Purchase Analysis Report

Purchase Analysis Report - User Guide

1. Introduction 📊

The Purchase Analysis Report is the primary financial and analytical module for managing the organization’s procurement expenditure. It provides a multi-dimensional view of liabilities, tax compliance, and material costs.

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Purpose of this Report:

  • Financial Reconciliation: Match purchase bills with taxes (GST/TDS/TCS) and net outstandings.
  • Cost Analysis: Breakdown procurement spend by product, item group, and vendor.
  • Tax Compliance: Generate schedules for TDS and TCS payments.
  • Trend Monitoring: Analyze monthly procurement peaks and valleys to manage cash flow.

This module is essential for Purchase Managers, Finance Controllers, and Tax Auditors.


2. Report Types & Analytical Insights 🚀

A. Purchase By Bill

  • Purpose: A high-level audit of all purchase documents.
  • Components: Includes Bills, Purchase Debit/Credit Notes (DNCN), and Input Tax Credit (ITC) verification.
  • Best For: Reconciling the Accounts Payable (AP) ledger for the month.

B. Purchase By Product

  • Purpose: A granular analysis of what items are being bought and at what cost.
  • Analysis Sheets:
    • Product Details: Transaction-level log of every item receipt.
    • Summaries: Highly sorted views showing Top Items, Top Item Groups, and Top Vendors by total expenditure.
  • Best For: Identifying volume-discounts opportunities and high-spend categories.

C. Tax Compliance (TDS & TCS)

  • Purpose: Dedicated reports for TDS Payable and TCS Payable/Receivable.
  • Key Fields: PAN Number, Taxable Value, Tax Rate, and Net Tax Amount.
  • Best For: Filling statutory returns and ensuring no tax deductions are missed.

D. Month-Wise Summary

  • Purpose: Strategic view of procurement trends across the fiscal year.
  • Best For: Annual budgeting and Identifying seasonal demand patterns.

E. Specialized Reports

  • GST Bill Payment (F): Tracks the specific payment status of GST-compliant invoices.
  • Bill-Wise QA Analysis (G): Cross-references purchase invoices with their respective Quality Assurance statuses (Accepted/Rejected).
  • Machine Maintenance (H): (Conditional) Tracks expenses specifically allocated to machine maintenance and DPR (Daily Production Report) maintenance modules.

3. Data Visibility & Audit Fields 🔍

Data CategoryKey Fields Visible
Document DetailsBill No, Bill Date, Supplier Bill No, Supplier Date, Unit, and Doc Sub-No.
Taxation AuditTaxable Value, CGST, SGST, IGST, TCS, TDS, and HSN/SAC Codes.
Financial ValuesAmount (Before Tax), Net Value (Post Tax), Discount, Freight, and Round Off.
Product AttributesItem Short Name, Item Group, Qty, Rate, and Non-Standard Notes.

4. Source Transactions 🔄

The system aggregates data from:

  1. Purchase Bills: The core source for all liabilities and product costs (Bill, Bill2).
  2. Purchase Adjustments: Debit and Credit notes for returns or price corrections (DebitCredit).
  3. Taxation Layer: Integrated GST, TDS, and TCS schemas (GstRates, TdsMst).
  4. Accounting Integration: Links transactions to specific Account Heads (Main/Sub Accounts).

5. Using Global Filters đŸ› ī¸

  • Unit: View a single plant’s procurement or a consolidated group view.
  • Report By: Extensive filtering by Vendor (Party), Party Group, Item, or Item Group.
  • Account Particulars: For Maintenance reports, filter by specific General Ledger (GL) accounts.

6. Best Practices / Tips 💡

  • Identify Over-Spending: Use the Purchase By Product summary. Sort by “Amount DESC” to immediately see which raw materials are consuming the most capital.
  • Prevent Tax Penalties: Run the TDS Payable report at the end of every week to ensure taxes are provisioned before payments are released to vendors.
  • QA Integration: Always review the Bill-Wise QA Analysis before authorizing high-value payments. Avoid paying for batches that have high rejection rates in the QA module.
  • Bill Error Audit: Check the IsError column in the Purchase By Bill report. It flags cases where the Total Bill Amount in the system does not match the Supplier Bill Amount, indicating a manual entry error.