Document used in the purchase of goods and services

The procurement management process

In order to carry out the procurement process, Figure I depicts some

of the documents and activities that must be carried out by staff

members to ensure the efficient purchase of goods and services for

the business organization.

Documents used in the purchasing office

These are the documents the that procurement office would often use

when purchasing goods and services from external suppliers:

Index of suppliers

Departmental requisition

Purchase requisition

Purchase order

Distribution of purchase order

Goods received note

Distribution of goods received note

Index of suppliers

Index of suppliers – is a list of names of approved

suppliers, arranged alphabetically with addresses and

telephone numbers, descriptions of goods ordered from

them, terms and conditions of sale and unit prices of

goods. It is prepared and stored on computer by the

purchasing office

Departmental requisition

A departmental requisition – is prepared by the staff member

of a department, authorized by the head of department (HOD)

and sent to the store clerk requesting items for use by the staff

member. The original is sent to the stores clerk as authority

for the item issued and to monitor the rate of use of the item,

while the carbon copy is filed by the HOD as a record of items

received from stores. The rate of use will indicate when to

purchase the new stock.

A purchase requisition – is prepared by either the Head of

Department (HOD) within the firm or the stores clerk and

sent to the purchasing office requesting goods to be

purchased when they are not in stock or when a new item is

required. The original is sent to the purchasing office

so it can order the item and the carbon cop is filed by

the HOD or stores clerk as a record of item requested

from the purchasing office

Goods received note

Good received note – is prepared by

the stores clerk to report the arrival of

the goods.