Understanding Purchase Order Types
- Purchase Order Journal (Draft / Template) – The Journal type works as a draft or template for purchase orders.
- Standard Purchase Order – This is the most commonly used purchase order type in D365 F&O used for Purchasing goods or services from vendors.
- Return Order (Vendor Returns) – A Returned Order type is used when goods need to be sent back to the vendor. Vendor Return Material Authorization (RMA).RMA is only valid if the vendor has approved the return in advance.
Purchase Order Statuses in D365 Finance
This status tracks how far the purchase order has progressed operationally.
- Main Purchase Order Statuses
- Approval Status (Workflow & Change Management)
- Document Status (Generated Documents Tracking)
Main Purchase Order Statuses
Open Order
- Purchase order created
- Not fully received or invoiced
- Default status after confirmation
Received
- Entire purchase order quantity has been physically received
- Product receipts completed
Invoiced
- Entire purchase order fully invoiced
- Financial transaction completed
Cancelled
- Purchase order voided
- No further processing
Approval Status (Workflow & Change Management)
When Change Management is enabled in D365 Finance, purchase orders require approval workflows.
Common Approval Statuses:
- Draft
- In Review
- Approved
- Rejected
- Confirmed
Document Status (Generated Documents Tracking)
Document status indicates what procurement documents have been generated.
None
- No product receipt or invoice created
Product Receipt
- Goods receipt posted
Invoice
- Vendor invoice posted
