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SSB Finance for PurchasingWorkshop
Workshop Agenda Online Documentation Purchasing Rules and Guidelines How to Avoid Common Errors When Entering
Requisitions Creating New Vendors Process Entering Requisitions Review Approval Process Correcting Requisitions
Online DocumentationHow to access Online Documentation•Log into NJIT Pipeline•Select Faculty/Staff Services•Click on Banner Documentation
Click Banner Finance Documentation
Quick Reference Guide
Quick Reference Guide…cont’d
Ship Codes
Purchasing Rules and Guidelines
Expenses <15% of NJIT’s Bid Limit (currently $27,100)
• W-9Expenses > 15% of NJIT’s bid Limit
but less than $27,100• W-9• BRC – Business Registration
CertificateExpenses > $27,100 up to $50,000• W-9• BRC• Affirmative Action Paperwork• Bid• Sole Source• State ContractExpenses > $50,000 but < $750,000• W-9• BRC• Affirmative Action Paperwork• Bid• Sole Source• State Contract• Presidents’ Signature Sheet
Expenses > $750,000• Board of Trustees Approval• W-9• BRC• Affirmative Action Paperwork• Bid• Sole Source• State Contract• Presidents’ Signature SheetOTHER:• Certificate of Insurance• MSDS – Material Safety Data Sheets
Form W-9 (US ) or W-8 (Foreign) www.irs.gov
Why does Purchasing require a W-9/W-8?• A W-9/W-8 confirms the validity of the Business or
Individual’s SSN or Tax Id.
When does Purchasing require a W-9/W-8?• To set up a new vendor in BANNER.
*Contingent upon Vendor completing and submitting W-9/W-8 to the Purchasing Department.
Purchasing Rules and Guidelines…cont’d
Business Registration Certificate (BRC)www.state.nj.us/treasury/revenue/revprnt.shtml• NJ-REG (for Companies)• REG-A (for Individuals) What is a BRC?• This form is required by the State of NJ.• There is no cost to the Vendor.
*Contingent upon Vendor completing and submitting BRC to the State of NJ. It will take a minimum of 10-Business Days for the State to process.
Purchasing Rules and Guidelines…cont’d
Affirmative Action Certificatehttp://www.state.nj.us/treasury/contract_compliance/
Purchasing Rules and Guidelines…cont’d
*Contingent upon Vendor completing and submitting Form to the State of NJ. It may take up to 4-Weeks for the State to process..
Purchasing Rules and Guidelines…cont’d
Bids…Sole Source…State Contract
Bids Process• A public Bid can take up to 8-weeks after the department submits
specifications to Purchasing.
Sole Source• Only pertains to unique products (i.e. equipment that has specific
patent necessary to complete project).• Shall be completed by requestor and evaluated by Purchasing; If
approved by Purchasing public bidding is not necessary.
State Contract• Public bidding is not necessary if product is available on State
Contract.• Purchasing will assist you in determining if product is available on
State Contract.
Presidents’ Signature Sheet• Required for purchases over $50k.• Requested by the area Dean and submitted to
Purchasing.
Board of Trustees Approval• Required for purchases over $750k.• Requested by the department.
Purchasing Rules and Guidelines…cont’d
Other Documentation
Certificate of Insurance• Bus Companies, Consultants, Contractors…
Material Safety Data Sheet (MSDS)• Hazardous materials shall be submitted to Dr. Van
Houten, Director of Health & Safety.Consultant Contract• All consultants must have a contract on file
detailing the scope of work to be provided.
Purchasing Rules and Guidelines…cont’d
Common Errors When Entering Requisitions
•Comments are strictly used for Purchase Order Dispositions such as…
FX + fax #EM complete Vendor E-mail fieldHD or DM (purchase order will not be sent to vendor)If Comments field is left blank, purchase order will be mailed to vendor
Common Errors When Entering Requisitions…cont’d
Document Text vs. Item TextDocument Text• Document Text should be used when the Text
pertains to the entire Purchase Order.• If you prefer the text to appear on your purchase
order use the “document text print box.”
Item Text• Should be used for text that is specific to the item
being purchased (i.e. if you run out of space and need to continue with your description).
Common Errors When Entering Requisitions…cont’d
Error Message SolutionEnter the Ship Code in the header of your requisition (i.e. NJ01)
Enter the percentage distribution in the Accounting column for the requisition. Located after the Calculated Commodity Amounts table.
Enter the Commodity Description for line 1.
Enter your Organization in the header section of your requisition.
