Shopping Cart to Purchase Order Process (01.10.22)

This week we’ll continue our progression through the procure-to-pay process here at Penn State. In past articles we’ve covered source and price justification and the shopping cart approval process so today we’ll touch on the next step in the process – converting an approved shopping cart into a purchase order. 
Once your shopping cart has been fully approved, it enters the Sourcing Cockpit (also referred to as “Carry-Out Sourcing”) where it is now available for staff in Procurement to process. Procurement processes shopping carts in the Sourcing Cockpit in a first-in, first-out manner (unless there are extenuating circumstances) and once processed, a draft purchase order is created.
Draft Purchase Orders (PO is in “Saved” status) 
Shoppers should be aware that when they see a PO listed in “Saved” status that Procurement is still working on that PO and it has not been sent to the supplier.  Procurement holds POs in saved status while they are completing source and price justification activities such as conducting an RFx or working through the contracting process (see contract routing guidance).  Procurement staff will also verify the supplier information is correct, and that the structure of the order will be successful for later goods confirmations and invoices. 
After the Purchasing Agent or Assistant has completed their work on the draft PO they will “order” it.  When the PO is ordered, it can take two paths: 1) the PO is within the Procurement staff’s authority to purchase – the PO is issued to the supplier or; 2) The PO is not within the Procurement staff’s authority to purchase (or there are other extenuating circumstances, such as a supplier conflict of interest) - in this case the PO will go through Procurement Management for approval prior to being issued to the supplier. 
Issued Purchase Order (PO is in “Ordered” status) 
Once the PO has been finally approved and issued to the supplier it will show in the Shop OnLion system as being in “Ordered” status.  At this point if the department needs to engage with the supplier about the order (perhaps regarding start dates, etc.) they can be confident that the order is with the supplier and they should be working on it.  Once the PO is in ordered status, any future changes should be processed through the PO Change process. 
As always, if you have any questions regarding the PO process or a particular order please contact the Procurement Staff in charge of your order.