What is PO (purchase order) software?

How to make purchase orders a business best practice.

When you are running a business, purchase orders are an essential part of management and operations. Without the right software, orders and deliveries can go off the rails. But what is purchase order software? And how can it benefit your business?

What is a purchase order?

A purchase order, or PO, is a legal document that buyers send to suppliers. It outlines the terms of the transaction — types, amounts, and prices for products and services rendered. POs help buyers track what they’ve purchased, provide clear instructions to vendors, and secure a paper trail if anything goes wrong.

Is a purchase order a contract? Yes, they’re legally binding. Once you issue a PO to your supplier, you must pay them. POs also enable buyers to purchase items on credit, which is especially helpful if you’re growing your business.

Since, as a buyer, you’re responsible for drafting the PO, you’ll want to use reliable PO software for a smooth transaction process.

The benefits of PO software.

Although purchase orders might feel like excessive paperwork, using POs is a business best practice, especially as your business grows. As purchasing demands become more complex, POs help you track order numbers and payments. Here’s how PO software can work for your business:

• Automates the PO process. Instead of creating, processing, and tracking every document for every business transaction, PO software digitizes the process and enables you to develop PO templates with your company’s logo, legal terms, and order items for each vendor. It also centralizes your paperwork for a virtual audit trail, removing the need for you to track down files for every purchase.
• Helps you plan ahead. Set up recurring POs for one less item to think about as you keep your business running. This secures regular supply and enables you to maintain a consistent budget.
• Facilitates seamless budgeting. As you keep your POs and associated paperwork centralized and updated, your business will have an accurate picture of average monthly expenses and trends. This full picture sets up easier, more accurate budgeting that helps your business grow and thrive.

What are the features of purchase order software?

While there are many different levels of complexity in PO management software solutions, they all contain the same basic features:

• PO generation
• Workflows for approvals
• Reporting
• Track orders
• Create audit trails

What to consider when looking for PO software.

When you are researching the best PO management software for your business, ask yourself these questions:

• What are the key features? Does it offer all the basic features you need for successful PO management? Does it have advanced features that will either be helpful or a hindrance to you?
• Does it integrate with your other software systems? Take stock of your current tech stack, and find a solution that integrates well.
• Is it user-friendly? Will it be simple and quick for your team to learn to use and implement in your current workflows?
• Can you customize it? The best software solutions allow you to add and remove fields, create your own document workflows, and create templates with your business branding.
• Is it secure? Look for solutions that offer advanced security options like data encryption and user access controls.
• Does it come with technical support? Know what kind of support is available to you when issues arise.

Find your PO software.

Adobe Acrobat makes it simple to create, save, share, and edit PDFs for POs all in one digital place. Explore how Acrobat can help you take your business to the next level.