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Module 08: Purchases & Procurement

The Purchases module (/purchases/*) automates the Procure-to-Pay (P2P) cycle, managing vendor relationship records, purchase order issuing, threshold approval routing, goods receipt (GRN) matching, and supplier bill accounting.

🎯 Core Capabilities

1. Vendor Management (/purchases/vendors)

  • Centralized supplier directory tracking supplier TRN, payment terms, default expense categories, SWIFT/IBAN wire details, and historical PO logs.

2. Purchase Orders (/purchases/orders)

  • PO Lifecycle: Draft → Pending Approval (if rule triggered) → Approved → Sent to Supplier → Goods Received → Billed.
  • Order Metadata: Vendor, Order Date, Promised Delivery Date, Destination Warehouse, Currency, Line Items, Unit Costs, 5% Input VAT, Total PO Amount.
  • Approval Rule Interception: Purchase orders exceeding configured threshold rules (e.g. Amount > 10,000 AED) are automatically held in PENDING_APPROVAL status until sign-off in the Approvals Inbox.

3. Supplier Invoices / Bills (/purchases/invoices)

  • 3-Way Matching: Verifies that Purchase Order amounts match Goods Receipt quantities (GRN) and Supplier Invoice details before posting to Accounts Payable.
  • Automated Bill Email Scanning: Upload or forward PDF supplier bills to automatically extract vendor name, bill number, line items, and VAT amounts using AI document extraction.

💡 Step-by-Step Instructions

Complete Procure-to-Pay (P2P) Flow

  1. Create PO: Navigate to Purchases → Purchase Orders, click New Purchase Order, select Vendor, choose target Warehouse (e.g. Main Warehouse), add line items, and click Submit Order.
  2. Approval (If required): If the PO exceeds financial thresholds, notify your manager to sign off in /approvals.
  3. Receive Stock (GRN): When shipment arrives, open the PO and click Receive Goods. The warehouse team confirms physical quantities received, updating Inventory Asset GL.
  4. Post Supplier Bill: Click Create Vendor Bill. The system posts debits to Stock Input Clearing / Expense (510000) & VAT Input Recoverable (130000), and credits Accounts Payable (220000).