Creating Release Order

Objective

After completing this lesson, you will be able to create a release order and analyze spend accumulation settings.

Create a Release Order

A release order is a type of purchase order that is directly linked to a contract and inherits pricing terms, discounts, and limits from that contract. Once a contract is approved and users are given permission to create releases for it, they can create standard requisitions for items that are covered by the contract. The auto-selection feature will automatically link the most relevant contract to each line item. Once these requisitions are approved, they become release orders, which are purchase orders that benefit from the terms of the associated contract. Ariba Contract Compliance keeps track of the different versions of each release order issued for a contract.

To create a release order a user can:  

  1. Add items to their cart that are covered by a contract. The auto-selection feature will automatically link applicable contracts to each line item.
  2. Search ​for items covered by contracts using filters within the catalog. In the catalog, select shop by, then choose contract to filter items by contract.

Note

If a user chooses to shop bycontract, the specified contract will automatically be linked to the line item and will apply any available discounts. However, if a user begins the requisition process from the catalog, there is a possibility that the system will assign a different contract.

The system's autoselection functionality will always attempt to link to a contract if one is available for a line item. If there are multiple matching contracts:

  • The contract with the lowest price will be selected.​
  • If there are two or more contracts with the same price, the contract with the most specific type will be selected

Repricing

Line items governed by per-order tiered or term-based pricing are repriced when:

  • Users change the quantity of the line item ​
  • Contract agent changes pricing terms for the item in the contract

By default, repricing for cumulative tiered pricing happens when the release order reaches the Ordered state​

​If contract agent changes pricing terms for the item in the contract, price in Release Order can change. This is Auto-Selection Reevaluation

Auto-Selection Reevaluation

Can be triggered after a contract has been attached to a requisition:

  • Requisition must not yet be in Ordered state
  • Item prices may change
  • A different contract may be attached
  • No contract may be attached
Auto-selection is reevaluated when...Considerations
The contract is changed or closed before the requisition is submitted.Is the new line item price is higher than the original price, a warning is displayed to alert the user to edit the requisition.
The contract is changed or closed after the requisition is submitted.Is the new line item price is higher than the original price, the Edit rules are also re-executed.
The contract is changed or closed before the requisition is approved.The requisition must not yet be in the Ordering or Ordered status. If the new line item price is higher than the original price, the Edit rules are re-executed.

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