Subcontracting flows

An end-item/subassembly flow (to and from the subcontractor)

A Maintenance Work Order (MWO), generated from a part maintenance line, can be released when an item is shipped from the warehouse to the service department. The following scenarios are possible:

  • Planned subcontracting
  • Ad hoc subcontracting

Planned subcontracting

Planned subcontracting implies that the subcontracted activity is predefined in the reference activity linked to the part maintenance line. This activity specified for the MWO-header-item, can also be considered for a subassembly.

Owing to the material flow functionality, you must specify for which item the subcontracted activity is specified.

Consequently, a predefined (or manually added) subcontracted activity does not support the logistic flow of the MWO header item because the Supply Item to Subcontractor check box is cleared and cannot be modified. However, LN supports the logistic flow of the material, hence, the Supply Material to Subcontractor check box can be selected.

Ad hoc subcontracting

The subcontracted activity is not yet created. The activity is created when the outgoing subassembly; with the Action Outgoing Subassembly set to To Subcontractor in the Work Order Outgoing Subassemblies (tswcs4150m000) session, is processed. This outgoing subassembly can comprise of a part of the MWO header item (a ‘real’ subassembly), or the MWO header item, and is linked to the disassembly activity. For the MWO header item that is used as outgoing subassembly, only the To Subcontractor action can be selected in the Work Order Outgoing Subassemblies (tswcs4150m000) session and the Reference Activity must be specified.

If the Supply Item to Subcontractor check box is selected in the Reference Activities (tsacm1101m000) session, a warehouse must be specified, to which the subassembly is sent, before being shipped to the subcontractor. When the outgoing subassembly is processed, following are the possible scenarios:

  • Scenario 1

    In this scenario, the MWO header item can also be used as the outgoing subassembly. The warehouse is not required.

    The subcontracted activity cannot be deleted. The Supply Item to Subcontractor check box in the Work Order Activities (tswcs2110m000) session is cleared, and cannot be modified. The Supply Material to Subcontractor check box can be selected until the activity is released. The subcontracting purchase order or requisition is created, and the activity cannot be modified anymore. On processing the subassembly, an incoming subassembly with Action Incoming Subassembly set to From Subcontractor in the Work Order Incoming Subassemblies (tswcs4151m000) session is created and linked to the assembly activity.

  • Scenario 2

    This scenario is almost identical to scenario 1. The difference being the Supply Material to Subcontractor check box is selected in the Work Order Activities (tswcs2110m000) session, when the activity is created. This field can be modified, until the activity is released.

  • Scenario 3

    In this scenario, specifying the Warehouse is mandatory. LN defaults the warehouse outgoing parts of the work center, of the disassembly activity.

    When you process the subassembly, a warehouse inbound order is created to move the subassembly from the work center to the warehouse.

    A subcontracted activity is also created. The Supply Item to Subcontractor check box is selected, and cannot be modified. The Supply Material to Subcontractor check box can be selected, until the activity is released.

    An incoming subassembly with Action Incoming Subassembly set to From Warehouse is created and linked to the subcontracted activity. The warehouse of the incoming subassembly is populated with the subcontractor’s warehouse.

    For the subcontracted activity, when the Create Purchase Requisition check box is selected, the subcontractor is not specified. So, the subcontractor’s warehouse is also not specified. The warehouse for the incoming subassembly is populated with the warehouse that is populated for the outgoing subassembly. When the purchase requisition is transferred to a purchase order, the subcontractor is populated, and the warehouse is updated with the subcontractor’s warehouse.

  • Scenario 4

    This scenario is almost identical to scenario 3. The difference being the Supply Material to Subcontractor check box is selected when the activity is created. This field can be modified until the activity is released.

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