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OverviewMaterials Management

Planning

Purchasing

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Topics

Materials Planning

Purchasing

External Services Management

Materials Management

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Materials Planning

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Materials planning

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Reorder Point Procedure

Replenishment

lead time

Stock Lot size

Reorder level

Safety stock

Reorder point Delivery date Time

Materials planning

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Net Requirements Calculation in the Reorder Point Procedure

Reorder level

Purchase order

Fixed planned

orders

Fixed purchase

requisition

Purchase order proposal

to the amount of

the lot size

Warehouse stock

Shortage

Comparison

Materials planning

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Safety Stock and Reorder Level

Materials planning

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Purchasing (External

Procurement)

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Procurement Cycle

Purchasing

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Types of Procurement

External Procurement (Purchasing)

Procurement of raw materials, operating supplies, trading goods/merchandise or

services from an external supplier for the organizational units within a firm that need such

items.

Internal Procurement (In-house Production)

The product is produced in this location. The product is not procured via purchase

requisition or inbound delivery.

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External Procurement for stock

Material

Purchasing

document(s)

Item:

no account

assignment

category

Vendor

Goods

receipt

Goods

issue

Warehouse

Production

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Production

External Procurement for consumption

Material

Purchasingdocument(s)

Item:

with account

assignment

category

Vendor

Goods

receipt

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SR

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Purchasing documents

RFQ

Purchase orderPurch.order

Quotation

Quotation

A

Quotation

B?

Purchase requisition

Purchaserequisition

Release order

Contract

Schedulingagreement

31. 1.

RFQ

?

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Structure of a purchasing document

Item 1

General data

Conditions

Texts

Schedule line

Additionaldata for item 1

Purchaseorder history

.

..

Item 2

.

.

.

Additionaldata for item 2

.

.

.

Purchasingdocument

Document

General data

statistics

Messages

Conditions

Document header

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Purchase requisition

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Purchase requisition

Department

Requisition Requisition

Purchasing

Materials Requirement Planning (MRP)

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Purchase requisition processing

RFQ

?Release

order

o.k.

MRP Direct entry

Purchase requisition

Determine source of supply

Vendor

Release

Allocate and process

Purchase

order

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Purchase Requisition Details

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Request for Quotation and Quotation

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Request for quotation/ quotationRFQ 1

Quotation 1 Quotation 2

Purchaseorder

Rejection

RFQ 2

?

Price comparison list

Vendor 1 Vendor 2

Requirements known.

Procure from whichsource?

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Entering a Quotation

Inquiry 2

?

Vendor 1

Vendor 2

Inquiry 1

?

Item list

1 2

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Processing Quotations: ExampleEnter price and pricing conditions

1

Vendor B

Quotation forRFQ 2Item 10Gross price: 400/tSurcharge: 50%

Vendor C, B

- Rejection-Thank you for youroffer. Unfortunately,we cannot place anorder at this time .....

Vendor A

Quotation forRFQ 1Item 10Gross price: 400/tDiscount: $50

Vendor C

Quotation forRFQ 3Item 10Gross price: 400/tFixed costs: $40

Vendor A

- Order -Mat. Qty Price

Steel 2t 350/t

Create info record or reject quotation3

Steel 2 t

Price

350/t 480/t 520/t 450/t

Quotation 1 Quotation 2 Quotation 3 Mean valuequotation

Compare quotations using price comparison list2

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Purchase Orders

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Processing Purchase Orders

Purchaserequisition

RFQ

??

Referencedocument Contract

Pcs

%

Conditions

SR

Info record

Order history

Purchaseorder

Vendor

One-time vendor

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Purchase Order Details

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Outline Agreements-Contracts

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Contract

Contract

requestReference

RFQ

Reference

contract

Contract

Purchase

requisition

Vendor

Release order

1 2

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Special Stocks and Special Procurements

Consignment

Subcontracting

Stock Transfer with Stock Transport Order

Returnable Transport Packaging

Pipeline handling

Project Stock

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Procurement Via Blanket Orders

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External Services Management

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Planning and PurchasingQ & A