Purchase order (PO) management controls the flow of goods and spend across a business. Without a structured approach, teams face duplicate orders, mismatched supplier invoices, and poor visibility into commitments. Implementing PO management properly provides both control and agility. Tools like Parabola make the process systematic and scalable.
How to implement purchase order management
- Centralize PO creation — Use a unified system or workflow to generate and track all purchase orders.
- Define approval rules — Establish thresholds and approvers to ensure compliance without bottlenecks.
- Integrate supplier data — Pull vendor records, pricing, and terms into the PO workflow for accuracy.
- Match POs to invoices — Automate three-way matching between PO, goods receipt, and supplier invoice.
- Track status in real time — Monitor open, closed, and overdue POs with automated reporting.
- Automate escalations — Notify stakeholders when orders are delayed or invoices don’t match.
With Parabola, PO management becomes proactive, preventing spend leakage and improving supplier accountability.
Want smoother PO processes? Try Parabola for free.