American Express
Corporate Purchasing Card
®U.S. Program
4 Key
Contact
Information
5 Billing/Payment
Information
Program Administration
6 Roles
&
Responsibilities
10 Hierarchy
12 Controls
14 Card
Types
Tools and Reporting
18 Program
Management
30 Financial
Reconciliation
34 Reporting
38 Cardmember
Manage
Your
Card Account (MYCA)
Program Growth
Purchasing Card Best Practices
40
Sample Good Fit Commodities
46
Merchant
Data
and
Acceptance
48
B2B
Solution
Suite
50
Communication Materials
Sample Communication Letters
52
Sample Cardmember Documents
53
Addenda
MCC
Codes
56
Authorization
Forms
68
Due to the competitive nature of this document, the information contained within is considered to be of a proprietary and confidential nature and shall not be copied, printed or otherwise reproduced without the express written permission of American Express. The information contained in this document is subject to the confidentiality provisions set forth at the end of this document. Please refer to those provisions. © 2009 American Express Company.
Program Administrator Resources
Purchasing Card Team Servicing / General Questions / Card
Cancellations / Address Changes Billing / etc. 800-492-4979
American Express @ Work Help Desk / Inquire about Access
/ Navigation Questions 800-238-8087
Global Information Services (Reports) Enhanced Reporting
Questions / Modify Reports / Add Recipients 800-542-0995, opt. 2, 2 Corporate Account Reconciliation Help Desk / Navigation
Questions / General Questions on CAR 800-542-0995, opt. 2, 3
American Express @ Work Website Link
On the left, input your User ID and Password and choose @ Work from the drop-down menu.
www.americanexpress.com
American Express PA Webinars
Monthly general webinars that cover various topics such as CAR Enhancements, CAR System Administrator Training, CAR User Community, @ Work Program Management & Manage Your Card Account.
https://amexeventcenter.webex.com
24 Hour Customer Service 800-492-4920
Manage Your Card Account On-Line
On the left, Cardmember inputs User ID/Password and chooses Cards – Check Your Bill from drop-down menu.
www.americanexpress.com
Cardmember Resources
Account Management Resources
In addition to the above, your American Express Representative will work with you to support you in managing your program, engage additional American Express resources as needed and may provide periodic account reviews of your program and opportunities for growth.
BILLING / PAYMENT INFORMATION
ACH Transfers
Banking Information
American Express Travel Related Services Company Inc. Corporate Card CTX account
C/O Mellon TR of New England NA Demand Deposit Account # 09-1960 Routing # 011001234
Wire Transfers – FedWires
Banking Information
American Express Travel Related Services Company Inc. C/O Chase Manhattan Bank
Account Name American Express TRS TMS Depository Demand Deposit Account # 910-2-753010
Routing # 0210-0002-1
Paper Checks
Banking Information – Overnight Delivery American Express
CPC Remittance Processing 2975 West Corporate Lake Blvd Weston, FL 33331-3626
Phone 866-701-6280
Address
Mellon TR of New England, NA 1 Boston PL
Boston, MA 02108
NOTE: Please ensure your sender ID/load number or American Express account number is included in the 7th record addenda section of the ACH transfer. CCD+ format is required.
Address
Chase Manhattan Bank 1 Chase Manhattan Plaza New York, NY 10005
NOTE: Please ensure your sender ID/load number or American Express account number is included in the Originator Beneficiary Information (OBI) field of the wire transfer.
Banking Information – Standard U.S. Mail
American Express
CPC Remittance Processing PO Box 329000
Weston, FL 33332-9000
NOTE: Please ensure your sender ID/load number or American Express account number is included on the face of the check.
ROLES & RESPONSIBILITIES
Program Administrator
− Primary contact for
Cardmember questions, etc. − Cardmember training and
communication − Delegated authority
authorizing American Express to process
applications, perform profile changes, etc.
− Submit Cardmember applications to American Express (fax or @ Work) − Maintain Cardmember files − Validate Grant of Authority
Approval for approvers of new applications and limit changes
− Primary contact for
American Express regarding applications, profile
changes, transaction limits, etc.
− Manage supplier sign-up, endorsement and
submission to American Express; maintain preferred supplier lists
− Cancel terminated employee cards
− Maintain electronic bulletin boards / intranet sites, etc. − Perform regular program
analysis (suppliers used, preferred suppliers, etc.) − Secondary interface for
specific supplier questions/issues
− Secondary interface for senior management / American Express
− Update / distribute program metrics
− CAR Administration
(monthly reconciliation, add new users, etc.)
− Register report recipients − Provide direction and
coordinate with “site” coordinators on program management, changes, etc. − Receive and file approved
Cardmember statements and supporting
documentation
− Perform random transaction audits to ensure policy compliance
These descriptions are
designed to guide you
in understanding how
key individuals within
your organization may
need to be involved in
your Purchasing Card
program. Depending
upon your internal
structure, program size
and goals, some roles
(e.g., HR, Audit, etc.)
may only participate in
your program on an as
needed basis.
CAR System Administrator
− Assign access to users above Cardmember level − Train users on functionality − Maintain card defaults,
accounting data, mapping information and validation files if used
− Run exception report of transactions
− Lock cycle transactions
Cardmember Manager
− Identify /approve Cardmembers and authorize limit changes according to Grant of Authority approval rights − Approve Cardmember monthly statement / transactions − Address compliance issues with Cardmembers as per Company Policy & Procedures
− Ensure card is canceled when employee is
transferred or leaves the company
− Ensure card is returned during exit interview for all terminated employees − Forward “returned”
activity reports and cards to the Program
Administrator for appropriate records retention
− If holder of a “Department Card,” ensure all
designees using the card receive Purchasing Card Program training
Cardmember
− Complete Cardmember application/agreement and participates in training − Adhere to policies and
procedures when making Corporate Purchasing Card program purchases
− Ensure orders for goods and services are complete − Keep packing slips/receipts
for Monthly Activity Report review
− Contact supplier as soon as possible if there is an error − Work with supplier to resolve
problems in a timely manner (if possible, within 30 days) − Reconcile Monthly Activity
Report as stipulated in the Policies & Procedures Guide − Relinquish Corporate
Purchasing Card upon transfer to another
department or employment termination
− Maintain all Corporate Purchasing Card
documentation in preparation for any spot audit and
according to Corporate Record Retention guidelines
Program Manager
− Program strategy, goals, policies & procedures − Identify and approve
additional uses for the card − Stakeholder management − Develop, track, and report program progress against goals (develops metrics) − Develop program
communication strategy (methodology, venue, frequency, etc.)
