Inhouse Prod + Subcontracting + External Operation for Single Material

[Former Member]

Hello Gurus

I have a requirement in my current project , where for a single Finish goods , we need to have all procurement options. As We can produce this inhouse also , We can send one or two operation for external processing or do the subcontracting to get the finish good after sending the raw materials..( alternate BOm , Routings are available ) ?

Pl share your thoughts abt this..

Thanks in advance

BR

Sumit

[Former Member]

thanks for clarifications

FYI , reward has been given ..

BR

Sumit

[Former Member]

Dear,

Since you are not sure that when the production material will be produced inhouse and when subcontracted.

Hence you can enter X in procurement type in MRP2.

When you run MRP normal planned order(stock order) will be created. Then you will get tape page for converting into production order and purchase order, when converting the purchase requisition, pl make the item cat as saubcontracting.

For extranl opration subcontarcting, as some one was explaining...have a different production version in which you have defined the subcontaring operation and go ahead with that cycle.

[former_member698542]

Hi Sumit,

1.You keep the procurement key as Both-X.

2.Then maintain subcontracting Purchasing Infor Records.

3.Assign the components to the operations for external processing.

4.Use Control Key PP02 for the external operations.

5.You can have different alrate BOMs and respective production versions

6.You can have quota to split the quantities to internal,external.

Thanks and regards

Murugesan

[Former Member]

Hello

Thanks for reply. Pl let me hat will be the type of Planned order as a result of planning ..in this..and if I assign the componenet to send the materials for subcontracting what time it'll get consumed .

i'll reward proper points for your help..thanks again

BR

Sumit

[Former Member]

Hi sumit,

In subcontracting the material has to return within 180 days otherwise it will be

treated as exciseable goods.

when we do GR for external po's we receive only the operation to be performed

so conversion cost to the vendor shall be paid

when ceate Production order system will create planned order only which is unfirmed as the procurement type ' X ' and procurement key for subcontracting you need to define MRP 2 under procurement.

after ensuring GR is done order confirmation of operation ( external ) has to be done here only system capture the quantity ( subcontracting material ) and also valuation of the material in production order. As order settlement is order based .

pl reward points ,

regards,

vimal balaji