Sr. No.

Functional requirements
Sr. No. Purchasing
4.1 Vendor Information
4.1.1 Can the system maintain a centralized vendor database with the following information:
4.1.1.1 Vendor ID
4.1.1.2 Vendor name
4.1.1.3 Vendor country
4.1.1.4 Multiple vendor addresses
4.1.1.5 Products information (multiple products)
4.1.1.6 Vendor contacts
4.1.1.7 Standard terms
4.1.2 Can the system provide facility to maintain the following supplier statuses:
4.1.2.1 Approved
4.1.1.2 Under negotiation
4.1.1.3 Black listed
4.1.1.4 Un-approved
4.1.1.5 Merged
4.1.1.6 Deleted
4.1.1.7 Other, (If yes, please specify in remarks area)
Can the system support user defined vendor categories (e.g. supplier, consultant,
4.1.3 manufacturer, etc.)?
Can the system support user defined approved vendor lists by category of items (e.g.
4.1.4 contractors, computer vendors, stationary vendors, etc.)?
Can the system maintain multiple vendors with respective delivery and payment terms and
4.1.5 lead-time for an item?
4.1.6 Can the system maintain the list of preferred supplier at the item category level?
4.1.7 Can the system maintain a preferred vendor list for each item?
4.1.8 Can the system maintain purchase history, by following:
4.1.8.1 vendors
4.1.8.2 purchase prices
4.1.8.3 delivery lead times
4.1.9 Can the system provide item number cross references to:
4.1.9.1 vendor item number
4.1.9.2 industry standard number
4.1.10 Does the system support conducting supplier reliability analysis based on:
4.1.10.1 Supplier total lead-time

4.1.10.2 Supplier fulfillment time (from when the PO is received and the item is ready to be shipped)
4.1.10.3 Supplier pricing
4.1.10.4 Quality of deliveries
4.1.10.5 Temporary problem history
4.1.10.6 User-defined diary notes
4.1.10.7 Other, (If yes, please specify in remarks area)
4.1.11 Based on the supplier reliability analysis, can the system:
4.1.11.1 notify purchasers of supplier performance
4.1.11.2 flag based on consistent non-performance
4.1.11.3 other, (If yes, please specify in remarks area)
4.1.12 Can the system track vendor performance and update a vendor rating based on:
4.1.12.1 On time delivery
4.1.12.2 Price increase
4.1.12.3 Quality levels
4.1.12.4 Response time
Can the system provide the facility to store information on vendor evaluation and
4.1.13 certification?

Can the system support uploading/maintaining electronic catalogues given by suppliers, from
4.1.14 which item price and specification can be accessed and applied in the system's transactions?
4.1.15 Can the system provide audit trail on the changes to the vendor data?
4.2 Material / Item Information
4.2.1 Can the system provide facility to maintain following information about a material / item:
4.2.1.1 unique Number
4.2.1.2 description
4.2.1.3 alternative item numbers
4.2.1.4 multiple unit of measures (for purchasing, storing, issuing etc)
item categories for classifying and reporting (Food, industrial, construction material, Sand,
4.2.1.5 etc.)
4.2.1.6 standard cost
4.2.1.7 buyer code (Combination of department and buyer code)
4.2.1.8 ABC code
4.2.1.9 item status
4.2.1.10 unit weight
4.2.1.11 safety stock levels
4.2.1.12 re-order point
4.2.1.13 economic order quantity
4.2.1.14 size/volume
4.2.1.15 order policy code
4.2.1.16 Item category
Item type such as manufactured item, purchased item, subcontracted item, WIP, raw
4.2.1.17 materials and non-inventory items
4.2.1.18 Hazardous Material classification
4.2.1.19 date of last update
4.2.1.20 date of last issue (updated automatically)
4.2.1.21 serial number(s) per item
4.2.1.23 supplier(s) of item
4.2.1.24 manufacturer of item
4.2.1.25 lead time
4.2.1.26 unit price and currency
4.2.1.27 max stocking level
4.2.1.28 min stocking level
4.2.1.29 date of last transaction
4.2.1.30 shelf life inspection interval
4.2.1.31 where-used inquiry (in equipments)
4.2.1.32 storage locations within warehouses
4.2.1.33 Status of item: New, Hold, available, suspended, discontinued and inactive
 Can the system interface directly with major supplier information systems to create purchase
4.2.2 requisitions and orders?
