What is the first step in the process involving contract, purchase orders, and invoices?

The process involving contracts, purchase orders, and invoices starts with a foundational step that typically sets the tone for subsequent actions. Establishing purchasing guidelines is crucial as these guidelines define how procurement activities should be conducted. This includes setting parameters for vendor selection, approval levels, and budgetary limits. By having clear purchasing guidelines in place at the outset, organizations can ensure consistency, compliance, and efficiency throughout the procurement process. This step acts as a framework for managing all the following steps, from engaging suppliers to processing invoices, making it the logical starting point.