Two POs for subcontracting

1

Hi everyone,

I have the following subcontracting problem. One of our products is subcontracted for manufacturing. The subcontractor uses a special facility (not owned by us) that we pay for on an hourly rate. What is the best way to include both of these costs in the cost of the item being manufactured?

Thanks in advance for the feedback.

2

Same problem as this? Subcontracting problem (crosspost) - #2 by clarkej

‘What is the best way to include both of these costs in the cost of the item being manufactured?’

What do you suppose your options are?

3

Good question.

You could create another product that is a work-in-progress product and then you can have two POs before the final product is done.

Can you think of another way @clarkej?

4

My guess is umair Ben_Cornwell_Mott Pawan or other gurus likely have hands on experience to advise you.

I have reading knowledge with my first PRO (Production Order) setup only days ago as I learn ERP implementation howto in manufacturing.

Here Operations and Material In Bom - #2 by JayRam JayRam notes in a BOM, the problem is Operation has just theoretical and not actual time.

So for Stock Entry I understand your choice is Subcontract or Manufacture. But neither of these tracks time, they only track costs.

Project and Task record time of course, but to associate these with that Stock Entry would require some customization I would think.