The Requisition program was designed to do all of the work prior to issuing purchase orders. Issues to consider for purchase orders:
- Supplier
- Cost
- Correct component information – manufacturer, model, and description
Supplier: A multitude of suppliers represent the same products. Establishing good working relationships with preferred suppliers helps with ensuring purchase order accuracy.
Cost: Establish pricing agreements with preferred suppliers assists with reducing project cost. If price agreements are established for a length of time, say a year, component price updates do not need to be requested on every order which is a time saver. Allen-Bradly, for example, always has price increases effective the first of March. Now, in the year 2022 we are faced with fluctuating costs on daily or weekly bases, but there is still some manufacturers with cost stabilities.
Correct component information: Ensures accuracy of project material and eliminates guess work.
In this string of programs, whether starting with a Bill of Material (BOM) from a spread sheet or a BOM program, the greater the accuracy with a component then the less time is involved with moving the component through the purchasing process.
Please check back as this is a developing post.