Purchase Order Software
The Procurement Software’s Heart and Soul
As you might expect, the PO module is the heart of any purchase order software. Surprisingly, many companies simply don’t use purchase orders. We believe this is a fundamental error in business practice. The lack of using purchase orders allow opportunities for misunderstandings to take place between buyer and seller.
A correctly formatted and approved purchase order document assures that you are not open to misuse and maverick buying. In other words, purchase orders curtail people picking up the phone to place an unapproved order with a supplier.
Advantages of using Purchase Orders
Having a properly constructed purchase order system allows you as the buyer to explicitly state what you wish to buy, at what price, and under what terms.
It may also specify your policies on the acceptance of the goods/services and your policies on rejects and returns. This is crucial information that both parties to the transaction should be aware of prior to entering into the transaction. This eases the payment of the eventual invoice.
A centralized control point not only helps curtail unwanted or unapproved spending but also assists in seeing the overall spend through management reports.
Legislation & Compliance
A Purchase order document allows for easier auditability, traceability and most importantly accountability. If you are a publicly traded company then you will be aware of Sarbanes-Oxley (SOX) compliance measures. Furthermore, we have internal systems in place with our platform that empower buyers to trace any errors on their POs to the suppliers before the suppliers are aware of such errors. This allows the Approvers to only approve valid requests that they know are within budget.
Such enforcement of personal accountability within your organization ensures visibility of the process from request initiation to final payment of the invoice – this is important if you wish to implement best practices within your organization. Eyvo’s eBuyerAssist cloud-based purchase order software system can do exactly that – putting you in control of your spend and ensuring vendor compliance with all your transactions.