Creating Purchase Orders

Purchasing · 5 min read

A Purchase Order (PO) is a formal document sent to a supplier requesting goods or services at an agreed price. In Evrykit, POs trigger stock receipts, quality checks, and supplier invoice matching — covering the full procure-to-pay cycle.

💡 You need at least one supplier and the products you want to order before creating a PO.

Procure-to-Pay Workflow

The diagram below maps the complete journey — from identifying a need through to the final payment and AP clearance:

Procure-to-pay workflow: Requisition → PO → Goods Receipt → 3-Way Match → Invoice → Payment

Step-by-Step: Creating a Purchase Order

1. Navigate to Purchasing → Purchase Orders

Click New Purchase Order in the top right.

2. Select a supplier

Type the supplier name and select from the dropdown. The supplier's payable account will be used for automatic accounting postings.

3. Set the order date and expected delivery date

The order date defaults to today. Set an expected delivery date for planning purposes.

4. Add line items

Click Add Line to add products. Enter the quantity, unit cost, and applicable tax. The system uses these costs for inventory valuation when goods are received.

5. Confirm the purchase order

Click Confirm PO to lock the order. A confirmed PO can no longer be edited; it awaits goods receipt.

Receiving Goods (GRN)

Once goods arrive, go to the confirmed PO and click Receive Goods. Enter the actual quantities received (which may differ from ordered quantities for partial deliveries). Evrykit will:

ℹ️ GRNI is a transit account. It clears when the supplier invoice is posted, replacing it with Accounts Payable.

Three-Way Matching

When the supplier's invoice arrives, Evrykit matches it against the PO and the goods received note:

  1. Open the PO and click Create Supplier Invoice.
  2. The invoice is pre-populated from the PO lines.
  3. Adjust any price variances if needed.
  4. Post the invoice — Evrykit journals: Debit GRNI / Credit Accounts Payable.

If the quantities or prices don't match, Evrykit highlights the discrepancy before you can post.

PO Statuses

Status Description
Draft Editable. Not sent to supplier yet.
Confirmed Locked. Awaiting delivery.
Partially Received Some lines received; delivery ongoing.
Fully Received All goods received. Awaiting invoice.
Invoiced Supplier invoice posted.
Closed Fully received and invoiced.

Required Permissions

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Receiving Goods (GRN)