K. Purchase Agreements

Definition

The following provides an overview of ESM Purchase functionality with comparison information to previous ESM blanket/standing order functionality.

• ESM Purchase Agreement (PA) functionality creates a purchase agreement record with a designated order value that can be used by any user to submit a non-catalog line item order to a single non-catalog supplier, which can be received and reduces the purchase agreement record’s value until the expiration date.
  • NOTE: This functionality is the only blanket/standing order functionality currently being implemented.
• ESM Blanket Order (BO) functionality creates a blanket order record in the ESM Purchase system only for a designated order value that can be used by any user to submit line item orders as multiple regular purchase orders to a single supplier, and each regular purchase order decrements the blanket order record’s value until the expiration date.
  • NOTE: This ESM functionality will be de-supported for existing customers and no longer is deployed for new customers.
• ESM Standing Order (SO) functionality creates a standing order record with a designated order value that can be used to enter invoices for a single supplier, which reduces the standing order record’s value until the expiration date.
  • NOTE: This ESM functionality will be de-supported for existing customers and no longer is deployed for new customers.

For Ellucian Ethos integrations, Banner receives the ESM PA as a Standing Order and Colleague receives the ESM PA as an Open Voucher Blanket Order. 

NOTE: ESM PA functionality currently does NOT have any integration functionality to create Banner Blanket Orders nor Colleague Limited Voucher Blanket Orders.

ESM Functionality Comparison:

System Administration Set up

ESM System Administrators can relabel the ESM Purchase agreement functionality that displays to all users from the Workbench Page Configuration (Admin > Workbench Page Configuration > Purchase Agreement field > Edit), including the Shop tab link and Add/Edit Users privilege.

NOTE: The field label is limited to a maximum of 20 alphanumeric characters.

System Administrators are able to assign the ability to create Purchase Agreement transactions under the Privileges section of Add/Edit User (Admin > Select Function > Add/Edit User) by searching/selecting a user and selecting the Purchase Agreement checkbox, then select Update to save changes.

The System Administrator are also able to assign Approve/Manage tab users the ability to edit Purchase Agreement transactions during the approval process by selecting the Purchase Agreement Details under the Allow Approver Edits section of Add/Edit User.

Creating a Purchase Agreement

After the ESM Purchase Agreement system and user configurations are setup, users with the necessary assigned privileges can create Purchase Agreement transactions by selecting the option, which will display a different label if relabeled by a system administrator, under the Search bar on the Shop tab.

Search and select the Supplier associated with the PA transaction.

Complete the required fields and any additional information for the Purchase Agreement transaction. Select Add to Cart to proceed.

If no other shopping is required, select Checkout.

Complete the Checkout sections in accordance to your business practices and policies. The Checkout User will see two new fields in General Details for Purchase Agreement Start Date and End Date options.

NOTE: Currently, only the Start Date field is required, which is a default ESM requirement, and there is not an option to make the End Date field required.

The Checkout user also has the option to create automated system notifications based on the expiration date or order value by selecting the Add Notification option in the Notifications section.

Select the necessary notification Type.

For an Expiration Date notification type, enter the numeric value necessary in the Days in Advance field that the users will receive the email notification prior to date entered in the End Date field. The Next Notification date will automatically calculate the notification date. Select the ESM Purchase users to be notified from the Search User field, then select the Update button to save the notification rule.

For an Order Value notification type, select and add the Basis (Amount or Percentage Remaining) logic for when the users will receive the email notification. Select the ESM Purchase users to be notified from the Search User field, then select the Update button to save the notification rule.

NOTE: Currently, the ESM Purchase system does not have functionality to automatically reduce the Order Value of ESM PA transactions/orders after they're encumbered and/or submitted to the supplier; thus, the Order Value in the ESM system will not change and the notification functionality will not trigger any notifications based on the Order Value field. This functionality is planned for future release.

The notification rules setup will appear in a list. Select the Continue button to save changes.

NOTE: For the purposes of this article, the Notify Users content has been redacted.

Once submitted, the Purchase Agreement transaction will follow the organizations workflows, transaction validation rules, and order release methods.

Reports may also be built and run based on Purchase Agreement transactions/orders data by authorized users.