Difference between PO based IV and GR based IV?

[Former Member]

Hi,

Can someone please explain the difference betwene the PO based IV and GR based IV?

Why one is better then other?

Can we have both ways in one system?

Sincerely,

Khan

[Former Member · Accepted solution]

Hi,

Purchase Order Based Invoice Verification :

In purchase order based invoice verification system generates one invoice item in the item list for each P.O.Item. The system proposes the quantity to settle as a difference between total delivered quantity and the total invoice quanitity. It makes no difference if we post the MIRO using delivery note, the sytem determines the relevant p.o.items with their total quantities to settle in. The systme doenot only propose the quanitty mentioned in delivery note.

If you post severaL G.R. and invoices for a purchase order the p.o.history does not tell you which invoice came from which vendor.

Gr Based Invoice Verification :

To use Gr Base invoice verification

In Purchase order, the indicator for GR based invoice, Gr Based IV must be set for the relevant item on the invoice tab page. If the indicator is set in vendor master record the system copies it in purchase order automatically.

Until you post at least one Gr , you cannot enter invoice in the system.

In gr based invoice verification separate quantities received against delivery note are proposed during invoice entry..

The ggod reciept are matched in p.o.history

Regards,

Tushar Patankar

[Former Member]

This message was moderated.

[Former Member]

thanks everyone for valuable input.

[lawrei99]

Hello ,

You can change to PO bases IV , provided you have to close all the PO which is released and GR to be completed for all those PO and IV should also be complete .

[Former Member]

Thank you Guys.

Is it possible to change the PO based IV to GR based IV setting in the existing schedule agreement?

There are already GR happaned and invoices posted against the Schedule agreement.

Once again thank you so much.

[Former Member]

It is not adviseable to change the GR Based IV indicator is there is gr and invoice posted.

[former_member197616]

GR Based invoice verification

Use

In goods-receipt-based (GR-based) invoice verification, the invoice relates not to the purchase order, but to individual deliveries. That is to say, the reference document for the invoice is not the PO but the delivery note or the goods receipt document.

Whether you use this approach depends on your billing arrangement with the vendor. This method can be advantageous, for example, when you know the order will be fulfilled by means of many partial deliveries.

Prerequisites

Before you can use GR-based invoice verification, the following prerequisites must be satisfied:

The indicator for GR-based invoice verification (GR-based IV) must be selected for the relevant item in the purchase order (item detail screen).

A goods receipt must occur before the invoice is entered in the system.

Activities

The invoice may be entered with reference to a delivery note or a goods receipt document.

You can display information on the assignment of a goods receipt to an invoice at any time. You will find this information in the PO history for the item.

[Former Member]

PO based IV

Means you can do IV without doing GR, that means you are paying vendor without receving Material

and GR based IV

for this GR is Mandatory for doing MIRO, that means first receive material and then pay to vendor..

You can use both basing on the Client business needs , but always better to use GR based IV

for GR based IV, if tick the GR based IV in Vendor Master/ info record , then it will be defaulted in PO..