Manual entry of direct material items without contract:

1. Manual or catalog items are added to a shopping cart (or bid invitation) as direct materials.
2. After approval, the shopping cart (or chosen bid in the case of a bid invitation) is created as a local purchase order.
3. When the purchase order is complete, it is replicated to the execution system where it cannot be changed. Any changes to the purchase order are made in Enterprise Buyer. Subsequently, the replicated purchase order in the execution system is updated.
4. The local purchase order data is passed to the reporting system.
5. Goods receipt and invoicing take place in the execution system, as do material and FI valuation. The data from the goods receipt and invoice are passed to the planning system where they are integrated with the purchase order information from the Enterprise Buyer system.
6. If required, the purchase order history in the execution system can be transferred synchronously to the Enterprise Buyer system.
7. If relevant for planning, the products for the entered item are passed to the planning system.

Manual entry of direct material items with contract:

1. As an extension of the previous scenario, you can specify a local contract as the source of supply in the shopping cart.
2. The resultant local contract release order updates the release documentation for the contract. The conditions of the contract are used in the local purchase order.

1. The contract in Enterprise Buyer is passed to the planning system where it is identified as a source of supply.
2. A requirement for direct materials that has originated in the planning system is assigned to this source of supply.
3. A local purchase order is created in Enterprise Buyer by the planning system on the basis of this requirement.
4. The resultant local contract release order updates the release documentation for the contract.
5. When the purchase order is complete, it is replicated to the execution system where it cannot be changed. Any changes to the purchase order are made in Enterprise Buyer. Subsequently, the replicated purchase order in the execution system is updated.
6. The local purchase order data is passed to the reporting system.
7. Goods receipt and invoicing take place in the execution system, as do material and FI valuation. The data from the goods receipt and invoice are passed to the reporting system where they are integrated with the purchase order information from Enterprise Buyer.
8. If required, the purchase order history in the execution system can be transferred synchronously to the Enterprise Buyer system.
9. The purchase order data is passed from the Enterprise Buyer system back to the planning system.
10. The purchase order history (goods receipt/invoice) is passed to the planning system.

1. During a planning run in APO, or interactively from a material shortage alert, a component demand is identified that initiates an open procurement process. A requirement is transferred from the planning system to Enterprise Buyer as a bid invitation.
2. A bid invitation process is started, which may be handled in part via the marketplace.
3. The chosen bid is converted to a local purchase order.
4. When the purchase order is complete, it is replicated to the execution system where it cannot be changed. Any changes to the purchase order are made in Enterprise Buyer. Subsequently, the replicated purchase order in the execution system is updated.
5. The local purchase order data is passed to the reporting system.
6. Goods receipt and invoicing take place in the execution system, as do material and FI valuation. The data from the goods receipt and invoice are passed to the reporting system where they are integrated with the purchase order information from Enterprise Buyer.
7. If required, the purchase order history in the execution system can be transferred synchronously to the Enterprise Buyer system.
8. The purchase order data is passed from the Enterprise Buyer system back to the planning system.
9. The purchase order history (goods receipt/invoice) is passed to the planning system.