Procure-to-Pay (P2P)

Purchasing Process

University faculty and staff are required to conduct all purchase transactions using one of the University's two authorized buying methods listed below and in accordance with all University Procurement and Disbursement Financial Policies. At no time should a supplier accept a University purchase requirement without receipt of an official University of Pennsylvania purchase order number (a seven digit numeric order number) or a MasterCard purchasing credit card number.

Shipment of products to the University, or services performed by a supplier without prior receipt of a University of Pennsylvania purchase order number or purchasing credit card number will be considered a gift to the University without any additional obligation on part of the University. At no time is the supplier authorized to ship product to or perform service at a location other than what is stated on the official University purchase order or requested at the point-of-sale by the authorized purchasing card cardholder.

The University of Pennsylvania will authorize a supplier to change an original purchase order via a formal University purchase order change order or cancellation notification. No change to an original University purchase order shall be initiated by the supplier without receipt of written approval of the University of Pennsylvania Purchasing Services department. On rare occasions and for good cause, the University, by written notice stating the extent and effective date, may terminate a purchase order in whole or in part for the seller's default if the seller refuses to comply with the provisions of a purchase order or fails to make progress so as to endanger performance and does not cure such failure within a reasonable period of time; or when deemed to be in the best interest of the University of Pennsylvania.

Suppliers may provide demonstrator or loaner equipment for the purpose of evaluation and/or examination by a University department. This is done entirely at the option of the supplier, with no commitment to the University of Pennsylvania. An official no-charge University of Pennsylvania purchase order is to be issued by the evaluating department to document the evaluation process and loaner equipment to be delivered to or installed on campus.

Substitutions of items specified in a University purchase order by the supplier are not permitted without prior written approval from Purchasing Services.

Purchasing Services is authorized to sign all supplier contracts/agreements for products and services to be provided by a supplier. University of Pennsylvania faculty and staff are not permitted to sign a supplier document (contract and/or agreement). All formal documents must be presented to Purchasing Services, prior to the acceptance of a formal University of Pennsylvania purchase order, for review and approval by an authorized purchasing representative in Purchasing Services.

University of Pennsylvania purchase order, for review and approval by an authorized purchasing representative in Purchasing Services.

• P2P Supplier Reference Guide

BEN Buys and the Penn Marketplace

The University utilizes a campus-wide electronic purchasing system (Ben Buys) and internet-based private marketplace (Penn Marketplace) where suppliers and customers at Penn share product information and conduct business. The Penn Marketplace is an online private supplier marketplace where Penn faculty and staff come to buy products and services. By having your products in the Penn Marketplace, your customers at Penn use the correct information to order, and your invoice matches up with the purchase order. The results are a streamlined automated purchase-to-pay process that eliminates cumbersome paperwork and administrative effort, saves time and resources, and accelerates payment.

• Purchase Order Process
• How to Join the Penn Marketplace

Penn Marketplace participating suppliers and manufacturers can showcase their corporate news, products and services, and Penn specific promotions to all BEN Buys purchasing system users via the Supplier Showcase, which is just one click away from the BEN Buys Requisition Homepage. The Supplier Showcase is a significant competitive advantage to those suppliers and manufacturers that choose to participate in this innovative marketing initiative.

• How to Join the Supplier Showcase

Electronic Data Interchange (EDI)

EDI has proven to be an efficient way of conducting business with our suppliers. This system of exchanging information-purchase orders, invoices, allows us to improve ordering processing time, lower costs, and increase productivity. The Purchasing Services eBusiness team will work with high transaction volume suppliers to review our EDI requirements and facilitate an EDI ramping project.

The Global Exchanges Services (GXS) is Penn's business partner for electronic transmission purchase orders, change orders and supplier invoices. Electronic Data Interchange is the process in which University selected Penn Marketplace suppliers electronically receive University purchase orders to reduce order cycle time and transmit supplier invoice information to Penn thereby reducing the costs associated with the handling and processing of paper purchase order invoices.

• About Electronic Document Transmission

MasterCard Purchasing Card

The Purchasing Card complements the BEN Buys Purchasing System, the University's primary authorized buying method, and enables authorized cardholders to make incidental, low dollar purchases (< $1,000) of non-restricted products and services from non-restricted external suppliers in accordance with University financial policies and any School or Center specific internal procedures.

• Purchasing Card Process

Payment Process

The University's Accounts Payable department is responsible for processing all supplier purchase order invoices for payment within agree upon payment terms. The University's standard payment term is "Net 30 Days" from the date of the invoice. Purchasing Services is the only University organization authorized to negotiate exceptions to the University's standard business terms and conditions. The University's standard payment method is by University check in US dollars, unless otherwise negotiated as part of the BEN Buys Purchasing System supplier registration process.

The University will attempt to take all prompt pay discounts offered by the supplier. Supplier payment is made by means of an official University check in the amount due. University suppliers are to submit purchase order invoices in a timely manner upon shipment of products or authorized services.

In order to ensure timely payment of supplier purchase order invoices, all supplier invoices must be submitted directly to the Accounts Payable department and must contain the following information:

1. A valid authorized University purchase order
2. An invoice number and invoice date
3. A complete line item description of the products or services
4. The quantity delivered
5. A unit price and extension for each purchase order line
6. A prompt pay discount, if offered.

At no time is a supplier authorized to submit a purchase order invoice directly to an individual or the ordering department in violation of the directive referenced above. All supplier invoices must be sent directly to the following address:

University of Pennsylvania
Accounts Payable
Room 440, Franklin Building
3451 Walnut Street
Philadelphia, PA 19104-6281
Phone #: (215) 898-2626

Please note that purchase order invoices submitted directly to an individual or department instead of Penn's Accounts Payable department create payment delays, administrative rework for the buyer and seller, and duplicate payments. Submitting purchase order invoices to a location other than the Accounts Payable department will jeopardize the supplier's future business relationship with Penn.