Procurement of Material, Labor, and Tool Resources Using the Purchase/On-Hand Schedules Grid

There are many instances when users may need to purchase specific materials, tools, and labor to complete a work order task. You determine whether you want to create a requisition or a purchase order in the work order business unit's Integrations page. To identify resources that need purchasing, users can:

  • Copy from the Purchase/On-Hand requirements.

  • Copy parts from the Equipment Parts List (EPL) to the work order task, if an EPL is associated with the asset selected for the task. EPLs are stored in the PeopleSoft Asset Management asset repository.

    You can also add non-inventory or open description parts to one or more EPLs from the Purchase/On-Hand Scheduling grid. The Copy from EPL and Add to EPL buttons work the same way they do on the Inventory Scheduling grid described in the previous section.

  • Manually enter non-inventoried items and open description lines.

  • Send labor resources and tools resources to the Purchase/On-Hand Scheduling grid from the Labor Scheduling grid and the Tools Scheduling grid using the Move Selected to Purchase button.

You indicate in the work order business unit whether you want to create a requisition using PeopleSoft Purchasing, create a requisition from PeopleSoft eProcurement, or create a purchase order using PeopleSoft Purchasing. When you access the Schedules page of the work order, these buttons appear above the Purchase/On-Hand Scheduling grid depending on your selection in the work order business unit:

  • Load Purchase Order(s), Add Purchase Order, when you select Purchase Order on the Integrations page of the work order business unit.

  • Load Requisition(s), Add Requisition, when you select either Purchasing Requisitions or ePro Requisitions.

If you selected ePro Requisition in the work order business unit, you create a requisition in PeopleSoft eProcurement when you click the Add Requisition button in the work order. If you selected Purchasing Requisition in the work order business unit, you create a PeopleSoft Purchasing requisition when you click the Add Requisition button in the work order.

Note:

Purchasing and eProcurement use the same PeopleSoft Purchasing staging tables when you click the Load Requisition(s) button.

Before you can use PeopleSoft eProcurement with PeopleSoft Maintenance Management work orders, you must perform specific set up activities both in PeopleTools Security, PeopleSoft eProcurement, and PeopleSoft Purchasing.

You also can tie back from a requisition, purchase order, or voucher that you create in PeopleSoft Purchasing, PeopleSoft eProcurement, or PeopleSoft Payables to a work order by referencing a work order business unit, work order ID, and work order task. This inserts a resource row in the Purchase/On-Hand Schedule resource row in the work order to enable the costs to flow back to the work order for these procured resources.

Note:

If a requisition, purchase order, or voucher is created and tied back to a work order, then a row is inserted in the Purchase/On-Hand Schedules grid, the PO status on the work order is set to complete, and the row is disabled.

You can authorize specific users to procure resources by granting them access through the User Preferences component.

See Application Fundamentals: User Preferences - Maintenance Management Page.

See Understanding Overall System Setup Parameters for PeopleSoft Maintenance Management.

The Purchase/On-Hand Schedules - Procurement tab enables you to select a non-inventory item or enter an open description resource row, enter a planned quantity, and select a UOM. You indicate whether a resource is labor, material, or tools, and the due date. You can override the default due date, which is the scheduled start date for the work order task. You also indicate if this resource is on-hand. Costs are not calculated for on-hand materials. The On Hand check box enables a scheduler to enter one or more rows, which do not need to be procured but are in-store stocked items. For example, you could procure 100 hard drives, expense them upon purchase, and keep your supply on hand in a cabinet in the work shop. If you need one of these hard drives to complete a work order task, you can identify this hard drive as on-hand in the work order Purchase/On-Hand grid for information purposes only.

The Purchase/On-Hand Schedules - Details tab enables you to review the Pegging Inquiry, once the resource is pegged, and also identifies the pegging status, the requisition status or the purchase order status. You can indicate whether you want the resource delivered and how you want it delivered. When a work order creates a requisition or purchase order for a non-inventory or open description resource, the system automatically pegs the resource row, which basically reserves the resource for the specific work order. The requisition or purchase order status enables the scheduler to determine the status of the procurement transaction. Once you select and stage the row to either the requisition load or purchase order build process, the system updates status and prevents any future staging of the row. Once the requisition load or purchase order build process successfully creates the requisition or purchase order the status is updated to complete.

