What is a Goods Received Note (GRN)?
Goods received note (GRN) meaning
A goods received note (GRN) is a formal document issued when a business takes delivery of goods from a supplier.
It acknowledges that the delivery has occurred, and serves as a goods receipt that confirms goods match the purchase order in quantity and condition.
A GRN document also plays a critical role in maintaining accurate inventory, verifying supplier performance, and ensuring invoice payments are correct.
PRO TIP: What is GRN number?
Some organizations assign a unique GRN number for tracking purposes. This documentation ensures each delivery is traceable and complete.
What information is required in the goods received note?
A standard goods received note template typically includes:
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Supplier name and delivery time/date
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Product details (name, size, type, technical specs)
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Quantity delivered
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Purchase order number
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Name and signature of the supplier’s representative
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Name and signature of the receiving manager
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Delivery location
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Comments or notes on condition
PRO TIP: GRN format
Using a clear, standardised goods received note format helps improve record-keeping and may reduce administrative errors.
What is the difference between a goods received note and proof of delivery?
A goods received note is created by the receiving organization after checking the delivered goods. It documents that the goods meet expected specifications.
Proof of delivery, on the other hand, is often provided by the courier and simply confirms that a delivery occurred.
A goods received note typically offers more detailed verification and is used internally for payment and inventory records, whereas proof of delivery confirmation may be limited to the time and location of the handover.
How is a goods received note used in shipping and supply chain management?
Once the goods are delivered, the receiving department typically inspects them. If the goods are deemed acceptable, they may issue a goods received note and distribute copies to relevant departments like the procurement and finance teams.
The GRN then may be used in purchase order matching. This means the invoice is compared to the purchase order and the goods received note to catch mismatches or errors before payments are made.
The goods received note may also feed into inventory systems to ensure accurate stock levels.
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