Subcontract Item

vijayanderson

Hi Friends,

My client is an subcontract company, wherin the item/Raw material is given by Customer and after the respective Job work they sell it through Sale order. Hence the material will not be added to Inventory value. In Navision there is an option for Non stock, but that is mainly used for Drop shipment. Can some one give a solution for it.

Regards,
Vijay

AdamRoue

Are they selling the service? How do they track the items coming in?

They can book teh items into a warehouse outside of teh inventory valuation and setup the posting group for those items and warehouse to reverse each other, depends what they actually want to see and do.

vijayanderson

Its like they receive material in form of big rods, The cut the rods in to small pieces and send back. We post positive Item journal and dispatch.. Dont have a tracking of the item.
So wat would be the correct way to track and maintain it.

AdamRoue

So what is wrong with booking it in and doing the work nd dispatching it back as you describe is currently being done?

reema

For this First create a New item with different number series for which items are coming for Job work.

Then create Location for which materials are coming for JObwork.

Receive the material from customer put in to a new location.

If u are receiving that materials through item Journal then use differnt number series for thatmaterials which are coming for Jobwork.

Then assign that number series to Firm planned and Released production order number.( if u are using Production order)
Same production order number assign to sales order number.



This willl help u.


Let me know if u need any help.

santoshmkcet

Mr. Anderson,

Your doubt is that how to map Job work (When the company acts like a Subcontrcator)

isnt it?

If Yes, then the following should be the solution....

Creat the Customer as a Vendor in Vendor Card (but it should have the same account as that of Customer)

Recieve & Invoice the items from the Customer with Zero value (using Inventory Value Zero, a boolean field in Item Card should be Yes)

Then the usual process of Production & Dispatch as described by Reema to complete the Job Work.