Calculating the cost of a purchase order_2
17 August 2012
Q: The answer to a recent Adviser question referred to the typical cost of raising a purchase order as being between £30 and £50. I work within an organisation trying to do this calculation. Can you give me any advice on how to go about it?
A: Carl Kockelbergh, practice development officer at CIPS, writes: Just as all businesses are different, so the true cost of raising a purchase order (PO) will vary. It should also be remembered that when looking at the cost, it should only be applied to the process of raising the order, not the entire process of meeting an internal customer’s requirements....