Open topic with navigation

Working with purchase orders

Accounts Professional only

Purchase Order Processing integrates with Project Costing to link orders with projects. On completion of each stage of the purchase order life cycle updates are automatically made.

• Stock allocation: The ordered goods - that is, stock items, are set aside for the project when they are recorded as received. The free stock quantity for stock items excludes the allocated stock. This improves stock control and reduces the potential of stock shortages. Stock allocated to a project can be viewed. Goods received is not performed for orders requiring non-stock or service items.
• Committed costs: The value of the ordered goods or service being applied to the project when the order is placed on-order. Committed costs are generated for all item types - stock, non-stock, service item, and refers to the value of goods or services that have been requested but not yet charged to the project. Generating and tracking committed costs gives an accurate evaluation of all costs, when comparing project spend to budget.
• Actual Costs: The value of the goods or service being applied to the project. This is where the committed costs are converted to actual costs. This occurs at different times for the various types of stock - stock item, non-stock, service item.
• Stock items: The committed costs are converted and applied as an actual cost to the project when the allocated stock is issued.
• Non-stock and service items: The committed costs are converted and applied to the project when the invoice for the order is generated.

The value of both committed and actual costs of a project can be viewed.