What is a characteristic of a blanket order?

A blanket order is characterized by its ability to accommodate multiple deliveries over a specified period. This type of order is commonly used when the buyer anticipates needing a certain quantity of items over time but does not require all items to be delivered at once. Instead of issuing separate purchase orders for each delivery, a blanket order streamlines the procurement process by establishing terms and conditions upfront while allowing for various delivery schedules.

Having multiple delivery dates is particularly advantageous for both buyers and suppliers as it helps manage inventory levels effectively and reduces the administrative burden of processing numerous individual orders. It also allows suppliers to plan shipments more efficiently over the duration of the blanket order's term.

In contrast, other options reflect misconceptions about blanket orders. For instance, a single delivery date implies a more traditional order format, where items are received at once, which is not the case here. Fixed pricing is also not a strict requirement for blanket orders, as pricing can often vary based on terms negotiated during the procurement process. Lastly, while blanket orders and standing orders might seem similar, they serve different purposes; standing orders typically refer to routine replenishment of stock, while blanket orders are more comprehensive and flexible in terms of delivery and quantities.