Purchase Order is a document that’s sent to Supplier asking for the specific Products, Units and Quantity to Purchase. This is a contractual document as Supplier / Vendor can send materials based on the same. Purchase Order Inventory is a document created for Inventory items to procure.

You can create mainly 2 types of Purchase Orders.

1. Purchase Order Inventory – mainly for those products that are kept STOCK in the system or Inventory management.
2. Non-Inventory or Services type PO – Mainly for the services like Painting, Training etc.

When you click on the Purchase Option on the Purchase Dashboard, it shows the screen as below. This screens helps you enter the Order ID, Supplier Details, when the materials should be delivered and also the agreed Unit Price per item.

How to create a Purchase Order? – Please review the video.

Basic Data settings to complete before you begin this operations.

Please complete the basic data settings to before start the operations. Few of these data are shown on the screen based on the settings done in Purchase Settings

Purchase Order Inventory Master data entry Screen.

Here you would select the Vendor to whom you will send the Purchase Orders. So ensure that his data and also where the materials should be delivered are right.

Purchase Order Master field details are as below.

Please note many of these fields are required based on your Business needs.

Field ID	Field Name	Mandatory?	Field Description and how it helps?
Site ID	Branch Name	No	If you are using Multiple Branches feature then this FIELD appears. Multi Branch / Sites is a feature that can help to make separate document for each SITE / Branches.
PO Number	Purchase Order No	Yes	This is the Purchase Order number, a unique number to recognize the document. This is either auto generatedManually you can create.
Credit terms	Credit Period	No	Select the Credit terms from the Dropdown.
PO Date	PO creation Date	Yes	Effective Date of transaction
PO Currency	Currency of Document	Yes	It is the currency used for PO Document / for Transaction. This is also called “Document Currency”.
Due Date	Payment due date	Yes	This is the date by which the payment has to be made.
Supplier ID	Supplier ID	Yes	It is a unique identification number given to each Supplier in ACTouch ERP
Supplier Name	Supplier / Party Name	Yes	Supplier Name / Business name.
Ship To	Shipping Address	Yes	This is the address of Company, where the particular product has to be delivered to.
GST Number / TAX ID	Supplier Tax ID	No	This gives Supplier TAX NO. It’s a unique ID necessary for businesses.
PAN Number	Permanent Account Number	No	This is the Permanent Account Number of the individual / Business.
Receive material now	Material to be Received	Optional Default Value = N	This tells us whether these Products to be Received immediately or later on some date. This creates GRN immediately.
Reverse Tax	Tax	Default value = N	If the taxes are withheld and is NOT paid to the SUPPLIER, then set this value to “YES”.
TCS Tax	Tax Collected at Source Amount	Default value = N	Enable the feature, if you need it. This is the tax payable by a seller, which he collects from the buyer at the time of sale.
Order reference	Order number	No	This is Order Number (for reference)
Order Amount	Order amount	No	This is the total amount of the Order (for reference)
Order Date	Order date	No	This is the Order Date (for reference)

If you enable Consignee features then below details to refer to. Consignee is a person who ships the Materials or the person who receive the materials while the main vendor receives the money for these items.

Purchase Order Line data entry like Products, Quantity, Units etc

Line details of the Product.

This is where the Product Line details are entered. Please mention the RIGHT PRODUCT ID, QUANTITY TO PURCHASE AND UNIT price. Select the TAXES.

Field ID	Field Name	Mandatory?	Field Description and how it helps?
Product Group, Subgroup1, Subgroup2, Subgroup3.	Product Group, Subgroup1, Subgroup2, Subgroup3 drop down values.	No	These are the data helps to select the right PRODUCT for the line item.   These data appears on the screen, if you enable “Product Group = Yes” in the “Purchase Settings”.
Product ID	Product ID	Yes	Select Product ID for Purchase.
Product Description	Product Description	Yes	It is the description about the product.
UOM	Unit Of Measure	Yes	Unit of Measurement of the Product. If you have an Alternate UOM, then select the same here for the Product that you are selling.
Quantity	Purchase Quantity	Yes	This is the Purchase quantity
Unit Price	Unit Price	Yes	It is the Unit price of the product.
Discount	Discount on LINE level	No	Apply the PRODUCT level DISCOUNT for the Supplier, if any.
Tax incl.	Inclusive of Tax	Default = No	Tax include – Yes or No. This feature is used for the MRP types of Products where the TAX is ADDED with UNIT price. So we should show the Basic Product Amount + Taxes Separately.
Tax amount	Tax Amount	No	Please select the TAX CODES that are RIGHT for the PRODUCT. If you have setup these data in Product Master, then ERP will pick from there directly.
Total	Total Amount	Yes	This is the Total amount of the line item excluding TAX AMOUNT
HSN Code	HSN Codes	No	HSN Codes for the Product that are provided by Government.
Bar Codes	Bar code No	No	Bar codes helps to pick the items from master.
Receipt Due date	Date when the materials to be recd.	No	This is LINE specific DUE Date for the item to be RECD.

Tax Details

In ACTouch ERP, we capture the tax details at line level and not at total Document level. This gives the flexibility for the users to add different taxed items in ONE Document.

You may have the different types of TAXes to be applied. ACTouch ERP handles all these types of Taxes including “Tax On Tax” model.

