Getting off on the right foot when working with your suppliers is crucial. Thanks to Precoro, you can prevent any issues with delivery or services by storing and managing all your contacts in one place.
TABLE OF CONTENTS
Contract management in Precoro will help you with the following:
- Understanding of the procurement agreement and time frame scope.
- Allowing you to create POs under a contract with the Supplier.
- Reminding the Supplier of their obligations.
- Providing you with quick access to its online contacts storage instead of a folder filled with documents on your computer.
How to Enable Contracts in Precoro
To start working with the Contract module in Precoro, go to the Configuration → Basic Settings → Documents Setup → General Settings.
Then, activate the Contract feature by checking the appropriate box to access the contract management.
To save the settings, press the Save button.
How to Add a New Contract
1. To add a new Contract, open the Suppliers and Items section and choose the Contract Management option.
2. Click on the Add Contract button in the top right corner to create a new document.
3. Enter the relevant information in all the required fields:
- Supplier* — choose the name of the previously created Supplier. Find more information on how to add one here.
- Legal Entity* — choose from the list of available legal entities. Find more information on creating and using a new legal entity here.
- Contact number* — create and enter the number.
- Start/Expiration dates* — enter this contract's negotiated duration.
- Expiration Date Reminder — select the number of days when you want to receive a notification about the expiration date.
- Send notification to (Precoro User/Supplier) — choose the emails in the corresponding fields and they will receive a notification reminder.
- Note — put in any additional important information.
- Extendable contract — specify whether you would like to prolong the contract automatically.
4. Press the Add Attachments button to upload files into the contract.
5. After entering the information, click the Create button below to save the new contract.
How to Add the Contract Substitute Option
You can manage your contracts even better by using the ability to assign a substitute user for the “Send notification to” field in Precoro Contracts.
The assignment will be automatic when the user:
- Gets deactivated from the company and requires a substitute.
- Activates the Vacation Mode and selects a substitute.
How to Manually Deactivate Contracts
You can manually deactivate a contract. In the Contract Management table, you can check whether the Contract is Active without having to open the Contract itself:
To deactivate the Contract:
1. Select the needed Contract and take an Edit action.
2. Turn the Active toggle off.
You can also use filters to sort the Active and Inactive Contracts.
Document Types to Insert Contract Information
In Precoro, you can use contracts when creating the following documents:
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Purchase Order (PO)
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Invoice
Where Contracts Are Displayed
Having the Contract information directly in the document will provide more information on the Supplier’s cooperation conditions and help control the Contract’s expiration date.
You will see the Contract information in the Purchase Order and Invoice documents.
When working with these documents, you will see the following Contract information:
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Contract number
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Contract validity dates.
Managing Contracts with Reports
Preconfigured Report
To save time and always be in the loop, use the preconfigured Report, which will search the system and give you complete information on the contracts existing in Precoro.
To use the Report, go to this section and choose the Contracts Revision History Report, which will provide fresh information on the selected time period.
To create a report, input the Revision Date and Reviser. Then, click Run Report, and you will receive an XLSX file to work with further.
Please note that by default, the Reviser field is set to all users, but you can change this setting by choosing the needed Reviser from the drop-down list.
Custom Report
You can customize your needs and create a Contract type of Custom Report.
Please find more information on creating and using Custom Reports in Precoro here.
In General Data, you can add the following options to your report:
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Supplier
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Legal Entity
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Contract Number
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Start Date
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Expiration Date
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Note
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Expiration Date Reminder
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Send notification to Precoro
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Send a notification to Supplier.
Contract-Related Email Notifications
Precoro will keep you updated on the current contract time frames. If you wish to receive email notifications on Expiring Contracts, go to the Email Preferences and check the corresponding box.
The notification will be sent to all the users with the Suppliers and Items Roles 60 days before the expiration of the contract.
Contract Management with Filters
You can promptly sort through the existing contracts using an advanced set of filters. Click Show Filters on the Contract Management page and set your preferences:
On the Invoice and Purchase Order management pages:
1. Click on Filters and select the needed value for Contracts in the advanced options.
2. Press the Filter Results button to see documents that use the selected Contracts.
You can multi-select several Contracts at once in the filter.