4.5 Blanket Purchase Orders
4.5.1 Can the system generate blanket orders and purchase agreements for defined periods?
4.5.2 Can the system automatically notify users when a blanket order is nearing completion?
4.5.3 Can the blanket orders / purchase agreements set:
4.5.4.1 Order quantities
4.5.4.2 Order price
4.5.4.3 Value or quantity per shipment for a series of scheduled deliveries
4.5.4 Can the system permit call-off dates and quantities to be rescheduled?
4.5.5 Can the system allow confirmation of each delivery by issuing a purchase order, which is
drawn down against a purchase agreement, or blanket order.
4.5.6 Can the system generate open contract purchase agreements without specifying the total
value of the contract?
4.5.7 Can the system have an automatic replenishment mechanism for rate running and revolving
contract?
4.5.8 Can the system allow manual updates to the contract time period/expiry date?
4.5.9 Can the system track all changes to blanket agreements?
4.6 Purchase Order Management
4.6.1 Can the system support multiple types of purchase including:
4.6.1.1 Inventory and materials
4.6.1.2 Equipment Supplies and Erection / Installation / Commissioning
4.6.1.3 Supplies
4.6.1.4 Services
4.6.1.5 Contracts
4.6.1.6 petty cash
4.6.2 Can the system process single and multiple line Purchase Orders ?
4.6.3
Can the system make use of Bid / Vendor Response as a source to create Purchase Order?
4.6.4 Can the system allow to make use of closed purchase orders to copy and issue new
purchase order?
4.6.5 Can the system consolidate Multiple Requisitions for the same item into one purchase order
retaining the requisition identification number?
4.6.6 Can the system process following multiple order types:
4.6.6.1 Standard purchase orders for a single item
4.6.6.2 Multiple items - Single delivery and multiple delivery
4.6.6.3 Single item - multiple delivery points and multiple delivery dates
4.6.6.4 Multiple items - multiple delivery dates and multiple delivery points / locations
4.6.6.5 Foreign POs (country wise)
4.6.6.6 Local POs
4.6.7 When a requisition or PO value exceeds the original budget, can the system:
4.6.7.1 Flag a warning signal to the user
4.6.7.2 Disallows users from proceeding with the transaction
4.6.7.3 Provide facility to the user to request additional funds
4.6.7.4 Provide notification to the users on fund allocations
4.6.8 Can the system allow modification or cancellation of purchase orders only by authorized
personnel prior to being routed for approval?
4.6.9 Can the system provide facility to set-up authority and approval levels for PO processing?
4.6.10
4.6.11 Can the system inform requesting departments about changes / cancellations of Purchase
Orders?
4.6.12 Can the system create separate purchase order number sequences by buyer, divisions, and
set of vendors? (Is this enough to address the existence of more than one purchasing
department)?
4.6.13 Can the system record the following details for purchase order:
4.6.13.1 Tender reference number
4.6.13.2 Vendor
4.6.13.3 Vendor quotation number
4.6.13.4 Items to procure
4.6.13.5 Vendor's item code
4.6.13.6 Quantity of items
4.6.13.7 Unit price per item
4.6.13.8 Other price (taxes, duties, transportation, insurance, etc)
4.6.13.9 Total value of contract
4.6.13.10 Contract start date
4.6.13.11 Contract end date
4.6.13.12 Delivery schedule
4.6.13.13 Payment terms
4.6.13.14 Freight terms
4.6.13.15 User remarks
4.6.13.16 Ship-to address
4.6.13.17 Bill-to address
4.6.13.18 Receiving location
4.6.13.19 Unit of Measure (UOM)
4.6.13.20 Discount
4.6.13.21 Ship via
4.6.13.22 Other, (If yes, please specify in remarks area)
4.6.14 During PO entry, can the system include free-form text which is printed at the PO level?
4.6.15 Can the system automatically signal / pop-up / trigger Letter of Credit - LC opening for the
purchase order?
