How to Define Procurement Clause Phrases in IFS Cloud

Procurement Clause Phrases

Standardize compliance, mitigate legal risk, and automate supplier communication in IFS Cloud.


Leaving terms and conditions to "freestyle text" notes on a Purchase Order is a compliance nightmare. Procurement Clause Phrases allow you to centralize, version-control, and automate the specific legal and technical instructions printed on your purchasing documents.

The "Freestyle Text" Problem

In many organizations, buyers manually type instructions like "Goods must be delivered on EUR-pallets" or "Certificate of Analysis required" into the internal notes of a PO Line. This approach fails because:

🚫 No Standardization

Different buyers use different wording for the same requirement.

🌍 Language Barriers

Manual notes rarely handle multi-language outputs automatically.

⚖️ Outdated Rules

Old regulations persist because notes are copied from previous orders.

The Solution: Clause Architecture

IFS Cloud solves this with a structured Procurement Clause Library. Instead of typing text, you configure "Phrases" that can be linked to parts, suppliers, or projects.

1. Version Controlled Revisions

Clauses are time-bound. You can define a "Mercury Content" clause that sets the limit to 8% for 2025 and automatically switches to 5% for 2026. The system selects the correct text based on the PO's Promised Delivery Date.

2. Automated "Push" Logic

Stop relying on buyer memory. You can connect a clause to a specific Part Group (e.g., "Chemicals") or Supplier. When a buyer adds that part to a PO, the relevant safety or compliance text is attached automatically.

3. Multi-Language Support

Define the clause once in English, German, and Polish. If the Supplier's language code is set to "German," IFS Cloud prints the German version of the clause on the PDF, ensuring clear communication.

Best Practice

Don't clutter your library. Use Procurement Clause Types to categorize your phrases (e.g., "Logistics," "Quality," "Legal"). This makes it easier for buyers to find the right clause during manual entry.

Implementation Checklist
  • Define Clause Types (e.g., HAZMAT, PACKAGING).
  • Create Phrase Text & Translations.
  • Set Active/Inactive dates for Revisions.
  • Connect to Parts or Suppliers (Optional).
  • Test PDF Output on a Purchase Order.

Frequently Asked Questions

Document Text is a general tool for adding notes to almost any object (Customer, Part, Order). Procurement Clauses are specialized for purchasing; they support strict revision control (valid-from/valid-to dates) and are better suited for legal compliance or technical specifications that change over time.

Yes. You can connect a clause to a generic "Company" level or specific "Supplier Group." However, be careful not to overload your POs with generic text. It is often better to use "Document Text" on the Company Header for generic T&Cs and "Procurement Clauses" for specific line-level requirements.

Yes. You can configure the system so that adding or removing a specific Clause Type (e.g., "Legal Deviation") triggers a new authorization rule, forcing the PO to go back for approval.