Oracle Retail Knowledge Base

7 Create a Contract

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Converted for search and offline reading. Authoritative source: Oracle. Diagrams and some complex tables are simplified — check the PDF when in doubt.

Note

A Type C contract (No Plan/No Availability) does not require a supplier to provide availability information; therefore, it is possible that an order can be placed that a supplier cannot fulfill.

5. In the Department field, enter, select or search for the department. Only items from this department can be placed on the contract. This field is a required field.

6. In the Terms field, enter, select or search for the contract terms, if you want to change the default value.

7. In the Distributor field, enter the distributor.

8. In the Shipment Method field, select the shipment method, for example, Air.

9. In the Start Date field, enter the contract start date or click the Calendar icon to specify the start date of the contract. This field is a required field.

10. In the End Date field, enter the contract end date or click the Calendar icon to specify the end date of the contract. This field is a required field.

11. In the Contract Currency field, enter, select or search for the currency of the contract, if you want to change the default value. This field is a required field.

12. In the Country of Sourcing field, enter, select or search for the country of sourcing for the contract. This field is a required field.

13. In the Importing Country field, enter, select or search for the importing country of the contract, if you want to change the default value. This field is a required field.

14. Check the EDI check box, to indicate that the contract is transmitted to the supplier via an EDI transaction.

15. Check the Orderable check box, to indicate that orders can be placed against this contract.

16. Check the Manual Approval check box, to indicate that all purchase orders will be created in Worksheet status and must be manually approved.

Note

All required fields are marked with an asterisk. If you do not enter a value for one of the required fields, an error message is shown.

17. After you have entered all the necessary data for the contract, choose one of the following options.

  • Click OK , to create the contract. The Contract page appears in a new tab. For more information about the Contract page, see the Contract section.

  • Click Cancel , to reject all entries and close the Create Contract page.

Contract

The Contract page allows you to create or maintain a contract. You can also add, edit and view the items, cost and distribution details on the contract. Moreover, you can navigate to the Parent/Diff summary screen, where you can view the details of the diffs for an item parent on a

Table 7-1 Contract Header - Fields and Description

FieldsDescription
TypeDisplays the contract type. Possible contract types are:
•
Plan/Availability
•
Plan/No Availability
•
No Plan/No Availability
•
No Plan/Availability
For more information about the different contract types, see the
Contract Overview chapter, section “
Contract Types” section.
This field is a view-only field.
Supplier SiteDisplays the supplier site.
This field is a view-only field.
DepartmentDisplays the department. Only items from this department can be
placed on the contract.
This field is a view-only field.
Country of SourcingDisplays the country of sourcing for the contract.
This field is a view-only field.
Importing CountryDisplays the importing country for the contract.
This field is a view-only field.
Start DateDisplays the contract start date.
You can edit this field, if the contract is still in Worksheet status.
End DateDisplays the contract end date.
You can edit this field, if the contract is still in Worksheet status.
TermsDisplays the contract terms, for example, Net 30 Days.
You can edit this field, if the contract is still in Worksheet status.
DistributorDisplays the distributor for the contract.
You can edit this field, if the contract is still in Worksheet status.
Shipment MethodDisplays the shipment method for the contract.
You can edit this field, if the contract is still in Worksheet status.
EDIIf theEDIcheck box is checked, the data is exchanged electronically.
You can edit this field, if the contract is still in Worksheet status.
OrderableIf theOrderablecheck box is checked, orders can be placed against
this contract.
You can edit this field, if the contract is still in Worksheet status.
Manual ApproveIf theManual Approvecheck box is checked, all purchase orders will
be created in Worksheet status and must be manually approved.
You can edit this field, if the contract is still in Worksheet status.

Totals

The Totals section contains the currency and Recalculation icon in the title bar. Additionally the Totals section displays VAT information such as Markup % Excl. VAT, Retail Incl. VAT, Retail Excl. VAT and Total VAT. Moreover, cost, estimated duty, estimated expenses, landed and outstanding costs are shown. For more information about the displayed VAT information, see Table 7-2.

SCC‘

  • Select Cancel to reject all entries and close the Contract Distribution page.

Distributing Items of a Contract

To distribute the items of a contract, see the Contract Distribution section.

Verifying or Editing the Cost of the Items

Typically the contract cost is negotiated with the supplier. Therefore, the contract cost is lower than the default cost. To edit the cost of the contract item, follow the steps below.

