Sub-Con Procurement process

[Former Member]

Hi Experts,

We have sub-con process. we will send 'COMPONENT1' of 100 quanity to sub-con vendor and he will send 60- 80 qunaitys of FG1 & 40 to 20 quanitys of FG2 to us but unfortunately we will not know in-advance exact quntitys of FG1 & FG2. Now, if we receive FG1 different price and FG2 have different price. So our PO price does not match with Invoice price. Please explain in detials how to model this secnario.

Thanks,

Naveen

[Former Member · Accepted solution]

Hello,

Is there any problem if you create POs with higher quantity : 80pc FG1 and 40 pcs of FG2

once receipt is done you mark both POs as completed.

Best regards

[Former Member]

Dear Naveen,

There is simple solution for that, just ammend the PO once you receive the Delivery challan from the Subcontracting vendor..

Just ammend the FG1 and FG2 quantities and PO and save.

Now do the GRN.

Hope this helps.

regards

Utsav

[Former Member]

Hi Naveen,

Without manual intervention it is not possible as you are not knowing in advance about the delivery note quantity of FG1 and FG2 from your subcontracting vendor.

1. You can create a Subcontracing PO with two line items as FG1 ( 80 qty ) and FG2 ( 20 qty ).

2. Post a goods issue with 541 for the supply of COMPONENT1 ( 100 nos )

3. Before Goods Receipt ( When the physical DN is received ) you can ammend the PO with the correct quantity of FG1 and FG2.

4. Then finally you can post your MIGO so that the cost of FG1 and FG2 service charges can be payable to your vendor without discrepancies.

Thanks and Regards,