A Goods Receipt Note (GRN) is a document raised when goods are received from a supplier, recording the items, quantity, condition, and quality inspection result against a purchase order. The GRN triggers inventory increase, quality checks, and payables.
Why It Matters
The GRN is where accountability moves from vendor to buyer. Without a structured GRN, you cannot prove what was received, flag short supply, reject defective material, or accurately pay suppliers. For GST, the GRN date and quantity directly feed input tax credit claims and 3-way match checks.
Example with Indian Context
A precision machining shop in Coimbatore orders 500 kg of EN8 steel bars. When the truck arrives, the stores team opens the PO on the ERP, weighs the material (498 kg received), creates the GRN, and routes 10 bars to incoming quality for hardness testing. QC passes 9 bars and raises an NCR on 1 bar. The GRN automatically updates stock, creates a pending supplier invoice match for 498 kg, and alerts purchase to short supply of 2 kg.
Related Terms
How ERPDrive Handles It
ERPDrive creates GRNs against purchase orders with partial receipt support, batch and serial tracking, weight capture, and direct handoff to incoming quality inspection. GRN posting updates stock in real time, creates the supplier bill for 3-way match, and stamps HSN and GST data for input credit.
See It in Your Factory
ERPDrive handles GRN as a first-class workflow alongside BOM, MRP, quality, job work, and GST. Book a 30-minute demo.
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