Oracle Apps Different Types of Purchase Order

A Standard Purchase Order is one time purchasing to buy goods or services.You can create PO when you know the Item, Price, Delivery schedule and Payment terms

A Blanket Purchase Agreement it’s a long time agreement where you don’t know about Quantity, Price and required Delivery schedule. The Quantity and Price fields will be disabled when you make Blanket Purchase Agreement. You have to enter a Price. The required Quantity, Delivery Schedule and final Price will be informed to the Supplier by creating Blanket Releases against the Blanket Purchase Agreement.

A Planned Purchase Order it’s a long time agreement where you are not sure about the required delivery schedules. You know the details like Item, Price, Delivery Schedule and Payment Terms. In the Planned purchase order you have to enter a Need-By date, but this date that you enter will be treated only as a tentative date. The exact date on which the shipments are to be delivered is informed to the Supplier by creating Schedule Releases against the Planned purchase order.

A  Contract Purchase Agreement is document which gives standard term and conditions created. You do not know even the item that is to be purchased. The only information that you provide in a Contract Purchase Agreement is Supplier, Supplier Site, Payment Terms and Agreement Control details. Standard Purchase Orders are created by referring to the Contract Purchase Agreement when something is to be purchased against this Contract Purchase Agreement.