Creating a new Purchase Order
Purchase Order functionality enables you to purchase new materials from suppliers, and so increase the inventory levels for materials in the warehouse.
Purchase Order statuses
- Not received: When you create a new Purchase Order and fill in the required information (see below), the Purchase Order is saved with "Not received" status. This means that the relevant items have not yet arrived in your warehouse and are in "Expected" status.
- Received: You should mark the Purchase Order as "Received" when the items have arrived in your warehouse. After marking a Purchase Order as "Received", the materials are added to the "In stock" quantity and the "Expected" quantity will be decreased. You can only receive all items on the Purchase Order, partial receiving is not yet supported.
You can revert a "Received" Purchase Order by changing the status back to "Not received". The relevant items will be eliminated from "In Stock" and added back to the "Expected" quantities in the "Inventory" list.
Read more about Receiving a Purchase Order and Reverting a Purchase Order.
Creating a new Purchase Order
You can create a new Purchase Order either through the global "+" sign or use a quick-add button on a Manufacturing Order or in the "Inventory" list.
1. Click on the global "+" sign and select "+ Buy materials".
2. On a Manufacturing Order or in the "Inventory" list, click on the "+" button at the end of the line for a specific material to create a Purchase Order for the required material. Then fill in the missing fields in the pop-up window. This is a quick way to create POs for materials that are required by a Manufacturing Order or to re-establish optimal stock levels. To enter more details or edit the Purchase Order, navigate to the newly created PO in the "Buy" screen.
Each Purchase Order has a delivery status, which can be manually changed by the user. Statuses trigger specific changes in the inventory and also help to monitor and manage purchasing activities.
Read more about Purchase Order delivery statuses.
General Purchase Order info
Supplier (required) - the name of the supplier for the material you are purchasing.
Purchase order # (required) - the unique identifier for the Purchase Order. This is auto-generated by Katana but can be edited manually if needed. Example: PO-1, PO-2.
Arrival date - the date when the items are expected to arrive (in full) in your warehouse. Can be manually edited for each Purchase Order.
Created date (required) - the date of creating the Purchase Order. The default value is set to today but can be changed manually if needed.
At least 1 item has to be added to each Purchase Order. You can only add materials to Purchase orders, you cannot add products.
Item (required) - the name of the material you wish to purchase. You can either select existing material variants or create a new material by typing in a material name and selecting "Create new: [material name]". Read more about Creating a new material. Note that the field value is a combination of Variant Code, Item name and Variant Option values (e.g. "[M-1] MyMaterial / White").
Quantity (required) - the amount of the material you wish to purchase. The Unit of Measure for the item can be set and edited on the item card. The maximum of 3 decimal places is allowed.
Price per unit (required) - the default Purchase Price (excluding tax) set on the material card. This can be manually edited on each Purchase Order.
Tax % - the applicable Tax rate (e.g. VAT, GST) for the line item. Select a tax rate from the drop-down menu. You can manage default Tax rate, edit, create and delete Tax rates in Settings -> Tax rates.
Total cost = Quantity * Price per Unit. A calculated field, cannot be manually edited.
You can add any comments to the Purchase Order. For example, specific instructions to purchasing personnel, any purchasing details, any reference numbers, references to the location of relevant files etc.
To insert a line break in the commenting field, click Shift + Enter.