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Operations Revised June 5, 2010





Purchasing Guidelines

Every employee has an obligation to the company to use money wisely when purchasing for the property.

The following guidelines have been established to help you in this ongoing effort.





Berkshire uses a system called Ops Technology to pay invoices. Purchase orders, known as

WTNs (Workflow Tracking Number) in the OPS system, are entered in the system prior to

making purchases to ensure the expense is budgeted or to request approval prior to

purchasing. Invoices are sent to a processing center to be entered.



 Detailed procedures for operating the Ops Technology system are found in the Training Guide that will be distributed

during the training class.



 It is the Property Managers responsibility to ensure all expenditures are processed in the Ops Technology System at

the property level. In the Regional, Divisional, National and Redevelopment offices, it is the designated individual’s

responsibility to ensure all expenditures are processed in the Ops Technology System.



 There are two types of purchases made through Ops Technology: online purchases and offline purchases.



 Online Purchases – these purchases are made through an online catalog (like amazon.com). The WTN is

electronically sent to the vendor (supplier). Invoices are electronically sent to the Ops Technology Processing

Center.



 Offline Purchases – these purchases are made by creating a purchase order /WTN. These vendors do not

have an online catalog. Purchase orders/WTNs are faxed, called in, or emailed in to the vendor. After you

are confident the vendor always enters the WTN # (P.O. #) on all invoices, you can send the vendor a letter

(Ops Sample Letter to Vendor in the Standard Forms Section of the Berkshire Website) and notify them to

send all future invoices directly to the Processing Center. Only give the P.O. Box address below to vendors.

The Berkshire address is only for our internal use.



For Berkshire Fed Ex For Vendor s



Realpage/OpsTechnology Realpage/Ops Technology

Berkshire/Property Name Berkshire/Property Name

4000 International Parkway P.O. Box 113180

Suite 3000 Carrolton, TX. 75011

Carrollton, TX. 75007

Phone # 972-820-3854



Note: you can scan and email your invoices to Realpage/Ops Technology at

berkshireinvoices@opstechnology.com (see details on page 6).



 As expenditures are required, the Property Manager, Assistant Manager, Maintenance Supervisor or designated

office employee is to enter a purchase order/WTN into the system and check the appropriate G/L Group. The system

will check to see if an approval is required and will generate an email to the approver.





Berkshire Property Advisors Page 1 of 14

Operations Revised June 5, 2010



 Only the Property Manager has the authority to approve purchases at the site level. It is the Property Manager’s

responsibility to stay within budget or seek approvals for unbudgeted or over budget expenses before purchases are

made.





Vendor Guidelines

 You can only use vendors in the Ops Technology system. To use another vendor, you must get proper approval prior

to placing an order with them. See policy on “Requesting a New Vendor” in the Operations section of the Berkshire

Website.



Do not place an order with a vendor until they are available in Ops Technology. Once they are

available in Ops this means the vendor has been approved and you may now place an order with them.



 If you wish to add a vendor that is currently being used at a sister property, send an email to support@bpadv.com

requesting that the vendor be added to your property. In the body of the email give AP the Vendor’s Name, Vendor

number (get from sister site) and the Remit-To address. Also make note as to what sister site is currently using this

vendor.



 In the case where a vendor was originally in OneSite Purchasing and is not available in Ops, you will need to email

support@bpadv.com requesting the vendor to be enabled in Ops.



 In all other cases, you must complete the Request for a New Vendor Form.



 NOTE: if you do not use the correct vendor with the correct remit to address, the Processing Center will not be able to

link the invoice to the WTN. If you do select the wrong vendor, send an email to Berkshire support.







Approval Limits

The Ops Technology System will always verify expenditures against the budget and also verify the amount of the expenditure.

If the expenditure is over budget for the month (MTD) in a specific G/L Group (i.e. Painting & Decorating) or if the expenditure

if over the specified spending limit of $1,000, the expenditure must be approved before purchasing the item. Redevelopment

purchases are verified against year to date (YTD) budget.



Berkshire sets authorization limits by position. These approval limits are setup in Ops Technology. The system will generate

an over budget and over spending limit approval email to the appropriate individual.



IMPORTANT NOTE: Property Managers do not have the authority to assign someone else to process invoices in his or her

absence. The District Manager would make a decision on who processes invoices if a Property Manager is going to be out any

length of time….and then contact Support@bpadv.com for this to be temporarily set up.









Berkshire Property Advisors Page 2 of 14

Operations Revised June 5, 2010



Property Operations Approval Limits:

Assistant Manager  Can enter WTNs, but has no approval authorization. All WTNs must be

approved by the Property Manager.

Maintenance Supervisor



Regional Administrative Assistant  Can enter WTNs without approval as long as the expenditure is in budget for

the month and the WTN/invoice is less than $1,000.



Property Manager  Can approve any expenditure as long as the WTN is in budget for the month

in a specific G/L Group for Operating, Property Capital and Non-Recurring

Accounts.



 Can approve any expenditure up to $1,000







Note: either one of these scenarios will require an approval. For example, if you are

in budget for the month, but the order is over $1,000, an approval will be required

or an order for $10 that is over budget for the month in a G/L Group will require an

approval.



Sr. Property Manager (only applies  Can approve expenditures up to $1,000 over budget for the month in a

to SPM’s that supervise other specific G/L Group for Operating, Property Capital and Non-Recurring

properties) Accounts.



 Can approve any expenditure up to $1,000



Maintenance Coordinator  Can approve expenditures up to $3,000 over budget for the month in a

specific G/L Group for Operating, Property Capital and Non-Recurring

Accounts.



District Manager  Can approve expenditures up to $15,000 over budget for the month in a

specific G/L Group for Operating, Property Capital and Non-Recurring

Accounts.



Regional Manager  Can approve expenditures up to $22,000 over budget for the month in a

specific G/L Group for Operating, Property Capital and Non-Recurring

Accounts.



Regional Vice President and  Can approve expenditures up to $32,000 over budget for the month in a

Assistant Vice President specific G/L Group for Operating, Property Capital and Non-Recurring

Accounts.



Divisional Vice President  Can approve expenditures up to $57,000 over budget for the month in a

specific G/L Group for Operating, Property Capital and Non-Recurring

Accounts.



Chief Operating Officer  Can approve all expenditures over budget regardless of the amount including

insurance premiums, real estate taxes and SIR payments.







Berkshire Property Advisors Page 3 of 14

Operations Revised June 5, 2010



Redevelopment Approval Limits: (for 131800 and 131900 Accounts only)

The Redevelopment Coordinators and Project Managers, in VP of Redevelopment approved circumstances, are the only

individuals that enter WTNs for redevelopment. Below is the workflow for approvals.



Redevelopment Coordinator  Can enter WTNs, but has no approval authorization.



 All Purchases will require approval.



Sr. Construction Manager and  Can approve expenditures of $49,999 per WTN regardless of the monthly

Construction Manager (MTD) budget variance.



 They cannot approve items over budget year-to-day (YTD) in a G/L Account.



Regional Manager/AVP/RVP  Can approve expenditures of $50,000 per WTN regardless of the monthly

(MTD) budget variance.



 They cannot approve items over budget year-to-day (YTD) in a G/L Account.



Divisional Vice President  Can approve expenditures of $50,001 per WTN regardless of the monthly

(MTD) budget variance.



 They cannot approve items over budget year-to-day (YTD) in a G/L Account.



VP of Redevelopment  Can approve expenditures of $500,000 per WTN regardless of the monthly

(MTD) budget variance.



 Can approve items over budget up to $100,000 year-to-day (YTD) in a G/L

Account.



Chief Operating Officer  Can approve all expenditures over budget regardless of the amount.









If a Property Level Employee (Property Manager, Assistant Manager or Maintenance Supervisor) uses

a 131800 or 131900 account, notification will be sent to the Sr. Construction Manager. After reviewing

the order, the Sr. Construction Manager will either have the order rejected or allow the order to be

placed.







ANY PURCHASE OVER $5,000 REQUIRES A CONTRACT (SEE BELOW INDIVIDUALS THAT ARE REQUIRED TO SIGN THE

CONTRACT). THIS INCLUDES ITEMS CODED TO ALL CAPITAL ACCOUNTS AND SERVICE CONTRACTS SUCH AS LANDSCAPING.



