Path : Purchasing > Purchase Orders

Image : Purchase Order

Purpose :

When the Entity/the user requires to purchase an items or may be a service, first of all they may request a quotation (optional) from the supplier. Once the quotations are evaluated the entity/user may have selected a supplier to purchase the intended item or service.

(*) After selecting the supplier, the user raises a Purchase order specifying the items to be purchased, the quantities, any other required details.                          

Such a Purchase order (PO) then requires to be Approved and Authorized by relevant persons in the entity.

Data Input

The user can query details pertaining to Purchase Orders giving;

• Purchase order No         
• Status
• Supplier
• Date
• All Locations

And press <Find Transaction> Button. 

(*) To raise a Sales Return Press <New Transaction> button and it enables the user to proceed forward to the Purchase Order Details dialog box.

Purchase Order No :

Once the Purchase order(PO) is duly entered and saved, the system will provide a number with next serial no.

This PO number is used as the reference number for the Purchase order.

Supplier :

The user requires to select a Supplier from the List to raise the Purchase Order.                                                  By this it is expected that Items are to be purchased or services are to be  rendered from this supplier.

Type :

Select the type of item that Purchase orders to be raised.

At the supplier creation, the account type is either defined Trade or Non Trade.

Quote Ref :

As we discussed at “Purpose”, generally there may be a quotation requested from supplier  by the user. Once the quotation is receive from the supplier the User can enter the Quotation no as a reference to the Purchase order to that is to be raised.

ETA :

Estimated Time Of Arrival. Select the expected ETA of the Goods.

Comment :

Enter relevant comment pertaining to Purchase Order. E.g. Order for December fuel invoices.

Grand Total :

When Purchase order is properly entered and saved, the total amount of purchase order raised would be picked as Grand Total here.

Payment Term :

Select the relevant Payment Term pertaining to Purchase order. E.g. Whether payment is to be made when ‘goods being arrived’.

Trade Term :

Select the relevant Trade Term pertaining to Purchase order. When Trade Terms are defined, there may be other Purchase costs (e.g. Bank Charges, Freight Charges) added to Cost Components. Therefore when user selects the Trade terms at Purchase order raising, such other cost will be taken in to count as well.

Administration > Purchasing > Purchase Costs / Trade Terms

These Other Costs are generally taken at Services.

Currency :

Currency set for supplier will be taken here.

Products/Services :

Select products from the list to raise the Purchase Order.

Purchase Order for a product.

Products :

Select the product which intended to be raised a purchase order for.

Only the products assigned for selected supplier are listed here.

Code :

Once Product is selected, the Product code (predefine in Product Creation) will appeared in this field.

Product Name :

Once Product is selected, the Product code (predefine in Product Creation) will be displayed here.

Unit of Measure :

The Smallest purchasable unit of product defined at Product Master is taken here.

Qty :

Enter the no of quantities (In given UOM) the user wishes to buy form supplier.

List Price :

This Price is already set at Administration > Product & Services > Product Pricing.

Therefore here users is not allowed to alter the price.

Gross Price :

Qty * List Price

Tax :

The defined rate of Tax is applied here. Taxes and rates are defines at

Administration > Accounts >Taxes

Total amount :

Gross Total + Tax

Purchase Order for A Service

Service Name :

Select an account for which service to be charged against.

Description :

The user can enter a suitable description of the service order And this is a mandatory field to be entered.

Quantity :

Enter the amount of service to be received. E.g. No of service hours, Service times to be ordered.

Supplier Price :

The User requires to enter the each unit price which is in quotation or any other way agreed with supplier.

Tax :

The Applicable tax type has to be assigned at Administration module.

Tax% :

The Applicable tax rate has to be assigned at Administration module.

Total Amount :

The total of quantity ordered for each service is taken here.

<Delete> : Press the button to remove the service detail entered in that row.

Save : 

Press <Save button> to save entered details.

Once Purchase order is saved properly, Next the user requires to approve it.

After being approved, Po has to be Authorized. Then It has to be taken to Print. Once Printed is done PO can be preceded to GSRN status.

Purchase Order Enter > Approve > Authorize > Print > Raise GSRN > Approve > Costing > Authorize

Image :