Purchase Requisition
A purchase requisition is an internal document or workflow used to request, justify and approve a proposed purchase before the business commits to a supplier.
The requester normally describes what is needed, why it is needed, the estimated cost, suggested supplier, delivery details and the account, project or budget to charge. An authorised person can approve, reject or return the request for more information.
A purchase requisition is not sent to the supplier as an order. Once approved, its details may be used to create a purchase order, which is the supplier-facing purchasing document.
Where Purchase Requisitions Appear
You may see purchase requisitions in:
- employee purchasing portals and approval queues
- department, project and grant budgets
- procurement and tender records
- requests for quotations or supplier selection
- purchase-order creation workflows
- audit trails and spending reviews
Small businesses may use a simple form or email approval, while larger organisations often use numbered requests, approval limits and several review stages.
Purchase Requisition Versus Purchase Order And Invoice
| Document | Created By | Main Purpose |
|---|---|---|
| Purchase Requisition | The buyer’s employee or department | Request and approve a proposed purchase internally |
| Purchase Order | The buyer after approval | Tell the supplier what the buyer is ordering |
| Supplier Invoice | The supplier | Request payment for goods or services supplied |
The three documents can share quantities, descriptions and prices, but they represent different stages and should not be treated as interchangeable evidence.
How A Purchase Requisition Works In Practice
A requester enters the need and estimated cost, then chooses the project or budget. The workflow sends the requisition to someone with the appropriate approval authority. Procurement may then obtain quotes, confirm the supplier and convert the approved details into a purchase order.
Southern Cross University’s procurement procedures provide one official example of requisitions, approval and purchase-order controls. A small business can scale the formality down while retaining the useful separation between requesting, approving and ordering.
Simple Example
A workshop supervisor requests a replacement tool estimated at $1,800 and explains that the current tool has failed. The department manager confirms the budget and approves the requisition.
Only then does the buyer issue a purchase order to the chosen supplier. If the request is rejected, no order should be placed merely because the requisition was created.
Why Purchase Requisitions Matter
A requisition gives the business a decision point before it makes a commitment. It can prevent unauthorised purchases, duplicate orders and spending against the wrong project, while giving the approver enough information to challenge the need or supplier choice.
The Australian Department of Finance’s accountability and transparency guidance is written for Commonwealth procurement, but its emphasis on records, approvals and explaining procurement decisions illustrates why evidence before commitment matters. Private businesses can apply the same control principle without adopting government procedures.
Regional Variations
The control is widely used, but names vary. A system may call it a purchase request, requisition request, request to purchase or internal order request. Approval levels, quotation requirements and public-procurement rules vary by organisation and country.
How Gimbla Can Help
If a business approves requisitions in an internal or external workflow, the approved details can be used to create a Gimbla purchase order. Gimbla can then support the downstream order, supplier-bill and accounting records; the business should retain the requisition approval as part of its purchasing evidence.
Related Terms
Helpful Gimbla Guides
In Short
A purchase requisition asks for internal permission to buy. Approval can authorise the next purchasing step, but the requisition itself is not the supplier-facing purchase order or the supplier’s invoice.