4.6.16 Can the system assign a delivery date at the PO header level?
4.6.17 Can the system assign a required delivery date at the PO line item level?
4.6.18 Can the system allow amendments to the PO, for the following:
4.6.18.1 Shipments schedule
4.6.18.2 Indenter’s Reference
4.6.18.3 Item Code
4.6.18.4 Quantity changes
4.6.18.5 Price changes
4.6.18.6 Additional lines on the order
4.6.19 Can the system maintain PO amendment history?
4.6.20 Can the system allow to maintain vendor acknowledgments against the Purchase Order?
4.6.21 Can the user inquire on-line on all open PO's by:
4.6.21.1 Item code
4.6.21.2 Purchase order number
4.6.21.3 Vendor
4.6.21.4 Due date (range)
4.6.21.5 Buyer
4.6.22 During PO entry, can the system include free-form text, which is printed on the PO document
at item line level?
4.6.23 Can the system attach an expeditor code to a PO?
4.6.24 Can the system track PO's which are being expedited by:
4.6.24.1 By expeditor code (on-line)
4.6.24.2 Expeditor’s notes attached to a PO
4.6.25 Can the system track the following purchase order statuses:
4.6.25.1 LC opening
4.6.25.2 Delivery date confirmed
4.6.25.3 Shipped
4.6.25.4 Arrived
4.6.25.5 Berthing
4.6.25.6 Port and customs clearance
4.6.25.7 Inland Transportation
4.6.25.8 Receipt at site
4.6.25.9 Awaiting Inspection etc
4.6.26 Can the system define the following purchase lead time data:
4.6.26.1 Total purchase lead-time
4.6.26.2 PO paperwork lead-time
4.6.26.3 Dock to stock lead-time
4.6.26.4 In transit lead-time
4.6.27 Can the system automatically send reminder of Non-Delivery to the buyer?
4.6.28 Can the system generate pre-prepared (as per templates) dunning letters for sending as
reminders to the vendors for late deliveries?
4.6.29 Can the system estimate and project time phased cost commitments based on PO's?
4.6.30 Can the system provide debit memos for items to be returned to vendor (e.g., rejected
goods, surplus goods, etc.)?
4.6.31 Can the system adjust the budget allocations from the PR to actual PO value?
4.6.32 Can the system maintain history on all purchase orders?
4.6.33 Can the system support multiple version numbers for:
4.6.33.1 Requisitions
4.6.33.2 Purchase orders
4.6.33.3 Blanket orders
4.6.33.4 Purchase agreements/Contract
4.6.33.5 Other, (If yes, please specify in remarks area)
4.6.34 Can the system facilitate an online workflow functionality for approving:
4.6.34.1 Material Requisitions
4.6.34.2 Service Requisitions
4.6.34.3 RFQ
4.6.34.4 Standard purchase orders
4.6.34.5 Blanket Orders
4.6.34.6 Purchase agreements/contracts
4.6.34.7 Other, (If yes, please specify in remarks area)
4.6.35 Can the system link purchase orders to Letter of Credit (LC’s)?
4.6.36 Can the system track the status of LC’s?
4.6.37 Can the system produce a report of all voided purchase orders?
4.6.38 Can the system maintain a history of all transactions affecting a purchase order (i.e.
Amendments to the PO, receipts, returns etc.)?
4.7 Purchasing From Overseas Suppliers/Importing
Can the system track inventory by vessel number and log number (container number) for
4.7.1 imported purchases?
4.7.2 Can the system maintain, "ship via" instructions for imported goods?
Can the system perform landed cost costing, incorporating import / export duties, brokerage
fees, insurance, shipping costs, and other expenses to be accumulated and allocated
4.7.3 amongst the items in any shipment?
