If the Services Procurement functionality is implemented, Planned PRP Purchase Orders and Purchase Budget Detail Lines for cost types, Subcontracting and Equipment, can be transferred to Procurement using the Services Procurement functionality.

In the Service Order Activity (tssoc2110m100) session, you can select the External Hire check box to indicate that the equipment required for rental is hired from an external Buy-from Business Partner.

An Application for Payment (AFP) is used to register and assess the work completed by a subcontractor during a specific period specified for a Subcontracting Procurement Order. In the Application for Payment (tdpur6620m000) session, you can maintain the AFP data submitted by the subcontractor at the end of a period, mentioning the work completed during the period. The work mentioned in the AFP is assessed by a surveyor (main contractor or the representative of a buyer). The assessment data of the Surveyor is specified against the applied values (the assessed values can be different for the applied values).

The Retention functionality enables the main contractor to retain a percentage or amount of each payment to a subcontractor, to ensure the subcontractor performs the work up to the expected level of quality. This amount can be paid after the defect liability period is completed or when the subcontractor requests for releasing the retention amount. The subcontractor can request for full amount to be released at one go or can ask for the same in installments, mainly for cash flow management.

A variation request can be created by the subcontractor to modify a specific scope of work in the Services Procurement Order (SPO). You can change the scope of work in a specific SPO line after the SPO is printed or approved. After the modifications are done using the variation request and approved, these are processed to the SPO to update all the related transactions.

Equipment Procurement Orders are used to hire equipment from an external supplier, to perform the defined scope of work. You can use the Equipment Procurement Orders (tdpur6600m300) session to manage the orders.

The Certificate of Payment is a document that is created to register the amount payable to subcontractors. This document is based on Application for Payment. This document also includes the taxes to be paid, any additional payments or deductions that are not related to the order.