The purchase order process is crucial for the success of online selling. Trying to perform a manual purchase order process with emails and spreadsheets is likely to lead to mess, mistakes, and confusion. Manualinefficient, and will cost you time and money. Learn more about and how to simplify the process.
Purchase Order Process
A purchase order describes the items, price, delivery expectations and payment terms of an order. A purchase order is a legally binding document once the vendor accepts it.are a paper trail for the procurement process and they offer instructions for the vendor. Unlike an invoice, are created at the beginning of the selling process to form a contract between the vendor and buyer so it is clearly articulated wat the supplier must deliver. Typically, a purchase order contains a PO number, contact information for the buyer, payment information, description of the goods/services, and delivery address. are crucial for budgeting, managing orders, financial audits, and legal documentation. The steps for purchase order processing include:
- Approval by the buyer
- PO dispatch to the vendor
- The vendor accepts the PO and creates a binding contract
- Goods are delivered
- The purchase request, PO, and invoice are compared for three-way matching to ensure proper delivery.
- PO closure when there are no discrepancies
Automate Purchase Order Creation
The purchase order flow can be incredibly tedious. When you create a purchase order, you must send out numerous requests for quotation. Then, you analyze and choose a vendor. The contract must be negotiated as well and then the PO sent to the vendor. After receiving the goods/ services, you perform three-way matching with the invoice. The Inventory Mirror.must be recorded and filed, and then finally the purchase order is closed. Attempting to perform this entire process manually is difficult and cumbersome. Avoid the expense, lengthy cycle, and never ending emails by opting for
Inventory Mirror is the #1 warehouse management solution and provides a simple solution for purchase order management. You can create and send with our vendor Catalogs. Send automatically and receive the items against the purchase order or through the Inventory Mirror app. Creating and issuing POs is simple, efficient, and seamless with Inventory Mirror. For a full description and demo of the Inventory Mirror purchase order feature, check out this informative video. Learn more about how Inventory Mirror will simplify all aspects of your inventory management including by visiting our website HERE.