Manufacturing ERP Software for Small Business (5-50+ Users)
Total Control Workflow
Bill of Manufacturing
Purchase orders are used to procure the raw materials and components needed by jobs. The purchasing workflow also includes PO receipts, PO invoice matching, and AP voucher transfer to your accounting system.
Purchasing is not its own phase within the "Total Control" process workflow. Instead, purchasing spans across four phases of the process workflow:
Each stock item is assigned to a default supplier, against which you maintain the supplier price, description, unit of measure, and conversion multiplier. Alternate suppliers can be defined as well. When an item must be sourced from a particular manufacturer part number, you can assign the item to a default manufacturer and manufacturer part number.
Item MRP settings determine PO planning. The Lead Days allocates time to account for procuring the item from the default supplier. The item Order Policy determines if the item is purchased to order or to a monthly forecast. If purchased to a forecast, the Supply Days determines how many days of forecast demand is to be covered by each PO quantity.
POs are generated by MRP in response to net demand from jobs and sales orders relative to stock on hand. PO due dates are time-phased so that material is available to meet dependent job start dates.
Each set of POs generated by MRP represents a minimum action profile. After POs are generated, they can be augmented manually if needed in the Purchase Orders screen to fill a truck or container, meet volume commitments, or other purposes.
PO items are received to inventory at PO cost through the PO Receipts screen, which updates inventory value and makes items available for jobs and sales orders.
Supplier invoices are matched with POs in the PO Invoices screen so that any variances between PO cost and invoice cost are accounted for and to close POs when they are fully invoiced.
Matched PO invoices are converted into voucher style invoices and are transferred in the AP Voucher Transfer screen to your accounting system for AP processing.