Create Suppliers

Administrator Guide

Create Suppliers

Configure the Supplier Event
business process and security policy in the Suppliers functional area.

Create supplier groups and supplier categories to make them easier to find and for reporting purposes.

Define default payment terms and payment types.

Configure
Set Up: Supplier
and Set Up: Supplier Notes
domains in the Suppliers functional area.

Create suppliers to procure goods and services for your organization. Provide details for managing supplier relations, payment terms, and reporting.

Access the

Create Supplier

task.

As you complete the task, consider:

Option	Description
Supplier Name	If you select a value from the Create Supplier from Business Entity prompt, Workday automatically populates the Supplier Name field.
Phonetic Name	Records the correct pronunciation of the Supplier Name and these details on the Settlement Bank Account tab: Bank Phonetic Name Branch Phonetic Name Phonetic Name on Account Displays when: You enable phonetic names on the Edit Tenant Setup - Global task. Users select the relevant locale and display language in their preferences. The preferred language of the bank account country must match the language enabled on the tenant setup.
Create Supplier from Business Entity	Create a supplier from an existing business entity. Workday automatically populates the Supplier Name and Supplier ID fields with the business entity that you select. Once you select a business entity, you can't change it.
DUNS Number	If available, enter the data universal numbering system (DUNS) number of the supplier. If you use procurement cards, your credit card integration can use DUNS numbers to look up suppliers from transaction files.
Supplier Category	Select a supplier category. Supplier categories classify suppliers for reporting and price negotiation purposes.
Supplier Group	Select a supplier group. Supplier groups organize suppliers for reporting and price negotiation purposes.
Document Link	This field displays when you set up a valid Uniform Resource Identifier pattern (URI), including: A Uniform Resource Locator (URL) An empty line, to enable users to enter any values without restrictions on this field. To set up a valid URI, select Supplier Document Link from the Supplier External URI Link Type prompt on the Maintain External Link Validation task. Workday validates the link to ensure that it has a valid URI, as defined by your security administrator. This process provides additional security to help avoid malicious content in external links. If you store supporting documents or images in an external repository, then enter the URL to that location. Once you save the transaction, Workday displays the URL as a live hyperlink to the image. Approvers can reference this document before approving the transaction.
Default Payment Terms	Specify the payment terms that you agreed to with your supplier.
Payment Type	Select 1 or more payment types for this supplier. If you select an electronic payment type, complete information in the Settlement Bank Account tab. See Concept: Electronic Payment Methods.
Default Payment Type	If you select Credit Card , you can select the credit card of a worker from the Credit Card prompt.
Default Reference Type	If your reference type requires 1 payment per invoice, you can set Always Separate Payments .
Credit Card	If your organization uses procurement cards, select the card of a worker as the default credit card that the supplier can use for purchase orders and supplier contracts.
Default Currency	Select a default currency to populate on transactions with this supplier. When you create transactions, you can change from this currency to any currency accepted for the supplier. When you don't select an option from this prompt, Workday populates the tenant default currency on transactions, even when the supplier doesn't accept the tenant default currency.
Supplier Security Segment	If your company requires segmented security and this supplier doesn't belong to a security segment through its supplier category or group, create a supplier security segment.

As you complete the

Supplier Details

section, consider:

Option	Description
Restricted to Companies	Specify the companies or company hierarchies to associate with the supplier. The Supplier prompt for transactions where you can select a supplier displays only those suppliers associated with the selected company or company hierarchy.
Customer Account Number	Store the account number the supplier uses to identify your company.
Certificate of Insurance Date	To create reports for suppliers with insurance that is overdue or that requires renewal, set the supplier certificate of insurance date.

As you complete the

Payment Details

section, consider:

Option	Description
Exclude from Supplier Invoice Discount	Displays the charges excluded from the calculation for the supplier invoice discount. You can configure the field on the Edit Tenant Setup - Financials task. When you create invoices with discounted payment terms, you can view the discounted amount reflected in the Discount Taken column on the: Create Settlement Run task. View Supplier Payment report.
Override Supplier Invoice Discount Exclusions	Select an option to change the tenant level setup and configure unique discount calculation options for the supplier.
Always Separate Payments	Creates separate payments for each supplier invoice. If unchecked, Workday settlement consolidates the invoices into a single payment.
Do not pay during Bank Account updates	Select to exclude supplier invoices from settlement runs if: A Supplier Change Event business process is in progress for this supplier, and You selected the Settlement Bank Account option in the Create Supplier Change task.
Remittance Integration System	To remit payments electronically, select the integration system that generates them.
Default Originating Country Payment Purpose Default Receiving Country Payment Purpose	Display when you enable payment purpose codes. Select default payment purpose codes for Workday to populate on supplier invoices and invoice adjustments. See Concept: Payment Purpose Codes.

