Which of the following are valid sources of supply in a source list in SAP Materials Management?

A source list in SAP Materials Management is a formalized method used by businesses to manage procurement. It specifies which suppliers can provide materials and defines various conditions for purchasing. Among the valid sources of supply, a contract is a crucial element.

Contracts serve as long-term agreements between a buyer and a vendor for the supply of goods or services, often at negotiated prices and terms that benefit both parties. In a source list, including a contract allows the system to automatically consider these pre-negotiated terms whenever the materials are procured. This enhances consistency in purchasing processes and helps manage purchasing agreements effectively.

The other options, while important in their own rights, do not specifically represent valid sources of supply in the context of a source list. Quota arrangements, procurement plants, and quotations are utilized in different procurement processes but do not directly establish a legally binding supply source like a contract does. Quota arrangements dictate how much of a requirement can be sourced from different vendors but do not stand on their own as a supply source. Similarly, while a procurement plant refers to the location where materials are procured, it does not represent a supplier in the source list. Lastly, quotations are offers from suppliers and may not necessarily be converted into binding agreements within a source list