Setting up matching tolerances for a company

When you match purchase orders to invoices in Vendor Invoice Center Entry, Vendor Entry Group Update/Reconcile Invoices Report, or Vendor Entry Group EDI Invoice Processing Report, the invoice quantities, lines, and amounts must match purchase order quantities, lines, and amounts within the tolerance you define. Use these instructions to define matching tolerances for the company. Tolerances you define for the company can be overridden by vendor tolerances if Use Vendor Reconciliation Tolerances is selected in Vendor Setup.

Select System Administrator > Administration > Administrator Options > Vendors > Receiving.
Specify these values:
- Unit Quantity and Unit Quantity Percent
- Line Amount and Line Amount Percent
- Invoice Amount and Invoice Amount Percent
Specify a Minimum Invoice Variance Amount to Give Percent Error value.
Optionally, specify user-defined tolerance amounts and percents.
To set tolerances for auto-receipt of Direct Order POs, specify these values:

Receiving Tolerance

Select the tolerance levels that are applied during receiving. Select Batch Reconciliation to apply the tolerance levels specified in the Tolerances for Batch Reconcile section.

Select Direct Receiving to define tolerance levels that apply when you reconcile invoices for DO purchase orders in Vendor Entry Group Update/Reconcile Invoices Report or Vendor Entry Group EDI Invoice Processing Report. When you select this option, tolerance fields display in the Receiving Tolerance section. Repeat step 2 to define tolerance amounts and percents.

Select None if you do not want to establish any tolerance levels. No tolerance checks are performed.

Ignore Line Tolerance When Set to 0

When this option is selected, and the Line Amount, Line Amount Percent, Unit Quantity, and Unit Quantity Percent are 0, no tolerance checks are performed during Vendor Invoice Center Entry, Vendor Entry Group EDI Invoice Processing Report, or Vendor Entry Group Update/Reconcile Invoices Report. This allows you to partially receive, or not receive at all, a Direct Order O line without receiving a tolerance error.

Ignore Header Tolerances

When this option is selected, no tolerance checks are performed against the PO header totals. Select this option to partially receive a DO PO without receiving a tolerance error. Any amounts not received on the DO PO are moved to a back order if back orders are allowed on the purchase order.
Click Save.