Skip to Content
author's profile photo Former Member
1
Former Member

Blanket Purchase Order and the Framework Order

Posted on Mar 15, 2010 at 09:17 AM 3.8k Views

hi Gurus,

I wanted to know the following.

What is the difference between Blanket Purchase Order and the Framework Order.

Thanks.

Add a comment
10|10000 characters needed characters exceeded

Assigned Tags

Related questions

2 Answers

  • Best Answer
    author's profile photo Former Member
    Former Member
    Posted on Mar 15, 2010 at 11:10 AM
    3

    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.

    Add a comment
    10|10000 characters needed characters exceeded

  • author's profile photo Kishore Kumar Galla
    Kishore Kumar Galla
    Posted on Mar 15, 2010 at 09:27 AM
    2

    Hi,

    Framework order is also known as Blanket PO.....which we use for the procurement of Low value Material with Long term planning....It is used as Mini Contract....

    Blanket Order:

    Used for long validity period and with the provided value limit. By its name u201Cblanketu201D which covers to required long time? We use doc type FO(for long period) and item cat. B(for value limit).Goods receipts or the entry and acceptance of services performed are not necessary in the case of a blanket PO and limit items. The invoices are posted directly with reference to the purchase order, provided that the specified value limit is not exceeded. But manual entry of invoiced amount and invoiced quantity is required during LIV process.

    Example: Procurement of stationary items.

    Frame work order:

    Framework order (FO) is a document type which is provided by the standerd SAP.

    It can be used for the consumable material ( Which is having low value & where making GR is not of worth like C category item.) & called as blanket PO. Here we need to mntion the validity period & target value or quantity as a restriction as well as need to mention item category as a "b".

    Also it can be used for the procurement of extarnal services (Item category "D" ). Here we need to do the entry of services which have been performed & need to accept the same whereas in blanket PO, GR is not required.

    At the end i would tel u that Framework order is the document type which can be used as blanket Po & procurement of services.

    Regards

    KK

    Add a comment
    10|10000 characters needed characters exceeded

    • Former Member
      Dec 14, 2014 at 05:22 PM

      Hi Kishore Galla,

      You have given a good explanation on this topic.

      Thanks for doing that.

      I understand that now -- there are two types of Framework Order --

      1) Blanket "Framework Order" -- Item category B -- GR not required

      2) Service "Framework Order" -- Item category D -- Service entry sheet required and then invoice.

      Thanks once again Kishore !!

      Regards

      Maruthi Ram G.

Before answering

You should only submit an answer when you are proposing a solution to the poster's problem. If you want the poster to clarify the question or provide more information, please leave a comment instead, requesting additional details. When answering, please include specifics, such as step-by-step instructions, context for the solution, and links to useful resources. Also, please make sure that you answer complies with our Rules of Engagement.
You must be Logged in to submit an answer.

Up to 10 attachments (including images) can be used with a maximum of 1.0 MB each and 10.5 MB total.