Exercise - Set up purchase trade agreements

  • 15 minutes

These exercises use the USMF company in the standard demo data.

Scenario

The system needs to be set up to handle purchase trade agreements.

Prepare Supply Chain Management to evaluate purchase trade agreements during master planning

To prepare Supply Chain Management to evaluate purchase trade agreements during master planning, follow these steps:

  1. Go to Master planning > Setup > Master planning parameters.
  2. On the Planned orders tab, in the Vendor group, set the following values:
    • Find trade agreement – Set this option to Yes to include purchase trade agreements in master planning.
    • Search criterion – Select Lowest unit price.
  3. Go to Procurement and sourcing > Setup > Prices and discounts > Activate price/discount, and then make sure that the Vendor option is set to Yes.

Prepare a released product to evaluate purchase trade agreements during master planning

To prepare a released product to evaluate purchase trade agreements during master planning, follow these steps:

  1. Go to Product information management > Products > Released products, and then open product number D0001.
  2. On the Purchase FastTab, make sure that no vendor is assigned in the Vendor field.
  3. On the Action Pane, on the Plan tab, in the Coverage group, select Item coverage to open the Item coverage page for the selected product.
  4. Verify the following settings:
    • On the General tab, clear the option for Use Specific Settings to have master planning use purchase trade agreements to select a vendor.
    • On the Lead time tab, clear all check boxes for Purchase, Production, and Transfer, which allows master planning to use purchase trade agreements to select lead times.
  5. Close the Item coverage page to return to the Details page for the selected product.
  6. On the Action Pane, on the Plan tab, in the Forecast group, select Supply forecast to open the Supply forecast page. Make sure that none of the rows that are shown have a value in the Vendor account column.
  7. Close the Supply forecast page to return to the Details page for the selected product.
  8. On the Action Pane, on the Purchase tab, in the Trade agreements group, select View trade agreements. You might not see trade agreements listed.
  9. In the bottom pane, the Disregard lead time option is set to No because this option must be set for master planning to use the lead time in the agreement.
  10. Close the page.
  11. On the Action Pane, on the Plan tab, in the Order settings group, select Default order settings to open the Default order settings page for the product.
  12. On the Purchase order FastTab, view the value of the Purchase lead time field. If no item coverage lead-time override is defined, master planning uses this value when it selects trade agreements where the Disregard lead time option is set to Yes.