Differences in local Purchasing Contracts and GOA?

[Former Member]

Hi all,

I am new to SRM and trying to figure out what are the differences between local purchase contracts and GOA? I know that GOA can be distributed to multiple backend systems whereas the local purchase contracts cannot be. Are there any other differences apart from this? and how does these two make difference to the business?

Thanks in advance...

Regards,

Kumar

Edited by: Kumar on Apr 7, 2008 9:47 AM

[Former Member · Accepted solution]

Hi Kumar,

As mentioned by you GOAs can be distributed to backend systems.

However the major difference between a GOA and a local SRM contract is that with GOA you can create either a contract or a scheduling agreement in the backend R/3 system.

Whenever you refer these contracts / scheduling agreements while creating a P.O in backend the status gets updated in GOA created in SRM.

You can not refer these contracts / S.A s while craeting a P.O in SRM.

Similarly the local SRM contracts can not be refered while creating P.Os in R/3 system.

Hope this makes you more clear and helps in better understanding of the issue. Clarifications are welcome.

Award points for helpful answers.

Rgds,

Teja

[Former Member · Accepted solution]

Hi Teja,

Thanks a lot for the clarifications...

But, if we are not the contract information to the backend system at all, then how does the GOA and local SRM contracts will differ?

Thanks in advance.

Regards,

Kumar

[Former Member · Accepted solution]

Hi Kumar,

Only the local SRM contract information can not be used in the backend.

GOA is distributed to backend either as a Contract or as a Scheduling agreement, which inturn can be used only in backend R/3 while creating a P.O.

Only the GOA status gets updated in SRM.

For Example: You have created a GOA and distributed to backend R/3 as a contract for say 1000 EA (qty).

Whenever you create a P.O referring this contract in backend R/3, lets say the P.O is created for 100 EA (qty) then the status of GOA in SRM gets updated with the changes in quantity.

Hope this makes you more clear. Clarifications are welcome.

Award points for helpful answers.

Rgds,

Teja