Change Orders
What It’s For
Change orders are used to request changes to an existing PO: an increase/decrease to line items, chartfield changes, or liquidation.
You Will Need
Documentation explaining any increases in cost, such as a new quote, as well as a justification for the increase.
If you are requesting changes in line items, make sure you know whether the original PO is being received by quantity or amount.
Procedure
Change orders are processed through requisitions and start the same way.
For all requests, the requisition name should be Change Order for PO [insert original PO number]. The requisition comments should begin the same way.
Reducing the Amount or Quantity on a PO Line
Item Description should be the same as the original PO Line.
Price = $0
Quantity = 1
Line item notes:
To reduce the dollar amount enter the following: “Reduce PO# XXXXX, Line# XXXXX by $XXXX.XX. PO line is currently $XXXXX.XX and should be $XXXX.XX after decrease.”
To reduce quantity enter: “Reduce PO#XXXXX, Line#XXXXX) by quantity of XXX. PO Line is currently quantity XXX and will be quantity XXX after decrease.”
Increasing the Amount or Quantity on a PO Line
Item Description should be the same as the original PO Line.
Price = amount to increase by (or amount per unit if increasing quantity)
Quantity = If increasing amount, 1. If increasing quantity, quantity you are adding to the line.
Line item notes:
To increase the dollar amount enter: “Increase PO#XXXXX, Line#XXXXX by $XXXX.XX. PO total amount is currently $XXXX.XX and should be $XXXX.XX after increase.”
To increase the quantity enter: “Increase PO#XXXXX, Line#XXXXX by quantity of XXX. PO Line is currently quantity XXX and will be quantity XXX after increase.”
Requesting Chartfield Changes
This will vary hugely depending on whether you’re trying to only change some lines, change the whole PO, do an increase/decrease at the same time, etc. Note that the original line items are essentially locked in stone in terms of chartfields, so changing them requires adding one or more new lines. To change the entire PO you will need to essentially recreate the entire original PO line by line with the new chartfield string and in the requisition comments state: “Please delete lines X-Y of PO# XXXXX and replace with the lines of this requisition.” See the manual for what to do if some items have already been invoiced (this will require a reduction of the original line) or if you are adding more items to the original.
Liquidating the Total PO Amount
Item description = “Entire PO”
Price= $0.00
Quantity = 1
Line item notes = “PO# XXXXX has $XXXX.XX remaining and needs complete liquidation.”