Purchase to Pay (P2P)
What is P2P?
P2P is our process for internally requisitioning goods and services, issuing orders and contracts to our suppliers, managing service contracts, and paying invoices through our internal Finance and Procurement system, SAP. It provides us with a clearly defined process to avoid invoice queries and mismatches with orders and contracts
Requirements
A purchase order or contract must be in place for the specific supply of goods or services that we are procuring. This purchase order will contain the specific scope and price that will be the basis of any invoice. Any amendments to the scope or price on the order will require the issue of an amendment before an invoice can be raised.
Service Entries
In the case of supply over a longer term (usually more than a month) or where payment terms include periodic, milestone or interim payments we use Service Entries. These are how we monitor accurately expenditure on a real-time basis, and they also facilitate the payment process. The Service Entry is carried out by the contract manager who is identified in the order.
A Service Entry is an agreed valuation of supply received or work done. After inputting Service Entries into SAP we notify suppliers of the Service Entry number, the agreed valuation of the work done and when payment is due. This enables suppliers to submit accurate invoices and to get paid on time
Getting Paid
Magnox North recognise on time payment is one of our biggest responsibilities to suppliers and is committed to prompt payment of supplier invoices. To ensure prompt payment of invoices suppliers need to comply fully with the following instructions:
- Always ensure that you are in receipt of a valid order before starting work or providing a service. Do not accept spoken instructions from any Magnox North representative and do not undertake any work or provide any services in addition to those detailed on the order. If you are asked to commence work without a valid order containing the agreed scope and price you are at risk of not getting paid or undue delays occurring in payments.
- The details in the Order must be correct and in accordance with the services that you are providing. Any discrepancies should be resolved with Magnox North’s procurement contact (whose details will be contained within the Order) before you start work or provide a service.
- FOR SERVICES: To facilitate payment your invoice MUST quote the Order Number AND Service Entry Number. A Service Entry Number can be obtained from the Magnox North Contract Manager, Contract Administrator or Technical Officer (contact details are contained within the order) once the Service (or part thereof) has been completed. The value of your invoice should correspond with the value of the Service Entry agreed with the Magnox North Contract manager or Technical Officer
- FOR GOODS: Ensure that all goods are delivered directly to the goods inward stores location stated on the Order. Failure to do so will delay the receipt of goods and the payment of your invoice. If a third party courier (including Royal Mail) delivers goods on your behalf, please ensure that these instructions are passed on, and adhered to.
- All Invoices and Credit Notes must be sent directly to Westlakes Accounts Centre (Invoice to address shown on the order). Invoices should not include any charges that are not supported by the corresponding Magnox North Order. Invoices must not be submitted to Sites, the contract manager or the procurement contract
- All correspondence, including Order Acknowledgements, Invoices and Credit Notes must clearly state the Order Number, the exact value and description of the services and a Service Entry Number (where applicable).
Any queries or problems you have with payment, either speak to the procurement contact named on your order or the Westlakes Shared Service Centre, Magnox External Payments Helpdesk on: 019467 80688, or via email at: magnoxnorth.helpdesk@sellafieldsites.com
