Monday 5th of September

The Peterson purchasing module and processes have extended to Trinidad. This process is already adapted by various locations in the Netherlands and all sites in the United Kingdom. The back office will use the same system, dynamics AX, to streamline the procurement processes, increase traceability, productivity and performance. It provides us with accurate, reliable and timely data from one central source providing a solid platform for our crucial business transactions and decisions.

What’s changed?
Previous processes and systems were based on excel and paper, resulting in a inefficient process without the desired visibility.

What benefits does the new system bring?
DATA INTEGRITY — one robust data source, held in the same format and easily available
EFFICIENCY — the system will automate areas of repetitive data input
FAMILIARITY — one way of working regardless of department or site location
QUALITY — commonality and data integrity will ensure we are working to an acceptable standard.
VISIBILITY — one consistent data set will improve our reporting ability, helping us analyse our supply chain and to budget and forecast more accurately.

THE PURCHASING PROCESS
The purchasing process will remain largely unchanged. ‘Spreadsheet based procurement’ will be replaced with a ‘point and click’ based user interface, with all data stored and transacted within the AX system.

THE APPROVAL PROCESS
Every purchase now starts with an AX REQUISITION which acts as the vehicle for gaining approval to purchase, and only when approved will it become a PURCHASE ORDER. At requisition stage the system will assess what’s being requested and depending on that item it will electronically seek approval from the appropriate manager. This will be based on the description of the item, its value, and whether it is being treated as an expense to the business or recharged to a client (As summarised on the Financial Authority Matrix).

INVOICE PROCESSING
Suppliers have receipt a notification that invoice are to be issued according a specific set of requirement. Upon receipt of a supplier’s invoice the system will immediately look for a “3-way match”. If AX locates an accurate purchase order for the goods and sees that we have performed a good’s receipt for the same quantity/ value of goods then it will automatically process the invoice.
If the system fails to find a match it will be reviewed and approved separately by the appropriate manager. An invoice with no purchase order will be put through the same approval process as requisitions to ensure it obtains the appropriate approval from management.

BENEFIT OF PETERSON PROCUREMENT PROCESS
Paperless process from the point of creating a requisition
Cleaner, more effective purchase requisition to purchase order process
Quicker access to business data – items, prices, suppliers
Greater visibility - “what have we been buying, and how often?”
More accurate and comprehensive data
Transparency on business activity
Enhanced reporting capabilities – better quality management information for the business
Improved purchase invoice handling
Automated review and approval process for processing POs and non-PO invoices

Any questions?
The team are here to help and are happy to answer any questions you may have on the system or process, please send questions to erp@onepeterson.com.

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