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Finalizing Contract Request Settings

Objective

After completing this lesson, you will be able to implement final settings in a contract request to reflect organizational requirements and compliance.

Milestones

A milestone is a set of conditions or requirements that must be met by a supplier to achieve the terms of a contract.

In No Release Order Contracts, milestones can be configured with deliverables each associated with payment amounts. When the milestone is marked complete, the payments are released to be invoiced by suppliers.

For example: Milestones could be established for project kickoff and project completion each with a payment amount, due date, verifier, and more.

When no payment is configured, milestones in No Release Order Contracts can be used for bookkeeping and notification purposes only.

Screenshot of a milestone item interface with fields for “Full Description,” “Commodity Code,” “Partitioned Amount,” “Tolerance,” and “Completion Due Date.” The “Verifier” dropdown shows the name “Agata Włczyńska.” No items are currently listed.

Milestone Settings

For This Option...	Do This...
Title	Enter a title for the milestone.
Full Description	Enter a description of the terms of the milestone.
Commodity Code	Select a commodity code from the available choices, or choose Search for more to select a different commodity code. Depending on your ERP integration, you may have to enter additional fields, such as Material Group (SAP) or Partitioned Commodity Code (PeopleSoft).
Amount	Enter the amount to be paid upon completion of the milestone.
Tolerance	Enter a percentage by which the contract can exceed the amount specified above.
Completion Due Date	Select the date on which you expect the milestone to be completed.
Supplier Contact	Enter the name of your contact person in the supplier organization.
Verifier	Select a person who is responsible for seeing that the terms of the milestone have been met. Select a name from the available options, or choose Search for more to select a different name.
Days Before Milestone Is Due	Select a person who is responsible for seeing that the terms of the milestone have been met. Select a name from the available options, or choose Search for more to select a different name.

Payment Terms

Payment Terms specify when suppliers must be paid and any early payment discounts. On the Payment Terms step of the Contract Request Wizard, users choose from predefined payment terms or add new terms.

Screenshot of payment terms, including a 10-day payment option with a 2% discount, and a 30-day option also with no discount. The section also features buttons to “Change Payment Terms” and “Remove Payment Terms.”

Access Control

The Access Control page in SAP Ariba Buying and Invoicing allows you to manage Release Access and/or Edit Access.

Release Access

By default, all users have Release Access to a contract. This means that they can create release orders against the contract. However, you can restrict release access to a specific set of users or user groups.

To restrict Release Access to a contract:

Check the Restrict Release Access checkbox.
Select the users or user groups that you want to grant Release Access to.
Select OK.

Once you have restricted Release Access to a contract, only the users or user groups that you have selected will be able to create purchase orders and release orders against the contract.

In addition to restricting Release Access, you can also control which users can edit the contract. To do this, select the Edit Access button and choose the users or user groups that you want to grant edit access to.

Only the users or user groups that you have selected will be able to make changes to the contract terms.

Edit Access

In addition to restricting Release Access, you can also control which users can edit the contract. To do this, choose the Edit Access button and select the users or user groups that you want to grant edit access to.

Only the users or user groups that you have selected will be able to make changes to the contract terms.

Appendixes

The Appendixes page in SAP Ariba Buying and Invoicing allows you to attach documents to contracts. These documents can be used to provide additional information about the contract, such as:

To attach a document to a contract:

Select the Add Appendix button.
Select the file that you want to attach.
Enter a description for the document.
Select OK.

The document will be attached to the contract and will be available to all users who have access to the contract.

In addition to attaching documents, you can also specify whether the appendix is visible to the supplier. If you select this option, the supplier will be able to view the appendix when they log in to SAP Business Network.

You can use appendixes to provide additional information about the contract and to make it easier for users to find the information they need.

Summary Step

The final step of the Contract Request Wizard offers a Summary of all contract properties entered in previous pages. Review all data and configuration choices made, then select Submit when finished to send the request for approval.

Create Milestones with Payments

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