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Purchasing & Payment
Requisitioning in SAP
Introduction

Contents
Overview
Basic Steps for Creating a Requisition
Vendor Justification Rules
Special Requisitions
How Requisitions Get Approved

Overview
A requisition is a document requesting the purchase of goods or services. Requisitions are sent to the Procurement Office for the issuance of purchase orders. There are two ways to create SAP requisitions; either with the SAPgui or with SAPweb.

The instructions here are for creating requisitions directly in the SAPgui.

Note

Complete only the fields described in this documentation. Other fields on the SAP screens are not used at MIT.


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Basic Steps for Creating a Requisition

Step 1

General Information: Initial screen: Enter general information that applies to the whole requisition.

Step 2

Description, Quantity and Unit of Measure: Item Overview screen: Enter a brief description of each line item (including the vendor part or SKU number), the quantity being purchased, and the unit of measure.

Step 3

Unit Price and Vendor Number: Item Detail screen: Enter the price per unit and the vendor number of the desired vendor.

Step 4

G/L Account, Cost Object, and Delivery Information: Account Assignment screen: Enter the G/L account and cost object for the line item. Also enter Unloading point and Goods recipient information. You have the option to automatically repeat this information for all line items.

Step 5

Vendor Justification and Other Text: Text Overview screen: Enter information to be printed on the PO. Also enter vendor justification, if required. For all line items, you can enter information to be printed on the purchase order or notes to the Procurement Office.

Step 6

Additional Line Items: Complete screens for any additional line items. Some information is only required on the first line item: vendor number, delivery information, justification (if required), PO copy recipient. You do not need to repeat this information on additional line items.

Step 7

Finish the Requisition: When the requisition is complete, save it. The requisition is either routed for approval or sent to the Procurement Office. Record the SAP requisition number for future reference.

Tip

See Requisitioning Options for information about using the Copy Reference function as a requisitioning shortcut.


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Vendor Justification Rules
For purchases from external vendors, if your requisition total is greater than $5,000, justification of the cost and your vendor choice is required. A justification is required based on the total amount of the requisition, not on individual line item amounts.

Note

A justification is not required for purchases from internal providers and partner vendors.

The following are allowable justifications:

Sole source:
If your vendor is the only vendor who carries the product or service you are ordering, use the sole source justification.

Lowest bidder:
You must obtain bids from three different vendors. Supply the bidders' names and the quotes for all three bids on the requisition form. Indicate that the lowest bidder is the one you have selected.

Other than the lowest bidder:
If the vendor you selected is not the lowest bidder, you must explain your choice.

For requisitions that total more than $10,000, you are required to send all documentation and written quotes to the Procurement Office. Be sure to include the SAP requisition number. Indicate in the Item Note field that you are sending this backup.

For detailed information on justification rules, see Section 2.5 under the Policies and Procedures link on the Procurement Department's home page.

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Special Requisitions
You can use SAP Requisitioning to create Blanket Orders, Subcontracts, Internal Order Requisitions, and Change Orders. The main instructions for creating a requisition are for standard requisitions for external vendors, but can also be used, together with the instructions on the Create a Requisition: Special Requisitions page, for creating these special requisitions.

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How Requisitions Get Approved
SAP treats each line item of a requisition separately. Individual line items of a requisition may be routed differently depending on the total dollar value of each line item, not the entire requisition.

Example
A requisition has three line items: line item 10 costs $100, line item 20 costs $700, line item 30 costs $3000. If this requisition is routed according to the Model 3 Release Strategy, the line items would be routed as follows:

Line item 10 ($100): Directly to Procurement Office
(Under $500 requires no approval.)

Line item 20 ($700): To a Level 1 approver
(Between $500 and $2500 requires Level 1 approval.)

Line item 30 ($3000): To a Level 2 approver
(Over $2500 requires Level 2 approval.)

Only after all line items have been approved will the Procurement Office issue a purchase order for the entire requisition.

Note

Release strategy models vary among departments. Ask you AO or area manager for the model used in your area, and who your approvers are.

Tip

You can use the Review/Print Requisition function to find the approval status.

Notification by Email
If you want to be notified by email whenever a line item on your requisition is approved, rejected, or needs approval, and/or when your requisitions are made into purchase orders, you can subscribe to Email Event Notification. For information on setting up this option, see SAP Email Event Notification.

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SAP for MIT Documentation on the Web
Valid From: 02/25/2002