− Serve as or designates champion for “special case” applications
Purchasing
− Ensure supplier
management endorsement of program
− Collaborate with Program Manager on program design − Define target suppliers − Develop buyer / supplier
communication materials − Participate in development
of end user training / communication methods − Review information
collection / reporting process − Market program to buyers /
suppliers; train buyers − Review supplier spend
reports
− Own supplier cards
Material Planning/Logistics
− Represent plant user
community and participate in overall design of program − Identify shipping / receiving
issues
− Facilitate development of end users
Accounts Payable / Finance
− Perform accounting / finance analysis
− Complete monthly CAR upload to GL and American Express invoice
reconciliation
− Perform CAR maintenance (validation tables, etc.) − Ensure tax compliance /
accrual
− Primary contact for accounting / tax issues; secondary contact for senior management / controllers / American Express
− Coordinate with Program Manager on accounting/ finance issues (i.e., raising capitalization limit, universal card limit changes)
Human Resources
− Ensure procedures comply with HR regulations
− Represent employee concerns
− Facilitate development of employee sign-up materials − Provide terminated
employee report to Program Administrator
Information Services
− Determine source / method of obtaining data required by Team members; gather detailed purchasing data − Develop CAR interface
process
− Other system integration issues
Budget Manager (Controller)
− Review Cardmember reallocations
− Assist Program Manager on program performance issues − Review and sign activity /
exception report for site − Approve transaction /
Cardmember limit changes − Monitor and address
compliance issues with Cardmember managers − Perform minimum auditing
requirements
− Enforce action for identified violation(s) Training Internal Communication / − Develop marketing / communications / training materials
Audit Staff / Internal Control
− Review controls / limits − Define specific audit
requirements for program − Perform periodic
Cardmember audits to ensure program compliance
American Express
uses a vertical account
structure to support
both billing and
reporting processes.
Although your
hierarchy is initially
set up during
implementation, it is a
dynamic process and
can be added to as
you grow your
program or acquire
new companies. Your
American Express
Representative will
assist in any
hierarchy changes.
HIERARCHY – CONTROL ACCOUNT STRUCTURE AND FUNCTIONS
Master Control Account (MCA)
This is the highest level of your program. The MCA number is specific to your account and to the card platform (i.e.,
purchasing cards). It allows reports to be generated for ALL Purchasing cards issued under your program.
Intermediate Remit Control Account (ICA Remit)
This is typically the second level in the control account structure and is usually a Remittance level. If there are multiple remittance levels, each will usually be associated directly to the MCA level. However, multiple ICA Remits can be grouped together for reporting purposes. The name at this level is the person who will receive the bill.
Lower Intermediate Control Accounts (ICA)
This is a grouping used for purposes of reporting. ICAs can contain one or many ICAs and/or BCAs.
Basic Control Accounts (BCAs)
− BCAs are a logical grouping of your Cardmembers − BCAs are 15 digit account numbers assigned by
American Express
− BCA have a Program Administrator’s name and/or descriptor associated to it
About BCAs
Basic Control Accounts (BCA) advise American Express that the following requirements are to be followed during card issuance:
1. Hierarchy: Indicates where in the hierarchy the
card is to be issued
2. Embossing: Indicates whether a Company name
is to be included on the cards
3. Card Distribution: Central Card Distribution
indicates whether new, replacement and/or renewal cards are to be sent directly to a Program
Administrator (recipient name at the BCA level) for distribution. Direct Card Issuance indicates that new, replacement and/or renewal cards are sent directly to Cardmembers.
4. Reporting: In addition to high level reporting at the
Master level or ICA level, reporting on spending of smaller groups can be accomplished by BCA via @ Work reporting
5. Card Accounting Defaults: Cards can be
associated with default accounting information (company, cost center, etc.).
6. Plastic or Non-Plastic Account Generation:
Identifies whether a plastic card or only an account number is issued – individual vs. supplier cards.
NOTE: American Express does not offer fraud
coverage on non-plastic or plastic accounts that do not have an individual’s name on the account.
CONTROLS
Financial Controls
All purchasing card types can have financial controls applied at the transaction and/or monthly limit. The transaction limit specifies the amount a Cardmember can purchase for each transaction. The monthly limit specifies the amount a Cardmember can spend for the entire billing cycle. Both limits can be changed either temporarily or permanently by the Program Administrator using @ Work Program Management.
Internal Controls
− Manager approval of permanent limit increases − Manager review of
monthly
transactions/statement − Periodic audit reviews − Monitoring of compliance
to policy, procedures, and record retention
− Reconciliation of monthly statement
Supplier Controls
American Express provides you with the option of adding additional controls at the industry, supplier (Preferred Supplier List) or commodity level (MCC Code/Group List). The standard industry
blocking offered by American Express allows you to block travel, accommodations, restaurants, oil/gas and/or car rental at the individual card level. It is fully managed through @ Work Program Management. The supplier and commodity level options allow you to include (allow) or exclude (prohibit) purchases with only specified suppliers or commodities.
Both of these options are managed by American Express Operations. To set up a Preferred Supplier List or MCC Code*/Group List, contact your Representative. After a list has been set up, the Program Administrator can make changes directly via the American Express Customer Service Team (800.492.4979).
Purchasing Cards can be used at point-of-sale or as a card/
account number. Plastic and non-plastic solutions can be used to
simplify processes and add controls to different types of spend.
Supplier Card Pay on Ship AP/Dept. Card Pay on Invoice Individual Card Pay on Order Reconcile Invoice Receipt (IR) Purchase Order Fulfillment Goods Receipt (GR) Requisition
CARD TYPES
Individual Card
Definition: A card issued to
an individual for their use only and is coded to the user’s specific default account information (i.e. cost center, business unit, company code, department, etc.).
