Kofax AP Agility is able to reconcile invoice line items with the corresponding line items on a purchase order using line pairing.

This is a critical operation for creating a complete purchase order related invoice in the downstream Enterprise Resource Planning (ERP) system. This is needed because ERP systems require a purchase order line item number for each invoice line entered. Typically, a purchase order line item number does not appear on vendor invoices and, when they do, they are not always stated correctly. Kofax AP Agility is able to overcome this and derive the correct purchase order line item number automatically through comparing the extract invoice line item data with what is available on the purchase order. You can also use the Vendor ID to enhance your extraction results if the purchase order number is not confidently found on the document.

Kofax AP Agility uses a fuzzy search to perform the down-to-the-line item description level. Without this step, even though the document may pass straight through the Validation activity without requiring data correction, the document needs to stop in the ERP system for manual completion. Often, this manual completion of the line item data can prove extremely time-consuming, especially when dealing with large purchase order numbers and a large number of invoice lines.

For example, if the purchase order contains 300 line items and an invoice referencing this purchase order has 60 line items, the user would need to pick the right 60 lines from a list of 300 lines. This is why "straight-through" processing for purchase order related invoices becomes impossible unless you deploy some form of line pairing.

In addition to this, line pairing can also perform the following functions:

• Perform checks to ensure that the invoice quantity is booked in the correct unit of measure and that the convert to purchase order unit of measure is correct.

• Reconcile the invoice data to blanket and service purchase orders in the ERP system.

• Handle the posting of invoice miscellaneous charges, such as freight and customs charges, in accordance with organization business rules.

• Handle the same material that is displayed on the purchase order more than once.

• Handle multiple purchase orders that appear on a single invoice.

• Process third-party freight invoices against a purchase order created for a different vendor.

To read the purchase order and goods receipt data required for line pairing, Kofax AP Agility can point to a purchase order database or a flat file extract that contains purchase order line item data.

Line pairing operates differently depending on whether the invoice purchase order is for materials or services.

Line pairing is not carried out if any of the following circumstances occur:

• Line pairing is deactivated in the Settings > Invoice Processing > Capture Profiles > Line Pairing Settings.

• Line item extraction is deactivated in the Settings > Invoice Processing > Capture Profiles > Line Item Table Settings.

• The invoice type is a non-purchase order, or Non-PO.

• The document type is CREDIT and line item extraction is deactivated for credit memos.

• The purchase order type is SERVICE and line pairing is deactivated for service purchase orders.

• The vendor is a utility vendor and line item extraction is switched off for utility vendors.

• The Validation activity user selects VENDOR NOT FOUND as the invalid reason and line item extraction is deactivated for that invalid reason.

• The Validation activity user has selected one of the following invalid reasons:

  • MISSING/INVALID PO

  • MISSING/INVALID VENDER and MISSING/INVALID PO

  • INVOICE AMOUNTS DO NOT ADD UP

• The purchase order is not released and line item extraction is deactivated for unreleased purchase orders.

• All lines on the purchase order are fully invoiced and Kofax AP Agility is configured to ignore completed purchase order lines.

• A purchase order used for line pairing has a duplicate record in the purchase order header database and duplicates are not allowed.

The settings that control line pairing are found in two sections of the Profile Settings menu.

1. Settings > Invoice Processing > Capture Profiles > Line Pairing Settings

2. Settings > Invoice Processing > Capture Profiles > Line Item Table Settings