Open supplier order

Context:

As part of its office activities, MASOCIETE works with a paper supplier, PapierPro.

Each year, MASOCIETE consumes around 6,000 reams of A4 paper.

Rather than placing a new order every month, the company opts for an open annual order.

The open order:

• Start date: January 1, 2025

• End date: December 31, 2025

• Total quantity: 6,000 reams of paper

• Delivery frequency: 500 reams per month

• Delivery location: Headquarters

• Pricing conditions: Fixed unit price for the year (€2.50 per ream)

• Payment terms: 30 days end of month after each delivery

Implementation in SIMAX

To create the open order, go to Purchase > Contract > supplier open orders and [[New]].

Before saving, we fill in the open supplier order line.

And let's finish by clicking [[Save]].

The order appears in the List supplier open order.

The firm quantity and the firm amount represent what has already been consumed by us, in other words, what has already been ordered through closed orders.

Process: Open order > Creation of close orders (standard supplier orders) > Creation of other firm close orders over time until the open order is fulfilled.

Closed orders are simply the supplier orders that are usually submitted.

Example relevant to our case:

PapierPro offered us an open order for 6,000 reams of paper.

The open order was entered into Simax.

Later, we ordered 1,000 reams of paper from this supplier within the validity period of the open order.

The supplier delivered the 1,000 reams of paper to us at the price agreed in the open order.

At that point, in Simax:

The firm quantity changed to 1,000 (because we had already ordered those 1,000 reams),

Leaving 5,000 reams to be consumed in the open order.