1. In the Contract page, go to the Item section. Choose an item.

2. In the Unit Cost column, verify and/or edit the unit cost as necessary.

3. After you have entered the new unit cost for the item, choose one of the following options.

  • Click Save to save the entered records.

  • Click Save and Close to save the entered records and close the page.

  • Click Cancel to reject all entries and close the page.

Editing Unit Costs of Items on a Contract

Typically contract costs are negotiated with the supplier. Therefore, the contract costs are often lower than the default cost. You can update the unit cost in the Item section in the Contract page. You can either update the unit cost of a single item or for all items shown in the table.

To edit the unit cost of a single item on the contract, see the Editing the Unit Cost of Single Items on a Contract section.

To edit the unit cost for all items displayed in the Item table, see the Mass Update Cost section.

Editing the Unit Cost of Single Items on a Contract

To edit the unit cost of a single item on a contract, follow the steps below.

1. From the Tasks menu, select Orders > Contracts > Manage Contracts . The Contract Search page appears.

2. Enter or select search criteria as desired to make the search more restrictive.

3. Click Search . The contracts that match the search criteria are displayed in the Results section.

4. In the Contract column, click the contract ID link, or mark a record and select Actions >

Edit , or use the Edit icon . The Contract page appears.

5. Go to the Items section and choose an item.

6. In the Unit Cost field enter a new unit cost amount.

7. After you have entered the new unit cost for the item, choose one of the following options.

  • Click Save to save the entered records.

  • Click Save and Close to save the entered records and close the page.

  • Click Cancel to reject all entries and close the page.

Distribute By

The Distribute By section contains options by which you can distribute the items of the contract.

Table 7-4 Distribute By Options

ButtonsDescription
DifferentiatorOpens list with Diff options 1 - 4.
LocationOpens the Distribute By Location page. You can distribute the item by
location.
For more information about this distribution method, see the
Distributing Items by Locationsection.
Only available for Type B contracts.
Ready DateOpens the Distribute By Ready Date page. You can distribute the item
by ready date.
For more information about this distribution method, see the
Distributing Items by Ready Datesection.
Only available for Type A and B contracts.

Item Table

The Item table contains the contract items. By default the table displays the contract item, item description, diff 1-4 description, location, location name and ready date as well as distribution quantity.

Contract Distribution Advanced Filter

The Contract Distribution Filter page allows you to filter the items that appear on the Contract Distribution page. You can then edit or distribute the resulting subset of items.

The Contract Distribution Advanced Filter page consists of the following sections.

  • Add Filter Criteria

  • Filter Criteria table

  • Toolbar

tx)

  • Select the record.

    • Select Actions > Delete or use the Delete icon . You are prompted to delete the record.

    • Confirm with Yes . The record is removed from the Filter Criteria table.

  • d. After you have added all filter criteria, choose one of the following options.

    • Click Apply Filter , to display the results of the filter in the Order Distribution page and close the Contract Distribution Advanced Filter page.

    • Click Cancel , to reject the filter criteria and close the Contract Distribution Advanced Filter page.

    • Click the Reset icon , to reject the filter criteria and stay in the Contract Distribution Advanced Filter page.

7. In the Contract Distribution page, edit the filter results as needed.

  • To clear the filter, select Actions > Clear Filter , or use the Clear Filter icon . All items are displayed in the item table again.

8. Choose one of the following options.

  • Click Save and Close to save your changes and close the Contract Distribution page.

  • Click Cancel to reject your changes and close the Contract Distribution page.

Distributing Items by Location

Note

Since the automatic ordering process does not determine locations for the ordered goods from a Recommended Order Quantity, you must designate the locations for distribution with a Type B contract.

To distribute the items by location, follow the steps below.

  • From the Contract page select More Actions > Distribute . The Contract Distribution page appears. Go to the item table.

  • If you are already in the Contract Distribution page, go to the item table.

1. In the item table select a record.

2. In the Distribute By section, click the Location button. The Distribute by Location page appears.

  • a. In the Location Type field, select the type of location, for example, Store or Warehouse.

  • b. In the Location field, enter, select or search for the location.

  • c. After you have selected the location, choose one of the following options.

    • Click OK to add the current location and close the Add Locations page. The system returns to the Distribute by Location page. The location is shown in the table.

