Customer Furnished Materials

Subcontracting with Material Flow (subcontractor) relies on Allocation & Hard Pegging to issue customer owned materials for their production orders. Ownership of the inventory is tracked by LN, the same is done for subassemblies containing customer furnished materials. A purchase contract is with Order Terms & Conditions is needed to handle ownership for the customer furnished material receipt. Material is received on the basis of call-off with a purchase order created with the customer as supplier or, through the use of a purchase contract with Planned Terms & Conditions to set up a Supplier Forecast.

In Infor LN 10.2.0 Allocation & Hard Pegging has been replaced Demand Pegging.

In Implemented Software Components (tccom0100s000) the checks Demand Pegging and Customer Furnished Materials now give access to the functionality.

When a sales order has the Customer Furnished Materials or Contains Customer Furnished Materials check selected and business partner defined as a customer, an a order plan is generated that carries the Contains Customer Furnished Materials flag.

Orders containing customer furnished materials can only be planned through Enterprise Planning. Planned production orders that are designated Contains Customer Furnished Materials are then transferred to Shop Floor Control to be manufactured with the Bill of Material used to define which materials are required. Purchase orders are created for customer owned materials based on the demand pegged to the end item. The materials are then delivered to a warehouse designated in the BOM.

Customer Furnished Materials in inventory are marked Customer Owned. Items that Contains Customer Furnished Materials; while partly company owned they are stored as Customer Owned.

In Estimated Materials (ticst0101m000) separate lines are created for customer-furnished materials and manufacturer-owned materials. The estimated costs and actual costs do not include the CFM materials.