Usage Options:
Cardmember uses card to pay for all designated
purchases within the program guidelines and card spending limits. Cannot be used by any other person.
Functionality: The
Cardmember makes charges which are posted to their default account information that is coded to the card or other reconciliation process.
Buyer Card
Definition: A card issued to
a Buyer or Commodity Manager for items
purchased for others and charged to a department cost center other than their own.
Usage Options: The Buyer
or Commodity Manager can have one card for all
suppliers or one card for each supplier and provide cost center or other required accounting information at the point-of-sale. Suppliers must be set up with level 2 or 3 capabilities in order to pass client specific data at the point of sale – see section on Merchant Data and Acceptance
Functionality: The Buyer or
Commodity Manager makes purchases and the items procured are charged to the department cost center specified by the
requisitioner.
Accounts Payable Card
Definition: A card issued to
Accounts Payable for payment of approved invoices submitted by employees and charged to the approved cost center.
Usage Options: The
Accounts Payable card can be set up either as an
individual card assigned to a specific employee in the A/P department or set up as a department card. The owner of the A/P card is
responsible for reconciliation of the transactions.
Functionality: The A/P
Cardmember pays approved invoices and is responsible for reconciliation of the transactions. A/P Cards reduce the number of checks issued and new vendor set ups in the Vendor Master File.
Department Card
Definition: A card which has
a department cost center associated with it (hard coded) and is used to make purchases for the
department.
Usage Options: A member
of the department owns the Department Card, uses the account to purchase for the entire department and is responsible for reconciliation of transactions. Multiple members of the department may have access to the account and use it to purchase for the department.
Functionality: The
requisitioner makes purchases on the
Department Card account. If needed, the cost center and/or GL code may be provided at the point of sale or during reconciliation. Suppliers must be set up with level 2 or 3 capabilities in order to pass client specific data at the point of sale – see section on Merchant Data and Acceptance.
Project Card
Definition: A card which
has a project number or cost center associated with it (hard coded) and is used to make purchases for the project.
Usage Options: A member
of the project team owns the Project Card, uses the account to purchase for the entire project and is
responsible for reconciliation of
transactions. Only that project user, who’s name is on the card, can use the account.
Functionality: The
requisitioner makes purchases on the Project Card account. If needed, the cost center and/or GL code may be provided at the point of sale or during reconciliation. Suppliers must be set up with level 2 or 3 capabilities in order to pass client specific data at the point of sale – see section on Merchant Data and Acceptance
Supplier Card
Definition: A card which is
restricted to and used with one supplier (i.e., charges attempted at any other establishment are declined).
Usage Options: One person
is responsible for reconciling all charges with the supplier. The account number resides at the supplier and multiple requesters make charges.
Functionality: The
requester asks the supplier to enter the appropriate accounting indicator in the Cardmember Reference Field at the point of sale. The information then appears on the American Express monthly bill, Cardmember report, and MIS reports. Each charge can then be posted to the correct cost center. Suppliers must be set up with level 2 or 3
capabilities in order to pass client specific data at the point of sale – see section on Merchant Data and
CARD TYPES: SUPPLIER CARDS
How Is It Typically Used?
− A non-plastic BCA must be established in the hierarchy − The Program Administrator submits an application for the
supplier card in @ Work Program Management and obtains account number immediately
− Program Administrator requests American Express (Implementation and/or Representative) to place a preferred supplier restriction on the account to include only the designated supplier
− The supplier is given the Corporate Purchasing Card account number, expiration date, and client data
requirements. (Note: Supplier cards do not have actual expiration dates in the American Express system. The expiration date given to the supplier is usually a contract expiration date or other key date for the client. We suggest using a date 4 years out from the current month/year. The 4-digit security code is always 5555.) − The order process with the supplier typically remains the
same.
− Employees purchase from the supplier and provide relevant accounting code information.
− The supplier places the accounting code information in the Cardmember Reference Field (if they are equipped to provide Level 2 or 3 data).
− A designated person (usually a commodity manager) is responsible to reconcile all monthly transactions.
Supplier cards are
American Express
Purchasing Card
account numbers
assigned to a specific
supplier. No actual
card is issued. It is a
non-plastic account
also referred to as a
ghost account. Each
client’s supplier card
implementations are
unique. Your
American Express
Representative will
work with you and
your suppliers to
design and implement
an appropriate
strategy for your
program.
Client Strategy
− Used with strategic suppliers; facilitates 100% CPC usage with the supplier − A MOPP (method of procurement and payment) shutdown should be implemented to ensure 100% of spend is captured and duplicate payments to suppliers are eliminated
− Transparent process for the employee
− Eliminates the need to issue individual cards for a particular commodity
Please refer any
questions about
supplier cards to your
American Express
Representative
Implementation Approach
− Client works with American Express to process map ordering, reconciliation and payment processes with supplier card candidates − Client defines data capture
requirements (Cardmember reference field and 4x40 fields). Clients use the 17 character Cardmember reference field to capture either accounting, PO or requisitioner name. The 4x40 contains information about the specific
transaction.
− Certain types of suppliers have agreed to use a pre-defined template of data for the 4x40 field.
− American Express works with client to research supplier capabilities and request POS upgrade if required
− American Express and client work directly with suppliers to implement supplier cards as payment vehicle and define ordering and data capture
PROGRAM MANAGEMENT – AMERICAN EXPRESS @ WORK
®@ Work Program Management Functionality
Apply for, Cancel, Suspend
Cards
− Apply for a Card - Program Administrator
(Manage online employee application process if access key process is established)
− Apply for Rush Cards (24-hour delivery) − Review a Card application
− Receive instant account activation (Corporate Purchasing Card only)
− Cancel Cards (effective immediately; submit up to 20 transactions simultaneously; cancel from a list of inactive Cards)
− Suspend and reinstate suspended Cards − Request Card replacement
− Access key maintenance View
Charges
− View Cardmember charges for all accounts
Make Account Changes
− View hierarchy and perform transfers
− Adjust spending limits temporarily or permanently (Corporate Purchasing Card only, effective immediately)
− Update Cardmember personal information − Change accounting information (submit up to 20
transactions simultaneously)
Status Tracking
− Check the status of transactions submitted − Search status tracking
− Designate a back-up Program Administrator to perform tasks within the system
American Express @
Work is an on-line suite
of business tools that
leverages the power of
the Internet to help you
manage your program,
access reporting, and
obtain billing and other
information online. The
Program Administrator
(PA) is the primary user,
but other individuals
can be authorized to
access the system, and
can be restricted to
different levels of
access, particularly for
reporting purposes.
