|Possible sources of supply Plant Company Code Purchase Info Record Outline agreement Item.
Purchase Info Record is maintained at Client Plant Purchase Organisation Company Vendors Master.
Purchase information record contains relationship between Material and Vendor Material Group and Vendor Company and vendor Client and vendor.
The conditions of info record are maintained at Purchasing organization level Vendor Level Plant Level Storage Location Level Company Level Outline Agreements.
Long time agreements between purchasing organisation and vendor Outine agreements Scheduling agreements Purchasing info records Subcontract Contract.
Outling agreement covers Supply of materials subject to a predetermined conditions Total purchase quantity subject to a predetermined conditions Certain total purchase value Provision of services Predetermined period.
The two types of outline agreements are Contracts and Scheduling agreements Contracts and subcontracts Purchase info record and vendor record Scheduling agreements and scheduling lines.
Data in purchase info record comes from Vendor Master Record Material Master Record Purchase Organisation or plant data Info Record of purchase document (Example : Purchase Order and Quotations).
Where do you find the info update indicator in PO Creation Under mateiral type tab in item details Under material tab in item overview Under Organisation data in Header Separate column in item overview.
The info records contain The current price and delivery cost for a particular purchasing organisation (with or without plant reference) Vendor Material Number and source Data Delivery Options (From date or To Date) Last PO No. & Quotation No. if info record was generated automatically from quotation Price Control Indicator and Tolerance limits for over and under deliveries The vendors planned delivery time for material.
List display enables the buyer to find out Vendors quoted material Vendors quoted supply date for the material Vendors who can quote for a material to supply Vendors Location.
Info Record General Data (such as vendor Data , Original Data,Purchase Order Unit (Conversion Data),Administration Data,Text Data (Info Record Memo)) are in Client Level Plant Level Company Code Level Storage Location Level.
Purchase organization data (Control Data like (Delivery time , Minimum quantity),Prices and conditions data like gross price , freight data, statistics data like price history and PO Statistics, Text data like purchase text are in Non Plant Specific Level or purchase organization level Plant Level Company Level Storage Location Level.
Info Record Contain Quotation Data Purchase Order Data Material Data Vendor Specific Data.
If data is available at purchase organisation level then It is applicable for every plant It is applicable for the plant where purchase organisation level exists It is applicable for the client It is applicable for the company code.
If we use GR data pricing date category in info record --> purchasing data then We can determine the prices again when GR happens We dont have to make susequent changes to PO , if PO changes between PO time and PO receipt We dont have to make any changes in PO during GR Changes happens in GR automattically with reference to Info record.
PO data is automatically updated in PO If Info Update indicator is set in PO header If Info Update indicator is set in PO item overview If Info Update indicator is set in PO Material Data of item detail If Info Update indicator is set in Purchase requisition.
Choose the correct statement regarding Price Conditions Conditions are never created with info update Conditions are never updated with info update Conditions are never copied with info update Conditions are never there in info record.
For info record reference to Material master, to be available in PO , choose the correct statement Check NO MAT TEXT IN INFO REC - INFO RECORD PO TEXT - ** Uncheck NO MAT TEXT IN INFO REC - INFO REC PO TEXT and MM PO TEXT - ** Check NO MAT TEXT for each company (required ones) in Purchase organization data of info record. Only MMR PO TEXT will be displayed and printed in Purchase documents. There is no need of checking or uncheking the no mat text indicator.
Choose the correct statement about Buyers Negotiation Sheet Information about Vendor and Material. Summary of important vendor and material data from purchase info record. It contains current price and vendor conditions It contains internal consumption statistics of the material Total value of previous orders of vendor and vendor evaluations.
Types of Info Record Info record with MMR (Example stock material) Info record without MMR (Example Consumable) Info record per material group (ME1W) Info record without material reference (Standard, subcontracting, pipeling ,consignment).
Buyers negotiation sheet can be output in two ways By Material - Conditions and ordering activities of all vendors By Vendor - The order data of all purchase info records for selected vendor for one or more materials By Material Group By Vendor Group.
The quantity and data variance statistics in buyers negotiations sheet are derived from Logistics Information System and not from vendor evaluation Vendors evaluations Purchase info record Material master consumption record.
