Service Contracts In Material Management

Explain the service contracts in material management.

If contracts that either contain the material group or the service shown in the purchase requisition exist in the system, the system suggests these contracts as sources of supply.

If a purchase requisition has been assigned to a contract, the system can generate release orders (call-offs) against it.

Note: -

In Customizing for Purchasing, you can define the requirements under which the sources for services are to be determined.

For example, you can specify that a contract is to be suggested as a source if it contains at least one service from the requisition. Alternatively, you can specify that a contract is only to be suggested if it covers all the requested services.

This means that you decide yourself, on the basis of the data situation in your system, whether the system is to suggest as many sources as possible (which may be more or less suitable), from which you then make your choice, or whether the system is to suggest the ideal source only.

If your system only contains a small volume of data, the former approach is recommended. If you have a very well maintained system, you will wish to keep the number of suggested sources down and see only the best possible one.

You can also enter the source for a purchase requisition manually. This function enables you to assign the requisition to a provider from whom you have not previously procured services, for example.

The easy way to get list of contracts which has follow-on service PO:

By ME35K with tick of "List with items" and "BEST" for "Scope of List".

or

Check with ME3N

From dynamic selection option select required sort criteria.

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