cancel
Showing results for 
Search instead for 
Did you mean: 

Best Practice for Subcontracting without father

Former Member
0 Kudos

Dear All,

Can you throw some light on business case where we are sending some components to subcontractor but we are getting a service in return.

So when the work is finished we are doing service entry instead of parent material goods receipt.

What is the best practice to cater this business scenario?

Thanks in advance!

Accepted Solutions (0)

Answers (2)

Answers (2)

Former Member
0 Kudos

Please provide the complete cycle.

what is the exact process?

regards,

SNB

Former Member
0 Kudos

Dear friends

Thanks for reply. Here requirement is that when the service is complete, I need to consume the components already sent to subcontractor.

Do not take it back.

Former Member
0 Kudos

You should create two line items on PO. One with regular subcontracting, item category L and second line with item category D for Services to Subcontractor. You should mark first line with item categoy L as Free (Check free indicator) and receive your finished product against first line which will back flush your subcomponents. This receiPT will actually be free because of free indicator. Use second line for entering actual service entry sheet with the actual cost of subcontracting.

Hope this is helpful.

raviraj_sharma
Active Contributor
0 Kudos

you can try this:

Use Account assignment category K, and Item category L. Don't enter material code , just enter the short text as the description of the service to be performed , enter the material group , give the cost center and enter the price.

At the item level, define the components

Normally, Item category L and acc. category K are not set together , but you can set this combination in OMG0 .

I havent tried this cycle, but if it works , it may meet your requirements in less steps.

kailas_ugale
Active Contributor
0 Kudos

Hi

Can you throw some light on business case where we are sending some components to subcontractor but we are getting a service in return.

the component which send to vendor what happen with that component?

you get return it,or consume at vendor side ? clear scenario

Regards

kailas Ugale