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/FRE/CON_001 - Define Contracts

/FRE/CON_001 - Define Contracts

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You can use Contract Customizing in SAP Forecasting and Replenishment (SAP F&R) to define the following settings:

  • Contract Determination Type
This setting controls how contracts are determined by the contract determination service that is called whenever an order proposal item is created. Order proposal items are created either by the automatic replenishment process or manually by a user in the Replenishment Workbench (RWB) or in the Product Workbench (PWB).

The valid contract determination types are:
  • No Contract Determination:

No contract determination is carried out at all. If any contract data exists in SAP F&R, the system will ignore it. This is the default setting.
  • Existence Determination:

If at least one potentially valid contract for the location product of the order proposal item exists, a contract existence indicator is set on the order proposal item level. (A contract for a location product is potentially valid if the contract determination date is earlier than the end of the contract's validity period.)
  • Number Determination:

If least one valid contract for the location product of the order proposal item exists, the contract number is recorded on the order proposal item level and the contract existence flag is set on that same level. If multiple valid contracts exist for a location product, the system will select and assign only one contract number. (A contract for a product is valid if the contract determination date lies between the start and end of the contract's validity period.)
  • Manually Changeable Contract Assignment
In Customizing for contract changes, you define whether or not manual changes to the contract number on the order proposal item level is allowed in the RWB and PWB.
There are two Customizing options:
  • Changeable

Any potentially valid contract number can be assigned to the order proposal item and saved. Also, you can delete a contract number that has been assigned automatically by the contract determination service or that has been assigned manually by another user.
  • Cannot be Changed

You cannot make any changes to the contract number field on the order proposal item level in either the RWB or PWB.
  • Follow-Up Time for Contract Data Reorganization in SAP F&R
You can define a follow-up time in days. When the system generates the worklist for deletion of contract data, the reorganization report adds this number of days to the contract expiration date. This means that contracts can be retained in the system past their operational expiration date.
  • Consider Target Quantity of Contracts
If you set this Customizing indicator, then whenever quantity contracts (that is, contracts with a defined target quantity) are defined in SAP F&R, the contract determination service checks the order quantity of an order proposal item against the open target quantity for those contracts of the location product where overbooking of the target quantity is not allowed (this is defined for each individual contract). If overbooking is not allowed and the target quantity would be exceeded, the contract determination service ignores the contract.
  • If number determination applies, the system checks whether the order quantity of the item plus the contract quantity already released for the location product is less than or equal to the target quantity of the contract.

  • If existence determination applies, the system does not check the exact order quantity against the open quantity; it only checks whether an open contract quantity greater than zero exists.

  • Consider Target Value of Contract
If you set this Customizing indicator, then whenever value contracts (that is, contracts with a defined target value) are defined in SAP F&R, the contract determination service checks the value of the order quantity of an order proposal item against the open target value for those contracts of the location product where overbooking of the target value is not allowed (this is defined for each single contract). If overbooking is not allowed and the target value would be exceeded, the contract determination service ignores the contract.
  • If number determination applies, the system checks whether the value of the order quantity of the item plus the contract value already released for the location product is less than or equal to the target value.

  • If existence determination applies, the system does not check the exact value of the order quantity against the open value; the system only checks whether an open contract value greater than zero exists.







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