Regarding the changes in purchase info record which is correct We can make collective changes in Purchase info record. The price change is calculated directly into gross price The price change applies to particular condition type. Of price change only affects the freight costs, for example you can restrict the change to condition type for freight costs. Once purchase info record is changed then associatd PO will be deleted from the system.
Changes to Purchase info record are Gross price change - The price change is directly calculated into gross price Condition type change - The price change only applies to particular condition type. Condition type change - If price change only affects only affects freight change for example then we can restrict the change to the condition type for freight costs. Net price change - The price change is directly calculated into Net price.
There are two types of contract items Plant Specific Contract Items Cross Plant Specific Contract Items or Central Items Company Specific Contract Items Location Specific Contract Items.
Prices negotiated centrally are negotiated in form of Centrally Agreed Contracts Plant Contracts Purchase Contracts Purchase Organization contracts.
Centraly agreed contracts forms the basis for creating Contract Calls Scheduling Agreements Purchase Sales.
A long term agreement with vendor covering materials subject to predetermined conditions (for example validity period and prices and decrease of these prices by a certain percentage every year) Outline agreement Contract Purchase contract Sales Contract.
An outline agreement does not contain data on Specific dates to be delivered Specific quantities to be delivered Specific materials to be delivered Specific location to be delivered.
The data of specific date and specific quantity of outline agreement can transmitted to the vendor in Contract Call Scheduling agreement call Sales Contract Purchase Contract It alll depends on type of Outline agreement.
In contract We create a new Purchase Order in system each time we release goods or services against contract We create a new Purchase Order in system each time we release goods against contract We create a new Purchase Order in system each time we release services against contract We dont have to create a new purchase order since contract itself is a purchase order.
In scheduling agreement there are Contracts Scheduling delivery schedule line to which the required quantities and dates are added Delivery note from the vendor Material documents and Accounts documents.
A contract release order is Purchase Order Scheduling Agreement Contract Sales Order.
There difference between Contracts and Scheduling Agreements We create a a new purchase order after a contract is created where as in scheduling agreement an addition document is created along with contract, i.e. scheduling agreement delivery line to which new quantityes and dates are added. During MRP a new contract is automatically created and then we must create Purchase order ahead where as in the other case scheduling delivery schedules are automatically created thus removing the need of any further processing time in purchasing document Contract concernes the volume of documents Scheduling agreement is concerned with use in automatic materials planning.
Contracts can be created with Reference w/o Reference Plant Specific central contracts.
Contracts are created with reference to Purchase Requisition Outline Agreements RFQ Another Contract.
The item category infuences Document Fields Control Vendor Sub Range Number Range Vendor Selection.
It the contract item is a consumable material item Atleast Accounting Document may already be stored in contract Alternatively we can use account assignment category U(Unknown) Only Material Document is created Only Accounting Document is created Atleast Accounting Document is created.
If we are using an account assignment category in contract release order or purchase order then We can use U as account assignment catagory U means unknown We can use any account assignment category We dont have to use any account assignment category.
It the contract item is a stock material item Atleast Material Document is created Atleast Accounting Document is created Only Material Document is created Only Accounting Document is created.
The data in each contract release order or purchase order PO Number PO date PO Qty PO Value Relevant PO Item The quantity or value already released. Target qty in comparison with open qty Target vaue in comparison with open value.
Over or under deliveries are required in contract release orders or purchase orders release documentation if We change the delivered quantity in customizing transaction OMXX We change the delivered quantity in material document We change the delivered quantity in Accounting document We change the delivered quantity in scheduling document.
Whether the release documentation is updated or not wrt target quantity & value of contract The target value depends on type of agreement used The target value depends on type of outline agreement used The target value depends on type on scheduling agreement used The target value depends on type on contract used.
Types of contract Quantity - - MK Contract Type Value - - WK Contract Type Purchase Sales Distributed Contracts.
In case of plant specific contracts a release order can be create for Plant Company Client Storage Locatioj.
In case of Centrally agreed contracts , we can define release orders in We can store different conditions or partners for individual plants Company Client Storage Location Plant.
