Introduction
Welcome to our guide on the Procurement Cycle in Empress. This guide is designed to help you understand and manage the procurement process efficiently in your business operations. By familiarizing yourself with these seven key stages, you can streamline your procurement procedures, avoid unnecessary costs, and build strong relationships with your suppliers.
Stage 1: Material Request
The procurement cycle kicks off with a Material Request. This is essentially a formal request for the purchase of specific items. It includes important details such as the type of item, the quantity needed, and the desired delivery date.
Stage 2: Request For Quotation (RFQ)
Next, a Request for Quotation (RFQ) is issued. This step is particularly beneficial when you have multiple potential suppliers for the items you need. An RFQ invites suppliers to submit their bids for supplying the items listed in the Material Request.
Stage 3: Supplier Quotation
Once the RFQ is out, suppliers will submit their quotations along with the proposed prices for the items requested. These quotations can be submitted either through Empress or via a web portal. After receiving all quotations, they are compared to find the best value for your business.
Stage 4: Purchase Order
After comparing the quotations, a Purchase Order is created for the chosen supplier. This is an official document detailing the specifics of the purchase, including the items, quantity, price, and delivery date.
Stage 5: Purchase Receipt
When the items from the supplier are received, a Purchase Receipt is generated. This document confirms the delivery of goods and acts as evidence of the transaction.
Stage 6: Purchase Invoice
Following this, a Purchase Invoice is produced. This document notifies the supplier of the payment due for the goods supplied. It includes the purchase details such as items, quantity, price, and payment terms.
Stage 7: Payment Entry
Finally, a Payment Entry is made to clear the account with the supplier, marking the completion of the procurement process.
Knowing how to navigate these stages in Empress will ensure a smooth procurement process in your everyday business operations. This user-friendly interface is designed to make the procurement cycle as efficient and straightforward as possible, allowing you to focus on what matters most – growing your business.
For more resources or support, don’t hesitate to reach out to our Empress customer support team. With this guide, you’re well on your way to becoming a procurement pro in Empress!