Purchase Requisition (PR)
• Internal request to buy items\n• Created by departments when they need materials or services
Request for Quotation (RFQ)
• Send to vendors to get price quotes\n• Helps compare suppliers
Vendor Selection
• Choose best supplier based on\n• Price\n• Quality\n• Delivery time
Purchase Order (PO)
Official document sent to supplier\n• Includes\n• Item details\n• Quantity\n• Price\n• Delivery date
Goods Receipt (GRN)
• Confirms items received from supplier\n• Checks quantity and quality
Invoice Verification
• Match:\n• Purchase Order\n• Goods Receipt\n• Supplier Invoice\n• This is called 3-way matching
Payment Processing
• Final step: pay the vendor\n• Integrated with accounting/finance module
Key Features
• Vendor management\n• Approval workflows\n• Budget control\n• Real-time tracking\n• Reporting & analytics
Benefits
• Reduces manual errors\n• Improves cost control\n• Ensures transparency\n• Speeds up procurement\n• Helps with Audit compliance