Note

To delete a location from the table in the Distribute By Location page, mark the location. Then select Actions > Delete , or use the Delete icon

to delete the location.

  - Click **OK and Add Another** to add additional locations.

  - Click **Cancel** to reject all entries and close the Add Locations page. The system returns to the Distribute by Location page.

5. In the Distribute by Location page, enter the distribution percentage, quantity or ratio, depending on your distribution method. If you select the following distribution method:

  • Percent: Enter the percentage of the items you want at each location.

  • Quantity : Enter the number of items you want at each location, or the total items you want at each location.

Note

You can distribute by quantity only if you did not enter a quantity in the Contract Distribution page.

  • Ratio: Enter the proportion of items that you want at each location.

Note

You can distribute to a location and enter a quantity distribution or ratio of zero (0).

6. Choose one of the following options.

  • Click OK to save your changes and close the Distribute by Location page. The system returns to the Contract Distribution page. The item table displays the item by location and the corresponding distribution quantity.

  • Click Cancel to reject your entries and close the Distribute by Location page. The system returns to the Order Distribution page.

Distributing Items by Ready Date

To distribute the items by ready date, follow the steps below.

  • Click OK and Add Another to add additional ready dates for the selected item.

  • Click Cancel to reject all entered records and close the Add Distribution by Ready Date page.

Distributing by Diff

The Distribute by Diff page allows you to distribute an item by the differentiator groups attached to the item. The user may use differentiator ranges and ratios while performing the distribution, or perform the process manually. For each selected differentiator, the distribution can be carried out on the basis of quantity, percentage or ratio.

To distribute the items previously added to the contract, by individual diffs, follow the steps below.

  • From the Contract page select More Actions > Distribute . The Contract Distribution page appears. Go to the item table.

  • If you are already in the Contract Distribution page, go to the item table.

1. In the item table, select a record.

2. In the Distribute By section, select a diff from the list. The Differentiator Distribution page appears.

3. The Differentiator Distribution page contains the following sections.

  • Header: The header contains the selected diff group.

  • Diff Range: The Diff Range section contains a subset of diff groups.

  • Diff Ratio: The Diff Ratio section shows the ratio of diff IDs based on the sales history, which is used to assist in the distribution.

4. To limit the available diffs, go to the Diff Range field and enter or select a diff range ID.

5. Click Apply . The Available Differentiator column now only contains diff IDs limited to the chosen range.

Note

To apply multiple diff ranges, choose more than one valid range.

6. In the Available Differentiator area, choose one of the following options.

  • Select a diff and click the right arrow button. The diff is moved to the Diff Ratio section to the Applied Differentiator column.

  • Select all diffs and click the move all right arrow button. All diffs are moved to the Diff Ratio section to the Applied Differentiator column.

Note

To deselect diffs, select the individual diff or all diffs. Then use the left arrow or move all left arrow buttons. The selected diffs move from the Applied Differentiator to the Available Differentiator column.

7. Select one of the following distribution methods.

  • Percent : Enter the percentage of the items you want for each diff.

  • Quantity : Enter the number of items you want for each diff.

Note

You can only distribute by quantity, if you did not enter a quantity in the Order Distribution page.

  • Ratio : Enter the proportion of the items you want for each diff.

Note

You can distribute the diffs and enter a percentage, quantity or ratio of zero (0).

8. After you have selected the diffs and the distribution method, choose one of the following options.

  • Click OK to distribute by the selected diffs and exit the Differentiator Distribution page. The system returns to the Contract Distribution page. The individual diff distributions are shown in the table.

  • Click Cancel to reject all entries and close the Differentiator page. The system returns to the Contract Distribution page.

Review and Approve a Contract

Recalculating and Completing the Contract

To recalculate the costs of the contract follow the steps below.

1. In the Contract page, go to the Totals section.

2. Use the Recalculate icon to update the costs and retail value.

3. Review the entered data and choose one of the following options to complete the contract:

  • Click Save to save the entered records.

  • Click Save and Close to save the entered records and close the page.

  • Click Cancel to reject all entries and close the page.

Parent/Diff Summary

The Parent/Diff Summary page allows you to view the parent/diff summary of the diffs for an item parent on a contract. You can view the quantity contracted, quantity ordered, quantity received, and the ready date by diff value.

