Upgrade a DV Vendor to a PO Vendor

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Overview

A DV vendor record is able to accept payments via a Disbursement Voucher document but may not accept Purchase Order payments. If your business situation requires the use of a Purchase Order but the vendor is currently setup as a DV vendor in KFS, the vendor must be upgraded to a PO vendor. The process outlined below must be complete before the payment can be initiated.

Some examples of when upgrading a DV vendor may be necessary include:

If you know your business situation requires the use of the Purchase Order process complete the steps below as soon as possible. You will not be able to procure the good or service until the vendor record has been updated.


Step 1 - Complete the Vendor Information Packet

Before upgrading the vendor record in KFS, the Vendor Information Packet, or VIP, must be completed by the vendor and returned to the department.

If you aren’t sure whether the vendor is considered domestic or foreign, contact University Tax Services for guidance.

Note:  NEVER attach VIP, W-9, or W-8 tax forms to KFS documents or emails. These forms contain critical data which must be kept secure. For more information about critical data handling, refer to the Data Management website.


Step 2 - Update the Vendor Type in KFS

In KFS, navigate to the Vendor module then open the Vendor search by clicking on Vendor.

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Search for the vendor by entering the vendor’s name or tax ID number in the appropriate field. Return results by clicking Search. Remember to use wildcards when searching to ensure the vendor record is returned in your search.

Click edit next to the vendor to open and make changes to the vendor record.

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In the Document Overview tab, enter a description in the Description field and any additional details in the Explanation field.

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Next, update the Vendor Type field in the Vendor tab of the document. KFS will display the vendor’s current information on the left hand side of the document. Proposed changes are entered on the right hand side of the document.

Under Corporate Information, select PO – Purchase Order from the drop down menu next to Vendor Type.

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Step 3 - Update/Add the Vendor's Address

A Purchase Order address must be added to the vendor record in order for the record to be upgraded. Generally, this is the address provided on the vendor’s tax form in the VIP, but they may specify a different address.

Update the Vendor's Address

If the address provided by the vendor on their tax form is already on file in KFS, update the Address Type field to reflect a PO – Purchase Order address.

Locate the vendor’s address on the vendor document. On the right hand side of the document, click the drop down menu next to Address Type. Select PO – Purchase Order from the menu.

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If the vendor provided a fax number and/or email address, include this information in the appropriate fields. This is where future Purchase Orders will be sent. Do not enter information in the Attention field. This field is not used at IU.

Make any additional changes to the vendor and proceed to step 4.

Add a New Purchase Order Address

In the Address tab, add a new address and select PO – Purchase Order as the Address Type. If the vendor provided a fax number and/or email address, include this information in the appropriate fields. This is where future Purchase Orders will be sent. Do not enter information in the Attention field. This field is not used at IU.

Click Add to add the new address to the vendor record.

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Make any additional changes to the vendor and proceed to step 4.


Step 4 - Submit the Vendor Record

Write the KFS document number on the first page of the VIP where it will be clearly visible after scanning or faxing. The KFS document number is available in the upper right hand corner of the KFS document, above the Explanation field.

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Review your changes one final time and click the Submit button to submit the record for review.

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Step 5 - Submit the Vendor Information Packet

The Vendor Work Group in Purchasing will review changes made to the vendor record and add additional information provided by the vendor in the VIP.

Submit the Vendor Information Packet forms to the Vendor Work Group in Purchasing via Slashtmp to vwg@iu.edu or secure fax to (812) 855-7839.

Once the vendor record has been finalized and is ready to use, you will receive a FYI in your Action List.

Note:  NEVER attach VIP, W-9, or W-8 tax forms to KFS documents or emails. These forms contain critical data which must be kept secure. For more information about critical data handling, refer to the Data Management website.

Retain the VIP via a secure method, either electronically on an IU server or physically in a locked filing cabinet, until the payment is generated. Retaining this documentation ensures that the vendor’s information is available should questions arise during the Purchase Order process.