To register for an online workshop, visit https://amexeventcenter.webex.com
Applying for a Card
Program Administrator Initiated Applications –Log into American Express @ Work, access Online Program Management and select the “Submit a Card Application ”, enter
Cardmember information and click submit. The new card will be sent within 7 to 10 days. Card issuance can be expedited for next day issuance and overnight delivery – a $10.00 Rush Card Fee will be charged to the Card.
Cardmember Initiated Applications –Setting up the online application process for your company is a simple process. Using the tools provided through Online Program Management (OPM), you only need to establish an Access Key (a system generated alphanumeric
password) for each of your company's Basic Control Accounts (BCA). By providing the Access Key to the employee, they can go on the Internet, enter the Access Key and initiate the application process. This ultimately helps save you valuable time while simultaneously reducing data entry errors. The streamlined process is illustrated as follows:
− Receives Access Key − Visits Website
www.americanexpress. com/corporateservices
− Completes and submits application online Program Administrator/ Approving Manager American Express New Applicant
− Receives notice from Amex @ Work that new application was received − Reviews application for
completeness and adds information as required − Submits to American
Express online
− Processes and makes credit decision on application
− Issues Card if approved − Provides notification to
applicant (via e-mail/US Mail) and to the PA (via Amex @ Work)
Establishing the Online Application and Approval Routing Process
Step 1: Create Access Key
After logging into American Express @ Work, access Online Program
Management and select the "Access Key Maintenance" option. On the next screen, enter the Basic Control Account (BCA) number to create an Access Key for that account.
For security reasons, we suggest that you enter the maximum number of applicants allowed to apply under this BCA in the
“Application Limit” field. Next, enter a beginning and end date for which the Access Key will be valid. Also, give it a "nickname" – a short description to help you remember to which BCA it is linked. When you're done, click “Create” and the system will generate an Access Key. There can be only one active Access Key per BCA per Program Administrator. They are system generated and cannot be customized, but you can expire or change an Access Key at any time.
NOTE: The Access Key identifies to American Express the company, the responsible Program Administrator, the Basic Control Account, the specific Card product (Corporate Card or Corporate Purchasing Card) and the corresponding application to present to the employee.
NOTE: You need to create a unique Access Key for each Basic Control Account that you administer
Step 2: Communicate the Access Key
Although this process varies from company to company, we've listed three common ways Access Keys can be communicated to employees/applicants:
− The Program Administrator provides the Access Key directly to the employee/applicant via email or phone; − The Program Administrator creates a listing of Access
Keys with associated departments on the company Intranet, with simple step by step instructions on how employee/applicants process their applications online, or
− The Program Administrator provides the Access Key to an Approving Manager (such as department managers or human resource representatives), who then provides this key to the employee/applicant via email or phone.
Since Access Keys essentially grant permission to apply for a Corporate Card and/or Corporate Purchasing Card, you need to decide the procedure and under what
circumstances the Access Keys will be given to potential applicants.
NOTE: No online Card application will be sent to American Express for processing unless it is approved by the
Step 3: Set Up Approval Routing
The Program Administrator may activate approval routing by going to the “Access Key Maintenance” section of Online Program Management and providing their email address and the name, phone number, and email address of the
Approving Manager (if other than the Program
Administrator). This is an optional step for those Program Administrators that may not know the Approving Manager’s contact information.
Program Administrators can select one of the email options provided to have an automatic notification sent to the Approving Manager when an applicant submits a Card
application. The email options affect the verbiage of the email only. In any selection, the applicant will be required to
complete their approver information (even if the option is PA notification only).
The following options are available:
Response Required: This
option informs Approving Managers that they are required to respond to the message with approval or denial before the PA can take any further action.
Response Optional: This
option notifies Approving Managers about the pending application, but does not require a response to the message. In the event that the Approving Manager does respond, the PA would take the appropriate action on the application.
Advise Approver: This
option advises Approving Managers of the pending application, but gives the PA ultimate authority to approve or deny the application.
PA Only: This option sends
an email only to the PA and allows complete authority over the approval or denial of the application, but gives the PA the approver information that was required of the applicant.
Instant Account Activation of
Corporate Purchasing Cards
CPC Instant Account Activation gives Program Administrators the ability to immediately
receive a Corporate Purchasing Card account number and expiration date so that the
Cardmembers may begin using their new CPC Card numbers even faster.
To use this functionality and receive an instantly activated account number, all you need to do is:
Step 1: Submit a CPC Card application via
Online Program Management using the “Submit a Card Application – PA-initiated” functionality or review and approve an employee-initiated CPC application using the “Review Card Applications” functionality.
Step 2: Click "Activate Now" on the
confirmation screen after submitting the Card application. Average processing time is usually less than 40 seconds. The system will return the Corporate Purchasing Card Account Number and the Expiration Date and will be ready for use for phone, mail and online charges only.
24
Step 4: Encourage Employees to Apply Online
After it has been determined that an
employee should receive a Card (and therefore,
receive an Access Key), they should be directed to apply online by visiting www.americanexpress.com /applyforcard.
The employee can enter the Access Key on the next screen. The employee will automatically be presented with the correct Corporate Purchasing Card
application specific to your company.
The applicant fills out the information as requested, enters their approver’s email address, name and phone number, and clicks the “SUBMIT” button when finished. If there's any important information missing, the system will prompt for corrections.