The Parent/Diff Summary page consists of the following sections:

  • Parent/Diff Summary Header

  • View By

  • Parent/Diff Summary Table

Viewing a Parent/Diff Summary

To view the parent/diff summary of a contract follow the steps below.

1. From the Tasks menu, select Orders > Contracts > Manage Contracts . The Contract Search page appears.

2. Enter or select search criteria as desired to make the search more restrictive.

3. Click Search . The contracts that match the search criteria are displayed in the Results section.

4. In the Contract column, click the contract number link, or mark a record and select Actions

  • Edit , or use the Edit icon . The Contract page appears.

5. In the Toolbar select the More Action > Parent/Diff Summary . The Parent Diff/Summary page appears.

6. The page displays the contract ID, the supplier site and the department in the Header section.

7. In the View By section select the differentiator 1, 2, 3 or 4.

Note

Diff 1 is selected by default. If you selected Diff 2, the content of the summary table is refreshed to display details corresponding to differentiator 2.

8. The items are displayed in the Parent/Diff Summary table in the lower section of the page. The table contains the following information.

  • Parent Item

  • Description

  • Differentiator

  • Differentiator Description

  • Contracted, ordered and received Quantity

  • Ready Date

Note

Use the header row of the Parent/Diff Summary table to further narrow down the displayed records. Enter a value in the corresponding column. To clear the filter,

click the Clear All icon

.

9. To exit the Parent Diff /Summary page press Done .

Dates

The Dates page displays the following dates:

  • Raised - shows the date, the contract was issued
StatusDefinition
WorksheetThe contract is newly created or manually placed in Worksheet status. The
contract can be edited in this status.
SubmittedThe contract has been completed and is pending review.
Once the contract is submitted it cannot be edited.
ApprovedThe contract has been reviewed and has been approved.
Once approved, POs can be written against the contract. If no orders have
been written against the contract, the contract can be changed to
Worksheet status, if any further changes are required.
CanceledThe contract has been manually closed and is no longer valid.
A cancelled contract can be reinstated for re-use.
CompletedThe contract is complete.
ReviewedThe contract has been reviewed, but not completed.
All contract types can be set to status Review after a specified period of
inactivity.
Type C and D contracts will also be set to status Review, if the contract has
an open commitment and is past its end date.
When in status Reviewed, orders can be called off the contract and
retailers can choose to extend the end date or renew the supplier
agreement.

  • Submitting a Contract for Approval

  • Approving a Contract

  • Complete a Contract

  • Cancel a Contract

  • Reinstate a Cancelled Contract

  • Unapprove a Contract

Submitting a Contract for Approval

To submit a contract for approval follow the steps below.

1. From the Tasks menu, select Orders > Contracts > Manage Contracts . The Contract Search page appears.

2. Restrict your search to contracts in Worksheet status.

3. Click Search . The contracts in Worksheet status are displayed in the Results section.

4. In the Contract column, click the contract number link, or mark a record and select Actions

  • Edit , or use the Edit icon . The Contract page appears.

5. In the Toolbar select Approve > Submit .

6. When prompted to submit the contract, choose one of the following options.

  • Click Yes to submit the contract and close the prompt. The system returns to the Contract page. The status of the contract is changed to Submitted.

  • Click No to end the process and close the prompt. The system returns to the Contract page. The status of the contract did not change.

7. To end the submit process, choose one of the following options.

  • Select Save to save your changes.

  • Select Save and Close to save your changes and close the page.

  • Select Cancel to reject your changes and close page.

Approving a Contract

To approve a contract follow the steps below.

1. From the Tasks menu, select Orders > Contracts >Manage Contracts . The Contract Search page appears.

2. Restrict your search to contracts in Submitted status.

3. Click Search . The contracts in Submitted status are displayed in the Results section.

4. In the Contract column, click the contract number link, or mark a record and select Actions

> Edit , or use the Edit icon . The Contract page appears.

5. In the Toolbar select the Approve button.

6. When prompted to approve the contract, choose one of the following options.

  • Click Yes to approve the contract and close the prompt. The system returns to the Contract page. The status of the contract is changed to Approved.

  • Click No to end the process and close the prompt. The system returns to the Contract page. The status of the contract did not change.

7. To end the approval process, choose one of the following options.

  • Select Save to save your changes.

  • Select Save and Close to save your changes and close page.

  • Select Cancel to reject your changes and close the page.

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