3.3.2 Sales Order with Cash Repayment
Cash repayment: overview
UNHRD Sales process includes the sales of items between Partners. As per the Memo from UNHRD Network Coordinator (Memorandum for Cash Repayment.pdf) this process can be applied between External Partners by applying the solution detailed on this document. The process is separate in various phases: sale from seller's stock, procurement to buyer's stock and payment to seller. The Partner that approves to sale its materials is called Seller while the Partner that request for the materials is called Buyer.
Sale of materials from Seller’s stock
This part of the process is managed by performing a manual decrease of stock from the Partner that sells the items in stock, the Seller. This action is performed by WM Experts at Support Office (SAN) upon receipt of confirmation for sale including material code, WBS of Seller and quantity. The value of decrease from Seller stock reflects the actual MAP value. The Partner that acts as Seller is treated as Vendor and as such it is identified in the Cash Repayment process, while the Partner acting as requesting the materials is treated as Buyer and as such identified in the Cash Repayment process:
NOTE: Only External Partners can act as Vendor in the cash repayment process while items can be sold to either Internal and External Partners. UNHRD is not allowed to sell Inventory Stock recorded under WFP accounts. The Sales process managing this solution falls under standard UNHRD Sales procedure (i.e. 7% of MRC is applicable) while sales value is established by the External Partners acting as Vendors and mutually agreed by the Internal or External Buyers, as specified in Chapter 5 of UNHRD SOP. The value of the goods sold must be in line with the Invoice provided by the Partner acting as Vendor.
Procurement of materials to Buyer’s stock
This part of the process is managed at Hub level by creating a POWM to receive the items under the Partner stock. This Partner is considered as Buyer. The code associated to the Partners that sales the NFI (the Seller) has to be picked from the list of WINGS Vendor Codes list. In case the Partner does not have a Vendor Code associated in WINGS, the standard request to WFP Vendor Master for Warehouse Management purposes has to be submitted by UNHRD Focal Points for WFP Vendor Master issues. The value to be adopted has to match with value of goods removed from the Seller's stock. The remaining POWM specifications have to be entered as for any POWM created for the receipt in Warehouse Management for External Partners NFIs:
This part of the process is completed by posting the GR versus the POWM.
Payment to Seller
This part of the process is started at Hub Level by requesting the Invoice to the Partner acting as Vendor, creating the PR for Goods and creating the following PO for services and entering the GR posting; Purchase Organization to be adopted in the POS is UNJS for ‘UN Joint & Statutory’:
This part of the process is completed by UNHRD Finance by performing the payment versus the POS and GR created.