What is quota-allocated quantity in SAP SRD-SRM-SC - SRM-Sourcing and Contracting?

SAP Term: quota-allocated quantity

• Component: SRD-SRM-SC

• Component Name: SRM-Sourcing and Contracting

• Description: The total quantity of all purchase requests or purchase orders released from a contract item that belongs to a quota arrangement.

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• Key Concepts: 
  Quota-allocated quantity is a term used in SAP SRM-Sourcing and Contracting. It is the amount of goods or services that a supplier is allowed to provide to a buyer, based on the terms of the contract between them. The quota-allocated quantity is set by the buyer and can be adjusted as needed. 
  
  How to use it: 
  In SAP SRM-Sourcing and Contracting, the quota-allocated quantity is set by the buyer when creating a contract with a supplier. The buyer can adjust the quota-allocated quantity at any time, depending on their needs. The quota-allocated quantity is used to ensure that the supplier does not exceed the agreed upon amount of goods or services provided. 
  
  Tips & Tricks: 
  When setting the quota-allocated quantity, it is important to consider the needs of both parties. The buyer should ensure that they are not setting an unrealistic quota-allocated quantity that will be difficult for the supplier to meet. On the other hand, the supplier should ensure that they are not setting an overly generous quota-allocated quantity that could lead to oversupply and wasted resources. 
  
  Related Information: 
  The quota-allocated quantity is just one part of a contract between a buyer and supplier in SAP SRM-Sourcing and Contracting. Other important elements include pricing, delivery terms, payment terms, and quality requirements. It is important to consider all of these elements when creating a contract in order to ensure that both parties are satisfied with the agreement.