Once the employee submits the application online, it is routed to the Program Administrator. At the same time, the email is routed to the approving authority for review
depending on how you set up the approval routing for your company.
The Program Administrator is notified via email when an employee submits an
application for approval, and the email notification you selected when setting up the approval routing process is automatically sent to the Approving Manager, if applicable, advising them to either approve or decline the applicant’s Card request. Once the Approving Manager responds to the email message and forwards an approval or denial of the application, the Program Administrator can review the application and process it as usual, approving or denying the application according to the Approving Manager’s request.
If the application is not approved, the Program Administrator will reject the application and Online Program Management will generate an email message to the applicant, notifying the employee that his/her
application has not been processed.
Step 5: Approve the Employee Applications
When you log into Online Program Management and select "Review Card
Application", you will see the applications that are waiting for your review: You may also access applications pending review from the “Status Tracking – Overview” screen (click on the highlighted number in the “PA Review” column).
Click on the Tracking Number to take you directly to the application. Alternatively, you can search for the application in "Status Tracking – Search" if you have more detailed information about the application, such as the applicant’s name, application date, or tracking number. From here, the process is the same as if you were
submitting the application on behalf of your employee – only the application is already completed for you.
Review it for any information you may need to add or change and make the same decisions that you would normally make before sending a Corporate
Purchasing Card application.
When your review is
complete, click on “SUBMIT” to send the application to American Express for
processing. If you decide an applicant should not receive a Card, choose a reason from the drop down list and click on “DECLINE”. In this case, the Status Tracking screen will indicate that you have declined the
application.
If the Program Administrator approves the application, the Corporate Purchasing Card will automatically be issued and mailed by American Express (allow 7 - 10 days for delivery).
If the applicant has provided an e-mail address, they will receive a status update and approval notice via e-mail, followed by the actual Card via US mail. The Status Tracking –
Overview section of OPM can help you monitor the
progression of Corporate Card and Corporate Purchasing applications throughout the entire process.
NOTE: You still control your company's final decision on whether an employee is
allowed to apply for a Corporate Purchasing Card. If you decide to decline an employee’s application rather than sending it to American Express, you will need to explain it to them as you would today.
1. Click on "Cancel a Card" from the Online Program Management drop-down menu on the American Express @ Work Home Page.
2. Enter the Cardmember's account number into the designated area.
3. Click on "NEXT." 4. Confirm that you have
selected the correct account to cancel by
reviewing the Cardmember name that appears.
5. Select a reason for cancellation from the drop-down box. Choices include:
− "No longer needs Card' − "Deceased"
− "No longer with Company" (default option)
Up to 20 Cards at a time can be cancelled
online through American Express @ Work
6. Decide whether you wish to continue with the cancellation: 7. If you click on
"CANCEL," you will return to Step 2. 8. Click on "SUBMIT," to
go to step 10.
9. A confirmation page will appear with a tracking number. This number is one of several ways in which you can access the status of the transaction.
10. If you would like to perform this transaction again for a different account, enter the account number in the appropriate box at the bottom of the screen and click "NEXT."
Canceling a Card
Cancellation may be processed online through American Express @ Work. The online cancellation is immediate.
1. Click on "Purchasing Card Limits" from the @ Work Online Program Management drop-down menu on the American Express @ Work Home Page.
2. Enter the Cardmember's account number into the designated area and select the type of limit (permanent or
temporary) to be modified.
3. Click on "NEXT." 4. The current settings for
Transaction Limit, Transaction Variance, Monthly Limit, Monthly Variance, PSL threshold Limit, and Preferred Supplier List ID will appear in the appropriate boxes.
5. If establishing or changing temporary limits, previous temporary settings for Transaction Limit, Monthly Limit and End Date will appear, if there are any. 6. Click in the appropriate
box to edit/change the settings as desired. If establishing temporary limits, enter the End Date of the limit. The "End Date" is the last date the temporary limits will remain in effect before reverting to the original permanent limits.
7. At the bottom of the page, check the boxes in
industry categories where Card usage should be blocked for that particular Cardmember. Restrictions can be changed
temporarily as well.
− If you click on "RESET" all prior settings will clear.
− If you click on "CANCEL" you will return to Step 2.
− If you click on "SUBMIT" go to Step 8.
− A confirmation page will appear with a tracking number. This number is one of several ways in which you can access the status of the transaction.
8. If you would like to perform this transaction again for a different account, enter the account number in the appropriate box at the bottom of the screen,
choose whether you wish to change permanent or
temporary limits and then click "NEXT."
Changing Cardmember Limits/Restrictions
Cardmember limits and/or restrictions may be processed online via American Express @ Work. The PA must authorize any such changes, as follows:
Important: Limit changes become effective immediately. Permanent limit
changes will overwrite any temporary limits that are currently in effect.
Changing a Cardmember’s Address
1. Click on "Change a Cardmember's Address" from the Online Program Management drop-down menu on the American Express @ Work Home Page. 2. Enter the account
number and click on "NEXT."
3. The current address and phone information will appear in the appropriate boxes. Edit any of the information as necessary:
− Click on "RESET" to clear all prior
settings. − Click on "SUBMIT" to go to Step 5. − Click on "CANCEL" to return to Step 2. 4. A confirmation page will appear with a tracking number. This number is one of several ways in which you can access the status of the
transaction. The
change will be effective within 24 hours, but is usually completed in a much shorter period of time.
5. If you would like to perform this transaction again for a different account, enter the account number in the appropriate box at the bottom of the screen and click “NEXT.”
Integrated Program Management (IPM) Lite
IPM Lite offers clients a more simple solution to automate transaction processing for their Corporate Card or
Corporate Purchasing Card program. This automated service allows clients to submit one-way transactions for Apply for Card, Cancel Card and Accounting Information Changes using a data file via a secured file transfer. All transactions processed can be monitored with the @ Work Online Program Management product which allows the program administrator to verify the status of all transactions.
