Practical EPC guide
A practical procure-to-pay workflow for EPC
Follow an EPC purchase from project requirement and RFQ to receipt, bill review and payment status.
Short answer: Start with a complete project requirement. Keep its project, budget and required-at-site date attached through RFQ, quotation comparison, PO, receipt, bill review and payment status.
Remember these three points
- Give procurement a complete request
- Compare evaluated cost, not price alone
- Track the purchase after the PO
Start with a useful purchase request
Procurement should not call the site for basic details. Add the project, item, quantity, delivery location, required-at-site date and requester before approval.
- Project and delivery location
- Clear item or service details
- Quantity and required date
- BOQ, package or cost head
- Supporting documents
Make approval ownership visible
Set approval rules by value, project, category and risk. Show who holds the request and how long it has waited.
- Use clear approval limits
- Show ageing
- Keep comments and revisions
- Escalate without hiding ownership
Compare the full commercial offer
The lowest price may not be the lowest evaluated cost. Compare freight, taxes, delivery time, payment terms, validity and commercial differences.
- Base price and taxes
- Freight and evaluated cost
- Delivery and validity
- Payment terms
- Commercial differences
Keep tracking after the PO
Track amendments, promised delivery, site receipt, bill exceptions and payment status. The site and procurement team should see the same current status.
Common questions
What is the EPC procure-to-pay sequence?
A common flow is PR → RFQ → quotation comparison → PO → GRN → invoice review → payment status. Your approval steps may differ.
Who owns the required-at-site date?
The project team sets the need. Procurement manages sourcing and delivery. Both teams should see the same date and every approved change.