How to Create a Purchase Order from an Accepted Quote

RAVE’s financial management system is designed to help you manage all the financial aspects of your projects, including budgeting, bills, and invoices, with ease.

The Purchase Order sub-tab is where you create and manage all purchase orders for a project.  Though not as common in New Zealand residential construction as in other parts of the world (yet) the use of purchase orders serves as a foundation for optimum purchasing.  It acts a legally binding agreement between you and your contractors/suppliers confirming work and product orders, order quantities and agreed upon pricing.  We recommend the use of purchase orders as an additional line of defence in protecting your project and business profitability, RAVE includes a range of back costing and financial reports and RAVE makes the use of purchase orders easy too.

While there are several ways to create purchase orders in RAVE, the easiest method is to generate one directly from an accepted quote - and this article covers this option.
To learn how to Create a Purchase Order From Scratch, click here.

To learn how to Create Purchase Orders - Using a CSV File, click here.

You can access your Project’s financial workflows from either the Financial button or the Project button's Project list, clicking on the project’s reference number, and finally selecting the Budget sub-tab, then Purchase Orders.

How to Create a New Purchase Order from an Accepted Quote

From the Project's Budget sub-tab

• Navigate to your project's ‘Purchase Orders’ sub-tab.

• Click on the ‘Quotes Ready to Convert’ tab to the top left of your screen.

• This section lists all accepted quotes for the job that can be converted into a purchase order.

• Find the accepted quote you want to convert, and click it's '+ Purchase Order' button to the right-hand side of that line.
  
  This will open a 'Convert "Quote Reference" to Purchase Order' pop-up, for you to complete.  Also noting that this converted Purchase Orders will be created as 'Draft' status. Details to complete here are:
  - The due date if required
  - Ticking the Specify Delivery Instructions check box, will prompt you to add delivery details
  - The Delivery Address, and Deliver To selectors, and the Delivery Instructions field
  - And the Destination Tax Mode - set to auto
  
  

• Clicking 'Convert' will open a draft Purchase Order form for you to complete
  
  

  
  

  
  
  Filling in the Purchase Order Form
  The supplier/contractor name, Purchase Order Reference, Type, Category & Subcategory, Tax Type, Purchase Order Date, Associated Quotes, Delivery details, Attachments and Product Line Details will populate from the Quote and Pop-Up screen. You can now:
  
  

• Mark as Processing cogwheel icon (on/off) - is used to flag a Purchase Order that is still in progress.  When this is enabled, it means the supplier or contractor has not yet fully billed you for that Purchase Order - to help prevent unnecessary calls or emails to chase invoices that are still pending completion.  You can toggle this setting on or off at any time.

• Hide Pricing - if you do not want the suppliers packing team to see pricing

• Or ‘Include Quote Scope of Works on PDF’ if you want this information displayed on the purchase order.

• The Attachments section allows you to add any other documents you wish to send to the supplier (e.g. the supplier’s quote, specifications, or plans)

• And edit any of the line item details, including: 
  - The Quantity (increase or decrease)
  - The Pricing and Markup
  - And Remove items that are not being ordered in full via the red trash can
  
  Note: Any deleted or unfulfilled items will remain available to be added to future purchase orders until their quantities reach 100% ordered.
  
  

• You can also edit the Cost and Sell Tax Rates, by clicking on the Tax Rate drop-down
  
  Note: The Line Item Setting cogwheel to the top right of the Total Sell price, allows you to set your pricing from 2, 4 or 6 decimal places. 

• You can add a new line by hovering below the last product line detail, and clicking in that space

• Once you have filled in all of your purchase orders' details, you can select

  - Save Draft - saves the draft purchase order for review or editing later, before approval
  - Delete Draft - to cancel and delete the purchase order you are working on

  - Save and Continue Editing - handy when loading a lot of line data, via the teal coloured disc icon

  - Approve - saves the order for record keeping, and adds this to your 'back costing' report - but does not send it to the supplier.

  - Approve & Send - sends to the supplier, and adds this to your 'back costing' page 

  - Save as Template - via the 3-dot drop-down to the top right of the screen, to load up for a future purchase order

How to Bulk Manage your Chart of Accounts, Categories & Subcategories, and/or Markup

If you need to apply a Chart of Accounts, Category & Subcategory, and/or Markup to multiple lines, you can select the tick box header to the left of your product lines table, to select all lines and open a pop-up modal - which will appear at the bottom of your screen.   

Then, untick the lines you do not need to update, and click the appropriate selection from the drop-down menus, or apply your markup % or $ value. 

Once done, you can close the pop-up modal via the 'Close X' button.

Xero Integration Note:

While you can send your Purchase Orders to Xero (if your business uses Xero), it is not recommended.  All financial reconciliation is completed within RAVE, so sending purchase orders to Xero only adds an unnecessary extra process and potential duplication.