Work-flow of a Purchase Order
Purchase Orders start out as "Suggested". You can add and edit items on Suggested Purchase Orders.
When you are done adding and editing items on the order and ready to send it to the vendor you should convert the order to "Submitted".
Where does PO Cost come from?
Vendor Default Cost is used. If this value is 0.00 and a PO is received with a non-zero cost, that cost will update Vendor Item Cost. It is important that cost is for the Purchasing Unit of Measure.
Four Different Ways to Create a Purchase Order
1.Generate Purchasing Worksheet -using data found in in Acme (on hand, reorder point, target stocking level)
2.Import Cruise Purchasing into Purchasing Worksheet -starts with data in a spreadsheet or CSV file, typically sourced from a wireless bar code scanner or Vendor supplied file.
3.Import into Purchasing Worksheet -starts with data from a spreadsheet or CSV file.
4.Enter/Edit Purchase Order -Enter "Manual Purchase Orders" / Edit Manual or Suggested Orders
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Let Acme Suggest Items to Reorder
Steps
1.Set up Item Replenishment Settings for your items. -Optional, but highly recommended. See list below.
2.Associate the items with the Vendor. -Required, but can be done three ways. 1) in item maintenance, 2) via import 3) "On the fly" while add items to a Worksheet or Purchase Order.
3.Start creating a PO with any of the four methods listed above.
4.Edit the Suggest Order if desired, then submit the PO to the Vendor.
5.Receive the Purchase Order(s), adding on had counts to inventory and updating average cost.
Priority. Lower number |
Item Replenishment Settings... |
Set up in Item Maintenance on the... |
|---|---|---|
1 |
Vendor Minimum Order Quantity |
Purchasing Tab (can be ignored if you choose) |
2 |
Target Stocking Quantity |
Location Info Tab (only used if greater than reorder point) |
3 |
Reorder Point |
|
4 |
Standard Order Quantity for Location |
Location Info Tab (trumps General Tab) |
5 |
Standard Order Quantity for Item |
These optional values can be entered or imported for each item. They are used to determine if Acme should suggest replenishment and what the suggested order quantity should be.
All are optional, but use of some is highly recommended. Its easy to set up some test items or our use our sample data to see how the values interact.
Our Sample Data has good examples. Check them out here. Vendors and Purchasing |
Reorder Point -enter the on hand quantity that will trigger a Suggested Order. "When I sell down to 6, I need to buy more."
This can also be used as a "build to" number. "Buy enough to build back up to 6." It can be trumped by another build to number called Target Stock Level.
Standard Order Quantity -Can be entered at the item location level. "I'd normally buy 4."
Enter the quantity you think you will normally order. -When the item is added to a PO or PO Worksheet the Standard Order Qty will be adjusted using Reorder Point, Target Stock Level, Vendor Minimum Quantity and Purchasing Unit of Measure if found.
Target Stock Level -this is an optional "build to" number that only works when its number is greater than the reorder point. "Buy enough to build back up to 10." -May be subject to Vendor Minimum Quantity and Purchasing Unit of Measure if found.
Vendor Minimum Order Qty -Usually the minimum quantity your vendor requires you to purchase. Can be different for each vendor. Can also be used for most economic order quantity (EOQ). For example, your vendor may give you a substantial discount for buying full cases, but also allow you to purchase partial cases at a higher price per unit. You could set the item up with a case for minimum quantity and over-ride that during individual orders if desired.
