> ## Documentation Index
> Fetch the complete documentation index at: https://docs.bizaxl.com/llms.txt
> Use this file to discover all available pages before exploring further.
# Procurement
> How to manage the full purchasing cycle in your dry fruit business - from requesting stock and getting supplier quotes through to receiving goods and paying the bill.
Procurement is how your dry fruit business sources raw materials and finished products from suppliers. The system takes you from an internal need (a Material Request) all the way through to a paid supplier invoice, with every step documented and traceable.
***
## Who Uses This Feature
| Role | What They Do |
| ----------------------- | ------------------------------------------------------------------------- |
| **Procurement Officer** | Creates Material Requests, RFQs, Supplier Quotations, and Purchase Orders |
| **Purchase Manager** | Approves large purchase orders, selects suppliers, negotiates terms |
| **Warehouse Manager** | Creates Purchase Receipts when goods arrive |
| **Quality Inspector** | Inspects incoming batches before they enter stock |
| **Accounts Payable** | Records Purchase Invoices and processes supplier payments |
***
## Before You Start
Before you can process purchases, make sure:
* Suppliers are set up in the system with their GST details and payment terms
* Items exist in the catalogue with the correct UOM and HSN code
* At least one warehouse is configured for receiving goods
* Purchase tax templates are configured for the applicable GST rates
***
## Step 1: Raise a Material Request
A Material Request is an internal document that signals to the procurement team that stock is needed.
1. Go to **Buying workspace** and click **Material Request**
2. Click **New**
3. Set **Purpose** to "Purchase" (for buying from a supplier)
4. Enter the **Required By** date
5. In the Items table, add each item needed with the required quantity and target warehouse
6. Save and Submit
The system can also create Material Requests automatically when an item's stock falls below its configured reorder level. To enable this, go to **Stock Settings** and turn on auto Material Request creation.
***
## Step 2: Request Quotations from Suppliers (Optional)
For large or seasonal purchases, sending an RFQ to multiple suppliers helps you get the best price.
1. Open the Material Request and click **Request for Quotation**
2. Add the suppliers you want to approach
3. Submit the RFQ - the system can email each supplier their copy automatically
4. When suppliers respond with their prices, open each Supplier Quotation and enter their quoted price, quantity, and delivery date
To compare all quotes side by side, run the **Supplier Quotation Comparison** report from **Buying workspace → Other Reports**.
***
## Step 3: Create the Purchase Order
Once you know which supplier to use, create the Purchase Order.
**From a Material Request:**
Go to the submitted Material Request and click **Purchase Order**. The system pre-fills the items and quantities.
**From a Supplier Quotation:**
Open the chosen Supplier Quotation and click **Purchase Order**. The system copies all details from the quote.
**Directly:**
Go to **Buying workspace → Purchase Order → New**.
### Key fields to complete
| Field | What to Enter |
| ------------------------ | --------------------------------------------------------- |
| **Supplier** | The supplier you are ordering from |
| **Date** | Today's date |
| **Required By** | The date you need the goods by |
| **Set Target Warehouse** | The warehouse where goods should be delivered |
| **Items** | Item, quantity, rate, and UOM for each product |
| **Taxes and Charges** | Select the correct GST template (e.g., GST 5% or GST 12%) |
| **Payment Terms** | When the invoice will be due (e.g., Net 30 days) |
After reviewing, click **Submit**. The Purchase Order is now confirmed and the supplier can deliver against it.
***
## Step 4: Receive the Goods
When the supplier delivers, the Warehouse Manager creates a Purchase Receipt.
1. Open the relevant Purchase Order and click **Purchase Receipt**
2. The system pre-fills the items and quantities from the order
3. Edit the quantity in **Accepted Qty** to match what actually arrived (it may be less than ordered)
4. For each item with batch tracking enabled, enter the **Batch Number** from the supplier's delivery documents, the **Manufacturing Date**, and the **Expiry Date**
5. Confirm the **Target Warehouse** where goods are being stored
6. Click **Submit**
If quality inspection is required for the item, submitting the Purchase Receipt automatically creates a Quality Inspection record. The stock is not fully committed until the inspection is marked as Accepted.
***
## Step 5: Quality Inspection
See the [Quality Inspection guide](./quality) for a complete walkthrough of the inspection process.
In brief: the Quality Inspector opens the inspection record, enters the results for each parameter, and marks the batch as Accepted or Rejected. Only accepted batches become available for sale and use.
***
## Step 6: Record the Supplier Invoice
When the supplier sends their invoice (by post or email), the Accounts Payable team records it in the system.