SEE CONTRACT MANAGEMENT IN THE OPERATIONS SECTION OF THE BERKSHIRE WEBSITE FOR MORE DETAILED

INFORMATION.









Berkshire Property Advisors Page 4 of 14

Operations Revised June 5, 2010



Property Operations Contracts – includes any contract that will not be coded to 131800 or 131900. Below is the workflow.





Regional Regional VP Divisional VP COO

Manager/AVP



•Can sign •Can sign •Can sign •Can sign any

contracts up to contracts up to contracts up to and all

$75,000 $100,000 $500,000 contracts





Redevelopment Contracts – includes any contract that will be coded to 131800 or 131900. Below is the workflow.







Sr. Construction VP of Divisional VP COO

Manager Redevelopment



•Can sign •Will initial and •Can sign •Can sign any

contracts up to approve contracts up to and all

$49,999 contracts over $500,000 contracts

$50,000









Approval Process

After submitting a purchase order, the system will check for “workflow approval”.







 If the WTN does not require an approval:



 Online Orders – these WTNs will be sent to the vendor requesting the goods/services.



 These WTNs will show on the Ops Technology Dashboard in the Open Orders, Pending Orders

(Online/Offline) section for only 10 minutes. Ops will transmit pending orders every 10 minutes.



 After the WTN is sent to the vendor these WTN’s will show on the Ops Technology Dashboard in the

Open Orders, Sent to Vendor (Online) section.



 Offline Orders – Contact the vendor to place the order. Make sure the vendor notes the WTN # on the

invoice.



 These WTNs will show on the Ops Technology Dashboard in the Open Orders, Pending Orders

(Online/Offline) section.









The WTN # number MUST show on the invoice so the Processing Center can

link the invoice to the WTN.





Berkshire Property Advisors Page 5 of 14

Operations Revised June 5, 2010



 If the WTN requires an approval beyond the person that entered the WTN, an email will be generated to the

appropriate approver.



 Online or Offline Orders: WTNs that are waiting approval will appear on the Dashboard in the Open Orders,

Pending Workflow Approval (Online/Offline) section.



 Once the appropriate approver has approved the expense, the person who entered the order will receive an

email to notify them and the WTN will move to:



 Online Orders – will be sent to the vendor requesting the goods/services.



 These WTN’s will show on the Ops Technology Dashboard in the Open Orders, Pending

Orders (Online/Offline) section for only 10 minutes. Ops will transmit pending orders every

10 minutes.



 After the WTN is sent to the vendor these WTN’s will show on the Ops Technology

Dashboard in the Open Orders, Sent to Vendor (Online) section.



 Offline Orders - These WTNs will show on the Ops Technology Dashboard in the Open Orders,

Pending Orders (Online/Offline) section.









APPROVERS: IF YOU ARE REQUIRED TO APPROVE A PURCHASE, YOU WILL RECEIVE AN EMAIL. YOU CAN APPROVE THE EXPENSE

DIRECTLY FROM THE EMAIL, BY CLICKING “APPROVE” OR LOG INTO OPS TECHNOLOGY TO APPROVE. IT IS RECOMMENDED YOU

APPROVE WITHIN THE OPS TECHNOLOGY SYSTEM SO YOU CAN REVIEW MORE DETAILED INFORMATION. .









IN THE “APPROVALS” SECTION OF THE DASHBOARD, CLICK THE LINK UNDER “ITEMS” TO SEE WTNS OR INVOICES THAT

REQUIRE YOUR APPROVAL. REVIEW THE ORDER, THEN CLICK “APPROVE” OR “REJECT”.







If an approval is not received within 24 hours (48 hours for DM

levels and above), an approval will be escalated to the next

person in the chain of command requesting an approval. For

more information on approvals, refer to the Ops Training Guide.









Berkshire Property Advisors Page 6 of 14

Operations Revised June 5, 2010



Invoice Processing

When the property receives an invoice at the office, those invoices should be sent to the Realpage Processing Center. If the

WTN # is not on the invoice, write it on the invoice prior to sending to the processing center. Notify the vendor that WTN #’s

are required by Berkshire to be on ALL invoices.



