1. Using Procurement
  2. How You Generate Purchase Orders from Requisitions in the Invoice Currency of the Supplier Site

How You Generate Purchase Orders from Requisitions in the Invoice Currency of the Supplier Site

To generate purchase orders from requisitions in the invoice currency of the supplier site, you can use the Process Requisitions into Purchase Orders in the Invoice Currency of the Supplier Site feature and set the supplier site invoice currency.

You can use the feature for purchase orders created from backing requisitions regardless of how the purchase order was created from the requisition. The purchase order could have been created using touchless buying, the Process Requisitions page, or the Requisition Processing Requests REST API.

You can use the feature for these business scenarios:

  • Prices on blanket purchase agreements are negotiated with suppliers in a foreign currency (for example, USD), and purchase orders need to be generated from requisitions in the local currency (for example, INR).
  • Procurement Requester creates noncatalog requests by providing the negotiated price in a foreign currency (for example, USD), and purchase orders need to be generated from those requisitions in the local currency (for example, INR).
  • Requisitions originating from a punchout catalog contain the negotiated price in a foreign currency (for example, USD), and purchase orders need to be generated from those requisitions in the local currency (for example, INR).

Here are some of the considerations before you use the feature:

  • You can use the feature for purchase orders created from backing requisitions that reference blanket purchase agreements, contract purchase agreements, or without any source agreement.
  • You can also use the feature for purchase orders created from an emergency requisition.
  • When you use the feature, the values for conversion rate type and conversion date on the purchase order defaults from:
    • The conversion rate type defaults from the Procurement Business Unit Configuration.
    • The conversion date defaults from the purchase order creation date in the legal entity's time zone.
  • You can't procure configured items in the local currency.
  • When you cancel a purchase order, unfulfilled requisition demand will be reinstated in the purchase order currency instead of the original requisition line currency.
  • The purchase orders that don't have a backing requisition can't be released in a different currency if they reference a blanket purchase agreement.