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A contract is a long-term framework contract between a supplier and a customer for a predefined hardware or service over a specified period of time. There are two types of contracts: supplier selection is an important process in the procurement cycle. Suppliers can be selected through the offer process. After pre-selecting a supplier, an organization enters into an agreement with that particular supplier to deliver certain items under certain conditions. When an agreement is concluded, a formal contract is usually signed with the supplier. A framework contract is therefore a long-term sales contract with a supplier. - Step 4 - Indicate the delivery date and target quantity. Click Save. For the delivery plan, classifications are now maintained.

Use this type of contract if the total quantity to be ordered during the term of the contract is known in advance.

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