PO for consumables items

Question

Hello all,
If I m in need of purchasing lot of consumable items in one lot and several times a month and thier prices in range of 3 to 200 rs, & if I don want 2 make PO again and again, is CONTRACT (ME31K), the solution for the above or shud I make some other arrangment? Also vendor changes sometimes.
Thanks
Edited by: sapsarang on Sep 8, 2009 8:04 AM

Answer 1

Hi Sarang ,
When creating a blanket PO, the document type FO should be used since this document type causes the header fields Validity From and Validity End to become mandatory entry fields.
The item category B must be entered in the PO item overview. The entry of this item category causes the Limit tab page to appear on the item detail screen. There, an overall limit and an expected value can be well maintained.
Blanket Purchase Orders (BPOs) will be used to purchase items that will be purchased on a repetitive basis over an extended time period u2013 usually up to a year or longer. There are two type of Blanket Purchase Order that can be utilized:
When creating a Blanket PO ( Document Type FO ) you need not enter the Order qty nor the net price. As sson as expected value is specified ( Under Item details - Limit Tab )  during creation of blanket po , it is automatically adopted as net price.
The main advantage of using blanket POs is thus the associated reduction in order processing costs. Transaction costs are lower with blanket POs because:
The blanket PO is valid for a longer period.
There is no goods receipt or service entry.
It is not necessary to create PO items for individual procurement transactions
Regards
Ramesh Ch