Cummins Inc. is committed to working with our suppliers to help achieve on-time, accurate payment. Please use the information provided here as your guide to preparing invoices to ensure that you are paid within negotiated payment terms.
Indirect is defined as all services and any products that are not assembled and shipped to an end customer (including tooling, chemicals, machinery, computers, gages, packaging, training, real estate, and prototypes, etc.)
Ensure that the Purchase Order (PO) & Invoice match exactly:
Verify that all line items on the PO and invoice match exactly with regard to item description, unit of measure and quantity, unit price, currency and supplier part number (if applicable).
If there are any discrepancies or changes, communicate with the requisitioner (identified on the PO) prior to invoicing to determine whether the PO should be corrected or the invoice changed to match the PO. The requisitioner name and phone number is listed on your PO under the “Contact” section.
Inconsistencies will result in the return of the invoice and/or the delay of payment.
Specific Requirements for Shipments Crossing the U.S. Mexico Border
The Cummins-issued PO number, beginning with the “IND” prefix MUST be included on the invoice.
Invoices should state the part number and/or a description of services provided over a specific period of time, as well as the PO number.
The invoice must contain invoice lines which match the PO. No positive and negative line amounts may be included on the same invoice. Credits or adjustments for returned goods or services must be issued in the form of a credit memo.
The invoice must also contain your company name and remittance details. Your supplier name must be the same as the name referred to on the PO. Inform the requisitioner or Indirect Purchasing sourcing manager of any changes to your supplier information, including supplier name or remittance address. Changes to supplier information require documentation in the form of letterhead.
To avoid delayed payment, you must submit electronic invoices through the Cummins Value Added Network (VAN) in the approved EDI format OR submit manual (paper) invoices by mail directly to the “bill-to” address on the PO.
Although you may (if requested) send a copy of the invoice to the requisitioner, you must send your original invoice to the bill-to address or the invoice will not be processed. Accounts Payable will not accept invoices submitted by a Cummins employee on the supplier’s behalf.
Different rules apply in Mexico. You must deliver your manual (paper) invoices along with the purchased goods to the central receiving area of the ship-to address on the PO. For services, the invoice must be signed by the requestor and then delivered to the central receiving area of the ship-to address of the PO. If you are located in a different city from the Cummins Facility, send the invoice to the requestor.
Invoices may be rejected if one or more of the stated requirements are not met. The invoice will be returned without processing if there is no PO number on the invoice, if the PO is invalid or closed, or if the supplier name on the invoice does not match the supplier name on the PO. Incorrect information such as currency or pricing could cause a delay or a rejection.
You should promptly correct the issue and re-send the invoice (using the same invoice number.)
For questions on the status of invoices that you have submitted, please contact the regional Accounts Payable Department by clicking on the link below: