10.30 Receiving

last updated: 11/19/96

Receiving Shipments

1. The departmental responsibilities for receiving are very important because vendors cannot be paid until the receiving function is complete. Timely action (within 3 days) is required so the account can take any discounts offered by the vendor for prompt payment. The following details the steps involved with different merchandise deliveries.

   Merchandise is...	Vendor	Central or Medical Receiving (Receiving)	Department
   Delivered to the department per PO instructions.	Delivers merchandise to the department.	Sends copy of PO (delivery ticket) to the department to be used as a Receiving Report.	Inspects merchandise, uses delivery ticket sent by Receiving as a Receiving Report and returns to Receiving.
   Delivered directly to the department, although the PO instructed the vendor to deliver to Receiving.	Delivers merchandise to the department.	Waits for department to send copy of PO used as a Receiving Report.	Inspects merchandise, makes copy of PO to use as a Receiving Report, and sends to Receiving.
   Picked up by the department from the vendor.		Waits for department to send copy of PO used as a Receiving Report.	Inspects merchandise, makes copy of PO to use as a Receiving Report, and send to Receiving.
   Delivered to Receiving, department inspection is recommended.	Delivers merchandise to Receiving.	Inspect merchandise and delivers to department.	Inspects merchandise, verifies quality, reports any damages or shortage.
   Delivered to Receiving, department inspection is required (for example lab equipment that must be examined in a sterile room).	Delivers merchandise to Receiving.	Receives merchandise and delivers to department with a delivery ticket.	Inspects merchandise, uses delivery ticket as a Receiving Report and returns to Receiving.
   Ordered with a PPO and delivered to the department.	Delivers merchandise to the department.		Inspects merchandise and reports any damages or shortages. Prepares a Receiving Report and maintains on file.
   Ordered with a PPO and delivered to Receiving.	Delivers merchandise to Receiving.	Receives merchandise and delivers to department.	Inspects merchandise and reports any damages or shortages .
   Ordered with a PPO and is picked up by the department.	Provides department with a receipt.		Picks up merchandise, attaches receipt to top portion of PPO and sends to Purchasing within 3 working days.

   Invoices/Packing Slips Enclosed

2. If invoices are enclosed with a shipment, write the Purchase Order number on the invoice and forward immediately to Accounts Payable for payment. If the invoice of packing slip reference a PPO, attach to PPO and retain for two years.

   Receiving capital merchandise

3. If item is capital, receive tag from Property Management and affix tag.

   Receiving merchandise on Blanket Orders

4. Receiving activities are not performed on blanket orders. Merchandise is generally delivered to or picked up by the department. Accounts Payable will pay invoices from vendors on blanket orders without verifying receiving prior to payment. However, they will send copies of all invoices paid on blanket orders to the department. The department is responsible for reviewing invoices and ensuring that the merchandise was received. If it wasn't, return the copy to Accounts Payable noting that the merchandise was not received. Account Payable will credit the invoice against the next payment to the vendor.

   Receiving services/rentals

5. Prepare a receiving report using the delivery ticket or a copy of the PO and return to Receiving within three working days when rentals are received or when services have been provided.

   Preparing a Receiving Report

6. After inspection of the merchandise, which includes but is not limited to ensuring that all merchandise ordered was delivered and is in satisfactory condition, note on the copy of the PO made by you or the delivery ticket sent to you by Receiving what items were received, by whom, and the date received. If you have received a partial shipment, retain a copy of the delivery ticket for future deliveries. Return the PO copy of delivery ticket to Receiving within 3 working days.

   Reporting damaged, defective, incorrect goods or shortages

7. If goods are damaged, defective or incorrect, the department:

   1. Retains the original shipping cartons.

   2. Contacts the vendor and gets an Return Materials Authorization (RMA) number and shipping address.

   3. Adds a notepad (screen 22N) to the Purchase Order answering the following questions.

      NOTE: To add a notepad to a PO, go to screen 22N. Type 0 in the CODE field. Type the PO number in the DOCUMENT field. Press ENTER. Press ENTER until you reach a blank notepad.

      If you don't know the PO number, go to screen 29B. Type the dPR number in the DOCUMENT field. Press ENTER. The PO number will be listed at the bottom of the screen. Press ENTER again and you will advance to screen 29C. 0 is now in the CODE field and the PO number is in the DOCUMENT field. Go to screen 22N to add the notepad.

      If a question doesn't apply, write N/A after the question number. If the PO has been purged, refer to Requesting Shipments.

      Click here to view a completed notepad.

      1) Provide the following information:

      a) The PO line number of the item being returned.
      b) The quantity to be returned.
      c) A brief description (will be used as a cross reference).

      2) Why is the item being returned?

      3) What action is required, for example, return for credit or replacement, repair?

      4) If different from the item ordered (for example, the vendor shipped the wrong item), describe the item to be returned.

      5) If the whole item is not being returned, describe the component part.

      6) What is the A-Tag number?

      7) Who should be contacted, if someone other than the ORDERED BY: name on the Purchase Order (screen 29D)?

      8) Do you want Central Receiving to pick up the item?

      a) If yes, where? and What is the FRS account number for shipping charges?
      b) If no, what is the shipping number and the carrier name?

      9) How do you want to ship the item (ground, Air-overnight, Air-2nd day delivery, Air-3rd day delivery, "cheapest way")?

      10) Information obtained from the vendor.

      a) What is the RMA number? b) Who authorized the return? c) Where should the return be shipped? Provide a complete shipping address (no PO boxes)?

      11) How many cartons are being returned.

   4. Notifies Receiving:

      	Phone	Fax	e-mail
      Central Receiving	621-9129	621-3196	ATTNCR@ccit.arizona.edu
      AHSC Receiving	626-4051	626-2179	ATTNMR@ccit.arizona.edu

      NOTE: If this is an emergency pickup, please let Receiving know.

   5. Upon notification from the department, Receiving will access the notepad, pick up the item(s) from the department, if necessary, and prepare the appropriate vendor shipping document.
      1. If the item is being returned for credit or a refund, Receiving will fax the vendor's shipping document to Accounts Payable.

      2. If an RMA number is not assigned by the vendor, Receiving will enclose a screen print of the notepad.

      3. If the item is being returned for a refund or credit, Accounts Payable will review the PO and take appropriate action, either processing a credit memo or not paying for the returned item.

   Requesting Shipment

8. If an item needs to be shipped and the PO has been purged from the system or if the item is not related to a PO, send a memo to Central Receiving, answering the above questions. If there will be a cost to the University, prepare a dPR and add a notepad to answer the above questions.

maintained by: Betsy Van Valkenburg
last reviewed: 6/30/04