No Release Order Contracts in SAP Ariba are designed for scenarios where repeated procurement activities do not require the creation of individual release orders. This streamlines the purchasing process, particularly for services or items billed on a regular basis.
These contracts support recurring billing models and fixed fee arrangements. Rather than issuing a release order each time a purchase is made, procurement and invoicing activities can be performed directly against the contract itself. This is especially relevant for service-based procurement where quantities are not the primary concern.
According to SAP Ariba functional documentation:
"No-release order contracts are typically used for services with recurring or fixed fees and do not require a purchase order to be created for each transaction. Invoicing can occur directly against the contract."
Therefore:
A is correct because No Release Order Contracts allow for the addition of recurring and fixed fees.
B is correct because these contracts do not require release orders to procure against them.
C is incorrect because these contracts do allow recurring and fixed fees.
D is incorrect because release orders are not required for this contract type.
Reference Documents Used:
SAP Ariba Buying and Invoicing Configuration Guide
SAP Ariba Contract Compliance Feature Set
SAP Ariba Supplier Risk Management.pptx
