Goods Received Note (GRN)
Also known as: GRN
A goods received note (GRN) is a document recording the goods actually delivered against a purchase order, used to confirm receipt before payment.
When a delivery arrives, the receiving team checks it against the purchase order and records what was received — quantities, condition and any discrepancies — on the GRN. This document is the 'received' leg of the three-way match and the trigger for accepting the supplier's invoice.
Accurate GRNs prevent payment for goods that never arrived or were damaged, and they create the audit trail linking order to receipt to invoice. In digital systems the GRN is captured electronically and matched automatically.
Frequently asked questions
- What is a goods received note?
- A goods received note records the goods actually delivered against a purchase order — quantities, condition and discrepancies — and confirms receipt before the invoice is paid.
- How does a GRN fit into three-way matching?
- The GRN is the 'what was received' document. It is matched against the purchase order and the invoice so payment is only made for goods that actually arrived as ordered.
Related terms
Three-Way Matching
Three-way matching is a control that checks the purchase order, goods received note and supplier invoice agree before an invoice is paid.
Read definitionPurchase Order (PO)
A purchase order (PO) is the official document a buyer sends to a supplier to confirm the order of goods or services at agreed prices and terms.
Read definitionInvoice
An invoice is a document a supplier issues to a buyer requesting payment for goods or services delivered, listing what is owed and the terms.
Read definitionGoods in Transit
Goods in transit are items that have been dispatched by a supplier but not yet received by the buyer, still moving through the supply chain.
Read definitionExplore related across the knowledge graph
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