Purchase Order Details

The Procurement -> Purchase Orders -> Purchase order details shows the detailed information about a purchase order.

Jump to:

  1. Purchase Order status.
  2. Creating a new Purchase Order or a Request For Quote (RFQ): 
    1. Create a Purchase Order.
    2. Create a Request For Quote (RFQ).
    3. Purchase Terms.
    4. Discounts, taxes, additional fees, landed cost.
    5. Delivery schedule.
    6. Foreign currency.
    7. Import a Purchase Order.
    8. Purchase Order approval.
    9. Attach files.
    10. Automatically attach item files.
  3. Sending documents to the vendor. 
    1. Send a Purchase Order.
    2. Send a Request For Quote (RFQ).
    3. Send a Delivery Note.
    4. Edit the PDFs.
  4. Reporting PO receipt, delivery of goods, putaway to storage locations: 
    1. Full or partial receipt of PO.
    2. Putaway of received goods, registering storage locations.
    3. Undo the receipt of PO.
    4. Stock lot, batch, and serial numbers.
    5. User access permissions.
  5. Purchase invoices, bills, payments. 
    1. One or several Purchase Invoices.
    2. Vendor Prepayment Invoices.
    3. Vendor Credit Invoices.
    4. Payments, PO payment status.
    5. Importing a purchase invoice.
  6. Subcontracting Purchase Orders, free issue stock.
  7. Troubleshooting.

Purchase Order status

  1. RFQ - When a purchase order is in this status, no target stock lots are created and no products are booked.
  2. New PO - This is the default status if a PO is created automatically. Items have the status "Requested".
  3. Approved - If the PO is approved. Available, if Purchase Order Approval is enabled.
  4. Ordered - The Order date is filled. The status of the items changes to "Planned".
  5. Shipped - The Shipping date is filled.
  6. Received - All items are received.
  7. Canceled - The PO is deleted, it can be still looked up by this status.

Creating a Purchase Order

Creating a Purchase Order

It is possible to create Purchase Orders manually:

  1. Go to Procurement -> Purchase Orders.
  2. Click "+" to create a new Purchase Order.

Purchase Orders can also be created:

Creating a Request for Quotation (RFQ)

There are two ways to create RFQs - with and without stock lots.

Until a PO is in the RFQ status, stock lots for the items are not created, thereby the system will not see that the items are expected into stock and thus these cannot be considered for usage, they cannot be booked.

If RFQ must be sent to several vendors:

  1. create a PO with status RFQ,
  2. send it to the first vendor,
  3. and copy it to create the next RFQ for the next vendor.

Purchase Terms

Press the arrow button in the "Vendor part no." field to display the list of the item's Purchase Terms.

The software can automatically select a suitable purchase term and auto-populate the PO.

If there is only one Purchase Term for an item, then the incoming price (cost) will be updated automatically every time you purchase it. To disable this, turn off the Software setting "Update purchase terms from PO".

Additional fees, discounts, taxes, landed cost

Additional fees:

  • Transportation, freight, customs, and other costs can be added to fields Taxable fees and Additional fees. 
  • These are used to calculate the landed cost of the items. The fees are proportionally divided between ordered items based on the total cost of each target lot.
    • Additional fee per item = Item cost / PO cost * Additional fees
    • The additional fees are added to the stock lot cost. In the PO, click on the Target lot number to check the total cost of the stock lot.
  • If the software setting "Several invoices per PO" is enabled, then additional fees are entered into incoming invoices.
    • It is possible to select a different vendor for the invoice (e.g. the transportation company who charged you for freight).
    • It is possible to select a different currency for the invoice when no line items are selected. (Additional currencies must be predefined.)
    • It is possible to use a different tax rate for the invoice when no line items are selected.

Discounts:

  • If a discount for the whole purchase order has been provided, it can be entered into the field Discount. It will be added to every item.
  • If a discount applies to one item only, please reduce the price of that item.

Taxes:

  • It is possible to add a Tax.
  • Tax is used to calculate the total sum of the purchase order and to produce a correct cash flow report.
  • Tax is ignored when calculating the costs of procured items.

One PO for several shipment dates

It is possible to create one Purchase Order for several deliveries (blanket order). To do this:

  1. Add a separate line for each delivery.
  2. Define the Expected date for each line when it should be received.
  3. Report partial delivery of PO according to each delivery.

If different expected dates are defined, the column "Expected date" is added to the PDF.

PO Currency

To create a PO in another currency:

  1. Create a new Purchase Order.
  2. Choose the Currency.
  3. Save.

After the Purchase Order is saved, the currency of the PO cannot be changed.

