Creating Service Contracts

Use the Contract page (CNTRCT_HDR) to use to create service contracts.

Navigation:

• Services Procurement > Requisition Fulfillment > Maintain Contracts

• Procurement Contracts > Add/Update Contracts

• Supplier Contracts > Create Contracts and Documents > Contract Entry

See Services Procurement Installation Options Page.

To create a service contract:

1. Create a new contract.

   You can select General Contract,Purchase Order, or Release to Single PO Only types to use for purchase orders. For more information about contract types, see the PeopleSoft Source to Settle documentation

   See Contract Process Options.

2. Select Role as the type.

3. Enter the resource-based project role as the type ID.

4. Use the Maintain Details - Details for Line page (CNTRCT_PRC_UOM_SEC) to enter rates for service contracts.

   Navigation

   Click the Line Details button on the Contract page.

5. Add the negotiated rate for the supplier location in the Base Price field.

6. Approve the contract by changing the contract status to Approved.

To check for contract rates on bids:

1. Enter and source a requisition.

   Service coordinators have visibility into those suppliers who have contracts.

2. Suppliers bid on the requisition.

3. If the supplier, role, unit of measure, and location match the contract, the system prevents the service provider contact from submitting a rate greater than the contract rate.

To check for contract rates with work orders:

1. Create a work order.

2. Once the work order is approved, create a purchase order.

If the supplier, role, currency, and location match the contract, the system uses the contract rate if it is less than the work order rate. The system overrides the work order rate with the contract rate when the work order is released.

For multi-resource services, the link to purchase orders is at the parent, multi-resource service level; however, contract rates will be enforced for the lower-level individual child service bids and work orders.