In the post we will see the new vendor collaboration framework works & Set up and maintain vendor collaboration designed in the new Microsoft dynamics 365 Finance and operations. Before you start with vendor collaboration or vendor portal below are the ore-requisites or things need to be considered.
Establish Connectivity Based on the deployment type of the new D365FO, First thing how the connectivity is established between system and External Vendor should be well established without any conflicts in latter stage. The infra team has to run some trail simulation with different network scenarios keeping security aspects as key concerns which is one off the major concerns of stakeholders before the solution is out and bought to make use of the most. However system has already pre-defined roles which sticks to the access granted.
Potential Vendor Collaboration It is recommended, to establish Vendor Collaboration with External Vendor who is potential in terms of business and frequent business decision makes who add value to your organization, Rather than facilitate access to vendors who can effort and then end up commination issues would be a major issue in terms of line of business.
Setting up Contact for External Vendor Contacts are the key link between vendor and organization who communicates on behalf of vendor. The same business approach is also followed in the new D365FO. Contact plays a key role which is set on vendor roles also facilitates access to vendor portal and maintain contact to specific vendor.
Contact Request & Workflow To maintain the contact request, D365FO is supported with workflow, Where Vendor can request new contact request and these request would be approved in system. These contact creation and roles assignment is very important in terms of access. Below link helps to Setup & Maintain contact creation.
Assuming above User creation & user setup is performed to further provision the vendor collaboration.
Before creating PO, Ensure the Vendor master is link with Contact and the option for vendor collaboration is activated. Also below parameter should be enabled.
Create PO, Navigate to below highlighted path and menu to send request for confirmation from vendor. Once the PO is sent for confirmation the PO Approval status should be In external review.
Once Send for confirmation process is done, Navigate to Vendor Collaboration module to check open requests and take appropriate actions. In the standard box three features are facilitated as below. a.Accept- Where external vendor can accept, So that PO can confirm b.Reject- Reject to decline the PO request. c.Suggest changes – To request changes on key terms like Delivery date, Quantity and pre notes or attachments which may be key considerations from vendor business aspects.
Once vendor performs necessary changes on the sent request D365FO will enable options as highlighted below, to check the response changes, any changes of new line details can also be update to PO directly from Process PO update option on the response form from vendor.
Process PO update option is enabled on when there are changes suggested on the PO, with new line of delivery schedules. This will help update the PO with recent changes.
Apart from PO Confirmation & Consignment details features, with the new D365FO vendor can also process Invoice request through Vendor portal. From vendor collaboration vendor can find Invoice workspace where we can find all history or paid, Un-paid and draft invoices created with vendor specific information. From the workspace vendor can create an Invoice and save. This will be reflected in pending vendor information under Accounts payable module for further process.
Accounts payables now can directly verify the documents attached and post the Invoice. Vendor collaboration is a great functionality which can reduce cost from number of aspects if implemented in a right approach. Lot of business value would be added via reducing communication issues & documents miss matching and time where Accounts payable spends to process Invoice would be much faster with this feature.