Purchase Manager is used to enter Purchase Transactions to order and receive Inventory Items from Vendors. The default Purchase Transaction Type is Purchase Order.
By default, Purchasing is set up to automatically update inventory costs and can also be set up to automatically update the selling price (by using a Price Table). Items on Purchase Orders represent items that have been ordered from Vendors but have not yet been received. Items on Purchase Invoices represent items that have been received.
The four basic steps to enter and complete a Purchase Transaction:
- Select the desired Purchase Transaction Type - Press the appropriate Hot Key, or select Transaction Type from the Special menu.
- Select the Vendor - Choose an existing Vendor from the Vendor Database or add a new Vendor to the Vendor Database (on- the-fly, from the Purchase Order).
- Select the Inventory Items - Choose existing items from the Inventory Database, add new Inventory items to the Inventory Database (on-the-fly, from the Purchase Order), or Auto Order Inventory items based on Minimum Order quantity calculations.
- Complete the Purchase Order - Enter optional shipping charges, discounts, payments to Vendors, etc.
- Enter Comments
- Update Inventory costs and/or selling prices
- Adjust Inventory item costs
- Adjust Order quantities
- Distribute Shipping costs
- Distribute Discount amount
- Enter Payments
Special attention should be paid to the following Purchase Transaction Parameters (Purchasing-Transaction-Parameters- Line Items/Entry/Display/Update):
Load Cost From (Line Items Parameter):
Select which cost field is used when an item is added to a Purchase Transaction. Options are: Vendor Cost (default), Last Cost, Average Cost.
Recvd Qty Only on Edit Orders (Line Items Parameter):
Enable to scan or enter quantities directly into the Received column of a Purchase Order Transaction. Note: The Merge Same Items parameter to be set to either Warn, Auto, or Auto-No Beep, and the cursor must be on the first blank line of the Order (immediately below the last line item) before scanning or entering.
Don't check Max Qty on Edit Qty (Line Items Parameter):
Enable to skip the check that verifies that the new QOH does not exceed the item's Max Qty when the Qty field is manually changed. NOTE: The Max Qty will still be checked when creating the default order quantity for the item.
Screen Modes (Display Parameter-Screen Modes button):
The Screen Mode settings define what columns and format will be displayed for each of the Purchase Transaction Types (Reserved Order, Purchase Order, Purchase Invoice).
Detail Box Display Files (Display Parameter):
The Detail Box Display Files determine what information is displayed in the Detail Box (the lower part of the transaction screen, to the left of the totals) for each Purchase Transaction Type (Reserved Order, Purchase Order, Purchase Invoice).
All of the Update Parameters should be taken into consideration, especially the following options:
Update Base Price to New Price (Update Parameter):
Enable to automatically update each received item's Base Price based on the calculation formula(s) (enable Calculate New Price) in the selected Price Table (see the Price Tables section earlier in this document).
Rotate Vendors (Update Parameter):
Enable to automatically place the Vendor from which an item was last received into the Vendor#1 position on the item's Inventory database record (and move the other Vendors, if any, into the #2 through #4 positions).
Delete Filled Orders (Update Parameter):
Enable to automatically delete Purchase Orders when all of the line items have been completely received. Disable to retain the line items with the Purchase Order (for reuse).
Commonly used Purchasing functions include:
- Auto Order - Automatically create a new Purchase Order.
- Auto Receive - Automatically populate Received quantities on an existing Purchase Order.
- Update Inventory costs and/or selling prices.
- Manage Discounts (optional).
- Manage Shipping costs (optional).
- Manage Payments to Vendors (optional).
The fields and settings on the Purchase Transaction Item Entry screen vary depending on the selected Purchase Transaction Type:
Vendor - The Vendor from which items are to be ordered/received.
No. - The Transaction number.
Date - The Date of the Transaction.
Vendor Part# - Displays item Vendor Part Number by default.
Description - The field into which items are entered.
Order - The number of units ordered on a Purchase Order.
Recvd - The number of units received on a Purchase Order.
Qty - The number of units received on a Purchase Invoice.
Cost - View, select, or adjust the item's unit price.
Amount - The Quantity sold or shipped multiplied by the Price.
Order Total - The total amount ordered for all of the line items on a Purchase Order.
Rcvd Total - The total amount received for all of the line items on a Purchase Order.
SubTotal - The total amount received for all of the line items on a Purchase Invoice.
Shipping - The shipping costs for the Purchase Transaction.
Disc - The discount amount for the Purchase Transaction.
Total - The total for the Purchase Transaction.
Detail Box - Displayed in the lower-left part of the Purchase Transaction Item Entry screen.
Purchase Transaction - Entering - Special Keys
Purchase Manager Contents