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Former Member

Advantages of GOA

Hi All,

What are the advantages of using Global Outline Agreements in SRM.

As per my knowledge

1. We can distribute to multiple backend system, but my client have only one backend.

2. We can create backed contracts and SA using GOA from Bidding.

Are there any other advantages?

When we create contracts in Backend, info record will be created automatically, is it possible with GOA? or have to do manually?

Please let me know what are the advantages and disadvantages using GOA in backend system.

Thanks,

Ravi

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2 Answers

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    Former Member
    Jul 24, 2008 at 06:23 AM

    Hi,

    GOA Global outline agreement is advantageous when you have Multiple Back ends, Multiple Purchasing Organizations,Multiple Locations/Plants.

    As you have stated it is quite right that GOA is created in the SRM and transmitted automatically into the R3 systems with various Release authorized Porgs of the Back end systems,where the Contracts/Scheduling agreements are created by Idocs.

    Another advantage of GOA is that you can continously monitor the Call off Orders by Release Values which get updated in the GOA.

    You can also lock the Goa and go for renegotiation with existing and fresh bidders to derive advantages of discounts due to changed conditions.

    To sum up, in short this Business scenario would be quite advantageous for Direct Materials (Core for the final product) and you wish to only operate upon the Contracts which are formulated globally i.e at the enterprise level.

    Thanks & Regards,

    Nagarajan

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    Former Member
    Jul 24, 2008 at 11:54 AM

    Hi Ravi,

    You are right for the point 1: We can distribute to multiple backend system

    The key advantage of a GOA is that you can use the negotiation/renewal process and update the same ERP contract again after it has expired. Also SRM workflow additionally offers an approval functionalty which comes very handy when you have contracts with High Value.

    Regarding the last part of updating the Info record from GOA, it is possible.

    Hope this was useful

    Regards

    Sumat

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