Purchase Orders
Purchase Orders (POs) are formal documents sent to vendors to order products and materials. TimberCloud provides a complete PO management system with approval workflows, automatic vendor notification, and seamless integration with receiving and inventory.
Availability: Build plan and up (plus the Purchasing role permission). See Purchasing Overview and Subscriptions & Plans.
Creating a Purchase Order
Navigation
- Go to Purchasing → Purchase Orders
- Click + New Purchase Order
Order Information
Required Fields
- Vendor: Select from your vendor list
- Auto-populates tax rate and currency from vendor settings
- Location: Where goods will be received
- Links to inventory location for stock updates
- Order Date: When the order is placed
- Expected Delivery Date: Anticipated arrival date
Optional Fields
- Currency: Auto-filled from vendor, can be changed
- Payment Terms: Net 30, Net 60, Net 90, COD, Prepaid, Due on Receipt
- Tax Rate: Percentage applied to subtotal (auto-filled from vendor settings)
Adding Line Items
Purchase orders support three types of line items:
Item Type: Catalog Item
Add products from your inventory catalog:
- Select Item as the type
- Choose a Product Attribute (e.g., "Lumber - Oak")
- Select a Product Option (e.g., "1x6x8")
- Enter Quantity and Unit Cost
- Unit of measurement auto-fills from inventory configuration
Item Type: Add-on
Add accessories or add-on products:
- Select Addon as the type
- Choose from available add-ons
- Enter quantity and unit cost
Item Type: Custom
Add non-catalog items:
- Select Custom as the type
- Enter a Custom Item Name
- Add optional description
- Enter quantity, unit cost, and unit of measurement
Line Item Details
For each line item, specify:
- Quantity Ordered: Number of units to purchase
- Unit Cost: Price per unit from vendor
- Unit of Measurement: EA (each), BOX, CASE, LB, KG, FT, M, GAL, L
- Description: Optional notes about the item
Additional Costs
Beyond line items, include:
Freight Estimate
- Expected shipping/freight charges
- Added to order total
Other Charges
- Handling fees
- Special service charges
- Any additional vendor fees
Tax Calculation
- Tax rate applied to subtotal
- Can be set from vendor default or overridden
- Calculated automatically
Order Summary
The system calculates:
Subtotal: Sum of all line item totals
+ Tax: Subtotal × Tax Rate %
+ Freight: Freight estimate
+ Other: Other charges
─────────────────────────────────────
= Total: Final purchase order amount
Notes
Notes to Vendor
- Appears on the purchase order PDF
- Include delivery instructions
- Specify packaging requirements
- Add reference numbers
Internal Notes
- Visible only to your team
- Document special circumstances
- Track approver comments
- Record rejection reasons
Purchase Order Workflow
Status Progression
┌─────────┐ ┌─────────┐ ┌─────────┐ ┌─────────────────┐ ┌────────────────┐
│ Draft │ ─▶ │ Unsent │ ─▶ │ Sent │ ─▶ │ Partially │ ─▶ │ Fully │
│ │ │ │ │ │ │ Received │ │ Received │
└─────────┘ └─────────┘ └─────────┘ └─────────────────┘ └────────────────┘
│
▼
┌───────────┐
│ Cancelled │
└───────────┘
Status Definitions
| Status | Description | Next Actions |
|---|---|---|
| Draft | Order is being prepared | Edit, Submit for Approval |
| Unsent | Ready but not sent to vendor | Approve, Reject |
| Sent | Approved and emailed to vendor | Receive goods |
| Partially Received | Some items received | Continue receiving |
| Fully Received | All items received | Close order |
| Closed | Order complete and archived | None |
| Cancelled | Order cancelled | None |
Approval Workflow
Approval Status
- Pending: Awaiting approval
- Approved: Order approved, proceeds to Sent
- Rejected: Order rejected with reason
Approval Process
- Submitter creates PO with status "Draft"
- Save to submit for approval (status becomes "Unsent")
- Approver reviews the order
- Approver clicks Approve or Reject
- On approval:
- Status changes to "Sent"
- System generates PDF
- Email sent to vendor with attachment
- Approval date and user recorded
Viewing Purchase Orders
List View
The PO list shows:
- PO Number
- Vendor name
- Order date
- Expected delivery date
- Status
- Total amount
- Line item count
Filtering and Search
- Search by PO number or vendor
- Filter by status
- Filter by date range
- Sort by any column
The PO Detail Page — Six Tabs
Click a PO to open its detail page, which is organized into six named tabs. Each tab focuses on one part of the order so you can review or edit exactly what you need without scrolling through everything at once.
| Tab | What it holds |
|---|---|
| General Information | Vendor, receiving location, order and expected-delivery dates, PO number, and overall status |
| Line Items | Every ordered item (catalog Item, Add-on, or Custom) with quantities, units, and costs |
| Payment & Totals | Currency, payment terms, tax rate, freight, other charges, and the calculated subtotal/tax/total |
| Shipping & Delivery | Shipping and delivery details for the order |
| Approval & Status | The approval workflow — submit, approve or reject, and the status history |
| Notes & History | Internal notes and a running change history for the order |
The same page also shows receipt history, a PDF preview, and the available actions (Approve, Reject, Send/Resend Email, Create Receipt, and so on).
