Multi-Order Subcontracts#

Multi-order subcontracting is used to assign items from different production orders jointly to one or more carriers. You can then create subcontract purchase orders for these carriers and bill the items stored on them per carrier or production order.

Example
For sterilization purposes, you put parts of multiple orders on the same pallet. You then use the functionality to have each item that you stored on it transferred to the same subcontract purchase order. Afterward, you can decide if you want to bill the entire carrier to the customer or include on the invoice each item based on the cost of production operations.

Setup#

Manufacturing Setup#

To be able to work with this functionality, you need a number series for both multi-order subcontracts and for carriers.

1. Choose the Search icon, enter Manufacturing Setup, and then choose the related link.
2. On the Numbering FastTab, fill in the Multi-Order Subcontract and Carrier Nos. fields.

On the General FastTab, in the Carrier Price Base field, you can also choose how you want costs to be calculated, that is, by Carrier Unit or the Cost of Operation. For more information, see Invoice a Purchase.

Carrier price unit#

If you choose Carrier Unit as the basis for cost calculation, you must set up a carrier code and price unit in the system.

1. Choose the Search icon, enter Carrier Price Units, and then choose the related link.
2. Choose Edit on the ribbon to edit or add a unit. Alternatively, choose New to create a unit and enter a meaningful code, a description, and a unit price on the new line.

Workflow#

Multi-order subcontracting requires that the relevant production orders be released.

Create carriers#

To create a carrier:

1. Choose the Search icon, enter Carriers, and then choose the related link.
2. On the ribbon, choose New; the Carrier No. field on the new card is filled in automatically.
3. Enter a carrier code on the card, as well as a released production order in the Prod. Order No. field, and a quantity. Afterward, choose OK.

For this type of subcontracting, you can use only released production orders that are linked to certain work centers. The items that have been specified on each order can be distributed onto more than one carrier.

Print carrier labels#

To create a labeling document for a carrier, choose Print on the ribbon.

The Combined and Checked fields on the lines are used for internal documentation purposes.

Create a subcontract#

To create a multi-order subcontract:

1. Choose the Search icon, enter Multi-Order Subcontracts, and then choose the related link.
2. On the ribbon, choose New, and then fill in the subcontractor’s work center or vendor number on the General FastTab.

If you enter a work center, the other fields required for the subcontract will be filled in automatically from the vendor card linked to it.

Assign and remove carriers#

To add carriers to a multi-order contract:

1. Choose Assign Carrier on the ribbon.
2. Select the carrier you want, and then choose OK.

You’ll see a message when the carrier has been added. To remove a carrier from a contract, select it, and then choose Delete Carrier on the ribbon. Afterward, choose OK.

If, in Manufacturing Setup, you choose Carrier Unit as the basis for calculating costs, the General FastTab of the subcontract will also contain the following fields:

• Quantity
• Price per Unit
• Amount

Print multi-order subcontracts#

Print Carrier Label#

Prints the carrier document. Running the function opens a route card where you can turn on the Incl. Prod. Order Lines toggle to print these lines as well.

However, the advantage of not printing production order lines is that only absolutely necessary information is transmitted to the subcontractor.

Print by Item#

Run from the same ribbon, prints route sheets for multi-order subcontracts sorted by item.

Create and release subcontract purchases#

When you’ve assigned all carriers, you can run the Make Order action from the ribbon to create a purchase order based on the created subcontract.

After the order has been filled in, the contract is released automatically; data about the carrier remains on the lines, however. You can see if a certain purchase order is linked to a contract by checking the Purch. Order Exists field.

You can then choose Yes in the dialog box that appears to open the corresponding order and edit it further. The status of purchases is automatically set to SUBC. The quantity on the purchase lines is added per order-item combination.

Print a subcontract purchase#

To print the contract, choose Print on the ribbon. Alternatively, you can use the Post and Print action system to print a receipt.

Price a purchase#

If you choose Carrier Unit in setup, the total price of the order is calculated based on the total price of the assigned carriers. If you select Cost of Operations, costs will be calculated based on the operations involved in manufacturing the items.

Receive a purchase#

To receive the order, choose Post on the ribbon. Alternatively, you can post the receipt when the goods are delivered to your warehouse. This opens a dialog box where the Receive field has already been selected. Choose OK.

Following receipt, the order shows the delivered quantity in the Qty. Received field, whereas the Quantity field indicates what must be received overall.

On the associated multi-order subcontract, two additional references are then shown automatically, one to show full order delivery and another used for the shipment.

Invoice a purchase#

To invoice multi-order subcontracts:

1. Open a contract.
2. On the ribbon, choose Post.
3. In the following dialog box, select the Invoice field, and then choose OK.

When invoicing is complete, the subcontract purchase order is copied to the list of posted documents and you’re asked if you want to open the invoice document.

You can also open the document later by choosing the Search icon and entering Posted Purchase Invoices. The subcontract, too, contains a reference to the fully invoiced order.

Archive a subcontract#

A multi-order subcontract is automatically archived after release. However, before you delete a contract, we recommend that you archive it again manually to ensure that you have the most current version available.

To archive a contract manually, you need to run the Archive action from the ribbon. You’re then asked if you want the subcontract header to be archived. Choose Yes.

To see all archived subcontracts, choose the Search icon, enter Archived Multi-Order Subcontract List, and then choose the related link.

Once archived, contracts must be deleted manually from this list by selecting them and using the Delete action on the ribbon. Certain contracts might also be removed when you run the Delete Invoiced Purchase Order function.

Example
You don’t use the Post action to create an invoice but open the Purchase Invoices page and choose New on the ribbon. This means that the related order will not be deleted. Instead, you must run the Delete Invoiced Purchase Order report for this.

If a production order is deleted via this report, the system checks if the items to be produced are linked to a multi-order subcontract. If they are, the contract is deleted as well. If, however, an order is deleted manually or when using the Post action, the relevant contract must be removed manually.