Create Outline Agreement

Contract:- 

A contract is a longer-term purchase agreement, known in the SAP System as an "outline agreement", against which materials or services can be released (ordered) as and when required over a predefined validity period. Contracts can be subdivided into the following types given below:-

 An outline agreement can be of the following two types −

• Contract:-
• Scheduling Agreement

There are two types of contracts −

 👉Quantity Contract

 👉Value Contract

Path to Create Contract

Logistics ⇒ Materials Management ⇒ Purchasing ⇒ Outline Agreement ⇒ Contract ⇒ Create

TCode: ME31K

Step 1:-select the Create execute icon by following the above path after entering the tcode ME31K.

Step 2:- After entering the details like vendor, agreement type, purchase organisation,purchase group,Plant or storage location etc.

Step 3:- After saving the document showing like this given below.