POcontrol.com - How Does Editing A PO Effect The Budgets?

[Neill_Austin]

Authorising Purchase Order Edits

When a PO is edited, the additional expenditure is looked at as a new entity in terms of the system logic which is why it can be approved; as long as it doesn’t contravene the current users limits.

What’s happening is that once the PO is edited after being approved by a more senior user, the additional expenditure goes back through the approval procedure and is re-authorised within the current requesters budget and limits. Only the additions are re examined. If the PO was for €10 000 and was authorised by a more senior user, the next addition to the PO would be authorised as a new entity, but as part of the current requesters budget and limits.

EG if a £10 000 server was requested and authorised, that expenditure would be assigned against the person to sign off on the expense. If it was edited to then include a £20 delivery charge the additional expenditure would be checked against the requesters limits, department limits and total expenditure before being authorised by the user making the change. If you tried to include another £10 000 server it would ask for approval again.