Purchase Orders

Creating and managing purchase orders for inventory replenishment

Purchase Orders

Purchase order management in DrillerDB connects inventory tracking with procurement processes. The system helps formalize ordering processes, track outstanding orders, and coordinate receiving activities with inventory updates.

Quick Start: Create Purchase Order

Go to Inventory > Purchase Orders
Click New Purchase Order
Select vendor
Add items and quantities
Set expected delivery date
Click Save (draft) or Submit

Understanding Purchase Orders

A purchase order represents a commitment to purchase materials from a vendor.

What POs Track

Element	Purpose
Vendor	Who you're ordering from
Items & quantities	What you need
Expected prices	Budget verification
Delivery date	Planning and follow-up
Order status	Track fulfillment

Benefits of Using POs

Benefit	How It Helps
Prevent duplicate orders	See what's already ordered
Track outstanding items	Know what's expected
Verify shipments	Compare delivery to order
Document purchasing	Audit trail for spending

Creating Purchase Orders

Generate purchase orders from low stock reports or create manually.

Step-by-Step: Create PO Manually

Go to Inventory > Purchase Orders
Click New Purchase Order
Select vendor from contacts
Set expected delivery date
Add items (search or select from catalog)
Enter quantities and expected prices
Review order total
Click Save as draft or Submit to vendor

Step-by-Step: Create PO from Low Stock Report

Go to Inventory > Reports > Low Stock
Select items to reorder
Click Create Purchase Order
System pre-fills items and suggested quantities
Select vendor
Adjust quantities as needed
Submit order

The system suggests order quantities based on minimum and maximum stock levels. Adjust based on upcoming project needs or volume pricing opportunities.

Vendor Information

Each purchase order associates with a vendor from your contact database.

Vendor Record Information

Field	Purpose
Contact details	Where to send orders
Payment terms	Net 30, COD, etc.
Delivery preferences	Shipping instructions
Notes	Special requirements

Track vendor performance by reviewing purchase order history. Identify vendors who deliver on time versus those requiring extra follow-up.

Order Status Tracking

Purchase orders progress through several statuses.

PO Status Workflow

Status	Meaning	Can Edit?
Draft	In progress, not sent	Yes
Submitted	Sent to vendor	Limited
Partially Received	Some items arrived	No
Completed	All items received	No
Canceled	Order canceled	No

Step-by-Step: Track Order Status

Go to Inventory > Purchase Orders
View status column in list
Filter by status to find outstanding orders
Click order for details
View expected delivery and items

Receiving Materials

When shipments arrive, verify contents against purchase orders.

Automated PO receiving with inventory updates is planned for a future release. Currently, record received materials using manual stock adjustments in Inventory.

Current Workflow: Record Received Materials

Go to Inventory > Purchase Orders
Update PO status to track fulfillment
Go to Inventory to adjust stock:
- Find each received item
- Click Adjust Stock
- Add quantity with note referencing PO number
Update PO status when complete

Handling Discrepancies

Discrepancy	Action
Short shipment	Receive what arrived, leave PO open
Over shipment	Record actual quantity, note variance
Wrong items	Note discrepancy, contact vendor
Damaged goods	Receive undamaged, note damaged quantity

Receiving against POs provides verification that you received what you ordered. Discrepancies trigger investigation to resolve billing issues or locate missing items.

Partial Shipments

Vendors sometimes fulfill orders across multiple shipments.

How Partial Receiving Works

Step	Action
First shipment arrives	Receive items that arrived
PO status	Changes to "Partially Received"
Remaining items	Stay on open PO
Next shipment	Receive additional items
All items received	PO status changes to "Completed"

Track which items are still expected from each order to follow up appropriately with vendors.

Purchase Order History

Maintain complete history for audit and analysis.

Uses for PO History

Use	Benefit
Purchasing patterns	Optimize reorder timing
Volume negotiations	Data for vendor discussions
Vendor performance	Track reliability
Financial reviews	Document spending decisions

Step-by-Step: Review PO History

Go to Inventory > Purchase Orders
Set date range filter
Filter by vendor (optional)
View historical orders
Export for analysis

Budget and Spending Tracking

Purchase orders document committed spending before payments.

PO Budget Reports

Report	Shows
By vendor	Spending per supplier
By category	Material type spending
By period	Monthly/quarterly totals

Step-by-Step: Generate Spending Report

Go to Inventory > Purchase Orders
Click Reports
Select report type
Set date range
View or export results

Integration with Inventory

Purchase orders help track what's on order while inventory tracks what's in stock.

Current Workflow

Action	How to Do It
Create PO	Track what you've ordered
Receive shipment	Manually adjust inventory stock
Reference PO	Include PO number in adjustment notes
Complete PO	Update status when fully received

Understanding reorder patterns helps optimize order timing and sizes to balance carrying costs against ordering costs.

Cancellations and Modifications

Sometimes purchase orders need changes.

Handling Changes

Change	How to Handle
Cancel entire PO	Update status to Canceled
Modify quantities	Note changes, update PO if draft
Add items	Create new PO or amend existing
Change vendor	Cancel and create new PO

Coordinate all changes with vendors to ensure they fulfill the correct requirements. Document changes to protect against fulfillment disputes.

Working Without Purchase Orders

Purchase orders are optional—DrillerDB inventory works without them.

When to Use POs

Use POs If	Skip POs If
Need spending control	Simple procurement
Multiple approvers	Direct ordering
Vendor verification important	Trust relationships
Audit trail required	Minimal documentation needs

Start with informal receiving if your needs are simple. Add purchase orders if you identify issues with ordering visibility or control.

Troubleshooting

Can't find a PO?

Check status filter (may be filtering out)
Expand date range
Search by PO number or vendor

Inventory not updating on receive?

Verify tracking mode is Full Stock
Check receive was saved
Review transaction history

PO status stuck?

Verify all items received
Check for partial receipts
Contact support if issue persists

Can't edit submitted PO?

Create correcting PO if needed
Add notes to original PO
Coordinate with vendor on changes

Managing Inventory Items - View catalog
Inventory Transactions - Record adjustments
Stock Level Tracking - Manage quantities
Inventory Reports - Analyze spending