We consulted with our practitioner panel. Here are their responses:
1. Leona Messink, CPP
Our threshold is $1k and higher, and all capitalized assets.
2. Gail Kawakami, MBA, CAPP, Director, Accounts Payable & Travel, UCSF Controller’s Office
At the University of California, San Francisco, our PO tolerance is 10 percent or $500, whichever is less (by line).
3. Vickie S Branch, Director of Accounts Payable, Bell Partners Inc.
Bell Partners Inc. has a 20 percent PO tolerance with a maximum of $400.
4. Kathleen R. Oneal, POP Team Leader, Business Services Organization – USA
Most of our CEMEX businesses have a threshold of 5 percent or under.
5. Elise Byrd, Accounts Payable Manager, Silver Eagle Distributors
I have been an AP Supervisor or Manager for over 25 years. The standard that I have seen is 10 percent with a "not to exceed" value.
6. Chris Dritsas, Accounts Payable Manager – NSAM Financial Hub, Cameron, a Schlumberger company
Here at Cameron, we have it set for 10 percent … not to exceed $100 for price. Seems to be somewhat of an industry standard, based on the due diligence we performed before we set this up.
7. Cynthia Joseph, Accounts Payable Manager, Shutterfly
At Shutterfly we also use 10 percent.
8. Judy Bicking, Practitioner Expert, IOFM
It has been my experience that matching the invoice to the PO is done with a 2% tolerance not to exceed xxx dollars.