The status displays on the Purchase/On-Hand Schedules - Details tab. These statuses were created by PeopleSoft Maintenance Management to identify the stage of the procurement transaction. You can only delete Purchase/On-Hand Schedules rows with a peg status of New. If a row has a status of Ready to Stage or In Process, it cannot be changed.

The peg statuses are:

  • New, which is the default status when you add a new Purchase/On-Hand Schedules row is added to the work order task.

  • Ready to Stage, which displays when you select the Load Req or PO button for the selected rows.

  • In Process, which displays when you select the Load Req or PO button, the selected rows have been staged, and all the save processing has completed.

    This status signals that the selected rows are in the Req Load or PO Load process. You must run the Req Loader or PO Load processes to create the Requisition or PO.

  • Complete, which displays when the staging process completes successfully and a Requisition or PO is created.

    The status can also display as Complete if the row was backward tied from a Requisition or PO to a work order. Creating a backward tie to a work order is when the system inserts a row into a Purchase/On-Hand Schedule in the work order.

The Purchase/On-Hand Schedules - Availability tab requires that the requisitions or purchase orders for the work order be pegged prior to selecting the Item Availability button to ensure that PeopleSoft Purchasing is aware of the demand from the work order. If the Purchase/On-Hand row has been pegged, the system checks to see if the scheduled due date is prior to the goods and services required date.

See Inventory Item Availability.

The Purchase/On-Hand Schedules - Supplier tab enables you to select the supplier from whom you are making this purchase. If you enter a non-inventory item row, the default category value is derived from the Item setup. If you do not specify a supplier when staging to the Purchase Order process and you have entered an open description resource row, the system issues an error preventing the rows from being staged until all errors are corrected. You must select a supplier ID for all open description rows, as well as select a category value. Additional values that must be entered before you can successfully stage the work order to the Purchase Order are Ship to ID and Location.

The Purchase/On-Hand Schedules - Default Settings tab displays the work order's GL business unit, which comes from the work order business unit, the item's SetID, and a supplier reference. Supplier reference is only populated if copied from an EPL in which a supplier has been entered.

The Transaction Source field on this tab identifies the source of the purchasing transaction and determines whether the transactions are considered Scheduled or Actuals. If a transaction source is Scheduled, the total scheduled costs appear on the Cost page of the work order. If a transaction source is Actuals, you must run the Cost Summarization process to view the total actual costs on the Cost page of the work order. When Actuals is returned from a feeder application such as a voucher from PeopleSoft Payables or a Procurement Card from e-Procurement, the Planned Quantity field on the Purchase/On-Hand Schedules - Details tab is populated with a value of zero and:

  • The system will not calculate the scheduled costs for the row or rows that are inserted by the feeder application.

  • The costs will not roll up to the task's scheduled costs on the Cost page in the Work Order component for that Purchase/On-Hand resource.

  • Changes to the rows are prevented if entered from another application.

The Purchase/On-Hand Schedules - Cost tab multiplies the unit cost times the planned quantity to arrive at the scheduled procurement cost. If this is a non-inventory item row and a standard cost is set up for the Item under the PeopleSoft Purchasing Attributes for the item, a unit cost value displays in the field. If the non-inventory item does not have a minimum standard unit cost set up, you must enter an estimated unit cost. If you know the cost or approximate cost for an open description row, you may enter it, otherwise you are not required to enter a cost. However, if you leave the cost at 0, the requisition or purchase order is created with a 0 price. You select the Calculate Price check box to enable the Purchase Order Calculation (PO_CALC) process to calculate the current price for a non-inventory item rows. The Calculate Price check box is disabled for all open description rows because the PO Create (PO_CREATE) process has no method of calculating the price for open description rows.

When the Purchase Order is staged, you can perform one of these activities:

  • Run the PO Calculation process (PO_POCALC) and then the PO Create Process (PO_POCREATE).

  • Run the PO Auto Sourcing process (PO_AUTO_SRC) which basically is one process that combines the Calculation and Creation processes.

If you load requisitions instead, once you select the Purchase/On-Hand rows to stage, then you run the Load Requisition (PO_REQLOAD) process.

