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Former Member
Apr 25, 2009 at 04:55 AM

Need to configure a new SLOC for Subcontractor?

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Dear All

I learn that in subcontracting, we have a BOM first for FG, which has Raw material components: RW01+RW02. We GI the RW01 and RW02 to Subcontractor. Once they are done, we will GR the FG from them.

Question 01:

Is there a need for me to create a separate SLOC for subcontractor in the system? as my client insists on it so that we can do a proper stock count and stock check. I do understand we can use Special Procurement Indicator O which will record a "virtual" SLOC for this Subcontractor. However, if I configure a new SLOC for Subcontractor, what will be the impact on the design and flow? does it mean each time I need to transfer posting from this virtual SLOC to my newly created Subcontractor SLOC?

Thanks.