PO invoicing without receiving for non-inventory process in Microsoft Dynamics 365 Finance and Operations

There are 3 options to achieve PO invoicing without receiving for non-inventory process in Microsoft Dynamics 365 Finance and Operations

1. AP+ team to receive non-inventory PO and use 3-way matching
2. AP to use invoice variance approval to overcome 3-way matching for procurement categories
3. AP team to leverage 2-way matching and no variance approval needed nor receiving of non-inventory PO

Let us take example of 2-way matching

To leverage this feature, following needs to be setup

1) Procurement and sourcing > Setup > Policies > Purchasing policies->Category policy rule

• Good for items
§ Three-way matching– The price and quantity on the purchase order, product receipt, and invoice must match.
• Good for procurement category
§ Two-way matching – The price and quantity on the purchase order and invoice must match.

2)  Also ensure in invoice validation under accounts payable parameters, lower or higher is selected in matching policy override

Final output on PO