Realpage/OpsTechnology

Berkshire/Property Name

4000 International Parkway

Suite 3000

Carrollton, TX. 75007

Phone # 972-820-3854







A property may e-mail an invoice(s), whether it is a scanned copy or an e-mail invoice from the vendor. OPS will only allow 1

invoice scanned per attachment but you can send as many attachments as you would like on one email. While this may be

time-consuming for multiple invoices, the benefit to use this method would be twofold: the FedEx cost savings and reduced

time delay from shipping invoices.



This invoice also needs to be clearly marked with your property name and the WTN needs to be written on the bill so they can

link it properly.







berkshireinvoices@opstechnology.com





Vendors should be instructed to send invoices to the following address, AFTER you are comfortable that the vendor is entering

the WTN # on ALL invoices.



Realpage/Ops Technology



Berkshire/Property Name



P.O. Box 113180



Carrolton, TX. 75011









It is VERY IMPORTANT that vendors put WTN # on all invoices sent to the Processing Center. The WTN #

is what the Processing Center uses to link the invoice to the WTN.

Maintain a separate file for each vendor to file W-9’s, insurance liability, contracts and other pertinent backup. Alphabetize

by vendor name with contents in chronological order.









Berkshire Property Advisors Page 7 of 14

Operations Revised June 5, 2010



Helpful Tips:



 Do not send paper invoices from online vendors. If you receive a paper invoice from an online vendor, contact that

vendor and tell them to send it electronically.



 Do not send Final Account Statements (FAS’s), Petty Cash, Check Requests, or Employee Expenses to the Processing

Center. These should be sent directly to A/P.



 Do not send utility, phone and vacant utility bills to the Processing Center. These should be sent directly to Betsy

Gomez in Boston.







NOTE: Do NOT process utility bills, commissions, renewals or bonuses through Ops Technology.

SEE UTILITY SECTION OR COMMISSIONS LEASING AND RENEWAL on the Berkshire Website.



 Do not highlight the WTN # that on the invoice whether it is printed or handwritten. Scanning will black out the

number so you cannot read it.



 Do not send the same invoice to the Processing Center twice.



 The Ops Processing Center only enters “current balance due”. If there is a past due balance, contact the vendor to

send you the past due invoice and process it immediately.



 When processing invoices, make sure you select the correct vendor and remit to address. (See Vendor Guidelines

above).



 When paying business and other license fees enter the WTN and select the correct vendor. Print the WTN (in a PDF

format). Attach a copy of the completed application and the printed order to a Check Request Form stating to send

the check back to the property. Send these 3 documents to A/P – DO NOT SEND to the Processing Center. Once the

check is received at the property, send the original application and check to the vendor.



 Insurance Related Claims – use G/L account 527425 when processing any invoice that has a loss code number

assigned to it. Refer to the “Insurance Incident Reporting & Procedures” policy in the Insurance Section of the

Website.



 For Regional/Divisional/National – When processing an invoice in the regional database that is allocated 100% to a

property, write the property name on the invoice prior to sending it to the Processing Center.



 Multi Site Properties and Multi Site Allocations



 There is the capability in Ops Technology to allocate an invoice to multiple cost centers.



 If the vendor’s invoice would show separate lines for each phase this would help items to not be sent to the

exception queue. For example – a landscaping invoice should have one line item for Walden Pond with an

amount and another line item for The Gables with an amount.



 To avoid slowing down the ROG process, ask vendors to change the property name to include both phases of

the property (for example Walden Pond and The Gables versus just Walden Pond).







Berkshire Property Advisors Page 8 of 14

Operations Revised June 5, 2010



 You will be able to allocate invoices based on the number of units at each property or by percentage. Refer

to the Ops Training Guide for detailed instructions.



 During the ROG process if the allocation between multiple sites is not reflected, you will need to click the

split option so you will then have separate line items and code to each property.



 For orders that 100% of the invoice will be coded to one property, enter the order in that properties

database.



