A Purchase Order in Zoho CRM is a legally binding document used to authorise the procurement of products or services from a vendor. It records what your organisation has agreed to buy, at what price, and in what quantity, providing both your team and the supplier with a formal reference for the transaction. Purchase Orders form a key part of the procurement side of Zoho CRM's Inventory module.

When to Use Purchase Orders

Purchase Orders are raised when your business needs to procure goods or services from an external supplier. They may be triggered by a customer sales order (where you need to source items to fulfil the order), by internal stock replenishment, or by a service contract that requires third-party delivery. In Zoho CRM, Purchase Orders link to vendor records and can reference the products being purchased.

Standard Purchase Order Fields

• Purchase Order Owner: The CRM user responsible for managing this purchase order.
• PO Number: A unique reference number assigned to this purchase order.
• Subject: A descriptive title for the purchase order.
• Vendor Name: The supplier from whom the products or services are being procured.
• Requisition No: An internal reference number from your purchasing or finance team.
• Purchase Order Status: Tracks the state of the order (e.g. Created, Approved, Delivered, Cancelled).
• Tracking Number: A logistics reference for tracking delivery of ordered goods.
• Price Book: An optional price book if negotiated vendor pricing differs from standard rates.
• Line Items: The products or services being ordered, with quantities, unit prices, discounts, and tax.
• Billing and Shipping Address: Where goods should be delivered and who is billing the transaction.
• Terms and Conditions: Payment terms and any agreed conditions of supply.

Creating a Purchase Order

Purchase Orders are created from within the Purchase Orders module. Select the relevant vendor, complete the header fields including the PO Number and Subject, then add the product line items being ordered. Once saved, the purchase order can be emailed directly to the vendor from within Zoho CRM. The status field allows your team to track the order through approval, dispatch, and delivery stages.

Linking Purchase Orders to Other Records

Purchase Orders can be associated with vendor records and with products, providing traceability between what was ordered, who it was ordered from, and which products are involved. This visibility helps purchasing managers and sales teams understand the status of stock and services without having to consult separate systems.