Receiving Inspection
Receiving inspection is the check performed when goods arrive to verify that the delivery matches the order in quantity, specification and condition.
When a delivery arrives, receiving inspection confirms that the items, quantities and specifications match the purchase order and that nothing is damaged or defective. Discrepancies — shortages, wrong items, quality faults — are recorded and raised with the supplier before the goods are accepted. Only accepted goods are booked in, forming the basis of the goods received note.
This step is a critical control in procure-to-pay: it prevents paying for goods that were never delivered or that fell short, and it feeds the three-way match between order, receipt and invoice. Clear inspection criteria and prompt recording keep receiving accurate, support correct accruals and stop faulty goods from entering stock or production.
Key points
- Verifies delivered quantity, specification and condition against the order.
- Records shortages, wrong items and quality faults for the supplier.
- Feeds the goods received note and the three-way match.
Frequently asked questions
- What is receiving inspection?
- Receiving inspection is the check performed when goods arrive to verify that the delivery matches the purchase order in quantity, specification and condition before the goods are accepted.
- Why is receiving inspection important?
- It stops payment for goods not delivered or below standard, provides the basis for the goods received note and three-way match, and keeps faulty items out of stock or production.
Related terms
Goods Received Note (GRN)
A goods received note (GRN) is a document recording the goods actually delivered against a purchase order, used to confirm receipt before payment.
Read definitionThree-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 definitionPut-Away
Put-away is the warehouse process of moving received goods from the receiving area to their designated storage locations.
Read definitionInbound Logistics
Inbound logistics is the movement, receiving and storage of goods coming into an organisation from its suppliers.
Read definitionExplore related across the knowledge graph
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