Creating manual contracts
When you create a manual contract, you
can define contract information without using the interview process. Articles and terms
are not required.
- Select Contract Manager > Manage Contracts.
- Click Create.
-
Specify this information:
- Contract Group
- Select a contract group to be assigned to the contract.
- Contract
- Specify a name or short description for the contract.
- Supplier
- Select a supplier to assign to the contract.
- Supplier Contact
- Select a supplier contact for the contract.
- Description
- Provide a description of the contract.
- Contract Type
- Select a contract type to assign to the contract.
- Contract Subtype
- Optionally, select a contract subtype.
- Contract Classification
- Select a contract classification to assign to the contract.
- Contract Subclassification
- If a subclassification is attached to the classification, the rules that are defined in the contract subclassification take precedence.
- Effective Date
- Select the date on which the contract becomes effective. To release the manually created contract, you must select an effective date in this field.
- Expiration Date
- Select the date on which the contract
expires.
The contract is still displayed in the Active tab and the All Contracts tab.
- Review Date
- Select the date on which to review the contract to determine whether to initiate further negotiations.
- Primary Internal Contact
- Select the person responsible for the contract. This field is required before the contract can be released.
- Manufacturer Contract
- Select this check box to identify the contract as a manufacturer contract.
- Distributor Contract
- Select this check box to identify the contract as a distributor contract.
- GPO Negotiated
- Select this check box if the contract was provided by a GPO.
- Eligible for Event Creation
- Select this check box to indicate when active Contract lines can be selected for Strategic Sourcing Events.
- Renewal Contract
- Select this check box if the contract is eligible for cost defaulting when the contract is released. Otherwise it is eligible when it is activated.
- Supplier Originated Contract
- Select this check box if this a supplier-initiated contract.
- Contract to Have Subcontractors
- Select this check box to add subcontractors to the contract.
- Document Template
- Select a document template. The template that you select is used as the basis for the full contract document.
- Currency Code
- Select a currency code to assign to the contract.
- Commodity Code
- Select a commodity code for the contract.
- Yellow Alert
- Specify the number of days before the
contract expiration date to issue an alert.
When you view the list of In Process contracts, the yellow alert indicates the number of days remaining to expiration. You are prompted if an action is required.
- Red Alert
- Specify the number of days before the
contract expiration date to issue an alert.
When you view the list of In Process contracts, the red alert indicates the number of days remaining to expiration.
- Proposed Total Amount
- This field allows calculations for subcontractor payments.
- Lifetime Maximum Amount
- Lifetime maximum amount is used for editing the contract purchases from Requisitions and Purchasing. It is also used in conjunction with notification percent. An email notification is sent when a certain percent of the total is reached
- Comment Code
- Select a comment code.
- Freight Term
- If you select a freight term, it is used on purchase orders.
- Ship Terms
- If you select a ship term, this valued is used on purchase orders.
- Parent Contract
- Select a contract that is the parent of this contract. This is used to calculate rebates.
- Number of days to add to rebate reporting due date for payment expected date
- Specify the number of days after the rebate due date that rebates and payments are expected.
- Change to Activate Contract Line Sets Status to Amendment
- Select this check box to move changed contract lines to the amendment state. Lines that have changed and are set to amendment must return through the release and activate process for the contract.
-
Click Save.
The contract header is created. On the Update Contract form, click the active tabs and define additional details.