Purchasing and receiving

Requisitions identify the requested product, quantity, need date, cost center and estimated value. Buyer converts an approved request into purchase orders and purchase order lines, retaining the request’s purchase link. Suppliers and supplier-item terms provide approval, lead time and agreed purchasing terms. Goods receipts record physical arrival against the order. Supplier invoices and invoice match exceptions explain whether the invoice agrees with that commitment and the received goods before finance schedules a payment.

An approved buying request does not prove material arrived. An Accepted receipt does not prove the supplier’s invoice is payable. Keep those decisions visible at their own records, with the person responsible for the next handoff.

• Review the purchase commitment. Buyer prepares the Submitted purchase order. The assigned Approver reviews the evidence through the agreed independent decision action.
• Check the incoming requirement. A receipt waits for inspection when an active incoming inspection plan applies. Quality Inspector records the inspection outcome.
• Explain the invoice difference. An invoice match exception identifies the difference, the invoiced and expected values, and the person assigned to investigate. Resolve the difference before presenting a payment-ready invoice.

Agree purchasing thresholds, approved supplier requirements and segregation between requester, Buyer and deciding actor. Name the assigned Approver for the buying decision and rehearse that review independently of the request and conversion. Define receipt quantities, inspection requirements and the permitted matching tolerance. For a quotation request, agree how Buyer gathers supplier replies and records the awarded supplier and price. Check the chosen supplier against the intended part, purchasing unit and need date before using the award in the buying decision.

Production Planner raises a requisition for a shortage. Buyer checks positive quantity and estimated value, then converts the Approved request using an approved vendor contact and the destination raw-materials warehouse. Repeat conversion before sending the order: the action must refuse the request because its purchase order link is already set, preserving the original commitment. The independent approval is recorded before the purchasing action proceeds.

When material arrives, Operator records goods receipts and Quality Inspector handles the Incoming inspection requirement. A receipt already associated with a stock or inspection effect must not create the effect again. Later, Accountant receives a supplier invoice whose amount differs from the received quantity at purchase unit cost. Matching must create an Exception and retain the difference, rather than force Matched to make payment easier. Buyer reviews the assigned matching exception with Accountant before any required invoice approval. Ask finance to distinguish a payment run marked Authorised from an actual Paid outcome with bank confirmation.

• Pending PO Approvals — Submitted purchase commitments with vendor, required date, amount and Buyer.
• Incoming Inspection Queue — Receipts awaiting inspection before acceptance.

Purchase request to payment details the handoffs. Inspection to quality release handles failed receipt evidence. Review connections before assuming supplier or bank messages are automated.