Purchases

The Purchases Module

The Purchases module manages procurement - from requesting quotes to receiving goods and paying vendor bills. It integrates with Inventory (stock replenishment), Accounting (vendor bills), and Manufacturing (raw material procurement).

Core Concepts

Procurement Flow

1. Need Identified - Manual request, reordering rule trigger, or MTO from sales.
2. RFQ Created - Sent to preferred vendor(s).
3. PO Confirmed - Vendor accepts. Order is confirmed.
4. Goods Received - Receipt validated in Inventory. Stock updated.
5. Bill Received - Vendor invoice posted in Accounting.
6. Payment - Bill paid according to payment terms.

Menu Structure

• Orders - Requests for Quotation, Purchase Orders, Receipts, Vendor Bills.
• Products - Products (shared catalog), Vendor Price Lists.
• Configuration - Settings, Purchase Teams, Product Categories.
• Reporting - Purchase Analysis (pivot/graph).

Purchase Analysis

Go to Purchases > Reporting > Purchase Analysis. Pivot and graph view for procurement data.

Dimensions

• Vendor, Product, Product Category.
• Buyer, Purchase Team.
• Order Date, Receipt Date.
• Country, State.

Measures

• Untaxed Amount, Total, Quantity Ordered, Quantity Received.
• Number of Orders, Average Order Value.

Filters

Date range, order status (RFQ, PO, Done, Cancelled), vendor, buyer.

Key Insights

• Spend by vendor - identify top suppliers.
• On-time delivery rate - compare expected vs actual arrival dates.
• Price trends - track price changes per product over time.
• Procurement cycle time - PO creation to receipt.

Best Practices

• Review vendor performance quarterly using on-time delivery and quality metrics.
• Negotiate better prices based on volume trends identified in the report.
• Use the pivot table to forecast future procurement needs.

Vendor Bills from POs

When the vendor sends their invoice, create a bill from the purchase order.

Creating a Bill from a PO

1. Open the confirmed PO.
2. Click Create Bill (smart button or header action).
3. Quickenerp pre-fills lines from the PO (based on received quantities or ordered quantities).
4. Enter the vendor's invoice number in Vendor Reference.
5. Verify the amounts match the vendor's invoice.
6. Click Confirm to post the bill.

Three-Way Matching

When enabled, Quickenerp compares:

• PO quantity vs Receipt quantity - Did we receive what we ordered?
• Receipt quantity vs Bill quantity - Are we being billed for what we received?
• PO price vs Bill price - Is the price correct?

Discrepancies are highlighted. You can accept or reject the bill based on the match.

Billing Control

If enabled in Settings, bills cannot be created without a confirmed PO. This prevents unauthorized purchases.