Enter the Quantity for line 1. You do not need to use a decimal point.
Enter the dollar amount distribution in the Accounting column for the requisition. Located after the Calculated Commodity Amounts table.
Enter the Chart number for the index you are using.
If the requisition is missing information you will receive an error message(s) at the top of the requisition form. You must fix all error messages before document will validate.
Common Errors When Entering Requisitions…cont’d
Common errors that may delay processing your requisition
• Missing quote #• Missing shipping costs• Missing Item #’s• Incomplete description• Missing Vendor or Contact Information• Incorrect Account Code• Missing verbage indicating the location of the
consultant contract• Missing Communications Approval
Creating New Vendor Process
How do I know my Vendor does not exist in BANNER?
Step 1…Did you use Code Lookup?If you answered Yes and found Vendor BUT the address did
not match go to Step 2. If you answered Yes but still could not find Vendor go to Step 3.
Step 2…Change either PO Type or Sequence to find correct address. If still unable to locate then manually enter the Vendor address in Document Text (no print). Purchasing will create a new address sequence.
Step 3…Enter complete Vendor information (i.e. vendor name, address, phone, fax, etc.). This must be entered in Document Text (no print).
Entering Requisitions
Refer to SSB Training Guide for complete details.
• Questions and Answers
Review Approval Process
Why isn’t my Requisition converted?• Have you checked if any approvals are missing?
How do I do that?
First make sure that you are logged into the NJIT Pipeline.
Follow these simple steps to check if your Requisition has been fully approved.
Step 1…Click on Finance tabStep 2…Click on View DocumentStep 3…Choose type: RequisitionStep 4…Enter Requisition # in Document Number fieldStep 5…Click on Approval History
Review Approval Process
Review Approval Process
Review Approval Process
As you can see this screen shows you “Approvals required” and “Approvals recorded”
Although each approval level shows multiple approvers, only one of the approvers from the list needs to approve each level.
Review Approval Process
Review Approval Process
How do I know when my requisition is fully approved?
There are two ways to check if your Requisition has been fully approved:
1. You can follow the steps on the previous slides and instead of clicking on Approval History you would click on View Document (approved Y means Req has been fully approved)
2. You can follow the steps on the previous slides, if there are no Approvals Required then your req is fully approved.
Any questions?
Requisition Approval Process
Approval Amounts
Chair up to $5,000
Dean up to $15,000
VP up to $50,000
President up to $750,000
BOT above $750,000
Approved Requisitions are
converted to Purchase Orders by
Purchasing Department.
Approve Requisitions
Requisitions:
Is this type of purchase allowed and consistent with the mission of the Department as well as University Policies?
Once the final approval level is satisfied the requisition will be reviewed by the Purchasing Department. If purchasing and university guidelines are met then requisition will be converted to a purchase order.
Commonly Asked Questions
How do I find the Account Code?• You may access it via online under the Account Definitions.• As a last resort you may contact General Accounting.
If I have a question about the item detail on a Requisition, who do I contact?
• Purchasing!
Who do I contact regarding Invoices?• Accounts Payable
Who do I contact if I have question on a Grant Requisition?• Your Grant Account Manager
How to Correct Requisitions
How do I correct my Requisition?
• Before you complete your Requisition make sure that you avoid Common Errors.
• What if I complete my Requisition and I need to make a correction? You can “Dissapprove” your requsition and retrieve it by going to “in process documents”. You can then make all necessary changes.
• Hint: Remember to save your changes and click“Complete” (do not click on “validate”)
• What if my Requisition has been completed and approved?– Purchasing can delete the Requisition and you will need to start over…
• Note: Do not use (“) in your requisition.
How to Correct Requisitions…cont’d
Commonly asked questions…
In order for your Requisition to be corrected you the requestor must first Disapprove the Requisition.
How do I do that?• Follow same procedure as “approving” document,
however, you would “disapprove” the Requisition (initiator can disapprove Requisition).
Summary• To look up information on the requisition form use the
code lookup at the bottom on the screen and use wildcards % where applicable.
• Once a requisition is completed the Requisition number will appear at the top of the screen and will then be forwarded to the approval process.
• There are two types of Purchase Orders in Banner a Regular and a Standing Order. These are assigned by the purchasing department. Remember NOT to exceed the dollar amount on a Standing Order.
• To approve/disapprove requisitions in Banner you will use the approve documents function.
• To access information on a specific document use the view documents item from the menu.
• Avoid “cutting” and “pasting” this may create a problem with the text on your req.
