offer a high-level overview of the requisitioning process. Return to the Requisitioning and Approval CBT and Handbook for additional details.
A requisition is an online
request for your Purchasing department to purchase specified goods from
an external vendor. Recall from the Requisitioning and Approval CBT and
Handbook that each requisition passes through several steps as it moves
through the order process:
| 1. | The warehouse manager enters a requisition into the NCAS. |
| 2. | The NCAS checks to make sure there are sufficient funds to process the order. This is called funds checking. |
| 3. | If funds are available, the system commits them (i.e., the system reserves funds for a specific requisition). If funds are not available, the requisition can be sent to the Budgetary Control Exception Queue (BCQ) as a budgetary exception that requires special approval to be processed. |
| 4. | If the min/max control is selected, the NCAS also checks for a maximum exception at this time. This means that the quantity ordered causes the stock level for the item to exceed the maximum quantity of the item allowed at the warehouse. If a maximum exception occurs and is ignored, an additional approver will be added solely to approve the exception. |
| 5. | The requisition is sent to one or more approvers, who approve or reject the requested purchase. The requester can inquire on the requisition during the approval process so that if the requisition is rejected, the requester can change or delete it. |
| 6. | Once the requisition is fully approved, it is routed to a specific buyer in Purchasing. The buyer then converts it to a purchase order. When this is done, the system encumbers the funds (i.e., the system records their use in the Budgetary Control module). |
| 7. | The purchase order is sent to the vendor. |
| 8. | The vendor fills the purchase order by sending the requested items to the specified warehouse location. The vendor also sends an invoice to the warehouse’s Accounts Payable section. |