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Purchase module in eresource ERP streamlines procurement of materials

Purchase Management module in eresource ERP streamlines procurement of required Material, packaging material, sub assembly and other non-inventory materials. It automates the processes of identifying potential suppliers, Supplier Evaluation, Supplier Quote Evaluation, awarding purchase order to the supplier, and billing processes.

Purchase module is tightly integrated with the inventory control, Sales and Finance Module. eresource ERP flow of supply guarantees the integrity, tracking and homogeneity of the entire process. Each document in the supply process is based on the information contained in the previous document, so that repetitive introduction of data and human errors are avoided. Through eresource ERP, to navigate through different documents that conform to a determined flow (order, supplier's delivery note, invoice, payment) and know in information at the real time for any order (pending, delivered, partially delivered, invoiced, frozen, etc).

eresource ERP never encourages the purchasing of anything without valid requisition.

All quotation received from the vendors can be evaluated on the basis of Quotation Comparison. Purchase Order in eresource can be generated on the basis of Approved Quotation or also Direct PO can be generated. Direct Purchase Order is usually generated in the case of Rate contract with the supplier.

Purchase planning, based on necessities, keeping in mind minimum stock levels, goods receipts dates, and pending requests.

Material Requisitions & Request for Quotation definitions

Purchase orders, prices and discounts, warehouse control of goods pending receipt, correction of orders, and creation of purchase orders from sales orders.

Receipts. Automatic creation from pending order lines. Automation of incoming goods (location according to priority).

Purchase invoices, automatic creation from order lines or delivery note lines pending invoicing.

Relationship between orders, delivery notes and invoices.

Expense invoices.

Purchasing order reports, vendor invoices.

The standard purchasing flow in eresource ERP is as follows:

  • Orders are planned to cover customer and production requirements.
  • Messages are created identifying item, priority, and release timing.
  • Orders are reviewed; vendors, quantities, terms are changed and approved.
  • Orders are sent to the vendor through email.
  • Receiving process inbound material according to quality specifications.
  • Receiving routes materials based on production and customer requirements.
  • Accounts payable is updated from receiving process.

The procurement cycle for a service or material in our purchase management module are described hereunder:

Determination of requirements: Materials requirements are identified either in the user departments or via materials planning and control. (This can cover both MRP proper and the demand-based ap0proach to inventory control. The regular checking of stock levels of materials defined by master records, use of the order-point method, and forecasting on the basis of past usage are important aspect of the latter.) User can enter purchase requisition, or these can be generated automatically by the materials planning and control system.

Source determinations: The purchasing components helps one to identify potential sources of supply based on past orders and existing longer-term purchase agreements. This speeds up the process of creating requests for quotation (RFQs), which can be sent to vendors electronically.

Vendor selection and comparison or quotations: The system is capable of simulating pricing scenarios, allowing one to compare a number of different quotations. Rejection letter can be sent automatically.

Purchase order processing: The purchasing system adopts information from the requisition and the quotation to help one create a purchase order. As with purchase requisitions, one can generate POs himself or have the system generate them automatically.

Purchase order follow-up: The system checks the reminder period one has specified and, if necessary, automatically prints reminders or expediters at the predefined intervals. It also provides one with an up-to-date status of all purchase requisitions, quotations and purchase orders.

Goods receiving and inventory management: Goods receiving personnel can confirm the receipt of good simply by entering the PO number. By specifying permissible tolerances, buyers can limit over and under-deliveries of ordered goods.

Invoice verification: The system support the checking and matching of invoices. The accounts payable clerk is notified of quantity and price variances because the system has access to PO and goods receipts data. This speeds the process and auditing and clearing invoices for payment.