Stone Profit Systems Purchase Cycle

 1. Pre-Purchase Request :

• This allows the customers to find required products from the suppliers with quotes.Customer creats the pre-purchase request and sends to the supplier.

 2. Supplier Response :

• Supplier creates Response to the customer regarding pre-purchase request with details such as supplier pricing details, inventory availability, payment and shipment terms.

 3. Purchase Order :

• Once the customer is satisfied with supplier quotes. Customer creates the purchase order to the supplier.
• It is the legal confirmation from the customer to the supplier regarding purchaing of products.
• Sometimes customers needs to make prepaymet to the supplier as per shipment terms.

 4. Supplier Invoice/Packing List :

• After receiving purchase order from the customer, Supplier will create this invoice and sends to the customer.
• It includes customer details, supplier details and products details with prices and quantity.
• Customer receives the invoice before/after the inventory received.

 5. Pay Inventory Bill :

• After receiving invoice customer make payments to the supplier.It includes payment method as cash or check etc.
• It includes details such as payment total, applied amount, due date

 6. Add Return/Credit Memo :

• If the inventory is damaged or mismatch customer sends purchase returns.
• Customer may send returns before or after payment.
• Supplier will create the credit memo for the damaged products according to customer purchase returns, sometimes he come to settlement with customer such as giving discount on the products.