2 Replies Latest reply on Aug 22, 2011 12:51 PM by Srini Varadarajan

    Receiving Over Specified Dollar Thresholds

    Amina Anderson Expert

      We currently have central receiving setup for all IT hardware but have had a real challenge getting the receivers to receive in a timely manor and have to constantly follow up on overdue invoices due to receipt variances.  We are considering putting a rule in place so that lower dollar items do not require receiving.  Are others using a dollar threshold for receiving?  If so what amount do you have set up as your threshold?

        • Re: Receiving Over Specified Dollar Thresholds
          AribaMax Master

          That's difficult to answer as the "lower" dollar amount may differ based on the size of the Business. Having said that, IMHO, for IT Hardware, the threshold could be $50 and the Accessories category may fall in there.

           

          Also, just to share with you our approach, we set up Auto Receiving by Commodity Codes alone, without any dollar threshold. This is just to ensure that vendors providing the frequently ordered items are paid without delays. Any other items (commodity codes) not falling in this require manual Receiving.

          • Re: Receiving Over Specified Dollar Thresholds
            Srini Varadarajan Master

            Amina - We auto-receive requisitions and it has helped significantly reduce the invoice issues on low $ items.

            The $ threshold depends on your company size, company policy for approvals and on how you categorize capital assets.