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Strict Purchase Confirmation

Distributor steps for fixing a purchase blocked by Strict Purchase Confirmation in Encompass due to $0 FOB or deposit cost, or confirming with AP Override. Needs System Setting 3217 on and v25.09+.

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Written by Bailey Naas-Thornton

Minimum Version Required: 25.09

Pre-Conditions

  • The user must be attempting to confirm a Purchase within the Encompass system.

  • System Setting 3217 must be set to True to enable Strict Purchase Confirmation.

  • The Product Type of the affected product must have ProductTypes.TrackInventory set to True.

  • The Product Type of the affected product must have either:

    • ProductTypes.EnforceFOB set to True (for FOB enforcement).

    • Inventory.DefaultDepositCost set to > $0 (for Deposit Cost enforcement).

  • The Purchase Transaction must have a non-zero number of units (NumUnits <> 0).

  • The user must have the AP Override permission assigned to their account to bypass the enforcement block (if necessary).

Steps

  • Identify the Blocked Products and Costs: When the "Confirm Bill" button is clicked and the process is blocked, review the displayed screen. Note which products are listed in red text; these are the transactions with an FOB or Deposit Cost equal to $0.

  • Return to Purchase Edit: Click the "Back to Purchase" button. This action will redirect you to the Purchase Edit screen for the affected Purchase ID, which is necessary to adjust the pricing.

  • Correct the FOB (Unit Price):

    • Locate the product(s) identified in Step 1.

    • Update the Unit Price (which is the FOB) for the transaction to a value greater than $0.

  • Correct the Deposit Cost:

    • Locate the product(s) identified in Step 1.

    • Update the Deposit Cost for the transaction to a value greater than $0. Note: This applies only if Deposit Cost enforcement is blocking confirmation.

  • Re-attempt Purchase Confirmation: Save the changes on the Purchase Edit screen and attempt the Confirm Bill process again.

  • Use AP Override (If Authorized and Necessary): If the issue cannot be immediately resolved, and the user has the AP Override permission, they may choose to bypass the enforcement:

    • Click the "Confirm with AP Override" button on the blocked screen.

    • Note: This action will confirm all Purchases on the Shipment and is logged in the Shipments Field Audit. The $0 costing will need to be remedied later via the End of Day Rollback dashboard or the FIFO Adjustment Tool.

Fields And Definitions

  • FOB (Freight On Board): In this context, it refers to the cost of the product, equivalent to the value stored in PurchaseTransactions.UnitPrice. It must be greater than $0 for enforced products.

  • Strict Purchase Confirmation: A feature enabled by System Setting 3217 = True that adds mandatory checks for non-zero FOB and Deposit Cost during the Purchase Confirmation workflow.

  • ProductTypes.EnforceFOB: A new setting at the Product Type level. When set to True (along with TrackInventory = True), it enforces a non-zero FOB during Purchase Confirmation.

  • Inventory.DefaultDepositCost: The default deposit cost set for a product in the Inventory master record. A value > $0 triggers Deposit Cost enforcement if the product's type is tracked.

  • AP Override Permission: A user-level permission that allows a user to bypass the Strict Purchase Confirmation enforcement block by clicking "Confirm with AP Override," thereby posting a Purchase with a $0 cost.

  • Purchase Confirmation: The workflow of receiving and reconciling a physical shipment with a vendor invoice (bill) and posting the resulting transaction data to the general ledger.

  • Shipments Field Audit: A system log that records when the Confirm with AP Override action is used.

Best Practices

  • Proactive Cost Entry: Always ensure that new purchases of inventoried products include a non-zero Unit Price (FOB) and, if applicable, a non-zero Deposit Costbefore attempting the confirmation workflow.

  • Product Type Management: For Product Types that are intended to Track Inventory but not cost (e.g., contract brewing, tap handles, POS items), explicitly set ProductTypes.EnforceFOB to False to prevent unnecessary blocks.

  • AP Override Restriction: Grant the AP Override permission only to high-level financial users. Use this workflow sparingly, as overriding the enforcement block carries the risk of inaccurate costing and general ledger data.

  • Post-Override Remediation: If the AP Override is used, ensure the inaccurate $0 costing is corrected immediately after the Accounts Payable period is closed using the FIFO Adjustment Tool or the End of Day Rollback dashboard.

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