A Contracts is a type of procurement plan by which the release orders (releases) can be issued for materials or services agreed as necessary for a certain period overall.
The contracts are of two types:
1. Quantity Contracts – Use this type of contract if the total quantity to be ordered during the period of validity of the contract is known in advance.
2. Value Contracts – Use this type of contract, if the total value of all release orders issued against the contract shall not exceed a certain predefined value.
But Scheduling agreement is a form of procurement plan under which the materials are purchased on dates within a certain time.
The Following are the procurement types:
- Stock Transfer