Understanding Agreement Definition

The JD Edwards EnterpriseOne Agreement Management system provides methods to document and track the terms, products, quantities or currency amounts, and penalties on each of your agreements with business partners. Depending on the agreement terms and your company's procedures, you can choose some or all of the methods to define your agreements.

You must define the relationships for each agreement. This creates a master for each agreement that you can use to define the terms of the agreement, extend the agreement, or create additional agreements.

Each agreement has values that might differ from other agreements or from the system values. In addition to the product quantity values, you can specify unique prices and penalties if agreement terms are not met.

An agreement might have multiple sources and destinations. For example, you might want to specify one or more destinations that can receive a product to fulfill the agreement. You might want to identify only one or several locations that can provide a product.

Some agreements are based on moving specific product quantities during specific periods of time. If you define specific time frames, you can also monitor the actual maintenance of the agreement to the schedule.

Some agreements include terms to exchange products. Not all products have the same unit value. If your agreement includes unlike products or products with unequal values, you can define the ratios that make exchanges equal.