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What is a Purchase Request ? – Overview

A Purchase Request, also known as a purchase requisition, is a crucial part of any business’s procurement process. It’s a formal document that an employee uses to request the purchase of specific goods or services. This guide will provide an in-depth understanding of what a purchase request is, its purpose, the process involved, and how to automate it for efficiency.

What is a Purchase Request?

A purchase request is an internal document that an employee uses to initiate the purchase of goods or services on behalf of their company. These purchases could be for essential office supplies, raw materials for production, or even specialized services.

The purchase request serves as a form of permission, allowing the procurement department to take action and proceed with the purchase. It provides an early opportunity for the department to review the requested items and ensure they are necessary and within the budget.

What is a Purchase Request Form?

A Purchase Request Form is a standardized document that employees use to submit their purchase requests. The form usually includes specific details about the items being requested, such as their descriptions, quantities, and estimated costs. It may also contain information about the requester, including their name and department.

The form serves as a record of the purchase request, providing a paper trail that can be referred to later. It also reduces miscommunication by ensuring that all necessary details are captured accurately.

Details Included in a Purchase Request Form

The purchase request form includes several necessary details that help the procurement department understand and process the request. These details typically include:

  • Name and department of the requester
  • Date of the request
  • Detailed description of the products or services requested
  • Quantity and price of each item
  • Reason for the purchase
  • Preferred supplier (if any)

By providing all this information, the form ensures that all purchase requests are clear, detailed, and easy to track.

The Purchase Request Process: A Step-by-Step Guide

The process of submitting a purchase request and getting it approved can vary from one company to another. However, the general structure of the process remains the same.

Step 1: Submission of the Purchase Request Form

The process begins when an employee identifies a need for certain goods or services. The employee fills out a purchase request form detailing their needs and submits it for approval.

Step 2: Review by Line Manager or Department Head

The form is then reviewed by the line manager or department head, who checks its validity and ensures it doesn’t exceed the department’s budget. If everything is in order, it’s approved and forwarded to the purchasing department.

Step 3: Verification by the Purchasing Department

The purchasing department takes a look at the form, checks the business need for the requested items, and ensures the request is duly signed and authorized. If the form lacks key details, it may be returned to the requester for completion.

Step 4: Financial Approval

The request undergoes financial scrutiny to ensure alignment with budgetary constraints and financial goals. This step involves assessing the availability of funds and evaluating the cost-effectiveness of the purchase.

Step 5: Legal and Risk Assessment

The purchase request is reviewed by the legal and risk management departments to identify potential contractual risks, liabilities, and compliance issues. This assessment ensures that the proposed purchase aligns with legal requirements and mitigates any associated risks.

Step 6: Generation of Purchase Order

Upon approval from all necessary departments, a purchase order is generated and sent to the supplier. This document serves as a contract between the company and the supplier, detailing the items to be purchased, their quantities, and the agreed-upon prices.

Step 7: Delivery and Assessment of Order

The items are then delivered and checked for quality and accuracy. A three-way matching process is conducted to ensure that the invoice, purchase order, and goods received note (GRN) all match. This process helps to prevent overpayment or payment for goods that were not delivered.

Step 8: Payment of Invoice

Once the three documents match, the finance or accounts payable department processes the payment according to the agreed-upon terms. This marks the end of the purchase request process.

The Importance of Purchase Requisitions in Procurement

The use of Purchase Requisitions in procurement offers a host of benefits:

  • Transparency: The hierarchical approvals in the purchase requisition workflow ensure transparency and accuracy.
  • Streamlined Process: Centralizing the purchasing process with a defined workflow makes it easier to manage and reduces delays.
  • Fraud Prevention: The formal process associated with a Purchase Request deters fraudulent activities.
  • Avoidance of Duplicate Orders: Purchase Requisitions help keep track of requests and prevent accidental multiple orders.
  • Increased Accountability: The document trail provides evidence of the items ordered and their delivery, increasing accountability.
  • Cost Savings: By managing purchase requests centrally, organizations can achieve significant cost and time savings.
  • Audit Compliance: Purchase Requisitions form crucial evidence during audits, demonstrating approval for purchasing decisions.

