Purchasing task and procurement case creation

  • Release version: Washingtondc
  • Updated February 1, 2024
  • 2 minutes to read
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    Summary of Purchasing Task and Procurement Case Creation

    This process enables the creation of purchasing tasks and procurement cases within sourcing requests and purchase requisitions in ServiceNow's Procurement Service Management. It streamlines supplier evaluations and contract management, enhancing operational efficiency.

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    Key Features

    • Sourcing Request Automation: Triggers supplier risk assessments and NDA cases when the sourcing request is in the 'Awaiting Supplier Response' or 'Requires Decision' states.
    • Supplier Risk Assessment: Automatically creates risk assessment cases for any suppliers associated with the sourcing request if their risk assessment is invalid.
    • Purchase Requisition Management: Generates relevant cases and tasks when the purchase requisition state is 'Pending Review' or 'Pending Approval'.
    • Integration Error Handling: Creates an integration error purchasing task when there are issues with ERP integration during the 'Awaiting Task Completion' state.
    • Finalization Process: Ensures that all purchasing tasks and procurement cases are resolved before updating the purchase requisition to 'Final Review' or 'PO Created'.

    Key Outcomes

    By utilizing this automation, ServiceNow customers can expect improved management of supplier evaluations and contract processes, reduced manual intervention, and timely updates on procurement statuses. This results in efficient procurement operations and better compliance with company policies.

    Create purchasing tasks and procurement cases in sourcing requests and purchase requisitions.

    Sourcing request

    If a negotiation does not exist, the supplier risk assessment and send NDA for signature cases are triggered when the state of the sourcing request is Awaiting Supplier Response. The procurement cases are created on the cases related list of the sourcing request.
    • Conduct a supplier risk assessment: If risk assessment on the referenced supplier record is not valid, create a supplier risk assessment case for each supplier on the sourcing request.
    • Send NDA for signature: If the NDA on the referenced supplier record is not valid, create an NDA case for each supplier on the sourcing request. This requires adding a supplier reference field on the case template.
    • If the user skips updating the state of the sourcing request to Awaiting Supplier Response, these cases are created when the state of the sourcing request is Requires Decision.
    • If the user decides to manually create contracts against the sourcing request, trigger the contract review case once a contract is created.

    If a new supplier is added to the sourcing request, the risk assessment and send NDA for signature cases for that supplier are triggered when the state of the sourcing request is Awaiting Supplier Response or Requires Decision (if the user skipped the Awaiting Supplier Response state).

    Purchasing tasks and procurement cases for the awarded supplier that are created on a sourcing request are also shown on the purchase requisition.

    For information on how a supplier tiering assessment case influences sourcing request states, see Sourcing and Procurement Operations integration with Third-party Risk Management.

    Purchase requisition

    The following procurement cases and purchasing tasks are created in flow designer when the state of the purchase requisition is Pending Review or Pending Approval (if approvals are triggered):
    • Cases:
      • GL coding review
      • Budget review
      • Conduct a supplier risk assessment
      • Onboard a supplier
      • Send NDA for signature
      • Delivery address verification (not applicable for blanket order type scenario)
      • Delivery address approval (not applicable for blanket order type scenario)
    • Tasks: Follow up required: Approval duration breached

    The integration error purchasing task is created in flow designer when integration with ERP fails and the state of the purchase requisition is updated to Awaiting Task Completion.

    If a purchase requisition is created directly without a sourcing request, all purchasing tasks and procurement cases are created in flow designer when the state of the purchase requisition is Pending Review or Pending Approval (if approvals are triggered), with the exception of contract review case and integration error task. These are created when the state is Awaiting Task Completion. If the tasks and cases triggered during the Pending Review or Pending Approval state are still open after approvals are complete, the state of the purchase requisition is in Awaiting Task Completion. Only when all the Order dependent on task tasks and Order dependent on case cases are closed, the state of the purchase requisition is updated to Final Review or PO Created, based on the purchasing property.