> For the complete documentation index, see [llms.txt](https://docs.docbits.com/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.docbits.com/administration-and-setup/workflow/cards-overview/po-matching-complete-guide.md). # PO Matching Cards - Complete Guide ## Purchase Order (PO) Matching Cards - Complete Guide **Status:** Covers 15 PO comparison cards with detailed calculations *** The PO comparison cards on this page go in the **And** group of the Workflow Builder — they compare invoice data against the matched purchase order before the Then actions run:
Workflow Builder canvas with When, And and Then card groups

PO comparison cards are added to the And group via Add Card.

*** ### 📌 Version Information **Most Evolved Card:** CONDITION\_DOC\_TO\_PO\_UNIT\_PRICE (5 versions, v5 latest) **Other Complex Cards:** CONDITION\_OC\_TO\_PO\_ITEMS (v4), CONDITION\_LESS\_THAN\_TOLERANCE\_AS\_VALUE\_OF\_ORDERED\_QUANTITY (v4) **Key Patterns:** * **v2 → v3+:** Addition of tolerance parameters for flexible matching * **v3 → v4:** Addition of comparison mode parameters * **v4 → v5:** Enhanced tolerance with multiple units (%, EUR, $, etc.) 📖 [Complete Version History](https://github.com/Fellow-Consulting-AG/docbits/blob/main/readme/administration-and-setup/changelog/release.md#-po-comparison--validation-cards) | [Card Version Database](https://github.com/Fellow-Consulting-AG/docbits/blob/main/readme/DocFlow/docs/card_version.md) *** ### Understanding PO Matching When you receive an invoice, it should match the Purchase Order (PO) placed earlier. PO matching cards automatically check if invoice data matches PO data. **The Big Picture:** ``` PO Placed Invoice Arrives PO Matching Decision (€100) → (€103) → (Check if → Approve/Reject Qty: 100 Qty: 100 within tolerance) ``` *** ## 1. Purchase Order Full Match ### Purpose Checks if the entire invoice matches the PO perfectly or within tolerance ### When to Use * Before approving an invoice * As a preliminary quality check * To identify problems early ### How It Works System compares: * Invoice quantities vs PO quantities * Invoice prices vs PO prices * Invoice items vs PO items * Invoice total vs PO total ### Result * **TRUE** (Full Match): Everything matches, proceed * **FALSE** (Mismatch): Something doesn't match, needs review ### Example ``` PO: - Item ABC: Qty 100, Unit Price €50 = €5000 - Item XYZ: Qty 50, Unit Price €20 = €1000 - Total: €6000 Invoice: - Item ABC: Qty 100, Unit Price €50 = €5000 - Item XYZ: Qty 50, Unit Price €20 = €1000 - Total: €6000 Result: ✅ FULL MATCH ``` *** ## 2. Unit Price Comparison (Document vs PO) ### Purpose Compares the unit price on the invoice with the unit price on the PO ### Parameters * **Unit Price Tolerance**: Allow variance up to this amount * **Tolerance Type**: Percentage (%) or Absolute (€/$) * **Operator**: Is Equal to, Is Greater than, Is Less than, etc. ### How It Works (Percentage Tolerance) **Formula:** ``` Variance % = |(Invoice Price - PO Price)| / PO Price × 100 Check: Is Variance % ≤ Tolerance %? ``` **Step-by-Step Example:** ``` Step 1: Get prices PO Unit Price: €100.00 Invoice Unit Price: €103.00 Step 2: Calculate difference Difference = |€103.00 - €100.00| = €3.00 Step 3: Calculate percentage Percentage = (€3.00 / €100.00) × 100 = 3% Step 4: Check tolerance (5% allowed) Is 3% ≤ 5%? YES ✅ Result: PASS - Within tolerance ``` ### Real-World Examples #### Example 1: Small Increase (Accepted) ``` PO Price: €50.00 Invoice Price: €51.50 