1. Product level Taxes – GST / VAT Taxes for the Product.
2. Services items can have more than 2 taxes. For example – GST / VAT and also TDS (Tax Deducted at source) for each line level to deduct the taxes.

Purchase Order Inventory – Financial Details and other parameters

Please note that GROSS / Cash Discount is a feature that helps to apply the DISCOUNT for the Documents total amount. But each has different approach.

Example –

Lets say, you need to PAY Rs 1000.00 to a vendor. Now the tax applied is GST 18%. Means the tax amount is Rs 180.00.

Total money to pay is Rs 1180.00

if we give the GROSS Discount of 10%, then this affects the TOTAL LINE AMOUNT and on that TAX is calcuated.

So the Payment amount = Rs 900 and GST 18 on it is = 162. So the total amount = Rs 1062.00

If we offer a CASH discount of 10%, the Payment amount is Rs 900. But the TAX Amount remains same and is calculated for the Rs 1000.00 and its Rs 180.00. So the total amount to PAY is Rs 1080.00.

See the amount difference for these two types of transactions.

Field ID	Field Name	Mandatory?	Field Description and how it helps?
Payment Type	Payment (Now or later)	By default – “LATER”	It describes whether the payment will be made immediately or at a later stage. Based on the same, a Financial Voucher is made.
Any Advance?	For the Advance Payment	No	In few cases, when you make a PO, you may also PAY the Advance money to Supplier. ERP helps you to make an Advance Voucher as part of this.
Terms And Conditions	Business Terms And conditions	No	It’s the General Terms and Conditions for the Delivery etc. If you can also make templates and use it.
Ship Mode	Transport mode	No	This describes us about the type of transport for delivery. It may be by Air, Cargo, etc.
eWay Bill No	eWay Bill No	No	If you are shipping the items, then you can enter the eWay Bill no that’s generated by Indian Govt Portal.
eWay Bill Date	eWay bill Date	No	Date of the eWay Bill specific to Indian Govt
Memo	Additional information	No	You can add more Information about the Purchase Order.
Payment terms	Payment terms	No	These give us the details about payment terms between the two Parties that they have agreed on. You can define multiple “Payment Terms” in Master and use them.
Payment Terms Description	Payment Terms	No	This is description of Payment terms.
Sub Total	Total price	Yes	Subtotal of the Order.
GROSS / Cash Discount	Discount on the total Payment	No	It’s the Overall discount on the Order. Two types Cash Discount – You can give the Discount in “Amount” only.Trade Discount  – You can give either in “%age“ or in “AMOUNT”
Total before tax	Amount before tax	Yes	It’s the Total amount without Tax amount
Total tax	Tax amount	Yes	It’s the total Tax on the line items.
Round off	Rounded off amount	No	Enter the Amount, if you want to change it. Its small amount that can be added or removed from the TOTAL AMOUNT to round-off.
Total	Total Amount of the Order	Yes	This is the total Order amount after rounding off.

The below Charges data are shown based on the “Purchase Settings” and enable the charges that you need.

Field ID	Field Name	Mandatory?	Field Description and how it helps?
Postage Charges	Postage Amount, if any	No	Enter the Amount, if you need it. (Other charges for Order). Enter the Postage charges that will be billed to the Buyer, if any.
Postage SAC CODE	SAC Code	No	Enter the SAC Code, if you need it.
Postage Tax	Postage Tax	No	Select the Taxes, if you need it. This gives the tax levied for postage.it comes under different GST slabs for the type of product.
Packing Charges	Packing Charges, if any	No	Enter the Amount, if you need it. (Other charges for Order). This is the Charges for the product that’s billed to the buyer, if any
Packing SAC CODE	SAC CODE	No	Enter the SAC Code, if you need it.
Packing Tax	Tax for the Charges	No	Select the Taxes, if you need it. This gives the total TAX on transport cost of the product.
Shipping Charges	Shipping Charges, if any	No	Enter the Amount, if you need it. (Other charges for Order). This is the Shipping Charges for the product that’s billed to the buyer, if any
Shipping SAC CODE	Shipping SAC CODE	No	Enter the SAC Code, if you need it.
Shipping Tax	Tax for the Charges	No	Select the Taxes, if you need it. This gives the total TAX on transport cost of the product.
Insurance Charges	Insurance Amount, if any	No	Enter the Amount, if you need it. (Other charges for Order) Enter the Insurance amount for the product to be delivered, if any
Insurance SAC CODE	Insurance SAC CODE	No	Enter the SAC Code, if you need it.
Insurance Tax	Tax for the Charges	No	Select the Taxes, if you need it. This gives the total TAX on the freight insurance amount.

Purchase Order Inventory – Product Line Details Data Upload at one go

Few Clients, who manage the Purchase Orders with 100s of line items, it takes time to enter the data one by one. In few cases, it may be easy to create these data in Excel and upload them into ERP.

We built an interface for the Data upload that’s similar to an excel screen interface.

1. You create the product line details with necessary fields.
2. Paste the data on the Excel Interface
3. Click on “Validate” and this process will ensure the Accuracy of Data.
4. If you find any errors, then fix them.
5. Once the data is OK, press “save”.
6. Now application will start loading the records on the PO LINE Level.

Notes: Don’t upload more than 40 records at a time. This takes around 1 to 2 min to load the data on the screen. So you can upload the data in multiple tranches