If certain plants are not allowd to release contracts against centrally agreed contracts We should block centrally agreed contract as a source list for materials in the plants We should block centrally agreed contract as a source list , in all plants We should block centrally agreed contract as a source list for batches in the plants We should not block centrally agreed contract as a source list , in all plants.
When we receive a warning message - "Account assignment is mandatory for material number. Please Enter an account assignement category" When we create a material centrally in MMR , the sytem checks the settings for value update for the material type of the affected material If the value update is not for our concerned valuation area then this warning message is thrown When we create a material centrally in MMR , the sytem checks the settings for value update for the material type of the affected material. If we do not assign any account assignment then this message is shown when we do not specify the plany in the purchase order this is a simple warning message that happens for all the orders.
A centrally agreed purchase order is created from Plant Client Central purchase organisation Storage Location.
Choose the correct statement wrt centrally agreed contracts It lets us specify separate conditions for each plant It lets us specify separate conditions for each receiving plant It lets us specify separate Materials for each receiving plant It lets us specify Accounting conditions for each receiving plant.
If the vendor master of the purchase organiztion that creats the contract has different purchasing data or partner roles on plants or subrange levels then That data is adopted in contract We can change the data on contract basis We can change the data on vendor basis That data is not adopted in contract.
For consumable materials of low value It is possibe to create a blanket order It is possibe to create a scheduling agreement order It is possibe to create a contract. We can create any type of order for consumable materials.
Contract specific contracts Material Unknown - Item Category M - Similar materials of same price Item category M can be used to set up a contract for various types of paper ,pencils having same weight , quality etc. Material Group - Item Category W - Similar materials groups of different prices Item Category W can be used to create a contract for various types of electrical equipments.
Commitment plan for purchase contracts is set up in Funds Management Contracts Scheduling agreements Purchase orders.
Choose the correct statement regarding contracts Contract create account assignments Scheduling agreements create account assignments Outline agreements create account assignments Contract dont create account assignments.
Evaluations available for contracts are General Evaluations Outline Agreements per vendor Outline Agreements by material Outline Agreements by material group Conditions by group.
Long term arrangement of with a vendor convering supply of materials subject to predetermined conditions Scheduling Agreements Contracts Outline Agreements Agreements.
Schduling agreement are conditions are Valid for a predefined period Valid for a predefined quantity valid for only certain vendors only valid for only certain plants only according to MRP.
Scheduling agreement advantages are:- Reduces processing times and the amount of paperwork within enterprise It can reduce large number of standard PO and Contract release orders Reduces the volume of documents used Long term commitments of vendors enable them to negotiate more favourable conditions wrt prior vendors. Scheduling agreement delivery lines are created automatically and manual proposals are unnecessary.
Scheduliing agreements can be created With reference of an RFQ without reference With reference to other scheduling agreement without reference only with reference to centrally agreed contract.
What categories are available when we create a scheduling agreement? Standard Consignment Subcontracting Third Party Text.
wrt scheduling agreement choose the correct statement Scheduling agreements are always plant specific Item categories M (Material Unknown) and W(Material Group) are not permitted Scheduling agreements are always Client specific For scheduling agreements with item category subcontracting we can specify material components to be provided for each delivery date separately Scheduling agreement items can be created with Material master record or w/o MMR Cost incurred can be distributed through various controlling objects through account asssignment. Account assignment category U is allowed.
If scheduling agreement was created with reference to centrally agreed contract The conditions in scheduling agreement should not be changed since system always refers to current conditions of central contract The conditions in scheduling agreement should be changed or can be changed Price control is set so that conditions are always calculated at the time of GR Price control is automatically set at the time of GR.
Choose the correct statement wrt scheduling agreement and scheduling lines Total qty of material supplied specified in scheduling agreement item can be divided into a series of partial qty's with individual delivery dates in lines of delivery schedule for scheduling agreement. Delivery scheduling lines can be create with or w/o purchase requisitions Delivery scheduling lines can also be generated automatically from MRP Run. We can also issue scheduling agreement releases notifying that vendor that he is to deliver materials on required dates. scheduling agreement can be with / w/o release documentation.
Scheduling agreement can be with / w/o release documentation. This can be determined via Document Type Item Category Account Assignment Vendor Category Contracts.
