Processing Invoices Against Contracts With Insufficient Funds

Brandon Miyashiro

We are a healthcare organization that has recently completed the migration to FSM. In our legacy Lawson system, when when an invoice came in for a contract with insufficient funds, the invoice could be submitted and processed automatically once funds were added to a contract. In FSM, we do not have the ability to do so.

We have setup contract threshold notifications in FSM that notify the contact associated with a contract has used up 80% of its available funds. This notification instructs the contact to increase the amount on the contract line. Compliance with this notification has been problematic and it is difficult for our Payables users to know when a contract has been updated and invoices against it can be processed.

If you've run into a similar situation, how have you dealt with this issue?

ssnettles

Hi Brandon - my name is Sherri Nettles, and I am a Principal Financials Consultant with RPI Consultants. Typically, the AP Processor would enter the invoice, or it would be brought in via an AP Automation solution. This invoice would sit in 'Unsubmitted' until the necessary funds are added to the corresponding contract line. As soon as the Buyer adds money to the Contract line, they would need to e-mail or message AP so they know to re-attempt the invoice match. If you are running Automatch on a daily basis, this job would pick up and match the invoice once the contract funds are there.