For containers comprising multiple items, can the system allocate expenses based on item
4.7.4 volume/capacity ratios, item weight ratios or user-defined ratios?
4.7.5 Can the system specify shipping location (shipping point) by item and supplier?

4.7.6 Can the system identify payment as due, based on receipt of items at the shipping location?
4.7.7 Can the system support item returns to foreign vendors?
Can the system track all shipping and related costs incurred in returning items to foreign
4.7.8 vendors and automatically initiate debit memos to those vendors?
4.7.9 Can the system calculate landed cost of material?
4.11 Contract Management
4.11.1 Can the system support multiple types of contracts including:
4.11.1.1 inventory and materials
4.11.1.2 repair and return services
4.11.1.3 stock supplies
4.11.1.4 services
4.11.1.5 petty cash
4.11.1.6 stock replenishment
4.11.1.7 Warranty Contracts (Contracts issued for the warranty claims)
4.11.2 Can the system convert tender proposal into contract scope?
Can the system facilitate development of project contract documents based on pre-defined
4.11.3 templates?
Can contract line items be edited with audit trails maintained for changes made to any
4.11.4 element of original contract?
Can contract payment schedules be maintained in the system and payment controls
4.11.5 exercised within the system through approval processes?
Can the system recommend Contract Item Quantities based on the materials planning
4.11.6 activity?
4.11.7 Can the system allow amendment to the Suggested Contract Item Quantities?
4.11.8 Can the system allow manual entry of Contract Recommendations?
4.11.9 Can the system support conversion of Recommendations to Contracts?
Can the system allow to make use of closed contracts by copying required data in issuing
4.11.10 new contracts?
4.11.11 Can the system process following variations in contracts:
4.11.11.1 standard contracts for a single item/service
4.11.11.2 multiple items - single delivery and multiple delivery
4.11.11.3 single item - multiple delivery points and multiple delivery dates
4.11.11.4 multiple items - multiple delivery dates and multiple delivery points / locations
4.11.11.5 Foreign Contracts (country wise)
4.11.11.6 Local Contracts
4.11.12 When a contract value exceeds the original budget, can the system:
4.11.12.1 Flag a warning signal to the user
4.11.12.2 Disallows users from proceeding with the transaction
4.11.12.3 Provide facility to the user to request additional funds
4.11.12.4 Provide notification to the users on fund allocations
Can the system allow modification or cancellation of contracts only by authorized personnel
4.11.13 prior to being routed for approval?
Can the system support workflow enabled electronic approval of contracts depending on the
4.11.14 contract value and type of material/services?
Can the system create separate contract number sequences by buyer, site or division, and
4.11.15 set of suppliers?
4.11.16 Can the system record the following details for contract:
4.11.16.1 tender or RFQ reference number
4.11.16.2 supplier quotation number
4.11.16.3 items/services to procure
4.11.16.4 repair and return services
4.11.16.5 supplier's item code
4.11.16.6 quantity of items
4.11.16.7 unit price per item
4.11.16.8 other price (taxes, duties, transportation, insurance, etc)
4.11.16.9 total value of contract
4.11.16.10 contract start date
4.11.16.11 contract end date
4.11.16.12 delivery schedule
4.11.16.13 payment terms
4.11.16.14 price slabs
4.11.16.15 unit of measurement
4.11.16.16 packaging standards
4.11.16.17 freight terms
4.11.16.18 user remarks
4.11.16.19 shipping location/address
4.11.16.20 billing location/address
4.11.16.21 receiving location
4.11.16.22 material handling/receiving instructions

4.11.17 Can the system support attaching of following with the contracts based on certain conditions:
4.11.17.1 Specification sheets
4.11.17.2 Drawings
4.11.17.3 Standard terms and conditions
4.11.17.4 Any other attachments
During contact entry, can the system include free-form text, which is printed the contract at
4.11.18 the contract level?
