You can create an allocation table referencing a contract. A contract release order is generated in this case as the follow-on document to the purchase order placed with the vendor. The contract release order updates the contract statistics, enabling you to monitor fulfillment of the contract.

When you create an allocation table, you can select contracts using a number of criteria:

• Contract number
• Vendor
• Person who created the contract
• Receiving site (only if goods are to go through the distribution center)
• Article or merchandise category (any hierarchy level)

A screen is displayed containing the contract items and the open target quantity. You can then select the required items and enter the planned quantity to be allocated. The system then generates an allocation table item for every contract item selected.

The system can identify the type of business transaction from the allocation table type. The following types exist:

• Direct Delivery from Vendor to Recipient (Third-Party)

• Delivery from Vendor to Distribution Center and then to Recipient

Certain sets of data are defined in the contract and these can no longer be changed in the allocation table. This includes the article number and the number of the vendor. When converting a contract item to an allocation table item, you can enter a unit of measure that differs from the unit of measure defined in the contract. If a conversion rule has been defined for the units of measure in the article master, the system automatically converts the quantity to the new unit of measure.