Minimum Client Requirements
In order to use American Express Integrated Program Management - Lite you will need an existing Corporate Program with American Express. In order to invoke an American Express Integrated Program Management – Lite service you will need to do the following:
− Understand the file specifications provided by American Express
− Ability to develop a flat text data file in the layout specified by American Express
− Ability to establish a Secure File Transfer (SFT) connection in test and production environments
− Select a SFT protocol and configure client software with the ability to setup transmission schedule, configure ports and firewall, and setup file transmissions parameters
Integrated Program Management (IPM)
Integrated Program Management or IPM is a secure, system to system communication between a Client’s Human Resources information database (ERP) and American Express @ Work Online Program Management (OPM). The communication automates changes made in your ERP that trigger changes to your American Express
Purchasing Card program.
IPM reduces manual,
labor-intensive
processes through
automation and allows
you to view and
monitor the status
of new applications,
cancellations and
information changes
in real time.
FINANCIAL RECONCILIATION
Purchasing Cards
instantly streamline
accounts payable
through the elimination
of invoices and checks,
and make purchasing
and payments easier
across all commodities.
To ensure that data
capture and financial
reconciliation are just as
seamless, American
Express offers several
options for reconciling
transactions –
Corporate Account
Reconciliation (CAR) or
daily/monthly data files.
American Express @ Work Corporate Account Reconciliation (CAR)
Using the American Express @ Work Corporate Account Reconciliation (CAR) tool, clients can efficiently manage the accounting allocation and reconciliation process, automatically integrate all their spend data into their company’s back-end financial systems, and gain visibility for different types of spend, including CPC, Corporate Meeting Card, CDEP, Corporate Card, or BTA.
Maximize Control
− Multiple levels of access. CAR enables several levels of access to support an organization’s compliance and oversight needs. For example, access can be set up for Cardmembers to view transactional charge information (including enhanced data supplied by Level 2 and Level 3 merchants), add project IDs for budget tracking and specialized reporting, edit accounting allocations, split transaction allocations by percentage or specific dollar amounts, and add comments to enrich transaction detail.
−Cardmember managers, program/system administrators, or cost center/commodity managers based on G/L codes can manage and monitor the approval process, download data by cost center or project, and run reports.
− Transaction review/approvals. CAR enables four levels of transaction and billing cycle review/approvals to ensure Cardmembers have reviewed charges, and managers/cost center managers have authorized spending.
− Robust reporting. Obtain detailed and summary CAR Reports via American Express @ Work Customized Reporting (www.americanexpress.com).
Program Administrators can manage accounting
information, users, and role permissions 24/7
Drive Savings
− Easy implementation. CAR is a global, web-based reconciliation tool, which enables remote implementation at every site, regardless of ERP/financial or other back office systems. This solution can help save money and eliminate the need to travel to each physical location for installations and upgrades. There are no software installations and no need to manage upgrades.
− Custom integration. Our Global Technical Enablement Consultants (gTEC) will work with clients to analyze their business needs and set up their accounting codes and business rules. They can also create ERP interface files using our patented Interface File Builder, reducing clients’ IT programming time and cost.
− Robust data. Because American Express operates a single network with direct relationships with suppliers, our data helps improve accuracy and reliability. Advanced mapping options and end user access improve accuracy and reduce the time it takes to reconcile charges.
− Finance will instantly benefit from efficient data
management, as CAR eliminates the need for manual
data entry of transactional information and approvals into the accounts payable system. At the same time, it adds the ability to view and modify information by any
accounting field, including cost center, in addition to standard Card information. This helps avoid time consuming and tedious journal entries after close.
− Leverages the enhanced data added by users during the review/approval process and automatic tax estimations for record keeping.
Benefit Employees
• Increase individual user
accountability.
Transactions are posted daily, so Cardmembers, managers or administrators /auditors can view, validate, add comments, review/ approve*, and reallocate charges daily or whenever is convenient, 24/7.
Administrators can set up triggered e-mail
notifications to all
registered users based on permissions.
• Reallocate charges
faster. Users can access
the Mass Reallocation function to change cost center coding and other accounting information on multiple transactions.
* Note: Approving transactions is an optional feature that can
be turned on or off at each site. Clients must pay their entire balance regardless of whether a transaction was “approved.”
Data Files
Depending upon your Finance and IT
requirements, you may elect to receive a monthly or daily data file with default
accounting information (KR 1022, KR1025 or KR1075 files). Clients use these files to upload transaction
information to their financial system to create journal entries in connection with payment of the consolidated invoice or to an existing reconciliation module of their financial system.
The method of transmitting data files is established between the client’s IT department and the American Express
Electronic Transmissions Team. The types of files transmitted are standard data files that are received by the client’s IT department and uploaded into the
financial system and/or other internal reporting tool (i.e., data warehouse) using client-defined protocols.
The KR1022 is the monthly file of billed transactions. The KR1025 and the KR1075 are daily files of unbilled transactions. However, the KR1075 file provides any line item detail provided by a supplier (see Section on Merchant Data and
Acceptance for differences in supplier data capture).
REPORTING
Information @ Work is a
suite of intuitively
designed, must-have
reports that provide you
with a single source
for Management
Information about your
program. Once you are
enrolled in Information
@ Work you will
automatically receive a
standard set of reports
and can opt to receive
additional reports.
Information @ Work
The Essential Report Package is a simple turnkey group of reports that will help you to manage cards easily, monitor compliance effectively, and analyze company spending to identify savings opportunities. For more robust information needs, you can also opt into any of the Supplemental reports.
Data is compiled from across your Card program and delivered monthly on American Express @ Work®. The reports are available in two convenient formats:
− PDF that is pre-formatted in a simple layout
− XLS that enables you to easily filter, sort and manipulate your data for analysis
The Purchasing Card reports in the Essential Reporting Package are:
− Cardmember Listing − Cardmember Activity − Sales Tax Report
− Spending by Vendor Tax ID − Industry Spending
The Supplemental Reports are:
− Supplier Diversity − Declined Transactions
@ Work Customized Reporting
Customized Reporting is a fully interactive web-based reporting solution that gives you the power to review and manipulate your Card data. The user friendly interface consists of these key components:
− One Report List – Access your reports from one place
− Simple Report Builder
– Search for report
templates, view sample reports, and customize with ease
− Powerful Report
Viewer – Advanced but
easy-to-use functionality to manipulate your data − Convenient Report
Scheduler – Schedule
reports to run daily, weekly or monthly
@ Work Customized Reporting allows you to save reports that you have customized and even share them with other users in your company. There are a number of report templates that focus solely on Purchasing Card spend and controls, including the following:
− Approaching Limits – Monitor compliance by anticipating charges that could be declined due to Cardmembers approaching their limits. − Corporate Purchasing Card Declined Transactions – Monitor compliance by reviewing declined transaction information for all types of declines.
