Relationship between Purchase Orders, Invoices, Purchase Order Line items, and Invoice Line Items

[cnharris1]

Good morning everyone,

We've turned on the Procurement module in ServiceNow, which is a new area for me.

I'm curious to know if anyone can give me a detailed description of what's the relationship between purchase orders, invoices, purchase order line items, and invoice line items in ServiceNow?

Thanks in advance!

Best regards,

cnharris1

[sourav1999 · Accepted solution]

Sure, I can explain the relationship between purchase orders, invoices, purchase order line items, and invoice line items in ServiceNow.

- Purchase Orders: A purchase order (PO) in ServiceNow is a document that is sent to a vendor to confirm a purchase. It includes details such as the type of item, quantity, and price. It is the first step in the procurement process.

- Purchase Order Line Items: These are the individual items or services that are included in a purchase order. Each line item includes the description, quantity, unit price, and total price of the item or service.

- Invoices: An invoice in ServiceNow is a document that is sent by a vendor to request payment for the items or services provided. It includes details such as the invoice number, date, vendor, total amount due, and payment terms.

- Invoice Line Items: These are the individual items or services that are included in an invoice. Each line item includes the description, quantity, unit price, and total price of the item or service.

The relationship between these elements is as follows:

- A purchase order can have multiple purchase order line items. Each line item represents a different item or service that is being purchased.

- When a vendor sends an invoice for the items or services provided, the details of the invoice should match the details of the purchase order. This includes the total amount due and the details of each line item.

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[cnharris1]

Thanks @sourav1999 

That helps me out! I had a general idea about the relationship but your explanation really breaks it down for me. I may have a few more questions as I begin working with this ServiceNow module.

Best regards,

cnharris1