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Outsourced Manufacturing Basics
Past ERP systems I've used handle outsourcing via routings so I want to check my basic understanding of how NetSuite handles outsourced manufacturing.
Example: welded frame that is outsourced for painting. The frame has a BOM and a WIP routing. Once the frame is welded it is outsourced for painting and then returns for further processing/assembly.
To setup and get the outsourced painting of the frame handled correctly in NetSuite i would:
- create a "for purchase" charge item specific to the painting of the frame. This charge item would include the outsourced vendor and cost for the vendor to paint the frame.
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