Blanket orders can be used when a periodic purchase is made for the same material or service. This may include contracts with a vendor or be utilized for convenience in creating a purchase order. The period can be specified as monthly or by a specific number of days. Blanket orders can be limited by total line quantity, line dollars, the ending date for the entire order, or they can have no limits.
* You can enter any limits such as quantities, dollars, dates or special terms for the order in the purchase order comments. These will print under SPECIAL INSTRUCTIONS on the standard purchase order.
* Blanket orders cannot be entered for vendors assigned a currency other than the local currency in program VEMM, Vendor Master Maintenance.
The blanket order uses the same maintenance and print facilities as a regular purchase order. The blanket order is created in program POEM, PO Entry/Maintenance, by specifying the order as a blanket order using the Status pop-list. After identifying the order as a blanket order, the effective from date and the frequency type must be specified. Periodic orders must have the period defined in calendar days.
The blanket line items should be created reflecting the item and quantity for each release. Essentially, the blanket order is copied to generate a release. A new purchase order is generated and that order can be treated like any other purchase order. The release will reflect the blanket order number in the blanket purchase order number field. Blanket orders can be modified and those modifications will appear in all future releases made after the modification.
Releases are created by program POBR, Blanket Purchase Order Release. The next release due, based on parameters specified in program POBR, Blanket Purchase Order Release, will be created when the program is run. When a release is generated, the accumulated quantity and dollars for each line is updated.
Blanket orders and blanket order releases can be printed. Releases are printed with program POP3, PO Print - Blanket Order Releases. Blanket orders are printed with program POPR, P.O. Print - Standard and Blanket. Blanket orders print with Blanket Purchase Order as the header.
Releases for blanket orders print with SHIPPING RELEASE AGAINST BLANKET ORDER ##### as the header. The order also prints the status of the previous releases for this blanket order and any authorization for raw material purchased or planned quantities.
Blanket orders are considered by the planning system. Material requirements planning and master production scheduling understand what blanket orders are and show projected releases as non-firm purchase orders through the end of the planning period. The scheduling authorization process does not write requisitions for those items. All programs interface effectively with blanket orders.