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94 CHAPTER 4 The Procurement Process

vendor and one material or material group. Purchasing info records include
some data that are in the vendor master and the material master, as well
as data that are valid for the specifi c combination of vendor and material.
These data are grouped into general data and purchasing organization data.
General data are applicable to all purchasing groups and include vendor
number, material number (or group), and other data used for communica-
tion (e.g., contact information, telephone numbers, and reminders). In con-
trast, purchasing data are specifi c to one purchasing organization, and they
are based on agreements with the vendor regarding delivery times, delivery
tolerances, quantities, and pricing conditions. Companies use pricing condi-
tions to determine the cost of purchasing the material from that vendor. The
info record typically defi nes a number of different condition types, including
gross price, discounts and surcharges, taxes, and freight. It also includes text
data that are used for notes and instructions to accompany purchase orders,
and it keeps track of the last purchase order for the specifi c material-vendor
combination. Finally, the company uses data from the purchasing info record
as default values when it creates a purchase order for a specifi c combination
of material and vendor.

Figure 4-8: Purchasing info record

Figure 4-9 illustrates a purchasing info record for vendor 107000 and
material SHRT1000 for purchasing organization US00. It indicates that Spy
Gear takes four days to deliver the t-shirts. Further, Spy Gear charges $15 per
shirt, but it offers a discount of 4% for orders greater than $1,000.

CONDITIONS
The fi nal type of master data relevant to purchasing is conditions. These data
are very similar to the conditions discussed in the section on purchasing info
records, and they are used to determine the appropriate prices, discounts,
taxes, freight, and so on for the materials. Unlike the conditions in the pur-
chasing info records, however, these conditions are not defi ned for a specifi c
combination of vendor and material. Rather, they are based on the overall
agreements and contracts in place with vendors. The company uses these con-
ditions to determine pricing when it creates purchase orders.

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