It is essential that a transaction log is maintained recording the use of the procurement card. This forms the basis of the audit trail supporting the use of the card. The log will take the form of a file containing all the documents that relate to each use of the card. For example, it should contain as a minimum
- the appropriately authorised request to purchase the desired goods or services,
- a confirmation of the order (eg a note of the date, time and price information relating to an order placed by telephone or a printout of an order confirmation received by email), and
- the signed delivery note to confirm receipt
The information in the log is then used to reconcile the transactions charged on the monthly bank statements, and paid on the due date. The log also acts as the definitive statement of which cost centre or project has paid or will be charged for the goods or services received.
Use of Spreadsheets
In practice, it has been found beneficial to keep a summary transaction log on a spreadsheet. This log can record additional information that is helpful to the card holder or that can be uploaded into the financial system, for example, VAT codes, product codes, etc. It can also help where the supplier has not recorded the internal charging information accurately and save the card holder much work tracking down the appropriate cost centre or project. Further, where an order is for goods for more than one cost centre or project, the detail can be held within the spreadsheet ensuring that each area pays for its own goods.