Purchase Orders can be made in any Additional Currency, which is previously defined.

Importing Purchase Order line items and updating an existing Purchase Order from CSV

When creating a new purchase order or when updating an existing PO, it is possible to import a list of procured items from a CSV file. The file must be no longer than 100 lines and can contain the following columns:

Part number* Required. The part number of the stock item that is procured.
Quantity The total quantity of the item.
Price The price per unit.
Vendor part no. The vendor's part number.
Free text The free text that is displayed below the stock item.
Expected date The date when this item is expected to arrive.
Site The site where this item will be delivered.
Available, if several sites are used.
Cannot be used when updating a PO.
Expiry date The expiry date of the goods.
Available, if Expiry dates are used.

Other PO information should be added manually before the import.

Sending documents to the vendor

Sending a Purchase Order

  1. Create a new Purchase Order and Save.
  2. Click Send e-mail to open your e-mail client and to prefill the letter.
    Or click PDF for a vendor to download the PDF.

POs can be printed in two versions:

  1. PDF for a vendor, a document for the Vendor, which includes your company logo and details. The layout can be edited with the PDF editor.
  2. Internal PDF, an internal document with information for internal use only.

Sending a Request For Quote (RFQ)

  1. Create a new Purchase Order in status RFQ (without stock lots) or New PO (with stock lots) and Save.
  2. Click Send RFQ to open your e-mail client and to prefill the letter.
    Or click RFQ to download the PDF.

Sending a Delivery Note

  1. Open the Purchase Order or Invoice.
  2. Click on the Send note to open your e-mail client and to prefill the letter.
    Or click the Delivery note button for the PDF.

Reporting receipt of goods

Full or partial receipt of PO

Depending on your software setting "Several invoices per PO", there are three alternative workflows for reporting receipt:

  1. A. PO receipt reported by entering the "Arrival date". 
    - The default settings: "Several invoices per PO = No".
    - 1 PO = 1 invoice = 1+ deliveries.
  2. B. PO receipt reported by entering an Invoice. 
    - "Several invoices per PO = Yes".
    - "Separate invoices and deliveries = No".
    - 1 PO = 1+ invoices = 1+ deliveries. 1 invoice = 1 delivery.
  3. C. PO receipt reported by entering a Delivery. 
    - "Several invoices per PO = Yes"
    - "Separate invoices and deliveries = Yes".
    -  1 PO = 1+ invoices = 1+ deliveries. Deliveries are separated from invoices.
Workflow A. PO receipt reported by entering the "Arrival date"
  1. Open the Purchase Order.
  2. If an item was received partially, change the field Expected quantity to quantity that was actually received.
    If some lines aren't received, clear the Expected quantity fields for these.
  3. Enter the Arrival date.
  4. Save the PO.
  5. The quantities in the Expected quantity fields will be received to stock with the Arrival date.
Workflow B. PO receipt reported by entering an Invoice
  1. Open the Purchase Order.
  2. Scroll to the Invoices section and click the Create button.
  3. Enter the received quantities.
  4. Save the invoice.
  5. The Created date of the invoice will be saved as the Arrival date of the received items.
  6. The Arrival date of the PO will be filled automatically once all items have been received.
Workflow C. PO receipt reported by entering a Delivery
  1. Open the Purchase Order.
  2. Scroll to the Deliveries section and click the Create button.
  3. Enter the received quantities.
  4. Save the delivery.
  5. The Created date of the delivery will be saved as the Arrival date of the received items.
  6. The Arrival date of the PO will be filled automatically once all items have been received.

When a partial receipt is reported:

  • The received amount will be taken into stock;
  • If a PO line is partially received, a new line is created for the not received quantity.

Putaway of goods, registering the storage location

By default:

  • An item's location is set by its default storage location (defined in the item details page).
  • If it is undefined, it will be the generic 'undefined' location (the first location, displayed in italic, in the list of Storage locations).

To register the putaway of received goods to a different storage location:

  1. Open the PO.
  2. Report (partial) arrival of the PO.
  3. Click on the target lot number of the item you want to put away.
  4. In the "Storage locations" section, press the "Move stock item" (">") button.
  5. Choose the "New place in stock".
  6. Check that all is correct on the "Move product" form and save.
  7. Go back and repeat steps 3 - 6 for other lines of the PO.

