Framework order

[Former Member]

HI,

Could anyone explain about the framework order?

[former_member225662 · Accepted solution]

Hi,

Frame work order you use whene ever there is a work order. For eg one department has done some serivce. I mean carpentary work and vendor will be paid through FO order. Here Account assignmnet K is must. So you have to give G/L account and cost center. In this no GR will be there and directly invoicing will be done. Generally Work flow will be there for approving invoice.When ever you create Invoice, it will go to costy center manager for approval and upon approval from cost center manager, vendor will be paid.

You can also procure indirect material/ capital goods through FO. In that case you will not be giving material number instead you give material text. But here you do GR and then invoice.

FO can also be used for creating POs from project system. In that case instead of cost center and G/L account you will b providing with Netrwork nmber.

Framework order is used in Invoicing Plans which are used for Periodic and Partial settlement.

Go to SPRO - MM - Purchasing - PO - invoing plans.

This concept is used for settling rents and percentage wise payment.

Refer following link for detailed transactions of Framework order.

Regards

KK

[Former Member]

solved.

[former_member581212]

hi,

You can say the blanket po as a frame work order...This is because in it also you use the doc type FO..frame work order activated the fields like value limit...by this you can procure the materials or services for a provided value limit only...

In Blanket PO, we use the combination of doc type FO with the item cat B...

which means that we can procure the services for the value limit given in the PO...

Hope its clear now...

Regards

Priyanka.P

[Former Member]

In general the Blanket POs are used for consumable materials such as Xerorx papers with a short text (does not need to have Master Record) with Item Category ' B' i.e.limit, where in the PO validity period as well as the limits are to be mentioned for the simplicity of procurement.The doc type is 'FO' (Framework Order).

The GR or Service Entry for the PO are not necessary in case of Blanket POs as well as one need not to mention the account assignment category during creation of PO it can be 'U'-unknown & can be changed at the time of IR.