 For invoices split between properties, it does not matter which properties database you enter the order.



 Note: It should not take more than 15 business days to process an invoice, starting from the point you order

the goods/services to the point your ROG approve the invoice.



 REMEMBER, the WTN will reside in the properties database that it was entered.







Reasons why an invoice may end up in the exception queue…….which will require correction and delay

payment of the invoice.

 Illegible invoice, description or invoice number – Contact Vendor for new invoice. (if you cannot read the invoice

request a new invoice before sending to OPS Processing Center)



 Missing description, invoice number or invoice date - Clarify description and invoice information before sending to

OPS Processing Center.



 Unpaid Previous Balance or credit balance – A/P will research. May include contacting the Property Manager,

Vendor or National Purchasing Manager



 Statement – Processing center to scan and send to exception queue. A/P needs to research. May include contacting

the Property Manager, Vendor or National Purchasing Manager.



• STATEMENTS SHOULD NOT BE USED AS AN INVOICE.



 Supplier Remit Address does not match – A/P will research vendor in PeopleSoft with that remit to address.



• If “remit to address” has changed a new vendor would be set up by AP. Once the new vendor is

downloaded into Ops, a new WTN will need to be created using the NEW Vendor and linked to the

invoice before ROG approval. Void the original order.









AP will either email you or add notes in the “Supplier Notes” box at the bottom right of the invoice

regarding what needs to be done to correct the invoice or order. In most cases, AP uses this section to

send you notes on what they have done to resolve the issue.









Berkshire Property Advisors Page 9 of 14

Operations Revised June 5, 2010



ROG Process

The ROG process is the confirmation that the goods/services have been received and the invoice is approved for payment.

ROG approval will need to be completed for each invoice once the processing center links an invoice to a WTN. Note: scanned

images of invoices are for Off-line Purchases only. On-line invoices are sent electronically therefore no scanned invoice image

will be available. Managers should review their Ops dashboard daily for any invoices pending ROG approval. If an invoice is

on your dashboard for more than 5 business days, it is considered late and the processing of a supplier’s payment will be

delayed.



IMPORTANT





CHECK FOR INVOICES PENDING RECEIPT OF GOODS DAILY. THESE INVOICES WILL NOT BE TRANSMITTED TO

PEOPLESOFT FOR PAYMENT UNTIL THE ROG PROCESS HAS OCCURRED.







Helpful Tips

 Regional/Division/National/Redevelopment Offices – When you ROG approve invoices, you will need to log in with

the user name that you originally entered the WTN’s under.



 For employees to receive expenses checks, petty cash or check request, invoices must be ROG approved by Friday in

order for a check to by cut the following Wednesday. REMEMBER: these items are sent directly to A/P, not the Ops

Processing Center.









Recurring Orders

 When a recurring order is initially setup, a WTN # will not be generated until the following month.



 st

Contracts should be setup as a “recurring order” for the 1 of each month so they encumber the budget

before any other expenses are allocated to that specific G/L account. These invoices should always be sent

to the property so you can enter the WTN # (P.O. #) on the invoice prior to sending it to the Realpage

Processing Center. These invoices will never be sent directly to the Processing Center.









Disputed Invoices

If there is an error on the invoice, you can dispute the invoice. Payment will not be made until a resolution has been reached.

For example, if the vendor did not charge the appropriate amount on the invoice, you would dispute the invoice then contact

the vendor to supply the Processing Center with a credit memo. If you feel the invoice should be voided, email Berkshire

support with the explanation of the reason.









Berkshire Property Advisors Page 10 of 14

Operations Revised June 5, 2010



How to Process a Credit Memo

 Make sure the credit memo references your property name before sending it to the Processing Center. Note: you do

not enter anything into the Ops system.



 The Processing Center will enter the credit memo and send it to your Ops system to ROG approve. Before you can

ROG approve the CM, the original invoice will need to be ROG approved first otherwise, the system will not allow you

to ROG approve it.



 When you ROG approve the credit invoice, it will be electronically sent to PeopleSoft and the credit will be included

with future payments sent to the vendor.







How to Check for Payment Status

 In the Ops Technology system, go to



 Review



 Invoice Summary



 Enter the invoice #



 View the invoice.



