Mercado | Purchase Order management starts long before you create an order

Why Purchase Order management starts long before you create an order

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Why Purchase Order management starts long before you create an order

Tags:
Import, Purchase Order, First Mile, Last Mile, Supply Chain, Global Supply Chain
Dallas-based startup empowers businesses to optimize international trade.

What is an Import Purchase Order?

A Purchase Order (PO) is a document created by a buyer and provided to a supplier (also known as a supplier, vendor, etc.) with a request for a specific order. Purchase Orders typically include details surrounding the type and quantity of items, stating an agreed price and payment terms. A unique Purchase Order number enables easy distinction between orders.

Upon receipt of the Purchase Order, a seller can accept, reject or modify the terms (which must then be agreed by the buyer). Upon acceptance, a legally binding contract is then formed between the two parties.


Discover more about Purchase Orders here →

"A Purchase Order (PO) is a document created by a buyer and provided to a supplier (also known as a supplier, vendor, etc.) with a request for a specific order. Purchase Orders typically include details surrounding the type and quantity of items, stating an agreed price and payment terms. A unique Purchase Order number enables easy distinction between orders."

When does Purchase Order management start?

In the international supply chain, it’s often the case that things change during the lifecycle of an order. Requirements may need to be altered due to changing consumer demands, insufficient raw materials, or simply because it was incorrect in the first instance.

Purchase Order systems need the ability to accurately display the latest information to all parties involved and reflect any changes and up-dates in real-time. Delay in sharing (or a lack of visibility of) this information can result in errors made during the crucial first 120 days (known as the First Mile) of an order. Few importers realize that once their goods are loaded onto a vessel, they have no way to change or manage their products until they arrive at destination. That means they must wait weeks or months before they are able to take the next steps.

The impact is seen annually with importers across industries spending hundreds of thousands of dollars on rework to correct mistakes, make changes, or rectify errors that could have been avoided during the First Mile of the supply chain.


Read more about the First Mile here →

How to successfully manage your Purchase Order

Successfully managing a Purchase Order (PO) doesn’t have to be difficult. Cloud-based systems like Mercado enable international importers to track, manage, and optimize their orders across the product lifecycle.

By focusing on the key areas of the supply chain, Mercado helps businesses to manage their relationships with those who are involved in the first 120 days of your supply chain.

Three factors are key to the success:

  1. Communication & Collaboration
    Successful supply chains focus on connecting and bringing together the people, processes, and tools involved under one roof. Minimizing issues at hand-off, reducing reliance on manual tasks, and focusing efforts on ensuring products meet the needs of your end-consumer. Tools like Mercado’s in-built collaboration tools, video chat, and digitized purchase order can help here.

  2. Transparency & Visibility
    Tech-savvy customers, business stakeholders, and internal suppliers today demand transparent supply chains that are socially and regulatory compliant. Offering clear end-to-end visibility of where products are across the importing lifecycle and the status of an order. Mercado provides importers with a single platform that digitally connects the first, middle, and final mile. So you can track, manage, and update your Purchase Orders and keep on top of your product demand.

  3. Automation & Predictability
    Many importers continue to rely on email chains and spreadsheets to manage their Purchase Orders. Optimize your supply chain by digitizing the First Mile thanks to tools like Mercado, providing you with real-time information to ensure all aspects of your supply chain ecosystem are connected and streamlined – from source to store. Making it easy for you to manage your entire product inventory across suppliers and deliver for your customers, every time.
ABOUT MERCADO

At Mercado Labs, we know your product is the lifeblood of your business. And yet managing your imports has become increasingly complex over recent years, with products taking on average 4 months to receive, suppliers located thousands of miles away, and external forces – from trade wars to global pandemics – creating extreme uncertainty. Most of the process is analog and takes far too long. So we wanted to change that.

The Mercado platform helps importers to better manage their orders from source to store. By focusing on the First Mile – the initial 120 days of an order – we help businesses optimize their global trade, eliminating pain and mitigating risk across the supply chain.


Get in touch and find out what Mercado can do for your business.

                       

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From us to you...

Thank you for using Mercado. Our goal is to empower businesses to better navigate the complex world of importing. We know data security is of paramount importance, so we place high standards on ensuring it is safely and respectfully secured. We are committed to following and continuously evolving best practices to support this principle. Your data is yours, and we guard it closely. We do not sell any of your information, and we will always be fully transparent on how we collect and use your data. That's a promise.
Copyright © Mercado Labs
Made with    by studionine.agency
                       

Terms of Service   |   Privacy Policy
From us to you...

Thank you for using Mercado. Our goal is to empower businesses to better navigate the complex world of importing. We know data security is of paramount importance, so we place high standards on ensuring it is safely and respectfully secured. We are committed to following and continuously evolving best practices to support this principle. Your data is yours, and we guard it closely. We do not sell any of your information, and we will always be fully transparent on how we collect and use your data. That's a promise.
Copyright © Mercado Labs
Made with    by studionine.agency
                       

Terms of Service   |   Privacy Policy
From us to you...

Thank you for using Mercado. Our goal is to empower businesses to better navigate the complex world of importing. We know data security is of paramount importance, so we place high standards on ensuring it is safely and respectfully secured. We are committed to following and continuously evolving best practices to support this principle. Your data is yours, and we guard it closely. We do not sell any of your information, and we will always be fully transparent on how we collect and use your data. That's a promise.
Copyright © Mercado Labs
Made with    by studionine.agency
                       

Terms of Service   |   Privacy Policy
From us to you...

Thank you for using Mercado. Our goal is to empower businesses to better navigate the complex world of importing. We know data security is of paramount importance, so we place high standards on ensuring it is safely and respectfully secured. We are committed to following and continuously evolving best practices to support this principle. Your data is yours, and we guard it closely. We do not sell any of your information, and we will always be fully transparent on how we collect and use your data. That's a promise.
Copyright © Mercado Labs
Made with    by studionine.agency