Generating Requirements for Externally Processed Activities

Objective

After completing this lesson, you will be able to generate purchase requisitions for externally processed activities

External Processing with Networks

James and Manuel Discuss the Planning of External Resources

James is a project planner at Hybrid Machinery. Manuel is responsible for project procurement. They discuss the required planning activities for the external suppliers.

Note

This is their conversation:

External Processing

The process for an external activity is shown.

Service procurement via purchasing is mapped in networks by means of the following two activity types:

  • Externally processed activity
  • Service activity

For example, if you commission an engineering office to design a machine, you can create an externally processed activity. When you create an activity such as this, a purchase requisition that is processed further in purchasing is automatically created. You can use data from purchasing for external processing (a purchasing info record that contains prices and delivery times for external processing).

A service activity can contain a hierarchy of planned services to be purchased, and value limits for unplanned services. A service activity triggers a similar purchasing process as an externally processed activity. However, there is no goods receipt for services. Instead of a goods receipt, a service entry sheet is used. The purchasing process for a service activity involves two steps, namely, entering in of the service and acceptance of the service.

Generate Purchase Requisitions for Externally Processed Activities

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