Configuring Purchase Order Matching

Purchase Order (PO) Matching helps companies maintain control by identifying and resolving matching exceptions before paying suppliers. This includes ensuring payments are limited to the quoted price, terms, and quantity ordered.

Clients who create purchase orders within their financial system can import PO data into SAP Concur using the PO Import feature. From there, they can configure rules that help identify match exceptions or enable straight-through processing when invoices match appropriately.

There are two types of matching rules that you can use:

• Individual

  These rules include a one-to-one comparison between the current invoice and the PO. They are run based on the choice of header, line item, and/or vendor level for comparisons such as Unit Price to Unit Price.

• Life to Date

  This rule is a one-to-many comparison between all associated invoices and the PO. It is run based on the cumulative total of all invoices with the same PO number; for example, it compares the cumulative total of invoice quantity (s) to the approved PO quantity. This is especially useful in partial shipment scenarios.

Each invoice is compared to its related purchase order to identify discrepancies or exceptions. If the invoice matches the purchase order according to the predefined rules, it can proceed through the approval and payment process. If there are mismatches, the system flags these for review and resolution before the invoice is processed.

You can configure how the system responds if an invoice does not match the purchase order. You can have the system display a warning to the user or entirely prevent submission until the issue is resolved.

1. Scroll down to Capturing Spend on the Invoice Settings page.
2. Select Edit on the Purchase Order Matching tile.

1. Select Individual Purchase Order Matching Rules.
2. Check or uncheck the options considering whether the purchase order and invoices matched or mismatched.
3. Select Save.

• Unit Prices:

  For each associated line item, the purchase order unit price is compared to the invoice unit price.

• Line Quantities:

  For each associated line item, the purchase order quantity is compared to the invoice quantity.

• Totals:

  Compares the total amount on the purchase order to the total amount on the invoice.

• Currencies:

  Compares the purchase order currency to the invoice currency.

• Vendors:

  Compares the purchase order vendor information to the invoice vendor information.

• Vendor Addresses:

  Compares the vendor address on the purchase order to the address on the invoice.

• Percentage:

  Choose a percentage above which the rule will trigger a flag. For example, if the percentage is one and the PO amount is 1000, invoices above 1010 will trigger the exception.

• Units:

  Specify a number at or above that at which the rule will trigger an exception. For example, if the unit is 100 and the PO amount is 1000, invoice(s) at or above 1100 will trigger the exception.

• Currency:

  Choose the base currency your company uses. The system automatically calculates and applies conversions for alternate currencies on incoming invoices.

1. Select Life-to-Date Purchase Order Matching Rules.
2. Check or uncheck the options considering whether the purchase order and invoices are matched or unmatched.
3. Select Save.

• Taxes

  For each associated line item, compare the tax amount on the purchase order to the cumulative taxes of all invoices sharing the same purchase order number.

• Line quantities

  For each associated line item, the purchase order quantity is compared to the total (cumulative) quantities invoiced across all invoices sharing the same purchase order number.

• Line totals

  For each associated line item, compares the purchase order line item total to the total (cumulative) line item totals of all invoices sharing that purchase order number.

• Gross amounts

  Compares the gross amount on the purchase order to the gross cumulative quantities of all invoices sharing the same purchase order number.

• Net amounts

  Compares the net amount on the purchase order to the total (cumulative) net amounts of all invoices sharing that purchase order number.

• Invoice quantities

  For purchase orders requiring receipts, compare the total amounts invoiced (based on matched quantities) against those recorded on the associated receipts.

• Percentage

  Choose a percent above which the rule set will trigger a flag. For example, if the percentage is one and the PO amount is 1000, invoices above 1010 will trigger the exception.

• Units

  Specify a number at or above that at which the rule set will trigger an exception. For example, if the unit is 100 and the PO amount is 1000, invoice(s) at or above 1100 will trigger the exception.

• Currency

  Choose the base currency your company uses. The system will automatically calculate and apply conversions for alternate currencies used on incoming invoices.

• Understand Purchase Order Matching: PO matching ensures invoices align with purchase orders on terms like price, quantities, and currency.
• Types of Matching Rules: Configure individual rules for one-to-one comparisons and life-to-date rules for cumulative comparisons.
• Individual Rules Configuration: Adjust system behavior for mismatches (e.g., warnings or preventing submission) based on specific criteria like unit price and vendor.
• Life-to-Date Rules Configuration: Compare cumulative invoice data (e.g., totals, taxes, quantities) against purchase orders for comprehensive mismatch detection.
• Customize Tolerance Levels: Define thresholds (percentages or units) for triggering exceptions, ensuring accurate invoice-to-PO alignment.