With a barcode reader, the putaway of received goods can be registered as follows: (Enterprise feature "Barcode system")

  1. Open the PO.
  2. Report (partial) arrival of the PO.
  3. Print the stock lot labels with barcodes for each line and label the goods.
  4. Scan the barcode of the lot of goods you are putting away.
  5. Scan the barcode of the label of the storage location you put the goods to.
  6. Check that all is correct on the prefilled "Move product" form and save.
  7. Repeat steps 4 - 6 for all goods. 

Undo the receipt of PO

To undo the receipt of PO, first, open the purchase order.

Then, according to your software settings:

Workflow A. If 1 PO = 1 invoice: 
(Default settings. "Several invoices per PO = No".)

  1. Find the line, for which you wish to undo receipt.
  2. Click on the Target lot number.
  3. Change the stock lot status to Planned.
  4. Save the stock lot.
  5. Clear the Arrival date field of the Purchase Order.

Workflow B. If 1 Invoice = 1 delivery: 
("Several invoices per PO = Yes", "Separate invoices and deliveries = No".)

  1. Open the incoming Invoice.
  2. Remove the received line from the invoice.
  3. Save the invoice.

Workflow C. If there is a separate "Deliveries" section in the PO: 
("Several invoices per PO = Yes", "Separate invoices and deliveries = Yes".)

  1. Open the Delivery.
  2. Remove the received line from the delivery.
  3. Save the delivery.

Lot numbers, serial numbers

MRPeasy automatically creates unique stock lot (batch) numbers for tracking the purchased products. To change the proposed lot number:

  1. Open the Purchase Order.
  2. Click on the line item's Target lot link.
  3. Edit the lot Number.

When you wish to track some batch number, which is not equivalent to the stock lot number, you can act as follows:

  1. it is possible to encode the batch number in the stock lot number, e.g. by adding it as a suffix.
  2. it is possible to use a persistent custom field to keep your batch number.

See also: Entering serial numbers of purchased items.

User access permissions for the stock clerk

If the person in charge of receipt is the stock clerk, then in the user's access permissions (Settings -> Human resources) you can enable the option Hide prices in the Procurement.

Purchase Invoices

One or several purchase invoices

With default system settings, one purchase order equals one purchase invoice:

  1. Enter the Invoice ID of the purchase invoice you received.
  2. Enter payments in the Payments section,
  3. Optionally attach the copy of the purchase invoice to the PO.

For entering several invoices per purchase order, enable Settings -> System Settings -> Software Settings -> Several invoices per PO: Yes.

In this case, enter the invoices in the Invoices section of the PO. The way of reporting PO receipt also changes according to this setting.

Vendor Prepayment Invoices

To enter a prepayment to a vendor:

  1. Open the purchase order.
  2. Scroll to the Invoices section.
  3. Add a new invoice.
  4. From the Type field, choose Prepayment.
  5. Enter the sum and save.
  6. Scroll to the Payments section.
  7. Add the prepayment.

To use a prepayment on a purchase invoice:

  1. Open the purchase order.
  2. Scroll to the Invoices section.
  3. Open or create an invoice.
  4. Add the prepaid amount on the Prepayment line.

To receive a credit or a refund for a prepayment:

  1. Create a Vendor Credit Invoice.
  2. Add the refund amount on the Prepayment line.
  3. If necessary, scroll to the Payments section and add a payment.

The following precondition must be met for the ability to handle prepayments to vendors:

  • The system setting “Several invoices per PO” is enabled and configured as “Separate invoices and deliveries = Yes”.

Vendor Credit Invoices

To enter a credit invoice from a vendor:

  1. Open the purchase order.
  2. Scroll to the Invoices section.
  3. Add a new invoice.
  4. From the Type field, select Credit-invoice.
  5. Enter the sum and save.
  6. If necessary, scroll to the Payments section and add a payment.

The following preconditions must be met for the ability to handle credits from vendors:

  • The system setting “Several invoices per PO” is enabled and configured as “Separate invoices and deliveries = Yes”.
  • The credit account for purchase credit invoices must be created at Accounting -> Chart of accounts and configured as the default account for “purchase credits”. (See also: Default chart of accounts)

Payments, Purchase Order payment status

To enter payment for incoming invoices:

  1. open the purchase order,
    or the purchase invoice if several invoices per PO is enabled,
  2. Scroll to the Payments section.
  3. Add the payment.

Based on the sum of payments, the payment status of the PO will be automatically set to Unpaid, Paid partially, or Paid.

Importing a Purchase Invoice from CSV

When creating a new purchase invoice, it is possible to import a list of items from a CSV file. The file must be no longer than 100 lines and can contain the following columns:

Part number* Required. The part number of the stock item that is procured.
Quantity The total quantity of the item.

