Hello procurement and supply chain experts!
(Note: I posted this same question in the procurement area earlier this week but no response so my apologies if you see this in both places. I’m not clear where this question best belongs)
We have a situation where we want to be able to create a blanket PO or similar with one-time approval, with one supplier for just a few select parts, and then request a drawdown against that as when site inventory is consumed or running low. We are struggling with how to implement this, even though it seems like it should be straightforward.
Initially we looked at creating a PO for e.g. 6 months of supply quantity, with many lines in the PO for the quantity of a min delivery (e.g. qty 16 for 1 pallet to be delivered). The PO would be approved once, and then each time the total qty at the site fell below a defined threshold the buyers would release one or more lines from that ‘blanket’ PO as needed. Unfortunately when the PO is approved it seems it always approves all of the PO lines, which makes this a non-viable approach.
How else can handle this kind of approach where we need to:
- ‘approve once’ for a large quantity
- draw down against that quantity until the full quantity has been delivered without needing further approval?
Many thanks in advance for any ideas!
Nick
