Frame Orders or Frame Contracts

[Former Member]

Hi

Has anyone ever come across these terms and documents.

Also is there a report to evaluate contracts or must it be done through Vendor Evaluation.

Any information is most welcome

Vishnu

[Former Member]

1) IS FRAMEWORK ORDER AND BLANKET ORDER BOTH ARE SAME OR IS THEIR ANY DIFFERENCE.

Framework Order(FO) is the document type used for blanket purchase order.

The use of blanket purchase orders enables you to procure a variety of consumable materials or services from a vendor up to a predefined value limit.

Most companies have recurring requirements for minor items (such as office supplies, screws, small parts, cleaning work or other routine services) during the course of the year. Issuing a series of individual (discrete) orders of low value (perhaps with voluminous specifications) for such items, and then recording in detail the work done or goods delivered against the order, is frequently considered uneconomical.

Blanket purchase orders enable you to procure low-value items quickly, easily, and efficiently.

The steps for creating such orders are:

You create a blanket PO for the desired validity period.

The PO need not contain any specifications.

You set a value limit.

It is not necessary to record and accept services performed against the order.

During the validity period of the purchase order, incoming invoices are posted directly with reference to the PO, provided that the value limit is not exceeded.

I hope you have got some idea about FO orders now.

u ca use ME2N for the avuluation purpose

[Former Member]

Hi,

Do you mean Framework orders?

These are effectively "blanket" orders where you don't specify a qty, you just specify a target value limit and a date range. No GRs are used and invoices will clear in MIRO as long as they do not push the total value invoiced above the target and as long as they are within the date range on the FO order.

Steve B