1. Sales Agreements
May 2005

2. Background
An agreement to sell FCSD inventory (specific parts and quantities) to an outside entity
Sales Agreements establish absolute prices for each part number of the agreement
Sales Agreements are used primarily to support CMO sales (sales of components to suppliers for fabrication and resale to Ford)
If two different suppliers are involved, the buyer of the component part is the lead in the Sales Agreement

3. Sales Agreement System (SAS)
Maintains prices for special transactions
Keeps track of Sales Agreement status
Provides control and performance reports

4. Sales Agreement System (SAS)
Requires appropriate approval
Initiators and approvers can…
accept the policy price (dealer net or standard cost) OR
enter a price for each part or for selected parts
Approval levels are determined based on the value of the agreement (refer to the Delegation of Authority in the Buyer’s Handbook on the FCSD Purchasing website)
Buyer - $25,000 and under
Purchasing Manager - $25,001 to $100,000
Global Purchasing Director – Over $100,000

5. Sales Agreements
Creating a new Agreement

6. Creating a Sales Agreement
Before creating a Sales Agreement:
Determine if the customer has a Dealer Code in the Ford system (contact either Judy Bailey or Judi Wozniak for assistance). If not, you’ll need to complete the FCSD Prospective Account Application form located on the FCSD Purchasing website.
It can take 1-3 days to obtain a Dealer Code
Determine the part number and quantity to be sold, the location of the inventory and the sale price (dealer net, standard cost, or a separately-negotiated price)
Determine if there is sufficient inventory available not to cause a backorder situation (consult the FCSD Demand Analyst if necessary)
Obtain a purchase order number from the customer

7. Creating a Sales Agreement
To initiate a Sales Agreement:
Open the Sales Agreement Request form located under Policies, Procedures and Forms on the FCSD Purchasing website
Complete the required information and hit Submit
Once the Sales Agreement is entered in SAS, you
will receive an notification that it is pending
your approval. (Reference Approving an Agreement)

8. Sales Agreements
Creating a new Agreement
Approving an Agreement

9. Approving an Agreement
Open a 3270 session
In IMS2:
On the Application Services Main Menu screen, enter 060 (Sales Agreement System)
On the Sales Agreement screen, enter 040 (Sales Agreement Review & Verification)
In the Select Display Option field, enter “A”
Tab to the Approver field, enter your RACF ID
In the Select Display Status field, enter “O”. This will display your Open Sales Agreements.
Hit F2 to approve the Agreement

10. Sales Agreements Creating a new Agreement Approving an Agreement
Canceling an Agreement

11. Canceling an Agreement
Open a 3270 session
In IMS2:
On the Application Services Main Menu screen, enter 060 (Sales Agreement System)
On the Sales Agreement System screen, enter 010 (Add/Change/Delete Agreement Parts)
Enter the Agreement Number
Hit F11 to cancel the entire Agreement

12. Questions
If you have questions regarding Sales Agreements, contact either:
The Purchasing Specialist in your department
Judy Bailey (jbaile14)
Judi Wozniak (jwoznia3)