As product is returned back to the vendor, a Return Order (RO) will be generated in IBS. The name of the RO should include the date shipped back, the vendor name and a description of the product. (Example 8.1.13 – Adidas Men’s Clothing) RO’s will be filled out when the product leaves the facility, not when the credit arrives. For facilities that do not have the IBS Return Order system a paper PO/RO will be utilized.
The RO number will be given to the vendor to be put on the return so that the credit invoice reflects the RO number. The facility id will be put in front of the RO # so that invoices can easily be identified to a facility. (Example PV5509 for Primm Valley RO#5509)
The RO will be printed and held in the purchase order binder. The RO will be organized by the date the credit should arrive.
Issuing Process
When the credit invoice arrives, the invoice will be checked against the RO to verify the pricing matches. Any discrepancies need to be brought up to the vendor right away to be straightened out.
The product will be issued out of inventory using the RO module.
The credit invoice will be stamped, coded to the correct department and account number, then signed and submitted for payment. Credit invoices must be submitted as quickly as possible so that they can be applied to future payments.
Once the product has been issued out, the issue report will be placed with the credit invoice and RO. The facility will keep a copy and file. The originals will be sent to corporate for payment.
The recommended filing procedure would be to scan the documents and store in a folder in the computer. Credit invoices would be stored in a vendor specific folder. The name of the document should be the credit invoice date and the invoice number. (Example 7.2.13-1234567)
If scanning is not readily available, store the invoices in a location where they can be sorted by vendor and easily accessible should issues arise.
Reporting Process
At the end of the month, the PO/RO binders will be checked. Staff will verify that previous months RO’s have been taken out, issued out and sent in to corporate to be paid. Any outstanding RO’s greater than 30 days should be followed up on by checking with the vendor for the credit invoice.
Staff will run a PO Listing report in IBS to review any outstanding PO’s/RO’s. Any outstanding RO’s will be investigated and processed.