Change orders are allowed only under which of the following conditions?

Prepare for the SAP Ariba Procurement Exam. Study using flashcards and multiple choice questions with hints and explanations to boost your confidence. Get exam-ready!

Change orders are essential in procurement and contract management, allowing for modifications to agreements as circumstances change. The acceptance of change orders by the supplier is a crucial condition for their implementation. If a supplier does not agree to the changes, the process becomes complicated, potentially leading to disputes or non-compliance with contract terms. The willingness of the supplier to accept these changes establishes a cooperative relationship and ensures that both parties are aligned on new terms, thus facilitating smooth project execution and adjustments as needed.

While other conditions like contract flexibility, financial approvals, and the absence of disputes may contribute to managing change orders effectively, they are secondary to the necessity of supplier agreement. Without the supplier's acceptance, the legal and functional framework to enact those changes under the original contract terms would not be valid. This emphasizes the pivotal role of the supplier's consent in the change order process.

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