Tolerance: ±3% Calculation: Variance = |(€51.50 - €50.00)| / €50.00 × 100 Variance = €1.50 / €50.00 × 100 = 3% Is 3% ≤ 3%? YES ✅ ACCEPT ``` #### Example 2: Large Increase (Rejected) ``` PO Price: €50.00 Invoice Price: €55.00 Tolerance: ±3% Calculation: Variance = |(€55.00 - €50.00)| / €50.00 × 100 Variance = €5.00 / €50.00 × 100 = 10% Is 10% ≤ 3%? NO ❌ REJECT - NEEDS REVIEW ``` #### Example 3: Discount (Also Checked) ``` PO Price: €100.00 Invoice Price: €97.00 Tolerance: ±5% Calculation: Variance = |(€97.00 - €100.00)| / €100.00 × 100 Variance = €3.00 / €100.00 × 100 = 3% Is 3% ≤ 5%? YES ✅ ACCEPT (Discount is within tolerance) ``` #### Example 4: Absolute Value Tolerance ``` PO Price: €10.00 Invoice Price: €10.50 Tolerance: ±€1.00 (absolute, not %) Calculation: Variance = |€10.50 - €10.00| = €0.50 Is €0.50 ≤ €1.00? YES ✅ ACCEPT ``` ### What to Do With Results **If PASS ✅:** * Continue to next check * Or approve invoice * Or proceed with export **If FAIL ❌:** * Flag for manual review * Ask supplier for explanation * Contact procurement team * Approve with note if acceptable *** ## 3. Quantity Comparison ### Purpose Checks if the quantity ordered matches the quantity invoiced ### Parameters * **Tolerance**: Amount or % allowed to differ * **Operator**: Equals, Greater than, Less than * **Quantity Type**: Ordered, Received, Open ### Calculation Example **Percentage Tolerance:** ``` Formula: Quantity Variance % = |(Invoice Qty - PO Qty)| / PO Qty × 100 Example: PO Quantity: 100 units Invoice Quantity: 103 units Tolerance: ±5% Variance = |(103 - 100)| / 100 × 100 Variance = 3 / 100 × 100 = 3% Is 3% ≤ 5%? YES ✅ ACCEPT ``` **Absolute Tolerance:** ``` Formula: Quantity Variance = |Invoice Qty - PO Qty| Example: PO Quantity: 100 units Invoice Quantity: 102 units Tolerance: ±5 units Variance = |102 - 100| = 2 units Is 2 units ≤ 5 units? YES ✅ ACCEPT ``` ### Real-World Scenarios #### Over-Delivery (More than Ordered) ``` Ordered: 100 units Invoiced: 110 units Tolerance: ±5% Variance = |(110-100)|/100 × 100 = 10% Is 10% ≤ 5%? NO ❌ Decision: Contact supplier - more delivered than ordered Possible reason: Error by supplier, partial shipment already received ``` #### Under-Delivery (Less than Ordered) ``` Ordered: 100 units Invoiced: 95 units Tolerance: ±5% Variance = |(95-100)|/100 × 100 = 5% Is 5% ≤ 5%? YES ✅ Decision: Accept - within tolerance Possible reason: Partial shipment, rest to follow ``` *** ## 4. Combined Price of Quantity Difference ### Purpose When quantity differs, calculates if the total price difference is acceptable ### Why This Matters ``` Scenario: You ordered 100 units but received 110 - Quantity is 10% over (bad) - BUT: You're only charged for 10% extra - Combined effect might be acceptable ``` ### Calculation **Formula:** ``` Combined Variance = Quantity Variance × Price Variance If both are within tolerance, combined is usually acceptable ``` **Example:** ``` PO: - Unit Price: €100 - Quantity: 100 - Total: €10,000 Invoice: - Unit Price: €102 (2% higher) - Quantity: 105 (5% higher) - Total: €10,710 Analysis: - Price variance: 2% ✅ - Quantity variance: 5% ✅ - Combined effect: 1.02 × 1.05 = 1.071 = 7.1% total increase Is combined variance acceptable? Usually YES ✅ ``` *** ## 5. Item ID / Supplier Item Number Comparison ### Purpose Checks if the items in the invoice match the items in the PO ### How It Works **Exact Match (Simplest):** ``` PO Item ID: ABC-123 Invoice Item ID: ABC-123 Result: ✅ MATCH ``` **Supplier Item Number (More