PO Procurement Group

Before confirming the order with the Vendor, Purchasing Person needs to create the following documents in the System:

• PO Procurement Group.

This SOP will what PO Procurement Group is, how to create it and where to find it.

Getting started with PO Procurement Group

PO Procurement Group is the PO that is created by the System automatically after Salesperson confirms SO. PO Procurement Group is the PO that will become a confirmed Purchase Order. Other types of PO normally will not be confirmed into actual Purchase Order and are used only to quote and record the prices in the System, to be able to refer to them later on.

• PO Procurement Group is the main document that will be used to confirm a Purchase Order.
• PO Procurement Group is created by the System automatically after Salesperson confirms SO.
• After Salesperson confirms SO, the System will create PO Procurement Group for every Vendor whose prices were used in SO.
• The System will create PO Procurement Group every time SO is confirmed (every time Salesperson clicks "Confirm" in the SO).
• Every time the System creates POs Procurement Group, Purchasing Person will receive notification in Inbox from OdooBot.

PO Procurement Group Stages

POs Procurement Group have 3 main stages that reflect the status of the purchase process with a vendor, from an RFQ to completing an order. Stages have different buttons and different features. Stages are visible after accessing a specific PO.

• RFQ: Initial stage at which every PO Procurement Group is created by the System.
• RFQ Sent: Stage that appears after PO was sent to the Vendor via 'SEND BY EMAIL' button. This stage will not be used for PO Procurement Group.
• Purchase Order: After the SO is confirmed and all details with the Vendor are final, Purchasing Person will move PO Procurement Group into this stage. Purchase Order stage is the final and most important stage. Purchase Order stage allows Purchasing Person to generate Bill and Purchase Contract. After PO is moved to this stage products, quantities and prices become uneditable.

In addtion, there are invisible PO stages that only appear after a specific action is applied to PO.

• TO APPROVE: This is a temporary stage which appears when Purchasing Person wants to confirm the PO Procurement Group into Purchase Order stage - PO in this stage is waiting for approval of Purchasing Dept. Manager.

Note: The stage To Approve is used by Purchasing Dept. Manager to control the generation of POs with big amounts and double check the details before AdvaCare makes payment to the Vendor.

• CANCELLED: Purchasing Person will move PO into this stage when it is not required anymore (e.g Purchasing Person receives wrong information from Vendor, PO was created by mistake, etc).

PO Procurement Group functions

After the System creates PO Procurement Group, Purchasing Person will receive notification in Inbox from OdooBot. The notification will have a link to PO created and the relevant SO number. The first time Salesperson confirms SO is before the payment from the Customer is received - SO model does not allow Salesperson to create in Invoice until SO is in Sales Order stage. Therefore, the first notification of PO Procurement Group does not mean that Purchase Orders should be placed and confirmed.

If no action is taken by Purchasing Person at this point for the newly created POs Procurement Group, these POs will remain in RFQ stage. It might happen that before down payment is received by the Customer, Salesperson will have to move SO back and forth between Quotation and Sales Order stages. In this case, every time SO is confirmed, the System will make changes in the PO Procurement Group depending on the situation.

• New products are added and quoted from one of the Vendors that already have a PO Procurement Group from the first order confirmation: new products will be added to the existing PO Procurement Group in RFQ stage.
• New products are added and quoted from a new Vendor that was not used in SO before: new PO Procurement Group will be created for the new Vendor.
• Quantity/Specifications changed from one of the Vendors that already have a PO Procurement Group from the previous order confirmation: products will be duplicated in the existing PO Procurement Group in RFQ stage (it will keep products with the old specifications and add new lines of products with new specifications).
• New price is used in the SO, Vendor not changed (for example, first was PO Quoted and now PO Renegotiatiated is added): the System will duplicate the line of the product which price has changed (the same product with the same specifications will have 2 lines, with price as the only difference).
• New price is used in the SO, Vendor changed: the System will create a new PO Procurement Group for the new Vendor. Old Vendor will have the same product in PO Procurement Group created previously.

Depending on the situation, Purchasing Person needs to be ready to clean up the information and be sure which PO Procurement Group will be final after all the changes in the SO, and after down payment from the Customer is received. To not get lost in the changes, Purchasing Person needs to refer to PA, which has to have final and correct information. Salesperson must update PA every time there is a change, and every time before they click 'UPDATE PA'.

If after the first time confirmation of SO Purchasing Person decides to cancel the PO Procurement Group created by the System, then every next time SO is confirmed the System will make the new PO Procurement Group. As a result, every Sales Order will have a lot of PO Procurement Group that are in 'Cancelled' stage.

How to locate PO Procurement Group

The easiest way to locate POs Procurement Group that belong to a certain Sales Order, is to use the Task.