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Cost of PO

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  • Cost of PO

    Hello


    Could you tell me how to compute for cost of PO?
    What should be considered in computing for this?

    I sometimes process PO in SAP with USD 200 as a total value which could have been more practical if this item was bought via cash advance.

    In order for me to support my justification, I have to at least come up of how much is the cost of PO.

    Here are the things to do before I could make a PO:

    End-user create a PR
    Line Manager releases PR
    Buyer creates PO in SAP and sends PO to supplier (fax or email).

    Thanks.

  • #2
    Re: Cost of PO

    Originally posted by sarie View Post
    Hello


    Could you tell me how to compute for cost of PO?
    What should be considered in computing for this?

    I sometimes process PO in SAP with USD 200 as a total value which could have been more practical if this item was bought via cash advance.

    In order for me to support my justification, I have to at least come up of how much is the cost of PO.

    Here are the things to do before I could make a PO:

    End-user create a PR
    Line Manager releases PR
    Buyer creates PO in SAP and sends PO to supplier (fax or email).

    Thanks.
    Sarie,

    I would say that first you need to understand how long each one of the listed processes takes from end to end, establish the hourly rate of the level of individual who undertakes each task, put a small factor in for Paper, and ink, and this should give you the cost of creating a PO.

    Starbucks Junkie
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    • #3
      Re: Cost of PO

      Hi Starbucks Junkie

      Thanks so much for the inputs.. appreciate it a lot!

      Take Care

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      • #4
        Re: Cost of PO

        Except when the amount is way too low, most companies I've worked with require both PR and PO preparation as this establishes control,responsibility, and accountability for the purchase. A cash advance would still need to be supported by a PR approved by the department head of the requesting company. Cash payment is usually resorted to only on cases where the supplier does not accept other forms of payment besides cash but it doesn't eliminate the need for PR and/or POs.

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        • #5
          Re: Cost of PO

          Thanks to a very
          สล็อตออนไลน์

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