Scheduling Agreements in Procurement

The use of scheduling agreements can shorten processing times and reduce the amount of paperwork you are faced with. One delivery schedule can replace many discrete purchase orders or contract release orders.

Delivery of the total quantity of materials specified in a scheduling agreement item is spread over a certain period in a delivery schedule, consisting of lines indicating the individual quantities with their corresponding planned delivery dates.

Inventories can be reduced to a minimum. You can perform your manufacturing operations on the Just-in-Time (JIT) principle.

Your suppliers require shorter lead times. Smaller deliveries are required, which can be spaced out over a longer period. Delivery scheduling enables suppliers to plan and allocate their resources more efficiently.

Key Process Steps Covered

  • Create or change scheduling agreement
  • Maintain delivery schedule
  • Maintain quota arrangement
  • Release scheduling agreement
  • Post goods receipt
  • Create supplier invoice

Benefits

  • Use scheduling agreements to reduce processing times and the amount of paperwork within your enterprise
  • Use scheduling agreements to replace many standard purchase orders or contract release orders
  • Generate fewer manual FI postings. Periodic invoicing generates and releases the supplier invoices