The cost of these items and open description rows flow through the Procure to Pay cycle and ultimately into PeopleSoft Project Costing. The costs are updated in PeopleSoft Maintenance Management by running the Cost Summarization process or by closing the work order.

The Purchase/On-Hand Schedules - Distributions tab enables you to indicate whether you want to distribute the purchasing data by amount or quantity. PeopleSoft Purchasing allows multiple distributions and enables users to override the ChartFields.

See PeopleSoft Maintenance Management System Overview.

When you create a requisition or purchase order to fulfill a need for labor resources, the system ensures that the required date for the work order task is specified on the purchase order or requisition line. You use a non-inventory or open description requisition or purchase order to outsource repairs, such as a motor rewind, or services, such as contract labor. To populate the Purchase/On-Hand Schedules grid for these labor and service requirements, you can use the Move Selected to Purchasing button, manually add the line, or copy the line from an existing template. You also can enter a labor or tool resource that is often procured in the Purchase/On-Hand grid by setting up the labor or tool resource in a non-inventory item ID and selecting the resource in the item ID prompt.

Pegging

When you click either the Load Requisition(s) or Load Purchase Order(s) button in the work order, depending on the configuration specified in the work order business unit, the system automatically pegs the work order to either the requisition or purchase order when the requisition or purchase order is created. When you select the Add Requisition or Add Purchase Order button in the work order and access PeopleSoft Purchasing to manually create a requisition or purchase order, you can manually create a link to the work order, which also pegs the work order to either the requisition or the purchase order that you create.

Pegging for Purchase/On-Hand materials ties the Requisition or PO to the work order so that when you create vouchers in PeopleSoft Payables, the costs are sent to PeopleSoft Project Costing and eventually back to the PO. Creating the work order association copies the work order distributions onto the either the requisition or PO. The Project and project activity derive the default work order distributions from either the requisition or the PO. Users cannot change this information. When a requisition is sourced to a PO, the work order peg is moved to the PO. When the PO is received, if notification is enabled, the contact person in the work order is notified. With PeopleSoft Payables vouchers, the costs flow to PeopleSoft Project Costing and the work order cost collection picks up these costs.

See "Creating Requisitions Online" set of topics in the documentation PeopleSoft Purchasing

See "Understanding Purchase Orders" set of topics in the documentation PeopleSoft Purchasing

Non-inventory Item Availability

Planners and schedulers can determine if a non-inventory items is available for a work order task on a specific date by selecting a row on the Purchase/On-Hand Schedules grid selecting the Item Availability button. The system indicates whether the item is available on the Availability tab of the Purchase/On-Hand Schedules grid. The system can only determine non-inventory item availability on a future date if pegs exist and if the supply that is pegged to the specific demand.

There are two ways to peg Purchase/On-Hand data:

  • The Purchase/On-hand data is staged to the Requisition Loader or Purchase Order Load staging processes and a requisition or purchase order is created.

  • A manual requisition or purchase order is created and backward tied to the Purchase/On-Hand data of the work order.

When you select the Item Availability button for a row, the system displays either a Yes or a No in the Item Availability field. Yes indicates that there is sufficient quantity for the requested date and requested WO quantity. No indicates then that informs the planner or scheduler that there is either insufficient quantity to fulfill the requested demand of the work order or there is partial or no quantity available. When No appears in the field, you can click on the link to review the Item Availability page and the message that describes why the item was not available. These messages are defined in a table later in this section.

The quantity available is displayed in the ordering unit of measure in the Purchase/On-Hand Schedules - Availability tab.

If the non-inventory item is not available, the system displays a reason code in the Item Availability column, which explains the reason for the unavailability of the item. The reasons codes are:

  1. The purchase order due date is after requested date

    The purchase order tied to the work order Purchase/On-Hand line has a due date beyond the current work order due date.

  2. The received quantity is insufficient to meet requested work order quantity.

    For example, the work order requested a quantity of ten and only six were received.

  3. The pegged purchase order quantity is insufficient to meet the required work order quantity.

    For example, the initial work order planned quantity was increased beyond the quantity pegged.

  4. No peg exists.

    The Purcahse/On-Hand data was not staged/pushed to Procurement, or a requisition or purchase order was not tied to the Purchase/On-Hand row on the work order.

  5. The Purchase/On_Hand quantity for the work order was pegged using a requisition and the due date on the requisition is null.

