8 Replies Latest reply on Aug 2, 2011 3:49 PM by Sandeep Gandhi, Consultant

    Sorucing rules and BPA

    878958
      can anyone advise me on how to use sourcing rules
      I have added souring rules for two suppliers for an item. with 90% and 10%.
      When i create a BPA its only specific to a supplier how will it know to reach the other supplier when the first supplier limit exceeds.

      Please it will be great if someone can help me
      Thanks
      Ro
        • 1. Re: Sorucing rules and BPA
          Sandeep Gandhi, Consultant
          1)
          I have added souring rules for two suppliers for an item.
          You need to create one sourcing rule - not two.

          2) The sourcing rule determines which supplier will be selected for the requisition. The BPA does not matter in that decision.
          After determining the supplier, the BPA is used by Oracle to determine pricing information. That is why you will need 2 BPAs.

          Hope this helps,
          Sandeep Gandhi
          1 person found this helpful
          • 2. Re: Sorucing rules and BPA
            878958
            Hi Rajiv,
            Thanks for your reply.
            I understand we should create one sourcing rule and not two.
            For eg,
            Lets take Item 1234 has sourcing rule set For supplier A and Supplier B (with allocation % 10 and 90).

            I create a BPA for item 1234 with Supplier A. which has an allocation percent of only 10% for item 1234.

            My question is, wat will Oracle do when Supplier A 10% ir reached on requisition?? and what will it do?

            Please let me knw if im nt clear.
            Thanks in advance.

            Ro
            • 3. Re: Sorucing rules and BPA
              878958
              Hi all,

              Are
              (a) Sourcing Rules
              (b) Approved Supplier Lists (ASL)

              used anywhere in Procurement and Purchasing. ???

              please help
              Thanks
              Ro
              • 4. Re: Sorucing rules and BPA
                Sandeep Gandhi, Consultant
                1) In your scenario, if the user is creating the requisition manually, it will not go to Supplier B. However, if you use MRP/ASCP to generate requisitions, then the planning engine will split the requisition quantity between Supplier A and B.
                2) SR and ASL are certainly used in Procurement.

                Hope this helps,
                Sandeep Gandhi
                • 5. Re: Sorucing rules and BPA
                  878958
                  Thanks Rajiv.
                  • 6. Re: Sorucing rules and BPA
                    878958
                    hi Rajiv.

                    Thanks
                    Now that i can see that the purchase orders are created automatically when a requisition is raised.
                    An item can be sourced automatically from two suppliers as per your reply.

                    Im still confused , I have done the below and cant proceed after that.
                    1.I create a sourcing rule with two suppliers and allocate 60 and 40%. rank 1 and 2.(org specific)

                    2.i have created an item specific to an organisation.

                    3.now i try to assign the sourcing rule to above item, i dnt see that sorcing rule coming up.
                    i dnt know y?

                    1.the same sourcing rule shows up when i have just one supplier with 100% allocated to it.
                    2.sourcing rule shows up, when i have two suppliers with 60 and 40% and both with rank 1.

                    Is there anything with the rank for thatitem?
                    please let me know if iam not clear.


                    can you help me please.

                    Thanks

                    Edited by: 875955 on 1/08/2011 19:38
                    • 7. Re: Sorucing rules and BPA
                      878958
                      Hi,

                      Thanks Gandhi
                      Now that i can see that the purchase orders are created automatically when a requisition is raised.
                      An item can be sourced automatically from two suppliers as per your reply.

                      Im still confused , I have done the below and cant proceed after that.
                      1.I create a sourcing rule with two suppliers and allocate 60 and 40%. rank 1 and 2.(org specific)

                      2.i have created an item specific to an organisation.

                      3.now i try to assign the sourcing rule to above item, i dnt see that sorcing rule coming up.
                      i dnt know y?

                      1.the same sourcing rule shows up when i have just one supplier with 100% allocated to it.
                      2.sourcing rule shows up, when i have two suppliers with 60 and 40% and both with rank 1.

                      Is there anything with the rank for thatitem?
                      please let me know if iam not clear.

                      can you help me please.

                      Thanks
                      Ro
                      • 8. Re: Sorucing rules and BPA
                        Sandeep Gandhi, Consultant
                        In your sourcing rule, create the two suppliers with 60 and 40%. but make sure both of them are rank1.

                        Hope this helps,
                        Sandeep Gandhi