How to Choose the Best Purchase Order Software
- John
- Sep 30
- 5 min read
Procurement teams are under more pressure than ever. CFOs want cost control, department managers want speed, and suppliers want clarity. One thing ties it all together: the purchase order (PO). Done well, POs bring transparency, compliance, and control. Done poorly, they create bottlenecks, errors, and frustrated teams.
That’s why purchase order software has become a cornerstone of modern procurement operations. The right solution won’t just automate paperwork - it’ll help you save money, keep suppliers happy, and give you data you can actually trust.
This guide will walk you through what PO software really does, the features you should care about, and how to pick the tool that fits your organization best.
Table of contents
Prefer to listen while you work? Our podcast breaks down all the details from the article.
What is Purchase Order Software?
Purchase order software automates the process of creating, approving, tracking, and managing purchase orders. Instead of sending Excel files and email threads back and forth, you get a centralized system where all requests, approvals, and supplier communications live.
At its core, good PO software ensures that:
Every purchase is approved before money is spent.
Orders match budgets, contracts, and supplier agreements.
There’s full visibility into who ordered what, when, and from whom.
Think of it as moving from messy inboxes to a structured workflow that everyone can follow.
Why Purchase Order Software Matters
The way procurement works has changed dramatically. Teams are often distributed, approvals can’t wait until someone gets back from travel, and finance leaders are under pressure to report not just on how much was spent, but on whether spending aligns with sustainability goals, diversity initiatives, or compliance regulations.
A modern purchase order tool answers these challenges. It gives real-time visibility into commitments before money leaves the company. It helps avoid “maverick spending” - those one-off purchases that slip under the radar but add up over the year. And it ensures suppliers get clear instructions and confirmations, reducing disputes and delivery errors.
In short: it keeps control without slowing the business down. Teams deal with:
Remote and hybrid work – managers approve from anywhere.
Tighter budgets – every dollar needs accountability.
Supplier risks – you can’t afford surprises in delivery or compliance.
Sustainability goals – tracking spend with green and diverse suppliers is now a board-level priority.
Technology ecosystems – your PO system needs to talk to ERP, finance, and supplier portals.
In summary, purchase order software is no longer optional but essential. It provides the foundation for compliance, efficiency, transparency, and strategic procurement. It keeps control without slowing down the business, empowering companies to operate smoothly in today's complex and demanding environments.
Key Features to Look for in Purchase Order Software
As shown in the chart above, the most important features of purchase order software aren’t just “nice extras.” Each of them solves a specific problem procurement teams face on a daily basis. Let’s go a bit deeper into what they mean in practice.
Customizable Workflows
Approval chains shouldn’t be one-size-fits-all. A flexible system lets you define exactly who needs to sign off, at what threshold, and under what conditions. For example, smaller purchases might only require a department manager’s approval, while larger ones automatically route to finance or even the CFO. This ensures compliance without creating bottlenecks.
AI & Automation
Modern procurement software doesn’t just move approvals around - it thinks with you. AI can match invoices to purchase orders, highlight discrepancies before they cause disputes, and even suggest next steps based on patterns it has learned. By automating repetitive checks, teams free up time for negotiations, supplier relationships, and strategic projects.
Supplier Management
A purchase order doesn’t live in isolation - it’s tied to a supplier. That’s why strong PO systems also function as supplier databases. They keep contracts, compliance certificates, insurance documents, and performance records in one place. This way, every PO you issue is connected to a full picture of that supplier’s reliability and compliance status.
ERP/Finance Integration
Finance and procurement must work hand in hand. If your PO software doesn’t integrate with your ERP or accounting system, you’ll end up with mismatched records and frustrated finance teams. With integrations, every approved PO automatically updates budgets and forecasts, eliminating duplicate work and giving leadership confidence in the numbers.
Real-Time Spend Tracking
This feature gives managers visibility into their budgets before approving a request. For instance, if a department has already used 80% of its budget, the system will flag it before the manager approves a new PO. Real-time tracking transforms approvals from guesswork into informed, data-driven decisions.
Mobile Approvals
Business doesn’t wait for managers to be at their desks. Mobile approvals mean requests don’t pile up while someone is traveling or working remotely. A quick tap on a phone can keep a critical order moving, which makes the whole procurement cycle smoother and faster.
Together, these features transform purchase orders from static paperwork into a living, connected process that ensures compliance, saves money, and keeps the organization running smoothly.
How to Evaluate the Right PO Software
When choosing a system, ask yourself (and vendors) these questions:
Does it fit my organization’s size and complexity?
A startup doesn’t need SAP Ariba. An enterprise might outgrow spreadsheets within weeks.
Will my team actually use it?
User experience matters. A tool that feels like a punishment will lead to shadow purchasing.
Can it scale as we grow?
Look for modular solutions where you can start small (POs) and expand (invoices, sourcing, supplier management).
How does it integrate with existing tools?
APIs and pre-built connectors should make finance, ERP, and HR data flow naturally.
Does it support compliance and reporting?
Regulatory needs, sustainability tracking, and audit readiness should come out of the box.
What’s the vendor’s support like?
Procurement is mission-critical. If something breaks, you need fast, human support — not just a chatbot.
Benefits Procurement Teams Can Expect
When the right purchase order software is in place, the impact is visible almost immediately. Approvals move faster because managers can sign off on their phone while traveling. Finance can finally see, in real time, how much budget is already committed instead of waiting until invoices arrive. Suppliers get clear orders and confirmations, which means fewer delivery mistakes and disputes.
Over time, the organization builds a reliable data set. That data becomes invaluable: you can see who spends the most in each category, which suppliers consistently deliver late, or where hidden costs keep appearing. Many companies report cutting indirect spend by 10–20% once the system is fully adopted. And the soft benefits - less frustration, more transparency, smoother collaboration - are just as important.
How Prokuria Can Help
Prokuria was designed specifically for procurement teams who understand that purchase orders (POs) are much more than just forms - they are the foundation of financial discipline and strong supplier relationships.
With Prokuria, procurement professionals benefit from:
No-code customizable workflows for even the most complex approval chains.
Seamless integrations with your ERP and accounting tools.
AI-powered automation for matching POs, GRNs, and invoices.
Mobile-friendly approvals so work never gets stuck.
Full supplier visibility integrated directly into the PO process.
Many clients transition from chaotic Excel and email-based processes to a structured, automated workflow within weeks. The typical outcomes include reduced costs, accelerated approvals, and stronger supplier relationships.
Prokuria comes equipped with all the key features any business needs in purchase order software -no matter the size. What’s more, the platform is built for rapid deployment, allowing teams to start using their new PO software in less than an hour, meaning it's ready for work by Monday morning.
If you have questions, you can contact us today and see how easy it is to start using our PO software!