    For example, the due date on the requisition was not entered (is null).

  6. The pegged supply is past due.

    For example, the pegged supply (incoming supply) has been delayed and not received

The following table describes the messages that a display based on the availability of a procured item:

Note:

Some of these messages also apply to the availability of inventory items selected on the Inventory Schedules - Availability tab.

Message Number Description Explain Text Applicability Indicators

15005

Row is pegged but the pegged supply is after the demand date.

The row has been pegged to incoming supply however the peg supply date is after the demand date you have requested

IN/PO

Supply date is later then need/due date

15006

Row has been pegged but the peg supply is past due.

The incoming supply is past due and has not yet arrived or been received.

IN/PO

Pegged supply not received on time

15007

Row is pegged however the requisition that is pegged to has a null date.

The incoming requisition supply transaction has a null date. The row is pegged to the requisition but the date is null and unknown when it will be received.

IN/PO

No requisition due date

15009

Row has not been pegged.

The procured row has not yet been pegged.

PO

Purchase/on-hand row has not even been staged or backward tied (auto added from Req or PO)

15010

Insufficient supply exists.

The procured row has been pegged but the incoming supply is insufficient to meet the requested demand.

PO

Not enough quantity received

This table describes the reasons that the system indicates that non-inventory items are unavailable.

Note:

Some of these reasons also apply to inventory items selected on the Inventory Schedules - Availability tab.

Reason Inventory (INV), non-inventory (NON-INV) Items Item Availability

Pegged-related:

Pegged Supply is scheduled late

Inv, Non-Inv

Not Ready: item's scheduled supply date is later than need/due date

Pegged-related:

Pegged Scheduled supply is past due

Inv, Non-Inv

Not Ready: scheduled supply not received on time

Pegged-related:

Pegged Requisition due date not specified

Inv, Non-Inv

Not Ready: assumed, when pegged Req has null due date

Pegged-related:

Multiple exceptions – needs research

Inv, Non-Inv

Not Ready: multiple reasons, due to multiple pegged supplies

Pegged-related:

Procured item not pegged

Non-Inv (only)

Not Ready: assumed, when pegged Req has null due date

Pegged-related:

Procured item insufficient pegged supply

Non-Inv (only)

Not Ready: item has pegged supply, but insufficient to cover needed qty

Work Order Procurement Inquiry

Clicking the Procurement Inquiry button accesses the PeopleSoft Maintenance Management Purchasing and Pegging Inquiry component. This inquiry enables a scheduler to review the specific procurement transactions that exist for a given work order.

See Using the Work Order Procurement Inquiry.

Purchase Order or Requisition Add

Clicking this button accesses the PeopleSoft Purchasing Add/Update Requisition, the eProcurement Create Requisition, or Purchase Order component, where you can add a new purchase order or requisition, depending on the configuration in the work order business unit. This provides a convenient way to add a purchase order or requisition based on the work order by eliminating the need to exit the work order and selecting the options separately in PeopleSoft Purchasing. The work order key fields will not be copied if you click this button to add a requisition or purchase order, it is simply a navigation aid to help navigate to the component to add the necessary procurement transaction.

Purchase Order or Requisition Load

In order to stage work order Purchase/On-Hand rows you need to ensure that all of the data elements are populated properly. Once all edits are clear, you must select the check box for those rows for which you want to stage prior to clicking the Load Purchase Order(s) or Load Requisition(s) button. For each Purchase/On-Hand row you selected, the system inserts the row into the Purchase Item Stage record (PO_ITM_STG). Corresponding Purchase Order distributions are also inserted into the Distribution Staging record (PO_DIST_STG). Once the rows are staged, you must access PeopleSoft Purchasing to run either the PO Auto Sourcing process or the PO Calculations and PO Creation processes to create the purchase order, or the Purchasing, Requisitions > Load Requisitions process to create requisitions.

If you selected ePro Requisitions as the Procurement integration option for the work order business unit, the Load Requisition(s) button appears on the Schedules page and loads the rows to the same Purchase Item Stage record. Once the requisitions are created using the Purchasing, Load Requisitions, Load Requisitions process, you can access these requisitions in the PeopleSoft Purchasing Add/Update Requisitions component or in PeopleSoft eProcurement.