Prerequisites for generating scheduling agreements automatically through MRP scheduling agreement must be clearly designaged as a source of supply for MRP in source list (MRP Indicator 2) The procurement indicator F to be set in MRP data of MMR at any point in time The procurement indicator F to be set in MRP data of MMR provided we are working with quota arrangement Scheduling agreement scheduling lines must be permitted in MRP run.
Scheduling agreement can be With Release Documentation - document type LPA Without Release Documentation - document type LP MMR Vendor Master Record.
Automatic scheduling lines set up Timeframe for which the scheduling agreement delivery schedule is to be generated Timeframe for which the scheduling date and time for MRP run to generate scheduling run. Vendor Quota arrangement Vendor master record.
In Scheduling agreement without documentation The delivery lines are transmitted to vendor and they are saved in system The system does not document releases that are sent to vendor in detail. Message control facility should be set up in such a way that messages are easily generated on change of delivery schedule stored in program This is suitable when number of schedule lines is low and schedule line date and time is not too far in future. Document type is LP.
Types of scheduling agreement release for schedule agreements with release documentation Forecast (FRC) Delivery Schedules-info to vendor about medium or long term requirements Just In Time (JIT) delivery schedule-info to vendor about short term requirements. LP LPA.
In Scheduling agreement with documentation The delivery lines are not transmitted directly to vendor and they are stored in system since they are for internal information only. A message to vendor informing him or requirements is not sent directly. We need to explicitly activate FRC or JIT schedule. This enables us to trance the time of information sent to vendor. This is suitable when number of schedule lines is low and schedule line date and time is not too far in future. Document type is LPA.
Only forecase delivery schedules can be activated by Not selecting JIT indicator in item details of scheduling agreement Checking JIT indicator in MMR - we can work with JIT and FRC UnChecking JIT indicator in MMR - we can work only with FRC Checking JIT indicator in MMR - we can work only with JIT.
Release creation profule in scheduling agreement determines Frequency of releases against scheduling agreement generated and sent to vendor determines Circumstances under which a scheduling agreement are generated and sent to vendor. Contraols the frequency of scheduling agreement releases helps us define differenet times for FRC and JIT schedules.
The degree to which the delivery schedule lines are binding are defined by Firm Zone Trade Off Zone Safety Zone Redorder Zone.
The point in time from current date to the time when production go ahead ends in which the vendor should delivery material in scheduled quantities as per productio schedule Safe zone production zone trade off zone firm zone.
Point in time from end of current date to end of material go ahead time. This period is less binding than firm zone The material go ahead is basd on delivery time or production time of components that the vendor needs to manufacture the materials. This period is more binding than firm zone There is no difference between trade off zone and firm zone.
The purpose of source determination is To assign a source of supply to a purchase requisition To assign a source of supply to a purchase order To assign a source of supply to a scheduling agreements To assign a source of supply to a contracts.
We can exclude certain people from manually assigning sources of supply using user parameter EFB unchecking the source determination indicator user parameter EVO Release creation indicator.
where do we find souce determinations Planning run Create purchase requisition Assign source of supply to purchase requisition Assign and process purchase requisition Create purchase order , vendor unknown Convert a planned order into purchase requisition.
We manage list of sources for material in particular plant and for particular time periods by Source List defined by a source list record Source determination MMR Vendor Master.
Purpose of source list Defining a source as a fixed source Defining a source in planning run Block a source Supplementation of source determination with quota arrangement scheduled agreement with and without Release documenations.
Data if source list record Validity period Key source data Fixed source Procurement plant Blocked source MRP - finds out whether a source is found. If it is a sheculing agreement then it generates schedule lines directly.
Source list record can be created Manually From within Outline Agreement or info record From a purchase order From a purchase requisition.
Additional source assignment option in the process of automatic source determination Quota Arranagement Vendor Selection Criteria Source Determination Soure list.
Quota Determination fecilitates administration of sources at Plant level Company code level Client Level Storage Location Level.
If valid quota arrangement exists it is taken into account using Source determination Source list Vendor selection Purchase order.