As you complete the

Default Supplier Payment Memo

section, consider:

Option	Description
Default Text	Enter memo text for check payments to this supplier.
Use Supplier Reference	The supplier reference numbers from supplier invoices print in the Memo field on the check.
Use Invoice Memo	The value you enter when creating supplier invoices prints in the Memo field on the check. If multiple invoices have memos, Workday concatenates them on the check.
Use Supplier Connection Memo	If you want to configure multiple remit-to supplier connections, select to use payment memos that you define in the remit-to connections.

In the

Supplier Hierarchy

section, use the

Proposed Children

prompt to define a parent/child supplier relationship to help with spend reporting.

As you complete these tabs, consider:


Contact Information	In the Use For field, specify the transactions that apply to these addresses: Billing Remit To Shipping Procurement Select Tax Reporting to use a different address for IRS reporting. If you don't use a tax reporting address, Workday uses the primary address of the supplier. Select the Primary check box next to an Email to issue the purchase orders to a specific email address.
Settlement Bank Account	Add 1 or more settlement bank accounts for electronic payments to suppliers. Workday routes supplier payments to the correct settlement bank account by payment type and currency. Select: Payment types to restrict the account for these payment types only. Accepted currencies to restrict the account for these currencies only when settling electronic payments without a remit-to connection. Select the For Supplier Connections Only check box to: Create multiple bank accounts with the same combinations of payment types and accepted currencies. Enable any combination of accepted payment types and settlement bank accounts. Click Intermediary Bank Accounts to link settlement bank accounts that require intermediaries to intermediary bank accounts.
Tax Information	Specify the Tax Authority Form Type of the supplier: 1042-S for a nonresident alien that is subject to U.S. income withholding. 1099 MISC to report miscellaneous income to the IRS. TDS to identify tax deducted at source for nonresident suppliers. Select a Tax Document Date to note when you received the tax document. You can use tax document dates in: Business processes to route suppliers for review and approval. Custom reports to identify old documents that need to be updated. Report 1099 MISC with Parent For 1099 TIN types, consolidate 1099 MISC reporting for parent and child suppliers. Ensure that you remove entries in the TIN Type and Tax ID fields. To determine if the taxpayer requires a 1099 MISC report, total all payments for their payee identification. Workday enables you to consolidate 1099 reporting in a parent/child structure. The IRS requires all payments for a particular payee identification to be aggregated. Default Tax Code Workday automatically populates the selected default tax code on the supplier invoice header when you select a supplier. Default Withholding Tax Code Workday automatically populates the selected withholding tax code on the supplier invoice header when you select a supplier. FATCA Select to trigger the FATCA filing requirement check box on the 1099 MISC form. This configuration supports the FATCA filing requirements of certain foreign financial institutions. Specify the tax IDs for this supplier. Enable the Set Up: Supplier Settlement Bank domain security policy for Workday to display the transaction tax ID number for a supplier. Tax ID Type Select a tax ID type that is applicable to the country. Identification # To report and file with the IRS, enter the supplier tax identification number. Transaction Tax ID Select the transaction tax ID used to record transaction tax for the given country. Primary Tax ID Select the single tax ID when managing multiple IDs for a supplier. Specify the tax statuses for this supplier. Transaction Tax Status Select the transaction tax status for the country. Withholding Tax Status Select the withholding tax status for the country.
Alternate Names	To use an alternate name in documents and files, enter a name different from the name of the supplier in the Name field. Then, select the type of usage for that alternate name from the Alternate Name Usage prompt. To use multiple alternate names for a single supplier on supplier connections, select the Alternate Supplier Connection option from the Alternate Name Usage prompt. On a supplier connection, the Alternate Supplier Connection usage replaces the Remit To Advice Name and Remit To Payee usages. Workday ignores the Alternate Supplier Connection usage when you don't use it specifically for a supplier connection. Examples: Identify contingent workers with the same name by including their locations in parentheses. To print the legal name on 1099 MISC forms, enter the legal name as the Alternate Name. Then select 1099 MISC Recipient from the Alternate Name Usage prompt. The supplier name is too long to print on a check. To print a shorter name, enter a shorter Alternate Name. Then select Remit to Payee and Remit to Addressee 1 from the Alternate Name Usage prompt.
