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Dynamics 365 Community / Blogs / Streamlining Operations with D365FO and Power P... / Converting the RFQ to Purch...

Converting the RFQ to Purchase trade agreements,

mallesh varma Profile Picture mallesh varma 190
Business scenario: Converting the RFQ to Purchase trade agreements, When company Creates RFQ with the vendors, Based on the best price and vendor- Converting it into Purchase trade agreements, Instead of the Purchase order.
Pre-requisite-Setups:
  1. Procurement and sourcing >setup > Price and discounts >Journal names

2. Procurement and sourcing >setup > Price and discounts >Activate price/Discount

3. Procurement and sourcing >setup > Procurement and sourcing parameters >RFQ >Default trade agreement journal

Request for Quotation :
Procurement and sourcing >Request for Quotations > All request for quotations
Click on >New (To create a new RFQ) - On request for quotation lines select the Item details and click on the Header to add the vendors details(Select more than one vendor)

Click on >Send (Sending RFQ to the vendor) (Note: Send button will be disable until you add the vendors)

When we send the RFQ to the vendors- Manage replies button will be enabled (Top)-Click on the manage replies
Note: Make sure purchaser can edit the vendors bid (Note: If you don't enable this parameter you can't edit the RFQ(Vendor replies)

  1. Edit the RFQ and update the price(In real time those details we get from the vendor- Vendor sends us information through the email or call)
2. Lets assume that for each product for 10 qty vendor A is giving me the price as $90 (One RFQ)
3. Lets assume that for each product for 10 qty vendor B is giving me the price as $100(Second RFQ)

Enter the details on the two RFQ (000016 &000015 ) then submit for bid.
When we have submitted RFQ for bidding process, We can compare replies and we can select the best vendor based on the quality, Qty and price etc.

Click on the compare replies, Two RFQ details will be displayed if we click on the accept RFQ converts into Purchase order but in our case, we need to convert into Trade agreements.

Click on General > Trade agreements >Create a price agreement journal (Don't confuse here looking at price agreement journal, its convers RFQ to trade agreements)
Select the best vendor and click on the Create price agreement journal, The page will navigate to the trade agreement journal header

Click on the lines, On the lines we can see the vendor details, Qty and site, warehouse and price etc

Validate the journal and post the trade agreement journal(We can also update, To qty, Date etc)
Create a PO and validate the trade agreement price is applicable on the PO.
Thanks-Mallesh Varma


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