Blanket Order

A Blanket Order is a long-term agreement with a supplier for recurring purchases over a period. It defines the items, pricing, and total quantities, allowing you to create individual Purchase Orders against it as needed.

When to Use Blanket Orders

• Regular monthly purchases of the same materials
• Annual supply agreements with negotiated pricing
• Just-in-time (JIT) purchasing arrangements
• Maintenance and service contracts

Creating a Blanket Order

1. Go to Buying > Blanket Order and click New.
2. Select the Supplier.
3. Set the From Date and To Date (agreement period).
4. Add items:

- Item Code, Quantity, Rate

- This is the agreed quantity and price for the contract period

1. Click Save and Submit.

Creating Purchase Orders from Blanket Orders

1. Open the submitted Blanket Order.
2. Click Create > Purchase Order.
3. Enter the quantity required for this delivery.
4. The price is fixed as per the agreement.
5. Submit.

The blanket order tracks:

• Ordered Quantity: How much has been ordered against the blanket
• Remaining Quantity: How much can still be ordered

Benefits

• Lock in negotiated pricing for the contract period
• Streamline repeat Purchasing
• Track consumption against contracts
• Reduce admin for frequent purchases

Related Topics

• Purchase Order
• Supplier