Get Involved. Join the Conversation.


    Raamjee Mani
    Component shipment for sub contracting
    Topic posted December 30, 2018 by Raamjee Mani, tagged Production Execution, Work Execution, Work Request Management 
    96 Views, 1 Comment
    Component shipment for sub contracting


    Client is purchasing a specific sub assembly from supplier technically its not a full purchase of sub assembly. Because to complete the manufacturing of sub assembly, client has to procure/manufacture one or more components and shipping out  those to the specific supplier. Supplier uses the shipped out item by client and add few more components to complete the sub assembly. Supplier is paid for the component added by himself and service charge.



    1) If there is a demand to procure sub assembly from supplier, then demand for the component which are procured/manufactured should flow in supply planning

    2) Notification to warehouse for shipment of component to the supplier and visibility of on-hand with supplier

    3) Once the sub assembly is received by client, auto backflush of  material shipped to the supplier should happen.





    • Aravindan Sankaramurthy

      Hi Raamjee,

      In order to better understand the business problem you are trying to address, I have a few follow up questions - 

      1. Are you trying to model this scenario as 'Contract Manufacturing' or 'Outside processing' in Oracle SCM Cloud? 

      2. If it is a pure contract manufacturing flow, is it a buy/sell subcontracting flow?

      3. Answer to (1) may result in different responses to what you term as expectations