4.11.19 Can the system allow amendments to the contract for the following:
4.11.19.1 shipments schedule
4.11.19.2 item Code
4.11.19.3 specification changes
4.11.19.4 quantity changes
4.11.19.5 price changes
4.11.19.6 additional lines on the order
4.11.20 Can the system maintain contract amendment history?
Can the system allow to maintain vendor acknowledgments/confirmation against the
4.11.21 contract?
4.11.22 Can the system track contracts at various user defined statuses?
Can the system generate automatic charge account structure for the requisition depending
4.11.23 upon the requester, department or item category or their combinations?
Can the system send reminder/alerts of Non-Delivery to the buyer when due date have
4.11.24 passed?
Can the system support workflow enabled electronic approval of contracts depending on the
4.11.25 value and types of material / services?
Can the system generate pre-prepared (as per templates) letters for sending as reminders to
4.11.26 the suppliers for late deliveries?
Can the system provide debit memos for items to be returned to suppliers (e.g., rejected
4.11.27 goods, surplus goods, etc.)?
4.11.28 Can the system maintain history of all contracts?
Can the system maintain a check whether a contract has been printed/released to ensure
4.11.29 that only approved contracts get communicated to supplier?
Can the system prompt the buyer while creating contracts, the quantities which are already
on approved contracts or open contracts so that a new contract can be raised only for the net
4.11.30 quantity?
4.12 Reports
4.12.1 Can the system provide a complete requisition analysis report including:
4.12.1.1 Total number and value of requisitions
4.12.1.2 Number and value of requisitions converted to PO’s
4.12.1.3 Number / value of requisitions cancelled
4.12.1.4 Number / value of requisitions open
4.12.1.5 Number / value of requisitions closed
4.12.1.6 Number of requisitions converted in to bids
4.12.1.7 Other, (If yes, please specify in remarks area)
4.12.2 Can the system provide a complete PO analysis report including:
4.12.2.1 Total number of PO’s
4.12.2.2 Number of PO’s with an attached goods received note
4.12.2.3 Number of PO’s cancelled
4.12.2.4 Number of PO’s open
4.12.2.5 Number of PO’s closed
4.12.2.6 Number of PO’s not invoiced
4.12.2.7 Number of overdue deliveries
4.12.2.8 Other, (If yes, please specify in remarks area)
4.12.3 Can the system provide following report:
Purchase Decision Report – Printed as required by due date and item number or vendor
number sequence indicating PO due date, item number, description, order quantity
4.12.3.1 information, vendor data, and PO data
Open Order Reports – Printed as required for all open orders showing vendor, item
number, order balances, due date, and buyer. Should be able to be sequenced by vendor,
4.12.3.2 item number, or buyer
 Purchase Order – User customized purchase order document printed on demand or in
4.12.3.3 batch
Receiving Reports – Printed daily showing order number received, vendor, buyer, receiving
4.12.3.4 site or item number. In addition, there should be periodical summaries
Order Pending Report – Printed as required, shows delinquent purchase orders, and
4.12.3.5 blanket order status. Printed by item number, vendor, or request date sequence

Backorder Report – Printed as required, lists the subset of the open orders that have items
4.12.3.6 backordered. Should be able to be printed in the same sequence as the open order report
Cash Commitment Report – Printed as required, shows open order BD committed in relayed
accounting periodsCash Commitment Report – Printed as required, shows open order BD
4.12.3.7 committed in relayed accounting periods
Purchase Item Lead time Analysis – Printed as required, sequenced by item number.
