Purchase orders (POs) have been playing an important role in controlling business purchases for businesses throughout the world for decades. Whilst many companies still spend a lot of money without POs, let's just say the smart ones are the ones using them.
As technology advances have pretty much revolutionized every single thing we do in the past few years, so too are online purchase orders the new generation of POs. In this post we will cover the top 10 signs you should invest in online purchase orders and online systems that allow you to control spend in a much safer and more effective way.
Much like its predecessor, an online purchase order is a legally binding document that provides suppliers with proof that services or products were ordered. They also confirm the costs of the services or products ordered. Currently, an online purchase order will be matched up to a delivery note and an invoice before a payment is made.
Online POs will typically include the name of the company purchasing the goods or services, the date of the order, the SKU of the product/service required, the description of the product/service, the quantity & the price. It will also carry a unique PO number which will need to appear both on the delivery note and the the invoice linked to the PO to ensure a controlled transaction.
Any other information such as mailing address, payment information & invoice address are already contained within the online purchase order when using a spend control platform.
The online purchase order process follows similar, yet vastly simplified, steps as the offline purchase orders of old. Ensuring all steps are followed is much easier when AI driven automation is applied.:
By automating and ensuring a full online powered process, transactions can be finalized a lot quicker. This is to the benefit of both suppliers and buyers since no money is lost and payments are effected a lot quicker.
So there you have it, the 10 reasons you should invest in switching to an online purchase order process. By leveraging automation and the power of online records, you can not only maintain a clear and transparent system or record but benefit from a system of intelligence as well. Ensuring you work with the right suppliers, sticking to budgets and protecting from fraud are key to a healthy and profitable business.