Goods Received Note: Your Guide to Streamlining Inventory in 2025

Have you ever received a delivery in the office and you do not know what to do with it? Perhaps the boxes simply lay in the corner unopened, and everyone scratched their heads as to who ordered what – and where. It is not as uncommon as you may think. You would be surprised how frequently teams get shipments without even a hint of what is in the shipment, much less how to deal with it.

That’s where the Goods Received Note or GRN steps in. It is the checklist and a timestamp in one. Nothing to guess, no finger pointing, a clean documentation that states: Yes, this has arrived and here is what exactly arrived. 

In the following sections, we shall discuss all you need to know about GRN, including what GRN is, GRN full form, GRN number and what to include in your GRN. 

What is GRN?

GRN full form is Goods Received Note. It’s exactly what it sounds like – a Note or document your team fills out when you receive Goods from a supplier. Think of it as your proof of delivery, but for internal use. It answers your basic yet important questions, such as: 

• Did you receive what you paid for?
• Is the quantity correct?
• Were the Goods damaged?

Why a GRN Matters More Than You Think

At this point, you may be asking yourself, Well, a GRN sounds useful, but do I really need one? Here are some reasons why a GRN is more than paperwork:

Accuracy in Inventory: With a GRN, you are sure that what you ordered is what you received. End of guessing and disagreements with the suppliers.

Proof of Delivery: In case of any problem, such as an item missing or a damaged box, the GRN is your receipt to help you settle the problems within a short time.

Lean Accounting: Your accounts department will adore you. A GRN assists in linking the invoice to deliveries and makes payment and audit processes less stressful.

Let us share an experience of one GRN’s user; 

Satish runs a small online boutique selling handmade jewellery. Last year, he ordered a batch of packaging materials, but the supplier sent the wrong size boxes. 

Without a GRN, he spent hours on the phone, trying to sort out the mess. Once he started using GRNs, he could spot discrepancies right away and resolve them with a single email. 

It’s a small change that saved him from a lot of struggles. Have you ever dealt with a mix-up like that? If so, you know how frustrating it can be.

Decoding the GRN Format

What does GRN look like? What should be its format? It does not have to be quite as complex as it may sound. A standard GRN will have:

GRN Number: This is a reference number to the document, such as a tracking number for your delivery. It allows you and your team to be referring to the same record.

Date of Receipt: The day when the Goods reached your warehouse.

Supplier Information: Who delivered the goods? This will involve the name of the supplier and the contact details.

Description of Goods: What did you get? This itemises the products, quantities and even the batch numbers.

Condition of Goods: Were the Goods in good condition, or were some of them broken? This is the place where you record any problems.

Signatures of Receiver: Your acknowledgement that the Goods have been received, which may include a name or employee ID.

Apart from the above-listed fields, you may want to include more fields such as Price, Product description and so on. Feel free to customize the GRN format as per your needs. 

Also, find out detailed guide on LUT in GST

The GRN Number: Your Best Friend in Inventory Management

Let us take a closer look at the GRN number. This small code is the spine of the Goods Received Note. It is similar to the number on your driver’s license; it is unique, it can be traced, and it is necessary to keep things sorted. 

Each GRN you make is assigned a number, which is associated with the purchase order, invoice and delivery records. The GRN number is your point of departure in case you ever need to trace a particular shipment or settle a dispute. 

You take the GRN number of the delivery and compare it with the purchase order, and find that the supplier has delivered less than what he had promised. 

Using that GRN number, you can call up the supplier, show them the specific document and get the problem corrected quickly. Without it, you are rooting through emails and hoping that you can find it. 

Which one sounds simpler to you?

Closing Notes

Whether you manage a small or a large business, the process of GRN cannot be overlooked. It saves time, minimises losses, and develops a strong chain of responsibility. And in a world where every unit is important and customer trust is all that counts. Therefore, when the next truck backs up to your loading dock, you might want to ask: Did we GRN this?

Looking to manage inventory in an easier way?

Experience Munim Accounting and Billing – the easiest accounting and billing software in India. Munim makes it all a breeze, whether it is inventory management or accounting. Sign up today and take a free trial.

Frequently Asked Questions 

What is the Goods Received Note?​

Goods Received Note (GRN) is a document that a buyer prepares to acknowledge the receipt of Goods by a supplier. It includes the description of items, quantity delivered, and condition. It serves as internal evidence of receipt of the items and assists in the verification of invoices prior to making payment.

Who issues a Goods Received Note?​

The GRN is normally raised by the receiving department or the warehouse executive of the purchasing firm. They capture all the information on the shipment after inspection and send the GRN to the procurement or finance departments to continue with the processing.

What is the Goods Received Note format?​

A standard Goods Received Note (GRN) format typically includes:

• GRN number
• Purchase order reference
• Supplier name and contact
• Date and time of delivery
• Item description
• Quantity received
• Condition of goods
• Name and signature of the person verifying the delivery