− Listing of Cardmembers
on MCC or Preferred Supplier Lists – Manage
cards reviewing both Merchant Category Code (MCC) Block lists and Preferred Supplier lists. The report provides the Cardmembers associated with these lists.
− Listing of Codes or
Suppliers on MCC or Preferred Supplier Lists –
Manage cards by reviewing Merchant Category Code (MCC) Block lists and Preferred Supplier lists. − Transactions by Supplier
with Line Item Detail (LID)
– Monitor compliance by reviewing the line item detail provided by enhanced suppliers.
CARDMEMBER MANAGE YOUR CARD ACCOUNT
By enrolling in Manage
Your Card Account
(MYCA) from American
Express, Cardmembers
can view current and
past statements and
much more. This
service is free and
secure, and takes just a
few seconds for
Cardmembers to enroll.
Your company can
realize potential cost
savings and maximize
control over your
Card program
by using MYCA.
With 24/7 online access to account information and billing statements, your Cardmembers can save time and help streamline the expense reconciliation process for your company. MYCA features include the following
− Access account information 24 hours a day, 7 days a week − View statement activity and details
− Track unbilled, billed and previously billed activity for the past twenty-four months
− Request billing statements dating back to October of 2004 − Review spending limit, balance and open-to-buy amount − Update Cardmember profiles (address, email, phone
number, etc.)
− Set up account alerts, delivered via text or email, such as “Statement Ready”
− Initiate charge inquiries and disputes
− View USD equivalents of foreign currency transactions
Manage Your Card Account Resources & Registration
Take a tour of online account management options at http://corporate-demo-americanexpress.com
Call the Help Desk at 1-800-AXP-1234 for questions on MYCA. Activate New Card & Enroll in MYCA by visiting:
www.americanexpress.com/activate Enroll in MYCA only by visiting:
www.americanexpress.com/checkyourbill
For more information, contact your American Express representative to attend an online workshop or visit www.americanexpress.com/paworkshops
ENCRYPTED MAIL TOOL
What is American Express Encrypted Email Tool?
The American Express Encrypted Email Tool employs proven encryption technologies to provide strong security to sensitive email communications. American Express uses the Encrypted Email Tool when sending sensitive data to external customers. The Encrypted Email Tool helps to achieve and maintain regulatory compliance and enforce proven practices email protection. It effectively mitigates the risk of email security breaches by
providing end-to-end security for email and mobile
messaging.
How is American Express Encrypted Email Tool used at American Express?
Currently, the Encrypted Email Tool is used by a number of users within different Business Units for sending secure
communication to external recipients. The Encrypted Email Tool is the preferred method for sending emails to external recipients who do not manage their own gateway or transfer a low volume of emails.
What are the benefits of American Express Encrypted Email Tool?
− No Additional
Software: No special
end user software is required for encryption or decryption. − Maximum Email Security: Employs proven encryption technologies to keep email communications protected. − Compliance: Supports compliance with
eDiscovery and other email security
requirements (e.g. virus scan, DLP).
− Easy to Administer: Eliminates the need to store encryption keys.
PURCHASING CARD BEST PRACTICES
In addition to the best
practices shared
throughout this
section, make sure to
obtain management
support from a senior
level champion to drive
greater program
visibility, promote
timely decisions and
adopt change in
processes across
your business.
Policy/Program Guide
− Develop a high-level company policy which defines the program’s overall structure and fit within other
procurement policies.
− Create a well-defined Cardmember Application
/Agreement / Acknowledgment Form outlining the terms and conditions by which the Cardmember must abide. Terms and conditions should include the following: Card Policy, General Guidelines and Usage, Abuse and
Enforcement, Account Distribution Detail, Cardmembers, Managers, and Program Administrator signatures.
− Write an effective Cardmember Guide. The guide is a quick reference manual to provide information and answers. The best guides follow the “KISS” principle (keep it short and simple), seven to 10 pages in length, and clearly states the policy, Cardmember responsibilities and key program contacts.
− The most successful programs have effective training. Strong training is dependent on clear policies,
procedures, and guidelines that are well documented, clearly communicated, and distributed to all key participants (e.g. Cardmembers, suppliers).
"Effective communication is critical for getting people to embrace the process changes associated with Purchasing Card program implementation.
Your organization should convey the Purchasing Card business case, tailoring the message to fit each audience.“
Metrics / Goal Setting
− Thoroughly understand your current purchasing process before you begin. − Set goals and objectives
for the Corporate
Purchasing Card program that are aligned with overall business and procurement objectives (i.e., transaction
reduction, improve supplier management, reduce procurement and/or finance costs, reduce cycle time for purchases, increase employee satisfaction, improve spending controls, etc.)
− Choose metrics that correspond to goals and objectives and that are easily calculated and measured.
− Assign responsibility for tracking and
communicating results. − Keep it simple! Track only
a few significant measures.
Cardmember Strategies
− Careful selection of the initial Cardmembers helps ensure program success, allows for proactive program fine tuning and brings quick resolution to program issues. Poor
Cardmember selection increases the risk of “perpetual pilots” and resistance to a program.
− Select Cardmembers who most frequently request checks or buy the commodities selected for the program. The Corporate Purchasing Card Program yields the most benefit when the Cardmember is the actual user of the item or service.
− Choose Cardmembers and organization(s) that are well-respected. This group has the ability to champion, at the peer level, the program beyond the pilot phase.
− Select Cardmembers and organization(s), plants or sites that will be the most difficult to convert. The most difficult customer likely will be the strongest proponents of the program after the program has proven itself to this group.