Procurement Options	Invoicing Options Invoice Any Supplier Select to specify that this supplier can invoice any supplier. Enable Tax Changes in Supplier Portal Select to enable suppliers to change invoice tax information in the Supplier Portal. Then, when suppliers create invoices from purchase orders, they can change these fields: Tax Option Tax Amount Tax Applicability Tax Recoverability Default Procurement Item Select to enable suppliers to change invoice tax information in the Supplier Portal. Then, when suppliers create invoices from purchase orders, they can change these fields: Item Description Spend Category Tax Information Unit of Measure Unit Cost Related Worktags Default Spend Category You can select a default spend category for supplier transactions. General Options Enable Global Location Number Select to specify that this supplier can use global location numbers (GLNs). Suppliers use GLNs for the various Ship-To and Deliver-To business locations on procurement documents. Suppliers then send these documents through electronic data interchange (EDI), and printed purchase orders. Purchase Order Options Issue Option EDI/XML : When you issue purchase orders, Workday sends an EDI or XML version to your supplier or supplier network. EDI/ XML Auto : When you issue purchase orders, Workday generates an EDI or XML version of the purchase order. Workday then sends it to the supplier when the administrator approves the purchase order. Email : When you specify an email as primary, you can issue a purchase order PDF. This option requires a purchase order print layout. If you don't specify an issue option, Workday uses the Print option. Print: Select to issue printed purchase orders. This option requires a purchase order print layout. If you don't specify an issue option, Workday uses the Print option. Supplier Portal Select to issue purchase orders in the supplier portal only. Default PO Issue Email Select 1 or more email addresses that you can define as default when issuing purchase orders to suppliers through email. You can select only email addresses if you select Procurement from the Use For prompt in the Contact Information tab. Multi-Supplier Supplier Link for PO Issue If you select XML or XML Auto , select the preferred multisupplier link to use when issuing purchase orders for the supplier. You can also use the Maintain Supplier Links task to include this supplier as a multisupplier. Disable Change Order Select if this supplier doesn't accept change orders. Change Order Issue Option Select if the change order issue option is different than the default issue option. Shipping Terms and Shipping Method Set up these values for the supplier. Enable POA Item Substitution Select to enable automated item substitution for this supplier from a Purchase Order Acknowledgment (POA). When you select this option, eligible item substitutions from this supplier will be processed. If you don't select this option, Workday will prevent change orders from being created for item substitutions from this supplier. To create a change order from a Purchase Order Acknowledgement (POA), you must run or schedule through the Schedule Automatic Updates from Purchase Order Acknowledgements task. Acknowledgement Expected Select when you expect suppliers to send purchase order acknowledgments when you issue purchase orders. This configuration is important when you use EDI 850 and EDI 855 integrations. When you select this check box, Workday sets the ISA14 segment to 1 when you issue EDI 850 files to the supplier. This informs the supplier that you expect an acknowledgment. Advanced Ship Notice (ASN) Options Enable ASN Select to enable advanced ship notices for this supplier. ASN Due in Days When you enable ASNs, enter the number of days that indicates when the buyer can expect ship notices from the supplier. Lead Time Specify a value for the number of days between the Document Date of the purchase order and the expected delivery date. Workday uses the Lead Time plus Document Date to calculate the Due Date on the purchase order. When there are multiple lead times, Workday selects the lead time based on these, in order of priority. Lead time specified on: The supplier item or catalog item. The supplier. The tenant. Note: When there are no due dates populated in the goods lines, Workday uses the Header Due Date in purchase orders to populate the corresponding goods lines.
Related Worktags	To populate related worktags on nonpurchase order supplier invoice lines, select the applicable values from the Allowed Worktags and Default Worktag prompts. You can set up worktag types for suppliers on the Maintain Related Worktag Usage report.
Classifications	To associate this supplier with procurement classification codes, select spend categories and hierarchies. To comply with federal, state, or local government requirements, add the classifications of your supplier.
Contingent Worker Options	If the supplier enters expense reports in Workday for a hired contingent worker, select Do Not Reimburse Contingent Worker Expense Reports . When you don't reimburse contingent workers for expense reports, you can create manual invoices to reimburse their expenses.
Attachments	Attach supporting documentation for the supplier. Workday supports the file types listed on the Edit Tenant Setup - System task for business document attachments.
Notes	Include supplier notes. Workday records the Person entering notes and the Created On dates.