1 Reply Latest reply on Jan 12, 2017 4:16 PM by ShameerKappil

    Sourcing - Cannot send to Approve Purchase Order


      Hi There,


      We are in the implementation process of Sourcing and found an issue in the business cycle.

      Oracle eBusiness Suite 11i.


      We have setup 10% of Price Tolerance (%) under Purchasing Options.


      This is the scenario.


      1) Requester creates a Purchase Requisition for a good of $10.000.

      2) Sourcing Buyer creates a negotiation and awards to a supplier at $13.000.

      3) Purchase Order is created automatically by Sourcing.

      4) We are unable to send to approval the Purchase Order, since it exceeds the tolerance defined. So once you press the "Approve" the validation is performed.

      “price does not fall within price tolerance”

      5) Purchase Requisition modification flow cannot be executed since Purchase Order is not approved. Business expects the price to be properly defined during the negotiation, instead of being provided exactly by the Requester.


      Can someone please advice the proper solution to this situation?.

      Attached is the flow.





        • 1. Re: Sourcing - Cannot send to Approve Purchase Order

          Hi Gustavo,


          How about introducing a Award approval process and assign an relevant stakeholder at this stage. This person should have the knowledge of price tolerance and Reject the award accordingly.

          This will prevent PO creation.


          On the Other side, Buyer(Procurement team,Negotiation Team) is the best person aware of this tolerance, he should not close an negotiation until he gets a quote below the price tolerance.


          Many thanks

          Shameer Kappil