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Optimized Purchasing

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Ajinkya Gaikwad
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20 views8 pages

Optimized Purchasing

Uploaded by

Ajinkya Gaikwad
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd
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Optimized Purchasing –

This is automatic Purchase order creation. Mostly uses for MRP, Third party Purchase and businesses where quantum of
PO’s are more.
Pre-requisites for Auto PO –
1. Auto PO checkbox must be ticked/selected for Material master / vendor master.
Material master -> purchasing view
Vendor Master -> Purchasing data
2. Source list check box must be ticked/selected for material master.
Material master -> purchasing view

3. Source list must be maintained for material and plant with one fix vendor.
4. Info record must be maintained
Process –
1. Create PR – ME51N
Source determination check box must be selected at header data.
System pool source of supply based on this selection. Item details -> Source of supply
2. Me59N –
Execute transaction for auto Purchase order with reference to Purchase requisition.

3. Auto PO created -
PO details -

Source List –
Quota arrangement –
Transaction code – MEQ1
Quota
Number specifying which portion of a requirement is to be procured from a given source of supply.
Use
If a certain material is to be procured alternately from different vendors, you can create a quota arrangement
item for each vendor and assign a quota to each such item. The system then selects the effective source of
supply at any given time by means of the following formula:
quota rating = quota base quantity + quota-allocated quantity
----------------------------------------------
quota
This quota rating is calculated for all sources of supply included in the quota arrangement. The source then
selected is the one with the lowest rating.
Dependencies
Which vendor or item of an outline purchase agreement is valid at a certain point in time is determined via the
source list.
Procedure
Enter the portion of the material requirement that is to be procured from the source. The value is automatically
converted into a percentage.
If the quota is to be temporarily excluded from the quota arrangement, you can set the quota to '_'.

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