Day 8 — Purchase Order (PO)

What is a Purchase Order (PO)?

• A Purchase Order (PO) is an official document sent to a vendor to purchase materials or services. • It contains details such as material, quantity, price, delivery date, and vendor information. • A PO is generally created after a Purchase Requisition is approved.

• The Purchasing team receives an approved PR for laptops. • They create a Purchase Order and send it to the vendor. • The vendor supplies the materials according to the PO details.

1. What is a Purchase Order? 2. Who creates a Purchase Order? 3. What information is available in a PO? 4. What is the difference between PR and PO?