Purchase order placed by a distribution center by adding up the quantities of existing warehouse orders/sales orders (pull method). A collective purchase order is usually placed with an external vendor. The vendor can, however, be a different distribution center.
When a collective purchase order is generated, the system records the planned distribution of the merchandise and uses the information for controlling how the merchandise is distributed at goods receipt.
Example
Two warehouse orders are sent to a distribution center. All items are required on 17.10. of the same year:
Purchase order 1 Item 1: material 1, quantity 100, delivery date 17.10. Item 2: material 2, quantity 200, delivery date 17.10. Purchase order 2 Item 1: material 1, quantity 150, delivery date 17.10. Item 2: material 2, quantity 300, delivery date 17.10.Both materials are procured using a collective purchase order placed with "Extra Inc." The total processing time in the distribution center and the time it takes to be delivered to the store is 2 days. The following collective purchase order is therefore created:
collective purchase order 1 for distribution center 1:
Collective purchase order 1 Item 1: material 1, quantity 250, delivery date 15.10. Item 2: material 2, quantity 500, delivery date 15.10.More terms such as collective purchase order in Dictionary C.
- Manual Cash Amount:
- Help The sum with which an account is debited after entering an outgoing payment collective purchase order definition.
- Manual Customer Touchpoint:
- Help The person or system through which a business partner contacts a company. Examples of customer touchpoints are web shops, call centers or sales representatives collective purchase order explain.
- Manual Color Category:
- Help A reference to a color definition collective purchase order what is.
- Manual CATT Variable:
- Help A variable available locally in a CATT procedure. Values are assigned to CATT variables during a test procedure by the CATT function SETVAR collective purchase order meaning.
- Manual Committed:
- Help the quantity of items that has been reserved for customers and for internal use. The stock reserved for internal use is the quantity of the item that will be used for finished products based on the collective purchase order abbreviation.
