What happens in goods receipt?

Goods receipt is part of the procurement process, along with ordering. It covers the physical area where incoming goods are processed. Goods are transferred from upstream systems and passed on to downstream systems (e.g., the warehouse) based on defined workflows.

The order triggers the material flow, and goods receipt formally hands over the goods to the company. Goods receipt also receives the order information needed for inspection (item, quantity, delivery time). The goods receipt inspection includes checks on identity, quantity, and quality. This phase includes the transport to the receiving area, acceptance of goods, and inspection.