Consieration of business applications for which quota arrangement is used (For Ex. MRP,Purchase Requisitions etc.) Quota Arrangement Usage in MMR If quota aranagement is not set in MMR that means quota arrangement for that material is not active in plant concerned. Quota Arrangement Usage in Purchase info record Quota Arrangement Usage in contracts.
The areas of quota arrangement Purchse Requisitions / Purchase Order Scheduling Agreement Planned Orders / Production Order Materials planning Contracts / Outline Agreement.
The principal field that determines how a material is procured is the Procurement type on the MRP 2 tab page in the standard system. You can specify: In-house (internal) production (E) External procurement (F) No procurement (_) Both procurement types (X).
What do we specify in quota arrangement Procurement Type (Internal or External) Special Procurement Type Vendor or supplying plant Quota to assign to the required source Further details required for individual quota arrangement Material Number Item Category.
We can use special procurement type in In house production Production in other plant Consignment stock transfer subcontracting.
Choose the correct statement about quota arrangement The system calculates the percentage distribution of requirements on the basis of quota and updates the quota allocated quantity The system calculates the percentage distribution of tonnage of materials on the basis of quota and updates the quota allocated quantity The system calculates the rating of materials from vendors on the basis of quality The system determines on the basis of credit score given to the vendors.
The quota rating is calculated as Quota Rating = (Quota Allocated Qty + Quota Base Qty) / Quota Quota Rating = (Quota Allocated Qty - Quota Base Qty) / Quota Quota Rating = (Quota Allocated Qty * Quota Base Qty) / Quota Quota Rating = (Quota Allocated Qty) / Quota.
In Quota Arrangement The system calculates a quota rating for each sources of supply The system calculates a quota allocated quantity for each sources of supply The system calculates a quota for each sources of supply The system calculates a quota base quantity for each sources of supply.
In accordance to quota arrangement indicator The quota allocated quantity in the system is updated automatically The quota rating in the system is updated The quota rating in the system deleted The quota base quantity in the system is updated automatically.
The quota base quantity is used when a new source is included in an already existing quota arrangement To remedy a disproportion between quota and quota allocated quantity To remedy a disproportion between quota and quota rating when a source is excluded in an already existing quota arrangement.
Calculation of quota base quantity Individual Calculation - for selected quota arrangement items Collective Calculation - for all quota arrangement items Group Calculation - for grouped together quota arrangement items No Calculation.
If in calculation of quota, quota rating clashes then Lowest quota is taken Both clashing quota vendors are given equal preference We invite a new vendor and the others are ignored with rejection letters We go as per old plan.
Splitting indivual requirement among various sources in quota arrangement Quota Splitting Quota base Quota allocation.
Splitting requirement is controlled by Lot sizing procedure in MMR Minimum split quantity in quota arrangement header Lot sizing procedure in quota arrangement header Quota Arrangement Details.
Regarding Lot sizing procedure choose the correct statement Maximum PO quantity that may be assigned to a source for each procurement in planning run is max lot size. If requirement exceeds another quota allocation process takes places for residual quantity. Minimum PO quantity that may be assigned to a source for each procurement in planning run is minimum lot size. If requisirement is less than min lot size then min lot size for the source is set for lot. if 1x indicator is set then a planning run will generate procurement proposal for first vendor in the list and once the max proc proposal is reached according to max lot size, it will general procurement proposal for next vedor. It will not generate procurement proposal for first vendor in the list again. If 1x indicator is not set the nthe planning run will generate two procurement proposals with vendor as the source if max lot size is reached.
Max quantity in quota arrangement It is a fundamental other than max and min lot size It is same as max lot size. It acts as a limit value for quota allocated quantity for a source If quota allocated qty >= max qty then quota arrangement is not suggested for that source If quota allocated qty >= max qty then quota arrangement is still suggested for that source.
During MRP run, source determination is carried out in Background MMR Quota Arrangement Source List.
During MRP Run the priorities determined are Quota Arrangement Source List Plant MMR.
During MRP Run , then which source of supply has the highest priority Quota Arrangement Source List Plant MMR.
If there is no quota arrangaement during MRP run what does the system It checks the existing source list for which MRP indicator 1 or 2 If the indicator is set for more than one item then the system takes the first item with an MRP Indicator. If the indicator is set for more than one item then the system takes quota arrangement as the priority If the indicator is set for more than one item then the system takes outline agreement as the priority.
