Purchase Request and Approval Process
For Small to Medium Sized Enterprise
A Purchase Request Process that Includes:
Elect...
Executive Summary
• Companies that need a functional purchase
request system can put one in place for no cost
using MS Exc...
Typical Purchasing Process
Request Approve Negotiate
Purchase
Order
Receive Match Pay
Requestor
generates
with
backup
and
...
Detailed Process
• Open Purchase Request excel template
• Enter Information
• Copy and paste onto Outlook email
• Attach t...
Create Purchase Request Template and make
available to users
• Excel Works well
• Information is more important than exact...
Requester Opens Purchase Request Template and Completes
Create New Email and Paste Purchase Request
Add Approvers
Enable Voting on Options Tab
Confirm approvals received located in sent items
Sending as
attachment will
make sure
everything form
original is included
Send Tracking Message to internal company purcha...
Send Tracking Message to internal company purchase
request e-mail address as an attachment
The Forwarded Message will show approvals with Date Stamp as
well as detailed request and attachments
Next Steps
• Finance Review to Confirm Information
• Forward for next steps per company policy
• Move Copy to Finance shar...
• Some companies wanted integration with Finance
systems for PO creation
• Since Requisition is simply an Excel template i...
Additional Things to consider
• Achieve copy vs. all access copy
– Finance can move approved copy to a restricted
access f...
Additional Things to consider
• Could Add unique number to request:
– At request creation
• Get from Finance – Finance Ass...
Summary
• Implementation is simple
• Provide better user experience, more control
and better efficiency
• Process can sust...
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Purchase Request Process For Small to Medium Sized Company

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A Functional Purchase Request process that small to medium sized business can put in place at no cost that provides; Electronic Delivery and Routing,Approvals, Ability to Add Attachments, Time Stamp on Approvals,
Easy Electronic Storage For Audit, multi-site use
and easy implementation

Published in: Business, Technology
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Purchase Request Process For Small to Medium Sized Company

  1. 1. Purchase Request and Approval Process For Small to Medium Sized Enterprise A Purchase Request Process that Includes: Electronic Delivery Electronic Routing Approvals Ability to Add Attachments, Time Stamp on Approvals, Easy Electronic Storage For Audit, Global Implementation in Days and NO ADDED COST UPDATE Integration Path With Enterprise or SaaS Based Finance Systems
  2. 2. Executive Summary • Companies that need a functional purchase request system can put one in place for no cost using MS Excel and Outlook that provides – Electronic Delivery and Routing, – Approvals, – Ability to Add Attachments, – Time Stamp on Approvals, – Easy Electronic Storage For Audit, – Global Implementation in Days – Possible integration to SaaS or Enterprise Finance
  3. 3. Typical Purchasing Process Request Approve Negotiate Purchase Order Receive Match Pay Requestor generates with backup and budgetary price Per Sig Authority Requestor Responsible Upon Approval Final terms and price negotiated PO issued by person delegated Purchase Authority Connection to Approved Request Physical Items on System Services by Requestor PO, Receipt, Invoice Per PO Terms Scope of proposed process
  4. 4. Detailed Process • Open Purchase Request excel template • Enter Information • Copy and paste onto Outlook email • Attach to email relevant quotation and or other backup • Add appropriate approvers. • Go to “Options” and Enable voting button – approve or reject • Look in your SENT folder file for status of approvals • When all approvals obtained forward, as an attachment, to internal only email PurchaseRequest@companyname.com (request delivery receipt when opened) • Purchase Request@company.com will be reviewed by Finance/ Purchasing Team – confirm signature levels, budget status – take action based on company policy for amount and type of spend
  5. 5. Create Purchase Request Template and make available to users • Excel Works well • Information is more important than exact format Requestor Department Date of Request Vendor Description Total Cost In Budget Bill Kohnen Supplier $-00 Justification Include Justification Details Vendor Contact Name Mike D Vendor Contact E mail mike@dell.com Vendor Contact PH 555-5555 Item Quantiy Unit of Measure Description Unit Cost Total Cost Delivery 1 EA xxx $-00 $-00 2 3 4 5 Purchase Request
  6. 6. Requester Opens Purchase Request Template and Completes
  7. 7. Create New Email and Paste Purchase Request
  8. 8. Add Approvers
  9. 9. Enable Voting on Options Tab
  10. 10. Confirm approvals received located in sent items
  11. 11. Sending as attachment will make sure everything form original is included Send Tracking Message to internal company purchase request e-mail address as an attachment
  12. 12. Send Tracking Message to internal company purchase request e-mail address as an attachment
  13. 13. The Forwarded Message will show approvals with Date Stamp as well as detailed request and attachments
  14. 14. Next Steps • Finance Review to Confirm Information • Forward for next steps per company policy • Move Copy to Finance shared folder for storage and future reference for audit
  15. 15. • Some companies wanted integration with Finance systems for PO creation • Since Requisition is simply an Excel template it is simple to map the fields to Finance systems • Not surprisingly this is easier with new Cloud based SaaS Finance systems • It does require additional discipline with the request format • Still majority of small companies will not need this
  16. 16. Additional Things to consider • Achieve copy vs. all access copy – Finance can move approved copy to a restricted access folder for audit record retention – Could have a public location where requestors can see their history and all others • Status – Generally the person making the request would get a copy of the purchase order to know the request was completed.
  17. 17. Additional Things to consider • Could Add unique number to request: – At request creation • Get from Finance – Finance Assigns numbers in blocks to departments • Our just use date, requestor initials and number of requests for day Ex. 41514BK1 • Link purchase request to PO # issued – After purchase order issued add PO # onto Request before achieve
  18. 18. Summary • Implementation is simple • Provide better user experience, more control and better efficiency • Process can sustain higher level of activity than initially designed for • Possible to integrate with Finance System as is • With no infrastructure cost it is easy to migrate to an integrated SaaS based solution when ready

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