Handling Discrepancies in Delivered Goods
In procurement, it's not uncommon for discrepancies to arise between the items delivered and the original Purchase Order (PO). These discrepancies may include shortages, excess deliveries, or goods that are rejected upon inspection. The **Buy Module** in XFlow allows you to efficiently manage these situations by recording these discrepancies in the Goods Received Note (GRN) and taking appropriate actions to rectify them.
Types of Discrepancies
- Short Quantity: If fewer items are delivered than what was ordered, you will record the short quantity in the GRN.
- Excess Quantity: If more items are delivered than ordered, you note the excess delivery in the GRN.
- Rejected Quantity: Any goods that are rejected due to damage or failure to meet specifications should be recorded in the GRN.
1. Create a Supplementary GRN (SGRN)
If additional items are received later to address the shortage, you can create a Supplementary GRN (SGRN). This allows you to record the additional quantity received, ensuring accurate inventory and payment records.
- Navigate to the **Goods Received Note** page.
- Find the relevant GRN and select **Add SGRN** from the **Action** dropdown.
- Enter the details of the additional items received, including the short quantity and remarks.
- Submit the SGRN to update the records and reflect the received quantities in the system.
Note: SGRNs help track any delayed or partial deliveries without affecting the original GRN. This ensures that you have a clear view of the entire procurement process, even when goods arrive in multiple batches.
2. Request a Credit Note
For shortages that are not later fulfilled or for items that were rejected, you can request a credit note from the vendor. The credit note will reflect the amount you are owed due to the discrepancies.
- Access the GRN: Locate the GRN associated with the discrepancy from the **Goods Received Note** page.
- Request Credit Note: From the **Action** dropdown, select **Request Credit Note**. You will need to input the necessary details, including the short or rejected quantities.
- Send the Request: Review the details of the credit note request and submit it to the vendor. This ensures you will receive the appropriate credit for the goods not delivered or rejected.
3. Follow-up and Updates:
After submitting the request for a credit note or after creating an SGRN, the system keeps track of the status. You can monitor whether the vendor has fulfilled the request or provided the necessary credit, ensuring that your financial records remain accurate and up-to-date.
Importance of SGRN and Credit Note Management
Efficient handling of discrepancies through SGRNs and credit notes ensures that:
- Your inventory reflects accurate stock levels, avoiding over or under-stocking.
- Your financial transactions remain correct, accounting for only the goods received.
- Vendors are held accountable for delivering the agreed-upon quantities and quality of goods.
By carefully managing SGRNs and credit notes, your procurement and inventory systems remain reliable, and your financial records are always in sync with actual transactions.