campbell’s purchasing cycle illustrated september 23, 2015
DESCRIPTION
Instructions Make sure your flowchart is labeled with YOUR name Make sure your flowchart is labeled with your P/A name Trade Papers with someone not in your group It can be anyone OUTSIDE your group Evaluator: –Write “Evaluated by:…” and your name on the lower right cornerTRANSCRIPT
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Campbell’s Purchasing CycleIllustrated
September 23, 2015
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TODAY
In-Class Exercise
Evaluating Flowcharts
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Instructions• Make sure your flowchart is labeled with YOUR name• Make sure your flowchart is labeled with your P/A name• Trade Papers with someone not in your group• It can be anyone OUTSIDE your group
• Evaluator:– Write “Evaluated by:…” and your name on the lower right corner
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Grading
“MORE POINTS” IS BAD.“FEWER POINTS” IS GOOD.
LIKE GOLF.
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Count 1 Point if…
• Missing Flowchart Title on every page
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Count 1 Point if…
• Missing date on every page
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Count 1 Point if…
• Missing Company Name on every page
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Count 1 Point if…
• More than 1 page, but page numbers do not appear on every page
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Count 1 Point if…
• More than 1 page, with improper or incorrect usage of off-page connectors
IMPORTANT:OFF-PAGE CONNECTORS
MIGHT NOT BE NECESSARY.
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Check for the following:
• Lack of terminator symbols at top of each column (1 point)
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Check for the following:• Does the document symbol repeat every time a
document changes hands?
• Count 1 point for each time any document changes hands but is not repeated…
…UP TO A MAXIMUM
OF 3 POINTS
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Jan and Nickie:• Is it clear that there are 2 copies of the requisition?
(1 point if not clear)
• Both copies must end up in a file (1 point if either doesn’t)
• A paper copy of the PO must go to the vendor (1 point if this is not shown)
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Terry:• The computer file (the materials planning data)
must enter into the PO creation process (1 point if not)
• PO must be electronically transmitted to vendor using the thunderbolt or zig-zag arrow (1 point if not)
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Are there…• Any other outright errors in the information flow?
Add 1, 2, or 3 points depending on how serious you think’s the error is…
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Requisitioner
Requisition
Req Manager
CreatesRequisition
ApprovesRequisition
Requisition
Purchasing Agent
Requisition
Requisition
Requisitioner
Requisition
JAN
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Requisitioner
Requisitionv
Req Manager
CreatesRequisition
ApprovesRequisition
Requisition
Purchasing Agent
RFQ/RFP/RFBInvestigations
if required
Creates PO
Requisition PO
Vendor
Supporting Docs
PO File
Requisition
Requisition
Requisitioner
Requisition
JAN
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Requisitioner
Requisitionv
Req Manager
CreatesRequisition
ApprovesRequisition
Requisition
Purchasing Agent
RFQ/RFP/RFBInvestigations
if required
Creates PO
Requisition PO
Vendor
Accts Payable
Supporting Docs
Invoice
PO File
Requisition
Requisition
Requisitioner
Requisition
JAN
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Requisitioner
Requisitionv
Req Manager
CreatesRequisition
ApprovesRequisition
Requisition
Purchasing Agent
RFQ/RFP/RFBInvestigations
if required
Creates PO
Requisition PO
Vendor
Accts Payable
Supporting Docs
Invoice
PO File
Requisition
Requisition
Requisitioner
Requisition
JAN
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Requisitioner
Requisitionv
Req Manager
CreatesRequisition
ApprovesRequisition
Requisition
Purchasing Agent
RFQ/RFP/RFBInvestigations
if required
Creates PO
Requisition PO
Vendor
Accts Payable
Supporting Docs
Invoice
PO File
Requisition
Requisition
Requisitioner
Requisition
JAN
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Requisitioner
Requisitionv
Req Manager
CreatesRequisition
ApprovesRequisition
Requisition
Purchasing Agent
RFQ/RFP/RFBInvestigations
if required
Creates PO
Requisition PO
Vendor
Accts Payable
Supporting Docs
Invoice
PO File
Requisition
Requisition
Requisitioner
Requisition
JAN
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Requisitioner
Requisitionv
Req Manager
CreatesRequisition
ApprovesRequisition
Requisition
Purchasing Agent
RFQ/RFP/RFBInvestigations
if required
Creates PO
Requisition PO
Vendor
Accts Payable
Supporting Docs
Invoice
PO File
Requisition
Requisition
Requisitioner
Requisition
JAN
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Requisitioner
Requisitionv
Req Manager
CreatesRequisition
ApprovesRequisition
Requisition
Purchasing Agent
RFQ/RFP/RFBInvestigations
if required
Creates PO
Requisition PO
Vendor
Accts Payable
Supporting Docs
Invoice
PO File
Requisition
Requisition
Requisitioner
Requisition
JAN
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Requisitioner
Requisitionv
Req Manager
CreatesRequisition
ApprovesRequisition
Requisition
Purchasing Agent
RFQ/RFP/RFBInvestigations
if required
Creates PO
Requisition PO
Vendor
Accts Payable
Supporting Docs
Invoice
PO File
Requisition
Requisition
Requisitioner
Requisition
JAN
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Requisitioner
Requisitionv
Req Manager
CreatesRequisition
ApprovesRequisition
Requisition
Purchasing Agent
RFQ/RFP/RFBInvestigations
if required
Creates PO
Requisition PO
Vendor
Accts Payable
Supporting Docs
Invoice
PO File
Requisition
Requisition
Requisitioner
Requisition
JAN
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No
Yes
No
Yes
Requisitioner
Requisition
Manager
CreatesRequisition
ApprovesRequisition
Requisition
Purchasing Agent
Operations Mgr
Mgr ApprovalRequired?
