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Purchase Order Management Best Practices by Michael Beitler, Arun Gupta, Ehap Sabri

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POM AT THE EXECUTION LEVEL

PO EXECUTION

The main objective of a purchase order management (POM) best practices process is to streamline direct material replenishment (see Chapter 2) and purchase order (PO) execution between a buyer and a supplier by electronic collaboration. The PO process includes several key steps (Figure 3.1). Material replenishment is included in Steps 1 through 3. (See Chapter 2 for a complete discussion of these steps.) Steps 4 through 10 involve PO execution, which is the subject of this chapter (Figure 3.2):

Step 1.

Replenishment signals are triggered to suppliers based on consumption information, an inventory ...

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