The Benefits of Blanket Purchase Orders and Material Deposits For Repeat Parts

If you’re placing orders for precision machining services one batch at a time, you’re stuck dealing with whatever’s happening that week. Material prices might change, lead times could stretch, and supply chains may hit snags you can’t predict. But blanket purchase orders and material deposits offer a smarter approach: commit to the parts you’ll need over time, and we’ll take care of the rest. It’s how some of the longest-standing customers at our Idaho machine shop have kept costs steady and parts showing up on schedule.

How Blanket Purchase Orders Work

A blanket PO lets you place one order to cover a set timeframe, whether that’s a quarter, six months, or even a full year. Instead of submitting new purchase orders every time you need a batch, you issue a single PO with scheduled release dates.

For customers with consistent, repeat parts that no longer need revisions, this creates a steady, predictable process. You know exactly when to expect your parts, and we can plan production in advance to keep everything on track.

Another big advantage is material efficiency. With a blanket PO in place, we can purchase material in bulk and machine parts ahead of time. In many cases, that means your order is already complete and waiting to ship by the time your release date arrives.

Why Blanket POs Make Sense

The biggest advantage of a blanket purchase order is price protection. When you commit to several months of parts at once, you also lock in your material costs. If material prices increase halfway through your PO, those changes won’t affect you until it’s time to renew. The same goes for supply chain disruptions. Whether it’s a port closure or a material shortage, your order is already covered.

Blanket POs also bring predictability to both sides. You know exactly when parts are coming, and we know what’s on the schedule, so there’s no monthly scramble to place orders or uncertainty about timing. For customers ordering the same parts quarter after quarter, it’s one of the most efficient ways to keep production moving.

Another benefit is bulk purchasing. When we can buy material for an entire run upfront, it often costs less per unit than ordering it piecemeal, and those savings get passed along to you.

When Material Deposits Make Sense

Not every customer needs a full blanket PO. Sometimes you just need to know the material will be there when you're ready to place an order, and that’s when material deposits may be the best choice.

Material deposits work well for growing businesses that need larger quantities but can't always predict exact timing. If you're placing bigger orders more frequently and lead times are becoming an issue, a material deposit ensures we have what you need on hand. Instead of waiting 7 to 10 days for material to arrive after you place an order, we can start machining right away.

Here's how it works: you put down a deposit to reserve material for your project. That material is set aside specifically for your jobs, so it won't get used for someone else's order. When you're ready for the next batch, we're ready to start production.

The deposit amount varies based on the material and the project. For materials we regularly stock, we often share the cost. For specialty materials we wouldn't typically carry (like certain grades of fiberglass or custom alloys), we'll ask for the full material cost upfront. It's a straightforward way to make sure we can get what you need without delays.

A More Efficient Approach to Production

Blanket purchase orders and material deposits aren’t right for every project, but for customers with steady, repeat work, they solve a lot of common problems. Locked-in pricing, reliable material availability, and a predictable production schedule make it easier to plan ahead and avoid last-minute stress.

At Accurate CNC Services, we work with each customer to figure out what makes the most sense. Whether that’s a year-long blanket PO, a material deposit to bridge lead times, or something in between, the goal is the same: keep your parts flowing and your production on track.

If you’re ordering the same parts regularly and dealing with unpredictable costs or delays, let’s talk about how a blanket purchase order or material deposit might benefit you. 

Request a quote from our Idaho machine shop today.