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Purchase Requisition

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What is a purchase requisition?

A Purchase Requisition, often abbreviated as PR, is a formal request made within an organization to initiate the procurement of goods or services. It serves as the initial step in the procurement process, where an employee or department formally communicates their need for specific items or services to the procurement or purchasing department.

The Purchase Requisition typically includes details such as the item description, quantity, estimated cost, justification for the purchase, and any other relevant information. Once approved by the appropriate authority, the Purchase Requisition becomes the basis for creating a Purchase Order (P.O), which is sent to the supplier to fulfill the request.

Effective Purchase Requisition management ensures that all procurement needs are documented, evaluated, and aligned with the organization's policies and budget constraints before proceeding with the procurement process.