Gives standard lead-time, summary of orders with order date and receiving date, the time
4.12.3.8 period to fill the order
Purchase Performance Report – Printed for a specified period. Lists actual, targets, and
4.12.3.9 variances for price, quantity and delivery times
Return to Vendor status – Lists by vendor the quantities and due dates of returned items
4.12.3.10 due back from vendor
Vendor Performance Report – Printed by vendor for specified period. Lists number of
4.12.3.11 orders and actual target, and variance for price, quantity, and delivery time and quality
Vendor Master Report – Printed as required, sequenced by vendor name or number and
4.12.3.12 other vendor master data
Approved Vendor Listing Report – Printed as required, listed by item number all approved
4.12.3.13 vendors, vendor item numbers, master file

Aged Order Report – Printed as required, lists all open orders by due date age category
4.12.3.14 (future, under, past in days) and sequenced by item number, buyer, PO number or vendor
4.12.3.15 Receiving/Inspection – Report by log number or PO number received
Import documents & Receiving documents, including item information, instructions on
storage and handling required, and space provided for the stores staff to record inspection
4.12.3.16 results and location data
4.12.3.17 Purchase orders received not invoiced
4.12.3.18 Purchase orders invoiced not received
4.12.3.19 Purchase orders not received, not invoiced
 Sr. No. Functional requirements
Sr. No. Freight
4.8 Freight Management
4.8.1 Can the system provide facility to maintain custom agents?
4.8.2 Can the system provide facility to maintain transporter details?
4.8.3 Can the system provide facility to track in-transit items?
4.8.4 Can the system allow shipment inquiry by:
4.8.4.1 Stock Number/Item Number
4.8.4.2 Vendor
4.8.4.3 Due Date
4.8.4.4 Budget Vote
4.8.4.5 Shipping Agency/Freight Company
4.8.4.6 Shipment mode
4.8.4.7 Requisition / PO number
4.8.4.8 Other (please specify)
4.8.5 Can the system maintain following information on the shipment agency:
4.8.5.1 Name
4.8.5.2 Address
4.8.5.3 Phone
4.8.5.4 Contact Name (Multiple)
4.8.5.5 Status
4.8.5.6 Shipment mode (Multiple)
4.8.5.7 Other (please specify)
4.8.6 Can the system support status checks on freight forwarder delivery schedules?
4.8.7 Can the system provide facility to track in-transit material by:
4.8.7.1 carrier, with record of item specifics (Including lot number)
4.8.7.2 Letter of Credit (LC) number
4.8.7.3 shipping and berthing date
4.8.7.4 receipt date
4.8.7.5 transporter
4.8.7.6 custom agent
4.8.7.7 Other (please specify)
4.8.8 Can the system provide facility to maintain custom clearance requirements through:
4.8.8.1 Clearing agent listing by POs
4.8.8.2 Entry of freight details for items to be cleared
4.8.8.3 Entry of items cleared by the agents at the clearance point
Can the system support calculation of transporter dues, based on the tariff agreement with
4.8.9 the transport providers.
4.10 Insurance
4.10.1 Can the system maintain the following insurance policy data:
4.10.1.1 Insurance Company details
4.10.1.2 Owner Department / Divisions
4.10.1.3 Insurance policy number
4.10.1.4 Insurance type
4.10.1.5 Shipment number
4.10.1.6 Value of insured equipment
4.10.1.7 Insurance start date
4.10.1.8 Renewal date
4.10.1.9 Premium paid for the current year
4.10.1.10 Other (Please specify)
Can the system have the facility raise insurance claims to insurance company, in case any
4.10.2 damages are observed on shipment arrival?
4.10.3 Can the system record the following data against an insurance claim:
4.10.3.1 Insurance policy number
4.10.3.2 Date of accident
4.10.3.3 Estimated expenses
4.10.3.4 Date when vehicle is back on the road
4.10.3.5 Final invoice amount
Can the system provide the facility to upload relevant item data against raised insurance
4.10.4 claims?
4.10.5 Can the system provide the facility to track the following status of claims:
4.10.5.1 Date of raising the claim
4.10.5.2 Status of claim (approved / rejected)
4.10.5.3 Payment status against approved claims
4.10.5.4 Insurance inspection report
4.10.5.5 Other (Please specify)
Can the system provide facility for capturing the claim amounts as settled by the Insurance
4.10.6 company
4.10.7 Can the system provide facility to record details against insurance claims?
4.10.8 Can the system integrate with information systems of insurance companies?