Ordered, received, and billed: three records that rarely meet
Each record is right. Nobody puts them side by side.
What was ordered, what arrived, and what the supplier billed live in three places, and they are rarely compared.
Not every business has this problem, and some should leave it alone.
Most of these can be handled better. Whether it's worth doing is a separate question. What follows is one common form of the problem, described in general terms, because your version will differ. These are possible challenges, not a description of your business, and some should be left exactly as they are. If it sounds like your week, that's worth a conversation.
Sound familiar?
- Supplier bills get paid without checking what actually arrived.
- A short delivery was noticed on site, but not by whoever pays the bill.
- Nobody is sure which orders are still outstanding.
- Credits for returns are promised and never seen.
What it looks like
Somebody orders materials. Somebody else receives them, on site or at the back door. A third person pays the supplier's bill when it arrives.
Each record is fine on its own. The order says what was asked for. The delivery slip says what came. The bill says what is owed. Checking that all three agree is the step that gets skipped when things are busy.
What it costs
Short deliveries get paid in full. If the person paying never sees the delivery record, the bill for the full order goes through.
Price changes pass unnoticed. The bill may show a different price from the order, and nothing flags it.
Credits drift away. A return is agreed, but nobody tracks whether the credit ever appeared.
Where it goes wrong
- The three records are in three places. An email, a slip in a truck, a bill in an inbox.
- Receiving is not written down. Materials are checked by eye and the slip is signed without a note.
- Bills are paid by habit. A familiar supplier's bill is trusted.
- Returns have no list. Promised credits are remembered, not recorded.
What a better version looks like
Each bill is compared against its order and its delivery record before it is paid. Anything that does not match — quantity, price, or a missing delivery — is set aside for a person with the three records together. Promised credits go on a list until they appear.
What still needs a person
A person decides whether a difference is a real problem, and takes it up with the supplier. A person decides when a small difference is not worth chasing.
Questions worth asking about your own operation
- Does anyone compare the bill with what actually arrived?
- Where does the delivery record go after it is signed?
- Would you notice if a price on a bill changed from the order?
- How do you track a credit you were promised?
If this sounds familiar
Bring me the version you actually have. I'll learn how the process really works before I suggest anything. If it isn't worth changing, or isn't a fit for me, I'll say so. Talk through a problem