Blanket and Frame work PO

Question

Hi,
Can u explain what is blanket and frame work PO  , when we required this type of PO  and how to process it.
regards,
zafar

Answer 1

HI,
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.
Order type FO (framework order)
1. Validity period in header of purchase order (field selection)
2. Item category B (limit)
A.. Limit in the item
B. No material number
C. Account assignment category U (unknown) is allowed
D. No goods receipt or service entry
3. Accounting data for the item suggested in invoices
4. Additional or multiple account assignment possible in invoice verification
5. Check of validity period and limit in invoice verification
To be able to work with validity periods and limits in a purchase order, you must
use document type FO (framework order) and item category B (limit). In the
standard system, document type FO enables you to specify the validity period at
PO header data level and use the item category B for limit items. (Limit items are
sometimes referred to as blanket items.)
Because you can only use a blanket order to procure consumable materials or
services, you must enter an account assignment for PO items with the item
category B. However, you need not specify the precise account assignment at the
time you create the blanket PO. Instead, you can use the account assignment
category U (unknown).
You cannot specify a material number in a PO item with item category B. You
have to describe the materials or services that are to be procured (such as office
materials) using a short text. You also have to specify a material/service group.
Regards,
Pardeep Malik