Common):** ``` PO Item: ABC-123 (Our internal code) Supplier Item: SUPP-456 (Their code for same item) System matches these as same item Result: ✅ MATCH ``` ### Scenario: What If It Doesn't Match? ``` PO Item: ABC-123 (Copper Wire, 2mm) Invoice Item: ABC-124 (Steel Wire, 2mm) Result: ❌ NO MATCH Actions: 1. Is this a substitution? Check with procurement 2. Is this an error? Contact supplier 3. Is the description similar? Verify manually ``` *** ## 6. Order Type Verification ### Purpose Verifies the purchase order type is correct ### Order Types * **Standard Order**: Regular purchase * **Rush Order**: Urgent, may have premium * **Frame Agreement**: Long-term contract * **Blanket Order**: Open-ended contract * **Consignment**: You don't pay until used ### Check Example ``` PO Order Type: Standard Order Invoice Order Type: Standard Order Result: ✅ MATCH If mismatch: Could affect terms, payment, pricing ``` *** ## 7. Delivery Date Verification ### Purpose Checks if delivery date matches the promised date on the PO ### Calculation **Late Delivery:** ``` Formula: Days Late = Invoice Delivery Date - PO Promised Date Example: PO Promised: 2025-10-15 Actual Delivery: 2025-10-22 Days Late = 7 days If tolerance is ±3 days: Is 7 ≤ 3? NO ❌ LATE ``` **Early Delivery:** ``` Formula: Days Early = PO Promised Date - Invoice Delivery Date Example: PO Promised: 2025-10-15 Actual Delivery: 2025-10-10 Days Early = 5 days Early delivery is usually OK ✅ Unless you need it at specific time ``` ### Tolerance Settings ``` ±3 days: Allow 3 days late or early ±5 days: Allow up to 5 days variance 0 days: Must match exactly ``` *** ## 8. Charge Verification (Taxes, Shipping, Etc.) ### Purpose Checks if additional charges (taxes, shipping, handling) match PO ### Common Charges ``` - Shipping: €50 - Handling: €10 - Packaging: €5 - Insurance: €15 - Taxes: €300 ``` ### Calculation **Example: Shipping Charge Check** ``` PO Shipping: €50.00 Invoice Shipping: €51.00 Tolerance: ±3% Variance = |€51.00 - €50.00| / €50.00 × 100 = 2% Is 2% ≤ 3%? YES ✅ ACCEPT ``` **Example: Multiple Charges** ``` PO Total Charges: - Shipping: €50 - Taxes: €300 - Handling: €10 Total: €360 Invoice Total Charges: - Shipping: €50 - Taxes: €312 (11% tax) - Handling: €10 Total: €372 Difference: €12 Check if within tolerance ✅ or ❌ ``` *** ## 9. Tax Verification ### Purpose Verifies tax amounts are calculated correctly ### Calculation **Formula:** ``` Tax Amount = Subtotal × Tax Rate Example: Subtotal: €1000 Tax Rate: 19% Expected Tax: €1000 × 0.19 = €190 Invoice Tax: €190 Match? YES ✅ ``` **Common Issues:** ``` 1. Tax rate changed (region-based) 2. Tax applied to wrong amount (before/after discounts) 3. Multiple tax rates (some items 7%, others 19%) 4. Tax exempt items (0% tax) ``` **Example: Multi-Rate Taxation** ``` Item A: €100 @ 19% tax = €119 Item B: €100 @ 7% tax = €107 Item C: €100 @ 0% tax = €100 Total: €326 Invoice shows €325 (€1 error) Check: Within tolerance or needs attention? ``` *** ## 10. Facility/Cost Center Matching ### Purpose Ensures the invoice is for the correct facility/cost center ### Example ``` PO is for: - Facility: Berlin Plant - Cost Center: CC-2025 Invoice should have: - Facility: Berlin Plant ✅ - Cost Center: CC-2025 ✅ If different facility: May need different approval ``` *** ## 11. Supplier Status Validation ### Purpose Checks if the supplier is still approved/active ### Status Types ``` ✅ ACTIVE: Approved, can do business ⚠️ ON HOLD: Temporarily blocked ❌ INACTIVE: