Craig,

 

In my experience, the seller bases his pricing on what's in his database,
rather than what's in the PO.  If the PO varies from the deal he has set up
on his side, then it could (ought to) flag the PO for special handling -
that is, it goes in the slow queue.  My experience has all been on the
seller side, working mostly for manufacturers in the med products and food
products industries, so GM might be different.  But the same thing applies
that we have been talking about in another thread:  talk to your trading
partner.  

 

I would think that on a PO, the component values are what you would need,
rather than extended values.  I know your buyers can probably get mighty
creative with their deal making, with ad allowances, tiered pricing, etc.
The question is, is it to your benefit to specify all that detail in the PO
and risk late delivery, or is it better to let your AP slug it out with
their AR after the dust settles.  

 

Art Douglas
Lead <http://www.linkedin.com/in/ediproartdouglas>  Consultant

Blackwater Network

(877) 464-8915

-----Original Message-----
From: Dunham Craig E. [mailto:[EMAIL PROTECTED] 
Sent: Tuesday, December 09, 2008 9:26 AM
To: Art Douglas
Cc: [email protected]
Subject: RE: [EDI-L] Revision to the PO Map (850).

 

Thanks Art.

 

Another late thought for you all - I'm a retailer and buying from our
vendors.   And Art, you're probably right.  I was just looking at a simple
equation and drawing on the (many years past) 6th grade math class.  And
you're right - I need to send the total cost (after allowances and charges)
and not the total of the allowances. My bad.. Mea Culpa.  Mea Culpa.

 

And thanks, also, about the accounting guy being out of his leage.


Now Art - you've worked with a LOT of companies doing your consulting.  How
do they prefer to get the dollar amount of the PO - by doing the math
themselves or by getting a pre-calculated figure?

 

BTW, I also send all the numbers need to do that calculation in the PO - in
the PO1 loop.  The map kind of looks like this:

 

PO1*1*1000*EA*10*****UP*(UPC number)*SK*(SKU
number)*LT*(case/pack)*GE*Generic Description . (also Vendor Style & size
information)

CTP*24.99 (our retail price)

SAC*A*(code)****3*0.10********Seasonal/Holiday Allowance P000000010000

MSG*Ticket ID (for ticketing program)

MSG*Class # (for price sticker)

 

That's pretty much it.  Then the PO1 loop can repeat for each additional
item being ordered.  I give them all of the figures - for each item being
ordered - in the data segments - Quantity, cost and allowance amounts.

 

And we ARE the paying customer.  It's the vendor that's saying that they
can't do the math.  *sigh.

 

Craig E. Dunham

EDI Coordinator
EYE Analyst

 

From: Art Douglas [mailto:[EMAIL PROTECTED] 
Sent: Tuesday, December 09, 2008 9:16 AM
To: Dunham Craig E.; [email protected]
Subject: RE: [EDI-L] Revision to the PO Map (850).

 

Craig,

 

If I was a customer, I would like your way of figuring.  Perhaps your
company would be in better shape if you calculated it this way:  C * (1.0 -
A) * Q = Net Cost.  That way, you get the 90% instead of the 10%.

 

Total quantity ordered is irrelevant (in terms of calculating allowance)
unless every line item has the same cost and allowance.  Fuggitaboutit.
Calculate the gross and allowance for each line, then sum them up.

 

Your accountant is out of his league.  You are right (of course), that your
invoice needs to carry the line item cost, the line item discount expressed
as a percent as well as the dollar amount, and the net.  Your total invoice
should state the total gross, total allowance, and total net.

 

Of course, it is the paying customer who has the final say, not your bean
counter.  

 

Art Douglas
Lead <http://www.linkedin.com/in/ediproartdouglas>  Consultant

Blackwater Network

(877) 464-8915

-----Original Message-----
From: [email protected] [mailto:[EMAIL PROTECTED] On Behalf Of
Dunham Craig E.
Sent: Tuesday, December 09, 2008 8:58 AM
To: '[email protected]'
Subject: [EDI-L] Revision to the PO Map (850).

 


OK, I'm seeking advice from the group...

My accounting department (ok, one guy) is saying that our vendor community
can't seem to get the concept of figuring out allowances for invoices.

Here's an example -

Cost - $10.00
Allowance - 10%
Quantity - 1000

Just using that simple concept - it's basic math - not far and above the 6th
grade... You'd set it up like this:

(C*A)*Q=Net Cost

Right? I mean, am I over simplifying this...? To all of you on the
"vendor/supplier/manufacturer" side of the coin - are your systems so ...
stupid ... that they can't do a simple calculation such as this?

But, I digress - as usual.

Instead of putting the onus of the math on the vendor side, this genius in
accounting wants us to transmit a total dollar value of the invoice (with
allowances applied) and a total number of units being ordered. His thought
process is that the vendor (i.e. you) would be able to balance the incoming
dollar amount of the PO against your sales order and also against the
invoice(s) generated by the sales order.

So, I know that I can use the AMT segment for the total dollar value of the
PO. That's kind of a given. But I can't seem to find a segment to use to
populate the total quantity being ordered. I was thinking of using the "hash
total" in the CTT segment, but that's having the translation process add up
those numbers. Our programmers have captured the total value and quantity
during the PO creation/printing process and populate some data fields that I
can then map from - a fixed number, calculated by the program - and populate
the 850 map to be sent.

So, the question is - where do I put the data...? Your suggestions? Where do
you see the data (if you receive a PO) or where do you put it (when you send
a PO)....?

Craig E. Dunham
EDI Coordinator
EYE Analyst

[Non-text portions of this message have been removed]

 



[Non-text portions of this message have been removed]


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