Purchase Order Process

A purchase order (PO) form is needed for anything you would place an order for like stationery, events, training, IT equipment, stamps, office furniture. PO’s are not required for things like travel and utilities. The purpose of a PO is to demonstrate to the finance team and to auditors that the purchase has been approved and that the budget holder is happy for their budget to be spent in that way.

You need to have a completed and authorised PO form with a PO number before you purchase the item.

Some common questions:

• What is the expected turnaround time?

In terms of getting a PO number from finance, you will normally receive this within two working days. If a quicker turn around is needed, please state this in the request

• What to do I do if I need a PO number urgently?

You still need to complete the PO process as above, but calling Ian or Heather to make them aware of the urgency will help you to receive a PO as soon as possible. Most items that need a PO number should be planned for so you should be able to factor in time to complete the form, get it authorised and receive a PO number.

• Does the amount of my PO need to be exactly what it is on an invoice?

The PO process should be completed before an invoice is received. Where quotes are obtained in advance, the purchase order should be raised and approved in accordance with the quote. If the invoice received is less than the amount on the PO form, then this is fine to be paid. If the invoice is more than the amount on the PO form, this will need further approval from the budget holder/your line manager.

• Can I use a PO with multiple invoices/suppliers?

A PO should be raised for one supplier at a time. Therefore, if you have a project that is to be supported by a number of suppliers, each supplier should receive their own PO.  

A PO can be raised and approved to cover more than one invoice for the same supplier. For example, one PO covering the full cost of the promotion of the belonging course could be approved with an invoice being received each month for 5 months against that one PO. The total of the invoices should match the total on the approved PO form. If the total is above the value of the PO, further approval is required as per the above.

• Can I extend a PO number and what is the process?

If the total on an approved PO form has been spent, then a new PO form and PO number will need to be requested and issued.

• What if the authoriser is on annual leave?

If you can wait till the authoriser comes back, then please wait for their return. If not, then please go to your line manager’s line manager, unless you have arranged with your line manager an alternative authoriser. Ideally, there should no need to have to rush through a PO form so please plan ahead as best you can.

• How can I purchase an item on PO form?

There are 3 ways you can purchase an item on a PO form:

1. 1. 1. Send an invoice with the bank details and PO number to [e-mail] for the finance team to pay via bank transfer.
      2. Use a Safe Families credit card with the permission of the card holder to buy the item. Please send the receipt and PO number to the person who completes the credit card return for that credit card.
      3. Purchase the item using your own card and claim for it through expenses putting the PO number in the description of the item.