Invoice Dates, Numbers and Quantities
Invoices for which a check has not been received within 90 days of submission should be brought to the attention of the Accounts Payable correspondence bureau. (see the Supplier FAQ Billing/Invoicing Questions for more detailed contact information). Suppliers should note that payment cannot be made on the basis of monthly statements. Invoices are required for payment processing.
Invoices sometimes reference a purchase order which, if dated several years in the past, is no longer be open to allow payment of the invoice. If the purchase order is over three years old, current Supply Department policy states that the railroad is not obligated to pay the invoice. If the purchase order is less than three years old, research must be performed to verify that the material was actually received. A new purchase order must then be issued. If we are unable to verify receipt of material, a proof of delivery must be obtained and a new purchase order issued.
Invoices should be forwarded to Union Pacific on the date they are issued. When several differently dated invoices are batched together and mailed, delays in payment can result.
Invoices should contain unique invoice number references, preferably with only numeric characters. Duplicate invoice numbers must be investigated, resulting in a delay in payment. If the reason for the duplication cannot be determined, the invoice must be sent back to the supplier for explanation.
EDI invoicing replaces the paper process. Once the supplier is in EDI production status, all paper invoicing should be terminated to eliminate the potential for duplicating invoices. Should an invoice be sent electronically, as well as on paper, payment will be delayed until research into the duplicate invoices has been completed.
It is expected that invoice quantities will exactly match the quantities ordered on the purchase order and/or bill of lading document. In the event that the invoice quantity exceeds the quantity indicated on the purchase order, the discrepancy must be researched. This means checking with the receiver of the material, the purchasing representative and the supplier to determine the reason for the variance. Such research takes considerable time, resulting in payment delay. To avoid this problem the supplier must inform the purchasing representative prior to shipment when the quantity shipped exceeds the original quantity ordered. When a quantity error has been resolved, a corrected invoice should be forwarded for processing. Credit memos should not be issued to correct invoices in quantity error status.
EDI invoices with zero or negative quantities violate the Rail Industry Guidelines and cannot be processed. Invoices with these errors will automatically be rejected, even if only one of multiple line items contains the error. Suppliers will be notified of these errors by phone or in writing.