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Former Member
Mar 01, 2010 at 03:49 PM

learner question on sales order and purchase order


dear SDN,

I am a bit confuse about PO and Sales Order.

My understanding is a Sales order is a contract from customer to sales organization.

But a PO is also something like that am i right?

I learnt that to create a Sales order you need the customer number and PO number.

So, am i right to say that a Sales order is created by the sales organization after receiving the PO raised and issue by the customer?

So they are basically the same thing but created by different parties?

Is my understanding correct?

Best regards