Planned Purchase Order

Planned PO

For Planned PO first we’ll create a PO with type as Planned Purchase Order, then we’ll create a releases against it. Navigate to Purchase Orders > Purchase Orders & give details as shown below

Note that the price of Item did not changed based upon the quantity ordered

Click on Shipments tab & give any one of Promised Date or Need-By Date

Now click on Terms Tab & give details as shown below

Note that Amount Limit has to be greater than or equal to Amount Agreed. But in our PO form there is no field as amount agreed. So this point is not valid over here.

Now Approve the PO.

Next step is to create releases.

In order for a release to be approved following conditions should be fulfilled

1.)   The sum total of all the release quantity should not be greater than ordered quantity

2.)   Sum total of release amount should be less than agreement amount limit.

3.)   Each release amount should be greater than minimum release amount at line level & also header level

4.)   We can create PO only within effective dates of planned PO

In order to create releases, Navigate to Purchase Orders > Releases & give details as shown below

Save the record & approve it

These details can be checked in PO in Agreement Tab

Now if we want to overwrite the price while creating Releases, we can go to Price Reference tab of PO & check Allow Price override checkbox

The item cost can be modified only till the value we give in Price limit field of PO.

Create another Release to check this. Give details as shown below

Save & approve the record