Create a Purchase Order (Legacy)
Legacy Content
This tutorial details Procore's legacy experience for creating a purchase order. The information on this page will be replaced with updated content when the redesigned commitments beta experience is generally available. To learn about this release and its timeline, see Project Financials: Modernized Experience for Commitments.
Important! If you are using the commitments beta experience, please see the Create Purchase Orders tutorial instead of the information below.
Objective
To create a purchase order in the project's Commitments tool.
Background
Things to Consider
- Required User Permissions:
- To create a purchase order and see/enter data on the Schedule of Values:
- 'Admin' level permissions on the project's Commitments tool.
OR - 'Standard' level permissions on the project's Commitments tool and the 'Allow Users to See SOV Items' setting must be enabled and your name must be selected in the 'Select a Person' drop-down list
- 'Admin' level permissions on the project's Commitments tool.
- To create a purchase order only, 'Read Only' or 'Standard' level permissions on the project's Commitments tool with the 'Create Purchase Order Contract' granular permission enabled on your permissions template.
- To create a purchase order and see/enter data on the Schedule of Values:
- Additional Information:
- Purchase orders can be transitioned into a Variation Request (for 1-tier Variations) or into a Potential Variation (for 3-tier Variations).
- You can only create a Potential Variation from a Purchase Order that's in the 'Approved' status.
- To learn how to set the accounting method, see How do I set the accounting method for a contract or funding?
Prerequisites
Steps
Step 1: Create a Purchase Order
- Navigate to the project's Commitments tool.
- Choose an option to begin creating a purchase order:
- If this is the first commitment for the project, click + Create and select Purchase Order from the drop-down menu in the centre of the page.
- If you have already created the first commitment, click + Create and select Purchase Order from the drop-down menu in the top right corner of the page.
Note
- The Create button is available when you are viewing the Contracts and Recycle Bin tabs. New purchase orders are always added to the Contracts tab.
- The Export button is only available on the Contracts tab. To learn more, see Export a Commitments List.
- In the 'New Purchase Order' page under General Information, do the following:
- Sign with DocuSign
If your project is using the Procore + DocuSign® integration (see Enable or Disable the DocuSign® Integration on a Procore Project), a checkmark appears in this box by default. If you do NOT want to sign the purchase order with DocuSign®, remove the checkmark. - Number #
Enter or confirm the unique identifier for the purchase order. If you are creating the first purchase order for your project, Procore automatically numbers your purchase orders in sequential order. For example, PO-01-001, PO-01-002 and so on.Notes
- For companies using the ERP Integrations tool, your integrated ERP system may impose a maximum character limit. See What is the maximum character length for a commitment's 'Number (#)'? Important! When a commitment is exported to Integration by Ryvit, it must have a unique number.
- You can customise the numbering scheme for your project's purchase orders and subcontracts. To learn more, see Can I customise the numbering system for financial objects in Procore?
- Title
Provide a descriptive name for the purchase order.Notes
- If your company has enabled the ERP Integrations tool, be aware that some integrated ERP systems impose character limits on the 'Title' field when data exported from Procore is imported into their system.
- For details about character limits, see What is the maximum character length for a commitment's 'Title'?
- Bill To
Enter the business contact information for the bill-to party. This information will appear as the 'Bill To' address on any progress claims created for this purchase order. This typically includes the business name, business address and other important contact information. - Ship To
Enter the business contact information for the ship-to party. This information will appear as the 'Ship To' address on any progress claims created for this purchase order. Keep in mind this may be different from the Bill To address, such as the worksite address or another off-site staging location where you want materials to be delivered.
Contract Company
Select the vendor/company who will provide the purchased materials (for example, American Construction Co.). This vendor/company must exist in Procore's Project Directory. See Add a Company to the Project Directory. - Progress Claim Contacts
Select one (1) or more employees of the 'Contract Company' to designate as the progress claim contact(s). After saving the purchase order, any users added here will be added to the 'Private' list. You must select a 'Contract Company' before you can select progress claim contacts. - Status. Assign a status to the purchase order. To learn about the available statuses and which commitment statuses reflect contract amounts in your project's budget, see What are the default commitment statuses in Procore?
- Executed
Place a mark in this checkbox to indicate whether or not the purchase order has been executed.Notes
- Many Procore users choose to place a checkmark in the 'Executed' box when placing the purchase order into the 'Approved' or 'Complete' status.
- The time at which your project team places a checkmark in the 'Executed' box should always be aligned with your project's unique business process
- Private
Mark the checkboxes and choose any project users or collaborators from the 'Select a Person' list. To learn more about the privacy options, see Change the Privacy Settings for a Commitment.- Make this visible to only administrators and the following users
Mark this checkbox to limit the visibility of the purchase order to users with 'Admin' on the project's Commitments tool and users specified in the 'Select a Person' drop-down list. - Allow these users to see SOV items
Mark this checkbox in this box to limit the visibility of the Schedule of Values (SOV) items on the purchase order to users with 'Admin' on the project's Commitments tool and users specified in the 'Select a Person' drop-down list.
- Make this visible to only administrators and the following users
- Assigned To
Select the person from the vendor/company who is responsible for the fulfillment of the purchase order. - Default Retention
Specify the percentage amount of retention to withhold on the first subcontractor progress claim. For example, it is a common practice to enter 5 or 10% in this field.Notes
The 'Default Retention' amount set on the subcontract will only affect the amount on the first subcontractor progress claim. Editing this value after creating the first subcontractor progress claim will NOT affect the retention amount on subsequent progress claims. In order to set or release the retention amount on a subsequent progress claim, complete the steps in Enable Retention on a Purchase Order or Subcontract. Next, use one of these Procore tools to set or release retention on the progress claim:- Commitments. Set or Release Retention on a Subcontractor Progress Claim.
- Invoicing. Set or Release Retention on a Subcontractor Progress Claim.
- Description
Provide additional information, as necessary. - Attachments
Attach any related materials such as pricing quotes, receipts, signed purchase orders and so on. You may attach files that have been uploaded to your project or drag and drop files from your local computer.
- Sign with DocuSign
- Under Contract Dates, do the following:
- Delivery Date. Specify the date when the purchased goods are to be delivered to the location specified in the 'Ship To' field.
- Under Additional Information, do the following:
- Payment Terms. Specify relevant payment conditions, if applicable.
- Ship Via. Enter the shipping/transport method for materials (for example, freight, FedEx and so on.).
- Choose from these options:
- Click the Create button. This action creates your new purchase order.
OR - Optional. Click Create & Enter SOV. This action creates your new purchase order and allows you to begin entering data on the SOV.
- Click the Create button. This action creates your new purchase order.
Step 2: Enter the Schedule of Values (SOV)
There are two ways to enter the Schedule of Values (SOV) on a purchase order:
Import SOV Line Items from a CSV File
If you want to import multiple line items to an SOV, the Commitments tool provides users with a CSV template that you can download, complete and then upload to Procore. For instructions, see Import Commitment SOV Line Items from a CSV File.
Add Line Items to the SOV
Notes
- If your company is using the Procore + Integration by Ryvit integration and your Integration by Ryvit system is configured to use the Calculated Method, Integration by Ryvit will NOT allow the use of Lump Sum (LS) as a unit of measurement.
- If you are using the 'Override Subtotal', you must ONLY input the Subtotal Amount. The Integration by Ryvit integration will then create an 'LS' item in Integration by Ryvit.