Purchase Order Fulfillment Definition

A purchase order (PO) is a formal document that is created and issued by a buyer to a seller. It indicates what products or services the buyer intends to purchase, how many they need, and at what price. The seller then fulfills the order by providing the requested goods or services to the buyer, usually within a set timeframe.

In business, purchase order fulfillment is the process of filling and delivering orders for products or services. This includes everything from receiving and reviewing the PO, gathering the necessary items or materials, packaging and shipping the order, and following up with the customer to ensure they’re satisfied. Purchase order fulfillment can be handled internally by a company’s own staff, or it can be outsourced to a third-party provider.