Purchasing Forms – The Mainstay Of An Efficient Business

There are two main purchasing forms – the Purchase Requisition and the Purchase Order.  Both are standard forms that are used within a large company used to enable the efficient functioning of the purchasing department.

The first of the purchasing forms is the Purchase Requisition.  Within the purchasing department their will be a number of Master Purchasing Agreements that have been signed with suppliers.  The Purchase Requisition is originated by a store or purchasing clerk when stocks need to be replenished or a works manager when a special order is required.  The Purchase Requisition is a request for a new order.  In large companies the process is computerised and thus a much quicker and more efficient method.  Some ad hoc purchases may require detailed information.

The second of the purchasing forms is the Purchase Order.  This again needs a Master Agreement to be in place with your seller. This form is a written authorisation that is sent directly to the seller.  It contains details of the goods required, the quantities and the delivery details. It can also be used when a service is required.  Both companies treat the Purchase Order as a legal document that confirms an order.  Sometimes it is used as a confirmation of a telephone order or a request made by a sales person.  As it is a legal document, the vendor is often required to sign and return a copy as confirmation of its receipt.

Of course, in a well organised purchasing department there are a number of other standard purchasing forms such as:

• Master Agreement – the legal agreement between supplier and purchaser.
• Independent Contractor Agreement – used when “work for hire” is used.  This and the above form are usually reviewed by the legal department.
• Vendor Evaluation Form – used when choosing a new vendor from several.
• Claim for Defective Goods – used when you need to claim a credit for defective goods that have been delivered.
• Rejection of Goods – used to reject a delivery that is not up to standard.
• Purchase Order Cancellation – used when you wish to cancel an order.
• Tax Forms – different countries require different forms to be completed for example a VAT form.
• Stock List – used to keep details of all current stock.
• Inventory – used when an inventory needs to take place.
• Request for Credit – used when you require the establishment or change of credit with one of your suppliers.

Most these purchasing forms are standardised documents that are supplied the computerised software that a company has installed.  Smaller businesses can buy from a multitude of purchasing forms available to buy from stationery stores and websites.

 

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