Overview

In many hire and project-based businesses, the final supplier cost is not always known when a Purchase Order (PO) is created. This is common for:

Freight and transport charges
Sub hire and external equipment
Variable supplier pricing

To manage this effectively, HirePOS supports a workflow where:

Purchase Orders are created early
Supplier invoices are attached when received
The purchaser confirms pricing
The PO is only exported once finalised

This ensures:

Accurate cost control
Clear responsibility
Clean data exported to accounting

🧭 Workflow Summary

Create PO → Attach Supplier Invoice → Notify Purchaser → Purchaser Reviews & Updates → Mark as Received → Export to Accounting → Accounts Match

Recommended Workflow

1. Create the Purchase Order

The purchaser creates the Purchase Order in HirePOS as soon as the requirement is known.

At this stage:

Pricing may be estimated or incomplete
Some charges may not yet be known
The PO remains in Awaiting status until receipted

Tip

If pricing is not final, add a note such as:

Pricing to be confirmed
Freight TBC
Sub hire invoice pending

2. Supplier Invoice is Received

When the supplier invoice arrives:

The office or accounts team uploads the PDF to the Attachments section of the Purchase Order
The PO should not be receipted yet unless pricing is already confirmed
The PO should not be exported at this stage

Key Point

The office team is responsible for capturing the invoice, not approving pricing.

3. Notify the Purchaser

Once the invoice has been attached, the purchaser should be notified that the PO is ready for review.

This can be done using:

Internal communication (email, Teams, Slack etc.)
HirePOS Alerts / Reminders

Suggested Message

Supplier invoice has been attached to PO #[Order Number]. Please review and confirm pricing.

4. Purchaser Reviews the Invoice

The purchaser opens the Purchase Order in HirePOS and reviews the attached invoice.

They should:

Confirm supplier pricing
Update PO pricing where required
Verify quantities received
Check any variable charges (e.g. freight, sub hire)
Confirm supplier invoice details if needed

Key Responsibility

The purchaser is responsible for ensuring the PO reflects the true final cost.

5. Mark the Purchase Order as Received

Once pricing has been confirmed, the purchaser marks the PO as Received.

During receipting, HirePOS allows entry of:

Quantities received
Back orders
Supplier invoice number
Delivery docket number

Important Rule

Received = Reviewed, Approved, and Ready for Export

6. Export to Accounting

After the PO has been marked as Received, the office/accounts team can export it to your accounting system.

Export only POs that are fully approved
Ensure pricing matches the supplier invoice
Ensure documentation is attached where required

7. Accounts Matching

Accounts then matches:

Supplier Bill ↔ Purchase Order

At this stage:

Any variance should be a genuine issue
Minimal investigation should be required

Key Principles

✅ Purchase Orders should be created early
✅ Supplier invoices should be attached to the PO
✅ Purchaser is responsible for pricing accuracy
✅ Only Received POs should be exported
❌ Do not export incomplete or unapproved POs
❌ Do not rely on accounts to correct pricing

Tips & Tricks

Keep everything inside HirePOS

Attach supplier invoices directly to the Purchase Order instead of relying on email chains.

Benefits:

Centralised records
Better audit trail
Less confusion

Use “Received” as an approval step

For variable-cost purchases, receipting should represent:

Invoice reviewed
Pricing confirmed
Ready for export

Make responsibilities clear

Office = captures invoices
Purchaser = approves pricing
Accounts = reconciles

Avoid early exports

Exporting before pricing is confirmed leads to:

Rework in accounting system
Confusion
Incorrect reporting

Use reminders to manage approvals

HirePOS reminders can help ensure:

Purchasers know when action is required
POs don’t sit unapproved

Common Scenario

“The purchaser doesn’t know the final price when creating the PO”

This is normal.

The correct approach is:

Create the PO with estimated pricing
Wait for the supplier invoice
Attach the invoice
Purchaser reviews and updates pricing
Mark as received
Then export

Final Summary

Create early → Attach invoice → Notify purchaser → Review & update → Receive → Export → Reconcile

This workflow ensures:

Accurate supplier costs
Clear accountability
Reduced admin overhead
Clean integration with external accounting systems

Purchase Orders & Supplier Invoice Approval Workflow