Other invoice information should be added manually before the import.

Troubleshooting Purchase Orders

Jump to:

  1. Cannot enter the "Arrival date"
  2. Unable to partially receive a Purchase Order
  3. Unable to delete a Purchase Order, a Purchase Invoice, or a Delivery.
  4. Tax calculations, rounding of tax.

Cannot enter the "Arrival date"

Probably, the Software setting "Several invoices per PO" is enabled in Settings -> System Settings -> Software settings.

When the Software setting "Several invoices per PO" is enabled, then to enter a receipt, a delivery or a purchase invoice must be entered, which you can do at the bottom of the PO page.

The Arrival date of the PO will be filled automatically once all items have been received.

Unable to partially receive a Purchase Order

Error message:

  • "Stock lot cannot be received partially because items have been consumed already."

Explanation: This means that items on the Purchase Order, Invoice, or Delivery have already been

  1. consumed in a Manufacturing Order,
  2. shipped to a customer via a Customer Order and Shipment,
  3. written off,
  4. or shipped to a subcontractor via a subcontracting Purchase Order.

You are trying to enter a partial receipt, which is less than the already consumed quantity. The quantity which has already been received, cannot be split as received and not received (only a quantity that is equal to or greater than the already consumed quantity can be received).

Likely, the bookings are not correct and consumption of these items has been reported incorrectly (i.e. from an incorrect stock lot).

Resolution:

To correct the incorrect bookings:

  1. Open the Purchase Order.
  2. On the item's line, click on the Target lot number, this will take you to the specific stock lot's details.
  3. Click on the button Reports.
  4. Choose report Bookings.
  5. Open the specific bookings and correct, cancel, or redo them. If the booking is to a...
    - Manufacturing Order: open it and correct the bookings of materials.
    - Customer Order: open the Shipment and correct the Shipment.
    - Manual write-off: open it and edit the write-off.
    - Subcontracting Purchase Order: open it, and correct the Shipment.

Related questions: 

    • Why does the software think that exactly these items are consumed? In MRPeasy, everything works via stock lot (batch) tracking. Thus, someone has clicked a button in some function, letting the software know that exactly these items from the stock lots of this PO were used.
    • How can these items be consumed, even if the PO was not marked received? By default, when a Purchase Order is not ordered yet, it is not possible to consume the items (items are in status Requested); but when it is already ordered, then it is possible to report the ordered items consumed (items are in status Planned).
    • How can I prevent the consumption of planned items? Please set the setting "Use planned goods" to No, at Settings -> System settings -> Software settings.

Unable to delete a Purchase Order, a Purchase Invoice, or a Delivery

Error messages:

  • "Purchase order cannot be deleted because items from its target lot have been consumed"
  • "Stock lot cannot be un-received, because it is already consumed."

Explanation: This means that items on the Purchase Order or Invoice have already been

  1. consumed in a Manufacturing Order,
  2. shipped to a customer via a Customer Order and Shipment,
  3. written off,
  4. or shipped to a subcontractor via a subcontracting Purchase Order.

It is not possible to delete it, because this would break information integrity (e.g. a situation would occur that consumed materials never existed).

Likely, the bookings are not correct and consumption of these items has been reported incorrectly (i.e. from an incorrect stock lot).

Resolution: The consumption operation must be undone before it can be deleted.

To be able to delete it:

  1. Open the Purchase Order or Purchase Invoice.
  2. On the item's line, click on the Target lot number, this will take you to the specific stock lot's details.
  3. Click on the button Reports.
  4. Choose report Bookings.
  5. Open the specific bookings and correct, cancel, or redo them. If the booking is to a...
    - Manufacturing Order: open it and correct the bookings of materials.
    - Customer Order: open the Shipment and correct the Shipment.
    - Manual write-off: open it and edit the write-off.
    - Subcontracting Purchase Order: open it, and correct the Shipment.

Related questions: 

    • Why does the software think that exactly these items are consumed? In MRPeasy, everything works via stock lot (batch) tracking. Thus, someone has clicked a button in some function, letting the software know that exactly these items from the stock lots of this PO were used.
    • How can these items be consumed, even if the PO was not marked received? By default, when a Purchase Order is not ordered yet, it is not possible to consume the items (items are in status Requested); but when it is already ordered, then it is possible to report the ordered items consumed (items are in status Planned).
    • How can I prevent the consumption of planned items? Please set the setting "Use planned goods" to No, at Settings -> System settings -> Software settings.
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