 On the top right you will see the check number and check date.



 If the vendor has not received the check after 30 days, then contact A/P with the check number, date and vendor and

ask them if the check as been cashed.









How to Process Home Depot Credit Card expenditures

The company policy for using the cards is that they are to be used for emergency purposes only. An example is the need

to replace a water heater on a weekend and there are no water heaters in stock at your property.



For routine Maintenance purchases, you need to order from HD Supply and Century via online orders through OPS

Technology. We have discounted pricing and rebate structures with these companies. When we use the Home Depot

credit cards, we are paying retail (list) pricing for the convenience of using the credit card. Each property has a total

spending limit or balance of $800. You can track your available balance by contacting Margarite Thurston. The

Purchasing department will be monitoring purchases and payment histories of all properties. If a property falls out of

compliance with the guidelines set, the appropriate members of the management team will be consulted and corrective

action taken including the possibility of deactivation of the Home Depot credit card for that property. If any corrective

action needs to be taken, it would be communicated by the District Manager.







Processing orders for Home Depot credit card purchases is similar to the way orders are placed and processed for

offline suppliers with the exception that a WTN is generated after the merchandise is acquired. To summarize, you will

manage the payment process through OPS Technology by following a few simple steps as outlined below:

Berkshire Property Advisors Page 11 of 14

Operations Revised June 5, 2010







1) When you make a purchase using your Home Depot credit card order, you will be given a receipt, which will

have an invoice number and an authorization number. The location of these numbers is identified on the

sample receipt below.









Authorization

number



Invoice Number









2) When you return to the property, create an offline WTN to Home Depot Credit Services for the products

purchased using the cost and descriptions shown on the receipt.







3) Manually write the WTN on the receipt (WTN # __________). This will be used as a reference for the future invoice

you will receive in the mail.







4) When you receive an invoice for each order that you got a receipt for, manually write the WTN noted on the

receipt(s) onto the applicable invoice.









Berkshire Property Advisors Page 12 of 14

Operations Revised June 5, 2010









Sample Invoice









5) Send the invoice to the OPS Technology processing center as you would a normal offline order. Do not send the

receipt with the invoice.



6) You will receive a monthly statement that is a summary of your property’s payment status with Home Depot

Credit Services. Copies of invoices are included in this monthly statement. You do not want to wait for this

statement to pay your invoice(s).



7) On a regular basis (at least weekly), you can run an open order report in OPS Technology. If you see any open invoices

that are more than 30 days outstanding and you have not received an invoice, you should contact the supplier and ask

them to send you a copy so you can get it processed and paid.







Each month, we are going to have Home Depot Credit Services send out an outstanding balance report. This will be distributed

to the District Managers who will be responsible for following up with any properties that are past due or in collections. The

Division Vice Presidents and Regional Vice Presidents will be copied.



Our contact for Home Depot Credit Services is



Margarite Thurston



ThurstonM@citi.com



Account Manager



Phone: 888-454-5016 x65838



Berkshire Property Advisors Page 13 of 14

Operations Revised June 5, 2010



When a new property is purchased, Matt Baratta will request that Home Depot credit cards to be issued for

the Property Manager and Maintenance Supervisor when the District Manager provides him with that

information. When turnover occurs at a property and a credit card needs to be deactivated, it will be the

responsibility of the District Manager to notify our Home Depot Credit Services Representative. If there is a

new Property Manager or Maintenance Manager on a property, the District Manager needs to send our Home

Depot Credit Services Representative an email (copy Matt Baratta) that provides the following information:



 Property name



 Street address City, State, Zip code



 Authorized purchasers and titles



 Phone and fax numbers



 4-digit Property Code



 Legal Entity name



 Tax ID Number







Upon receipt of the email, Matt will review and send an approval email to our Home Depot representative.





ALL OPS TECHNOLOGY QUESTIONS SHOULD BE SUBMITTED TO BERKSHIRE SUPPORT.

SUPPORT@BPADV.COM





Always pull forms from the Berkshire Website to make sure you

are using the most recent form!









Berkshire Property Advisors Page 14 of 14



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