Subcontract Operation and Vendor Setup
Subcontract operations are defined on the Job Routes form (menu path: Production > Jobs > Job Orders, Routes tab) by flagging a routing operation as Outside (subcontract). The operation links to a vendor and triggers automatic PO creation when the job is released. Configure subcontract vendor defaults on the Work Centers form for consistent outside processing setup.
- Flag routing operations as Outside on the Job Routes sub-form and assign the subcontract vendor in the SLJobRoutes.VendNum field
- Configure subcontract work centers on the Work Centers form (menu path: Production > Bill of Materials > Work Centers) with the Outside flag enabled
- Set up subcontract unit costs on the operation routing including per-piece rates, setup charges, and minimum order charges
- Define subcontract lead time on the routing operation to include transit time to/from vendor plus vendor processing time
- Link subcontract operations to vendor price records in the SLVendorPriceMatrix for automatic cost resolution on generated POs
Material Shipment to Subcontractor
When your material must be sent to the subcontractor for processing, SyteLine tracks the outbound shipment using the Subcontract Shipment form. Configure inventory transaction rules to move material from your warehouse to a subcontract location (representing material at the vendor) and maintain accurate inventory valuation throughout the subcontract cycle.
- Create a subcontract warehouse or location in the SLLocations table to track material physically at vendor premises
- Process material shipments to the subcontractor using the Subcontract Shipment form which transfers inventory to the subcontract location
- Configure automatic material transfer transactions when the subcontract PO is dispatched to the vendor
- Set up return material tracking for scrap, overages, or unused material returned from the subcontractor after processing
Subcontract Receipt and Cost Integration
Receiving processed material from a subcontractor requires both PO receipt processing and job operation completion. The subcontract receipt updates the PO status in SLPoItems, moves material from the subcontract location back to production inventory, and posts the operation cost to the job. Configure the receipt process to capture quality inspection data and cost variances.
- Process subcontract receipts on the PO Receiving form which simultaneously completes the job operation and updates SLJobRoutes.QtyComplete
- Configure automatic quality inspection triggers for subcontract receipts to verify vendor processing meets specification requirements
- Set up cost variance tracking to compare actual subcontract PO cost against the standard operation cost on the job routing
- Enable automatic job operation status update from the subcontract PO receipt to advance the job to the next routing step
- Configure subcontract cost posting to the correct GL accounts using the Product Code mapping on the Items form for accurate job costing
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SyteLine Job and Order Status Codes Reference
Look up what Planned, Firm Planned, Released, Stopped, Complete and the other SyteLine status codes mean and how they behave in planning and shipping.
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