1. Open the Purchase Receipt and click **Purchase Invoice**
2. The system pre-fills all details from the receipt
3. Enter the **Bill No** (the supplier's invoice number) and **Bill Date**
4. Verify the amounts and GST details match the supplier's document
5. Submit
The Purchase Invoice creates a payable in your accounts. The Accounts Payable dashboard now shows this as an amount owed to the supplier.
***
## Step 7: Pay the Supplier
On or before the payment due date, the Accounts Payable team creates a Payment Entry.
1. Go to **Payables workspace → Payment Entry → New**
2. Set **Payment Type** to "Pay"
3. Select the supplier
4. Enter the amount and the bank account from which payment is made
5. Under **References**, link the Payment Entry to the outstanding Purchase Invoice
6. Submit
The Purchase Invoice is now marked as Paid and the supplier's ledger is cleared.
***
## Field Guide: Purchase Order
| Field | Description |
| ------------------------ | ------------------------------------------------------------ |
| **Supplier** | The company you are buying from |
| **Date** | Date the purchase order is created |
| **Required By** | Expected delivery date |
| **Currency** | The currency of the transaction (INR for domestic) |
| **Price List** | The supplier's price list if you have one set up |
| **Set Target Warehouse** | Applies the same target warehouse to all items |
| **Items table** | Each row is one item: code, description, quantity, UOM, rate |
| **Taxes and Charges** | GST template that applies to this purchase |
| **Terms and Conditions** | Payment and delivery terms |
| **Status** | Draft, Submitted, To Receive, To Bill, Completed, Closed |
***
## Field Guide: Purchase Receipt
| Field | Description |
| -------------------- | ------------------------------------------------------------------------------------ |
| **Supplier** | The supplier who delivered the goods |
| **Purchase Order** | The purchase order this receipt is linked to |
| **Posting Date** | The date goods were received |
| **Items table** | Ordered qty, accepted qty, rejected qty, batch no, expiry date |
| **Batch No** | The batch identifier for this delivery (from the supplier's label or auto-generated) |
| **Expiry Date** | The expiry date of this batch |
| **Target Warehouse** | Where the goods are being stored |
***
## Notifications and Alerts
| Notification | Trigger | Who Receives It |
| ----------------------------- | -------------------------------------------------------------------------- | ------------------------------------------ |
| **Material Request Received** | When a Material Request's status changes to Received or Partially Received | The person who raised the Material Request |
***
## Supplier Scorecard
The **Supplier Scorecard** is an optional feature that scores each supplier's performance over time based on criteria you define, such as:
* On-time delivery percentage
* Quality rejection rate
* Pricing competitiveness
To set it up, go to **Buying workspace → Supplier Scorecard** and define the criteria and scoring formula. Over time, this helps you make objective decisions about which suppliers to favour.
***
## Landed Cost Voucher
When you import goods and incur additional costs like customs duty, freight, insurance, and port charges, these costs should be added to the landed cost of the goods rather than expensed separately. This gives you an accurate cost per unit for pricing decisions.
1. Go to **Stock workspace → Landed Cost Voucher**
2. Link the relevant Purchase Receipt(s)
3. Enter each additional cost (freight, duty, etc.) and the account it goes to
4. The system distributes the additional cost across the items proportionally by value or quantity
5. Submit
***
## Best Practices
* Always create a Purchase Order before receiving goods. This gives you a formal record of what was agreed with the supplier and makes it easy to check for short deliveries
* For seasonal dry fruit buying, send RFQs to at least three suppliers to ensure competitive pricing
* Record batch numbers and expiry dates accurately at the time of receipt. Correcting these later is difficult and can cause stock discrepancies
* Do not pay a supplier invoice until you have confirmed that the Purchase Receipt (and quality inspection, where applicable) is complete
* Review the **Procurement Tracker** report weekly to ensure nothing is stuck in the pipeline without a corresponding Purchase Order or Receipt
***
## Troubleshooting
**The Purchase Order is not showing up when creating a Purchase Receipt.**
The Purchase Order must be in Submitted status. If it is still in Draft, submit it first.
**The batch number field is not appearing on the Purchase Receipt.**
The item does not have "Has Batch No" enabled. Edit the item record and turn on batch tracking.
**The quality inspection was not created automatically after submitting the Purchase Receipt.**
The item's "Inspection Required before Purchase" setting is not enabled, or there is no Quality Inspection Template linked to the item. Check both settings on the item record.
***
## Related Features
* [Items](./items) - Setting up item records with batch and expiry tracking
* [Quality Inspection](./quality) - Inspecting incoming batches
* [Inventory Management](./inventory) - Managing stock after goods are received
* [GST Compliance](./gst-compliance) - Input tax credit and purchase GST
* [Payments](./payments) - Paying supplier invoices