What is the purpose of a Location Customer Account Number (LCAN)?

The purpose of a Location Customer Account Number (LCAN) is to manage multiple account numbers with the same supplier. In procurement, organizations often work with suppliers who operate in various geographical locations or divisions. Each location may have its own unique relationship and account with the supplier, necessitating the need for distinct identifiers. The LCAN allows businesses to effectively track and manage these relationships by assigning a unique customer account number for each location, making it easier to handle transactions, communications, and records specific to that location.

This capability ensures that the organization can streamline its procurement process, maintain accurate accounting records, and facilitate smoother interactions with suppliers by preventing confusion that may arise from having multiple accounts pooled under a single identifier. It plays an integral role in maintaining effective and organized supplier management practices.