Hiding Costs from Staff Who Shouldn't See Them
Unit costs and totals on the Payment & Totals and Line Items tabs are automatically masked (shown as a dash, "—") for any user whose role lacks the View Prices permission. This lets you delegate purchasing and receiving — for example, letting a warehouse hand raise and receive POs — without exposing what you pay your vendors.
Prices stay visible by default; they are hidden only when a role explicitly does not carry the View Prices permission. Manage this under role permissions on the Users & Roles page.
Note: The masking is display-only. It hides money values in the interface; it does not change the PO itself, and users who do have the View Prices permission still see full costs.
Purchase Order Actions
From List View
- View: Open PO detail page
- Create Receipt: Start receiving process (if approved)
From Detail View
- Edit: Modify order (if Draft)
- Approve: Approve pending order
- Reject: Reject with reason
- Send Email: Resend PO to vendor
- Create Receipt: Receive against this PO
- Cancel: Cancel the order
- Print/Download: Generate PDF
Email Notifications
Automatic Vendor Email
When a PO is approved:
- System generates professional PDF
- Email sent to vendor email address
- Includes:
- PO number and date
- Company and vendor details
- Line items with quantities and prices
- Total with taxes and freight
- Payment terms
- Notes to vendor
- CC sent to company email (optional)
PDF Contents
The attached PDF includes:
- Company letterhead
- Purchase order number
- Vendor billing/shipping addresses
- Complete line item table
- Pricing breakdown
- Terms and notes
- Expected delivery date
Managing Purchase Orders
Editing a PO
Only Draft orders can be edited:
- Open the PO detail page
- Click Edit
- Modify fields and line items
- Save changes
Cancelling a PO
Cancel orders that won't be fulfilled:
- Open the PO detail page
- Click Cancel Order
- Provide cancellation reason
- Status changes to "Cancelled"
Note: Cannot cancel orders with posted receipts.
Closing a PO
After all items are received:
- Review final receipt status
- Verify all quantities received
- Click Close Order
- PO moves to historical records
Reports
Purchase Order Summary
- Orders by status
- Spending by vendor
- Spending by time period
- Average order value
Open PO Report
- All orders not yet fully received
- Expected delivery dates
- Vendor information
- Line item details
PO History
- Complete order history
- Approval dates and users
- Receipt linkage
- Payment status
Best Practices
Creating Accurate POs
- Verify Vendor: Confirm correct vendor selected
- Check Pricing: Verify unit costs match vendor quotes
- Set Dates: Use realistic expected delivery dates
- Add Context: Include notes for special requirements
- Review Totals: Confirm calculations before submitting
Approval Process
- Review Thoroughly: Check all line items and quantities
- Verify Budget: Confirm funds are available
- Check Lead Times: Ensure delivery aligns with needs
- Document Decisions: Use internal notes for approvals/rejections
Tracking Orders
- Monitor "Sent" orders for expected receipts
- Follow up on overdue deliveries
- Track partial receipts closely
- Close completed orders promptly
Troubleshooting
PO Not Sending to Vendor
- Verify vendor email address is set
- Check for email delivery errors
- Ensure PO was approved (not just saved)
- Try "Resend Email" option
Line Items Not Appearing
- Confirm product attributes have product options
- Check that inventory items are active
- Verify company association on products
Incorrect Totals
- Review tax rate percentage
- Check unit cost entries (decimal placement)
- Verify quantity values
- Recalculate manually to identify discrepancy
Cannot Receive Against PO
- Confirm PO status is "Sent" or "Partially Received"
- Verify approval status is "Approved"
- Check user has receiving permissions
- Ensure PO hasn't been cancelled
Next Steps
- Receiving & Receipts — record incoming shipments against a PO
- Vendors — set up the suppliers your POs draw from
- Audits — verify PO and receipt accuracy
- Inventory Management — how received stock is tracked
- Users & Roles — control who can view prices and access Purchasing
- Purchasing Reports — spend by vendor and PO status