Leo Tran Manufacturing Published: 5/16/20 Hits: 255

In Odoo ERPOnline, you can also subcontract production operations (for example, painting and item assembly) at a supplier's. To do this, you should indicate on the relevant routing document a supplier location for stock management.

Configure a location dedicated to this supplier with the following data:

  • Location Type: Supplier,
  • Location Address: Select an address of the subcontracting partner,
  • Chained Location Type: Fixed,
  • Chained Location if Fixed: your Stock,
  • Chaining Lead Time: number of days before receipt of the finished product.

Then once the manufacturing has been planned for the product concerned, Odoo ERPOnline will generate the following steps:

  • Delivery of raw materials to the stores for the supplier,
  • Production order for the products at the supplier's and receipt of the finished products in the stores.

Once the production order has been confirmed, Odoo ERPOnline automatically generates a delivery order to send to the raw materials supplier. The storesperson can access this delivery order from the menu Warehouse > Operations > All Operations > YourCompany: Internal Transfer. The raw materials will then be placed in stock at the supplier's stores.

Once the delivery of raw materials has been confirmed, Odoo ERPOnline activates the production order. The supplier uses the raw materials to produce the finished goods which will automatically be put in your own stores. This manufacturing is confirmed when you receive the products from your supplier. Then you will indicate the quantities consumed by your supplier.

If you do not use routing, you can always subcontract work orders by creating an empty routing in the subcontracting bill of materials.

Production orders can be found in the menu Manufacturing > Manufacturing > Manufacturing Orders. A production order is always carried out in two stages:

  1. Consumption of raw materials,
  2. Production of finished products.

Depending on the company's needs, you can specify that the first step is confirmed at the acknowledgement of the manufacturing supplier, and the second at the receipt of finished goods in the warehouse.