A blanket sales order arises from a contract drawn up with a customer to typically supply a large quantity of one or more items at specified intervals over a long period (usually a year). The contract stipulates the items required, the price, quantity and delivery requirements for each item. Your customer also provides you with a purchase order covering the period of the contract.
The Blanket Sales Order module enables you to process and track such sales contracts.
Blanket sales orders are typically used in the manufacturing industry between Original Equipment Manufacturers (OEMs) and their customers.
OEMs benefit from these guaranteed orders by enabling them to plan their production and delivery schedules as well as allocate the required resources to meet customer demand. They can also negotiate better prices with their suppliers by placing blanket purchase orders.
Customers benefit by not having to place frequent purchase orders or hold large amounts of stock. They can also negotiate pricing discounts with the OEMs.
Within SYSPRO, the contract details are captured and a single scheduled sales order is created. The information on the release request (delivery schedule) received from the customer is entered into the system. When the release is accepted (confirmed), the lines are added to the scheduled sales order. The Sales Order module is used to generate the delivery notes or dispatch notes and to invoice the customer.
The Blanket Sales Order module keeps an audit trail of deliveries made to and accepted by the customer. In addition, the system tracks the cumulative totals of deliveries, enabling you to compare these to the contract totals and to resolve disputes over quantities supplied to date.
The sales order is updated automatically to reflect new accepted releases (delivery schedules) from the customer and a paper and/or EDI advice of the acceptance can be sent to the customer.
Queries and reports are also provided.
This task outlines the procedures you typically follow to set up your system to cater for Blanket Sales Orders before you begin processing these orders.
Some of these steps are optional and depend on how you intend implementing this module.
Use the Customers program to take on the details of your blanket sales order customers.
Ensure that you select the following options for these customers:
Contract pricing (Customer Details)
A contract price must exist between you and the customer.
Stock code interchange required (General Details)
Customer/stock code cross-ref. required (General Details)
You can define a Default order type against the customer to distinguish between blanket sales orders and normal sales orders (Customer Details).
If you intend importing releases for the customer, then:
select the option: EDI trading partner (Contact Details)
indicate the EDI sender code (Contact Details). This field is validated when you import releases.
If you intend using buying groups, then link the customer to the appropriate buying group or groups (Customer Details).
You first need to use the Buying Groups program to define your buying groups.
Buying groups enable you to classify a number of contract customers into a common group for use within the Contract Pricing programs.
Use the Customer Stock Codes program to create the links between your customers' stock codes and valid SYSPRO stock codes.
This is required even if the customer's stock code is the same as the SYSPRO stock code.
Use the SO Contract Price Maintenance by Customer program to define the contract prices for your customers.
Use the Buying Groups program to define your buying groups.
This is required if you want to be able to add contracts for buying groups.
A buying group is a pre-defined group of customers.
Use the SO Contract Price Maintenance by Buying Group program to define the contract prices for your buying groups.
This is required if you want use buying groups.
Set the option: Days to allocate scheduled orders to at least 999 (Sales Orders Setup). This setting depends on the length of your contracts.
The Blanket Sales Order module uses scheduled orders and this is the number of days within which stock for a given order line must be allocated for scheduled orders.
From the Dispatch Notes Setup program, enable the option: Use dispatch note to confirm delivery.
This is required if you are using dispatch notes and want to use the dispatch note number to confirm the next invoice/dispatch. Enabling this option sets the Use dispatch note to confirm delivery option to selected by default in the Contract Maintenance program.
This task describes the typical sequence of events for processing Blanket Sales Orders in SYSPRO.
Due to the flexibility of the system, it is not possible to prescribe a formal sequence of operations. These steps are therefore provided to assist you in performing the necessary tasks.
Use the Contract Maintenance program to record the basic agreement details between you and a customer.
When you save the contract details, the sales order header for the contract is created. The order is created in a status of Suspense and has no detail lines at this stage.
Use the Release Maintenance program to enter the release details for the contract. These are the release details on the release schedule supplied by the customer.
This needs to be done each time the customer sends you a new release schedule (delivery schedule). Your customer is typically a manufacturer who, because of production issues, is forced to revise the original release schedule sent to you.
Alternatively, you can use the Blanket Sales Order Releases Import program from within the Business-to-Business Trading module to import releases into the system.
Use the Release Review & Confirmation program to review the releases to ensure that they are correct.
Use the Review option to load the Blanket SO Review & Confirmation program to accept the requested quantities on the release schedule.
Check any warnings that are displayed and take appropriate action as required.
For the first release schedule received, when you Post the accepted quantities, the Sales Order lines are created on the scheduled sales order. The Accepted quantities become the Ordered quantities on the sales order. The status of the sales order is set to 2 - Open back order.
For subsequent release schedules entered into the system, the sales order lines are updated with the new accepted quantities. The new accepted quantities now become the new ordered quantities on the sales order.
Use the Sales Order Entry program to maintain the scheduled order, ship the order quantities and generate the required documentation, such as delivery notes and invoices.
Enter the delivery details in the Blanket Sales Order module. This can be done in one of two ways:
Using the Release Maintenance program. In this case, you will update the delivery by entering the Invoice or Dispatch note number while also entering the details of the new release schedule given to you by the customer.
Using the Deliveries Maintenance program.
Optionally use the Release Acknowledgement Report to view details of the confirmed release lines. This report can also be sent to the customer.
Use the Purge Expired Releases program to remove release information for releases which have passed the expiry date.
Use the Purge Confirmed Releases program to remove from the system any releases which have been confirmed.
Steps 2 to 5 are repeated for each new release schedule received from the customer.