Accounts Payable Process

Process Flow Chart

C o m p le te P . O .
W ork s h e e t

T ype
P.O .

C o llec t a u th o r izin g
s ig n a tu r es
S e n d to
p u rc ha s in g

S e n d in v o ic e to
o p e ra t ion s
a c c o u n tin g

S u p p lie r sh ip s
m a te ria l

L ett er o p e n e d
a n d so rte d b y
o u ts ide a g e n c y

M a te ria l r ec eiv e d
a t th e p la n t

D eliv e r s o rte d
m a il to op er a tio n s
a c c o u nting

A c c o u n ti n g
c h e ck s a ll
d o c u m e n ts

P la c e
o rd e r

Se n d p a c k in g slip
to o p e ra tion s
a c c o u n ting
S e n d ap p ro v e d P .O .
to o p er a tio n s
a c c o u ntin g
D e f e c t?
No
Y es

S u p p lie r
p a id

B a c klo g

Control Charts for Proportion of Defective Items and Rate of Defects

Control Chart
P of Defective items

Proportion for
Defective items

0.45
0.40

UCL

0.35

Avg=0.3400

0.30
LCL
0.25
0

10

15

20

25

30

Sample

Control Chart
U of Defects
Count Per Unit for Defects

1.05
1.00
UCL

0.95
0.90

Avg=0.8500

0.85
0.80
0.75

LCL

0.70
0.65
0

10

15

20

25

30

Sample

Pareto Plot
Freq: Number

Plots
15000

100

12500

60
7500
40
5000
20

2500

Serv App Req

No PO Amend

No Pack Slip

0
Proj App Req

0
No PO

Number

10000

Cum Percent

80

Defect