Purchase & store glossary
Purchase Requisition: Meaning, Format & Process
Purchase requisition, in short
A purchase requisition (PR) is an internal, approved request asking the purchase department to buy material or services. It is not sent to a vendor. Once approved, the purchase team uses it to get quotes and raise a purchase order.
Also called: PR, Purchase request, Requisition
A purchase requisition is how a department tells the purchase team, formally, "we need this bought." It sits between the internal need and the external order.
Where it fits in the cycle
- A department raises an indent.
- If the store cannot fill it from stock, it becomes a purchase requisition.
- The requisition is approved by the department head or plant head.
- Purchase sends an RFQ to vendors and compares quotes on a comparative statement.
- Purchase raises a purchase order.
In many Indian plants the indent and the requisition are one document. Larger groups keep them separate so the store can check stock before anything reaches purchase.
Purchase requisition vs purchase order
| Purchase requisition | Purchase order | |
|---|---|---|
| Who sees it | Internal only | Sent to the vendor |
| Raised by | User department or store | Purchase team |
| Legal weight | None | Binding once accepted |
| Contains price | Usually estimate only | Agreed rate and terms |
What a good requisition includes
- Item code and description from the item master
- Quantity, unit and required date
- Cost centre or department, and the purpose
- Budget head, if you track a monthly budget
- Approver and approval date
Common problems
Requisitions approved over WhatsApp leave no trail. The same need gets raised twice by two people. Urgent requests jump the queue without anyone checking whether the item was already on order. The owner sees the spend only after the invoice arrives.
How IndustryPrime handles it
Indents and requisitions are raised online and routed for approval automatically. Approvers see the request, the last purchase rate and open orders, and approve from their phone. Amount-based approval means bigger requests go to a senior approver. See indent management software and mobile approvals.