Blanket Purchase Order

A contractual agreement that includes the delivery of parts to the ShipTo location within a specific period. The supplier and customer must mutually agree on the terms and conditions to initiate the order. BPO gives a provision to the customer to purchase products from a supplier repeatedly without issuing a new purchase order for each transaction.

BPOs include details such as part descriptions, delivery schedules, transaction terms and conditions, quantities, delivery dates, prices, and applicable additional costs (if any).