No longer doing business ⚠️ CONDITIONAL: Only for specific items ``` ### Check Example ``` Supplier: ABC Corp Status in Database: ACTIVE Status when creating PO: ACTIVE Status when invoice arrives: INACTIVE Alert: Supplier status changed! Investigate why. ``` *** ## Which Tolerance Should I Use? ### Strict Tolerances (Lower Risk, More Manual Work) ``` Use for: - High-value items - Items where exactness matters - Regulated industries Settings: - Unit Price: ±1% - Quantity: ±1% - Delivery Date: ±1 day - Charges: ±1% ``` ### Moderate Tolerances (Balanced) ``` Use for: - Most business transactions - Standard items - Normal purchasing Settings: - Unit Price: ±3-5% - Quantity: ±3-5% - Delivery Date: ±3 days - Charges: ±5% ``` ### Loose Tolerances (Higher Risk, Less Manual Work) ``` Use for: - Low-value items - Bulk purchases - Supplier agreements with flexibility Settings: - Unit Price: ±10% - Quantity: ±10% - Delivery Date: ±7 days - Charges: ±10% ``` *** ## PO Matching Workflow Example ``` Invoice Arrives ↓ Condition: "Is amount > €5000?" → YES ↓ Check: Full Match? → NO (10% price difference) ↓ Check: Unit Price within 5%? → NO (12% difference) ↓ Check: Quantity within 5%? → YES (2% difference) ↓ Decision: FAIL - Price variance too high ↓ Flag for: Manual review / Buyer approval ↓ Wait for: Buyer comment ↓ If Approved: Continue to Export If Rejected: Return to Supplier ``` *** ## Troubleshooting PO Matching ### "PO Not Found" ``` Cause: Invoice PO number doesn't exist in system Fix: 1. Verify PO number spelling 2. Check if PO was created 3. Verify PO is in correct organization 4. Ask supplier for PO reference ``` ### "Items Don't Match" ``` Cause: Invoice items are different from PO items Possible Reasons: 1. Substitution approved by procurement 2. Different item numbers for same item 3. Error by supplier Fix: Contact procurement or supplier ``` ### "Price Higher Than PO" ``` Cause: Invoice price > PO price Possible Reasons: 1. Price increase approved 2. Supplier error 3. Currency difference 4. Additional services included Fix: Verify with procurement ``` ### "Delivery Date Wrong" ``` Cause: Invoice dated after promised delivery Possible Reasons: 1. Shipment was delayed 2. Receiving date different from invoice date 3. Partial shipment Fix: Check shipping documents or contact supplier ``` *** ## Summary Table | Card | What It Checks | Main Calculation | Common Tolerance | | -------------- | --------------------- | -------------------- | ---------------- | | Full Match | Everything | All checks | Varies | | Unit Price | Price per unit | % or € difference | ±3-5% | | Quantity | Amount ordered | % or unit difference | ±3-5% | | Combined Price | Total with qty change | Qty × Price | ±5-10% | | Item ID | Right items | String match | Exact | | Order Type | Type of purchase | String match | Exact | | Delivery Date | When arrived | Day difference | ±3 days | | Charges | Extra fees | % or € difference | ±5% | | Tax | Tax amount | Tax % calculation | ±1% | | Facility | Cost center | String match | Exact | | Supplier | Approved? | Status check | Active only | *** ## Related Documentation * See "Invoice Validation" guide for complete workflow * See "Tolerance Settings" for recommended values by industry * See "Exception Handling" for what to do with failures * Contact your procurement team for specific tolerance policies --- # Agent Instructions This documentation is published with GitBook. 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