Streamlining Your Purchase Request Process with Automation

Automation can greatly enhance the efficiency of your purchase request process. By automating this process, you can reduce paperwork, speed up approval times, and improve visibility into your procurement activities.

How Can Help offers a powerful solution for automating your purchase request process. With its user-friendly interface and robust features, you can easily create, manage, and track purchase requests in a fraction of the time.

Whether you’re a small business dealing with a handful of purchase requests per month or a large corporation managing hundreds, can help streamline your process, reduce errors, and ensure compliance with your company’s procurement policies. Here’s a detailed breakdown of the steps you can take to seamlessly integrate automation into your Purchase Requisition process:

1. Map Out the Process: Document and Analyze

Start by gaining a comprehensive understanding of your current Purchase Request process. Document every step, identify potential bottlenecks, and envision the desired workflow. This initial mapping is crucial for laying the foundation for a more efficient and streamlined process.

  • Identify Bottlenecks: Pinpoint areas where the current process experiences delays or inefficiencies. This could be manual approvals, communication gaps, or redundant steps.
  • Envision Desired Workflow: Visualize an ideal Purchase Requisition workflow. Consider how automation can address bottlenecks and enhance the overall efficiency of the process.

2. Create Digital Forms: Transition from Paper to Digital

Replace traditional paper-based or email-driven forms with user-friendly digital forms using a dedicated purchase requisition software. This shift not only reduces the environmental impact but also facilitates a smoother, more organized data collection process.

  • User-Friendly Interface: Choose a purchase requisition software with an intuitive interface for creating digital forms. This ensures that users can easily adapt to the new system.
  • Data Accuracy and Consistency: Digital forms reduce the chances of errors associated with manual data entry. Ensure that the software allows for customization to capture the specific information your organization needs.

3. Customize the Process: Tailor to Your Business Needs

One of the strengths of automation is its adaptability. Tailor the data fields and workflows according to your unique business processes, ensuring that the automated system seamlessly integrates with your existing operations.

  • Adapt to Business Policies: Customize the system to align with your organization’s purchasing policies. Define rules, exceptions, and conditional workflows that reflect your specific requirements.

4. Implement the System: Streamline Processes

Now that your digital forms are ready, use the purchase requisition software to streamline the entire process. The goal is to make collecting, processing, and approving or rejecting Purchase Requests a more efficient and less time-consuming endeavor.

  • User Training: Ensure that relevant stakeholders are trained on using the new system. This step is crucial for a smooth transition from manual to automated processes.
  • Real-time Tracking: Leverage the software’s capabilities for real-time tracking of Purchase Requests. This transparency helps in better decision-making and accountability.

5. Publish, Integrate, and Measure: Optimize and Evaluate

With the system in place, it’s time to launch the application, integrate it with other relevant systems, and measure its effectiveness over time. Continuous optimization is key to maximizing the benefits of automation.

  • Launch and Integration: Publish the app for usage within the organization. Integrate the purchase requisition software with other systems such as accounting or inventory management for a more holistic approach.
  • Measure and Analyze: Utilize the measurement tools provided by the software to assess the effectiveness of the automated workflow. Look for areas of improvement and gather insights for further enhancements.

Automate Purchase Requisition with

One of the leading platforms for automating your Purchase Request process is Zapro offers an intuitive, user-friendly platform that enables organizations to create a robust, streamlined Purchase Request process. Zapro’s features include customizable workflows, digital forms, and integration with existing financial systems.

Zapro’s platform also provides a comprehensive reporting engine, allowing you to measure the effectiveness of your Purchase Requisition process and make data-driven decisions for improvements.

By choosing, you not only streamline your Purchase Request process but also ensure transparency, compliance, and efficiency in your procurement activities. Trust to take your procurement processes to the next level.

So, there you have it—a comprehensive guide to understanding and automating your Purchase Request process. Remember, a well-managed Purchase Request process is the first step towards efficient procurement management. And with the right tools like, you can achieve this with ease.

“Take your procurement strategy to the next level with Zapro. Trusted by 1,000+ companies.”
Optimize Your Procurement StrategyNow! Choose Zapro. Trusted by 1,000+ global procurement leaders.