What is a goods received note?

A goods received note (GRN) is a document used in the process of receiving goods into a business. It is typically prepared by the receiving department or warehouse staff and serves as a record of the goods that have been received, including details such as the quantity, description, and condition of the goods. The GRN is used to verify that the goods received match the goods ordered and to facilitate the process of updating inventory records and making payments to suppliers.

A goods received note (GRN), also known as a receiving report, is a document issued by the receiving party to acknowledge the receipt of goods ordered from a supplier. It is used to verify the quantity and condition of the goods received, and to ensure that they match the order placed.

Purpose:

- To provide a record of goods received
- To ensure that the correct quantity and quality of goods have been received
- To facilitate inventory management and accounting
- To provide a basis for resolving any discrepancies with the supplier

Key Information:

A GRN typically includes the following information:

- Supplier name and address
- Customer name and address
- Purchase order number
- Date received
- Description of goods received
- Quantity received
- Unit of measurement
- Condition of goods (e.g., damaged, new)
- Name and signature of receiving party

Process:

1. Goods arrival: When goods are received, the receiving party inspects them for accuracy and condition.
2. GRN creation: A GRN is created and signed by the receiving party.
3. Distribution: Copies of the GRN are sent to the following parties:
- Supplier
- Receiving department
- Accounting department
4. Verification: The supplier compares the GRN with the original purchase order to verify the accuracy of the delivery.

Benefits:

- Reduced errors and discrepancies in inventory
- Improved communication between supplier and receiving party
- Simplified inventory tracking and management
- Faster invoice processing
- Enhanced control over goods received

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