Supplier Strategies
− Take an active role in contacting, educating, enrolling and training suppliers
− Choose preferred suppliers from those with the highest transactions and dollar volume.
− Use suppliers who already accept American Express, where appropriate. This will reduce the implementation time and allow for faster ramp up of one’s program. These suppliers have already received training and some have systems directly integrated with American Express. − By using preferred
suppliers and reporting, Purchasing can work toward reducing the number of vendors supplying a particular commodity. The practice of building strategic supplier partnerships increases negotiating leverage with preferred suppliers and eventually leads to overall purchase price reduction. "Top performing organizations have educated
their supplier base as to the optimal efficiencies enabled by electronic payments, such as working
capital improvements and quicker settlement, as well as real time validation of errors and the
ability to view invoice and payment status through a secure portal."
– E-Payables: Electronic Payables – Reduce Your Payables processing Costs, Aberdeen Group, 2009
− Establish clear audit standards and procedures and promote adherence to card usage procedures through effective
communication of policies and by establishing
corrective procedures. − Establish internal control
policy by defining the basic responsibilities of each group within the organization participating in the program
(Cardmember,
Accounting, Purchasing, Department/Cost Center Manager, and Program Administrator).
− Based on Cardmember and supplier strategies, determine the appropriate spending thresholds. Additionally, determine purchases and suppliers that should be excluded from the program. Define key compliance areas (tax, preferred suppliers, reconciliation, internal procedures).
Card Type Strategies
− Use the card for high volume transactions (purchase order, blanket release or invoice) commodities / suppliers. − Select the right card type − Use the card for any
transactions currently billed in a consolidated format and require back-end processing for account distribution.
− Deploy the card to the organizations or locations generating the most check requests, purchase orders or invoice transactions. − Use American Express
reports and transaction data as compliance reporting tools.
− Initial audits should focus on ensuring that policies and procedures were adequately understood and properly applied by Cardmembers.
− On-going periodic audits of transaction data for accuracy and
completeness should occur once the program is fully running.
Data Requirements
− Determine data and reporting requirements early in the account design; establish a solid “hierarchy” that provides the basis for American Express generated MIS reports. − Role of IT should be clearly defined based on resources
and capability.
− Maximize the utility of Cardmember and supplier data which is resident in the American Express system to avoid re-entry of data at POS (point of sale).
− Use client-defined Cardmember data fields (Employee ID, Cost Center, Universal Field) to link the Cardmember and transaction to existing systems and databases (basic accounting defaults, internal reporting structure, mapping to tables/databases); Cardmember data should be
structured to reflect a hierarchy appropriate to management reporting requirements.
− Use the Cardmember reference field at POS to further characterize the transaction (override basic accounting defaults for Cardmembers who purchase for multiple cost centers, or capture P.O., requisition, work order, or project numbers).
− Use POS 4x40 product descriptor fields to provide description in “free form”. Mapping of data in these fields takes place only for those charges where further data is essential and where a close relationship exists with the supplier.
− Communicate client-specific POS data requirements to the supplier via supplier seminars, one-on-one training, etc. Provide timely feedback to the supplier regarding the accuracy of the data input at point of sale.
− Data input at POS for unique client requirements should be designed for ease of use by both the Cardmember and the supplier inputting the data.
Financial Systems
− Establish financial system data requirements as part of the program design. − Communicate financial
system data requirements to American Express as an integral part of account design and setup.
− Build an effective process for changes/corrections to Purchasing Card data. − Accounting defaults are
resident in Cardmember data.
− Data is matched against client resident data bases. − Achieve maximum
process improvement by placing responsibility for reconciliation of
transaction data with the Cardmember.
− Interface the card data directly to the AP or GL via CAR interface module or data file. This process removes Accounting and Accounts Payable
personnel from daily transaction processing to perform more value-added tasks.
Tax Compliance
− Involve your tax
professional early in the process of implementing a Purchasing Card program. − Require preferred suppliers
to be “Purchasing Card capable” in order to capture sales tax and other
enhanced information. − Encourage Cardmembers
to purchase from preferred suppliers that are
“Purchasing Card capable” to ensure that tax
information is captured. − Develop a company policy
for handling sales tax on the small number of
transactions generated via suppliers without CPC data capture equipment.
− Use Corporate Purchasing Card “Sales Tax Reports” as a tool to aid tax
compliance.
− Use Corporate Purchasing Card “Spending by
Taxpayer ID” reports to accumulate purchases made at vendors for whom you file 1099’s. Merge CPC data with your existing database for IRS reporting.
SAMPLE GOOD FIT COMMODITIES
Advertising Fleet Pest Control
Architect Freight Petty Cash purchases
Audio / Visual Fulfillment Material Photocopying
Bearings Furniture Photographic Material
Black Car Service Gases Plant Services
Blueprints Government filings Plumbing Supplies
Books Guard Services Postage
Building Supplies Hardware Presentation Supplies
Business Cards Hazardous Materials Printing
Business Forms Incentive Awards Professional Dues
Catering Industrial Gases Publications
Cellular Phones Industrial Supplies Record Retention
Chemicals Integrated Suppliers Relocation
Cleaning Services Internet Fees Safety Supplies
Coffee Service Janitorial Supplies Security
Computer Hardware Lab Supplies Shipping Supplies
Computer Peripherals Landscaping Shop Supplies
Computer Supplies Legal Services Storage
Conferences Licenses Subscriptions
Consulting Linens Supplies
Contract Labor Locksmith Taxes
Copiers Lumber Telecommunications
Copies Magazines Telephone
Corporate Contracts Mailing Equipment Temp Services
Courier Services Maintenance Contracts Tolls and Bridge Fees
Drug Testing Maintenance Supplies Tools
Electrical Supplies Memberships Trade Shows
Employee Health Microfiche Training
Equipment Leasing Mill Supplies Uniforms
Exterminating Moving Supplies Utilities
EZ Pass Office Supplies Vehicle Lease
Fax Machines Overnight Mail / Shipping Vehicle Repair
Fax Supplies Parking Veterinary