>$5000?
Requisition
Requisition
Requisition
Requisition
NICKIE
ApprovesRequisition
Requisition
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No
Yes
No
Yes
Requisitioner
Requisition
Manager
CreatesRequisition
ApprovesRequisition
Requisition
Purchasing Agent
RFQ/RFP/RFBInvestigations
if required
Creates PO
Requisition PO
Vendor
PO File
Operations Mgr
ApprovesRequisition
Requisition
Mgr ApprovalRequired?
>$5000?
Requisition
Requisition
Requisition
Requisition
NICKIE
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No
Yes
No
Yes
Requisitioner
Requisition
Manager
CreatesRequisition
ApprovesRequisition
Requisition
Purchasing Agent
RFQ/RFP/RFBInvestigations
if required
Creates PO
Requisition PO
Vendor
PO File
Operations Mgr
ApprovesRequisition
Requisition
Mgr ApprovalRequired?
>$5000?
Requisition
Requisition
Requisition
Requisition
NICKIE
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Requisitioner
Vendor
PO File
NICKIE
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Requisitioner
Vendor
PO File
Accts PayableInvoice
Receiving Dock
Packing Slip
ReceivingProcedures
Packing Slip
NICKIE
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Requisitioner
Vendor
PO File
Accts PayableInvoice
Receiving Dock
Packing Slip
ReceivingProcedures
Packing Slip
Manager Purchasing AgentOperations Mgr
NICKIE
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Purchasing Agent
PO
Vendor
PO File
TERRY
Order File
Customers
Materials Planning
File
Orders Material& Creates PO
Production Dept
Accts PayableInvoice
ProductionCost System
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$$$
Goods & Services
BUYER SELLER
TRANSACTION… over time… many activities and events
CYCLE
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$$$
Goods & Services
BUYER SELLER
TRANSACTION… over time… many activities and events
CYCLE
Request Goods
Negotiate Terms
Receive Goods
Approve Invoice
Pay Invoice
Order Goods
Bank Reconcil’n
Advertise Need
Negotiate Terms
Accept Order
Pack, Ship Goods
Bill for Goods
Receive Cash
Bank Reconcil’n
Advertise Offering
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Request Goods
Negotiate Terms
Receive Goods
Approve Invoice
Pay Invoice
Order Goods
Negotiate Terms
Bank Reconcil’n
Accept Order
Pack, Ship Goods
Bill for Goods
Receive Cash
Bank Reconcil’n
Advertise Need Advertise Offering
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Request Goods
Negotiate Terms
Receive Goods
Approve Invoice
Pay Invoice
Order Goods
Negotiate Terms
Bank Reconcil’n
Accept Order
Pack, Ship Goods
Bill for Goods
Receive Cash
Bank Reconcil’n
Advertise Need Advertise Offering
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Documents in the Purchasing Cycle
Requisition
PurchaseOrder Order
Acknowledgement
RFP
RFQ
RFB
Packing List
Bill ofLading
Invoice
CheckRemittanceAdviceCheck
Register
ReceivingVoucher
BankStatement
SignatureCard
Statement of
Account
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$$$
Goods & Services
BUYER SELLER
REVENUE CYCLE
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Transaction Cycles
• Purchasing Cycle• Acquisition Cycle• Expenditure Cycle• Disbursement Cycle• Payable Cycle
• Sales Cycle• Revenue Cycle• Cash Receipts Cycle• Cash Collections Cycle• Receivables Cycle
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JOB TITLES• Sales Manager• Credit Manager• Sales Rep – Customer Service• Order Filling (production, warehouse, etc.)• Shipping• Billing• Accounts Receivable (cashier)• Collections Clerks• Cashier• Controller (bank reconciliation)
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Documents in the Revenue Cycle• Credit Application• Sales Order• Order Acknowledgement• Picking Ticket (Filling ticket, etc.)• Packing Slip (Picking ticket? Filling ticket?)• Shipping Advice• Bill of Lading (Shipping Manifest)• Billing Invoice• Statement of Account• Dunning Notice• Remittance Advice• Customer Check• Deposit Slip (deposit ticket)• Deposit Receipt (Cash Report)• Bank Statement
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Request Goods
Negotiate Terms
Receive Goods
Approve Invoice
Pay Invoice
Order Goods
Negotiate Terms
Bank Reconcil’n
Accept Order
Pack, Ship Goods
Bill for Goods
Receive Cash
Bank Reconcil’n
Advertise Need Advertise Offering
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Learning Objectives for Unit 10
Upon completion of Unit 10 the student will be able to: 1. Recognize and identify the alternate names for the Revenue (Sales)
Transaction Cycle.
2. Name and describe the job titles and responsibilities in the Revenue Cycle.
3. Name and describe the documents used in the Revenue Cycle
4. Describe the document flows within the Revenue Cycle
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Homework Assignment 9
ReadingCome up with names for the steps
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