Material determination works on the flow logic check Quota arragement , Source List,Outline Agreement , Info Record If quota arrangement exists for the material then system comes up with quota arrangement with appropriate quota rating In absence of quota arrangement , the system checks for source list entry for material in relevant plant. The source list entry can be an info record or an outline agreement (Contract or scheduling agreement). In absence of quota and source list , the next entry searched for source of supply of materials is outline agreement In absence of quota,source or an outline agreement info record is taken up as a source of supply In absence of quota,source or an outline agreement the system will ask us to enter a source.
If source list has unique source then Source is assigned to purchase requisition Source is assigned to Purchase order Source is assigned to GR Source is assigned to Vendor selection.
Uniqueness of the source is if Fixed Indicator has been set for source in source list Source list contains only one entry The list will be appear from which we will have to select one entry One source is provided.
If outline agrement or info records are marked as fixed source then Outline agreement will have the priority Info record will have the priority The list will be appear from which we will have to select one entry Source list will have a priority.
If several sources are found and non of these are marked as fixed source in source list then A list will be appear from which we will have to select one source A list will be appear from which we will have to select many sources Outline agreement will have the priority Info record will have the priority.
wrt to source determination choose the correct statement If source determination process is already triggered in requisition header a unique agreement item will be assignment directly with only one valid agreement item If source determination process is already triggered in requisition header a unique outline agreement item will be assignment directly directly with only one valid outline agreement item If source determination process is triggered per item , all valid sources that exist in system are offered for selection If source determination process is triggered per item , selected valid sources that exist in system are offered for selection.
Choose the correct statements No condition technique is used for source determination Plants are only found to source of supply if we use stock transfer item category (U) Condition technique is used for source determination Plants are not found to source of supply if we use stock transfer item category (U).
Regular vendor in info record To specify material to be procured client-vide If we do not have anything other than info record in system for a material If we prefer not to create source list to control source determination process If we do not have anything other than info record and outline agreement in system for a material We set it in general data of info record It must be activated for the relevant plant If it is set in info record it is proposed as a unique source Regular vendor is taken into consideration if retail is involved.
Material sources in the system with / w/o MMR is found If there is an outline agreement or info record for relevant material group Material group of outline agreement or info record must be identical to material group of requested material The system also checks whether order units are identical If several outline agreements or info records are found then the system lets us choose a source from a list.
If requirement is notified by phone and buyer wishes to make a purchase w/o knowing the vendor then he can use The buyer can use source determination facility in PO The buyer can create a PO with account assignment category Unknown (U) The buyer can use Source List facility in PO The buyer can use Quota arrangement facility in PO.
In standard SAP System you can call only 1 catalog True False.
Once a vendor is blocked You can Post GR You cant Post GR You can Post IR You cant Post IR.
We can block a source list entry With outline agreement item - you cannot create release order or schedule line on that item With outline agreement item - A blocked source is not suggested during source determination in po or purchase requisition A blocked outline agreement item cannot be used as a source of supply Blocking a source of supply (info record or plant) without outline agreement - Not possible to order or schedule a relevant material from vendor concerned Blocking a source of supply (info record or plant) without outline agreement - During purchase reqisition neither an info record nor outline agreement is proposed for blocked combination of material and vendor. Blocking a source of supply (info record or plant) without outline agreement - An existing quota arrangement is also not taken into consideration.
We can block a Vendor from Vendor Master Material from MMR - material status - client wide or plant specifically Source list entries Outline agreement.
Regarding auto PO generation, the following conditions has to be satisfied The auto PO indicator must be set in plant specific data of MMR The auto PO indicator must be set in Purchasing data of Vendor Master Record It must be possible to determine valid condition for the source assigned for example outline agreement , info record, or last document The auto PO indicator must be set in plant specific data of Purchase order.
Purchase Orders can also be generated automatically for items without MMR Auto PO Indicator in vendor master record A valuation price in purchase requisition item. This valuation price is adopted for PO Auto PO Indicator in Material master record Auto PO Indicator in Info record.
System Messages Warning Message Error Message No Message Success Message.