Infor SyteLine4 min readNetray Engineering TeamUpdated March 4, 2025

How to Configure Outside Processing in Infor SyteLine

Outside processing in Infor SyteLine manages subcontracted manufacturing operations where work-in-process materials are sent to external vendors for specialized processing like heat treating, plating, or machining. SyteLine integrates outside processing with the routing, purchasing, and inventory systems to maintain cost visibility and material traceability. Proper configuration automates purchase order generation and streamlines the ship-to-vendor and receive-from-vendor workflow. This guide covers the complete setup from vendor configuration to receipt processing.

Setting Up Outside Processing Work Centers and Vendors

Create a dedicated work center for each outside processing operation in the Work Centers form (SLWorkCenters). Set the Work Center Type to Outside Process (O) to flag it for subcontract handling. On the Outside Process tab, assign the default vendor who performs this operation and specify the cost per piece or per hour. Link the work center to a vendor record in the Vendor form (SLVendors) with proper lead time and payment terms. The wc table stores the outside_vendor and outside_cost fields that the system references during PO generation. Configure the purchasing unit of measure to match the vendor's billing method, whether per piece, per pound, or per hour of processing time.

Create outside process work centers with Type = O in the Work Centers form (SLWorkCenters)
Assign default vendor and cost per unit on the Outside Process tab of the work center
Configure vendor lead times in the Vendor form to include shipping transit in both directions
Set purchasing UM on the outside process work center to match vendor billing methodology

Configuring Routing Operations for Outside Processing

On the Routing form (SLRoutings), add an operation that references the outside process work center. Set the operation type to Outside Process and enter the standard cost per unit. When a job is created with this routing, SyteLine flags the operation for PO generation. The routing table's op_type column stores the outside process indicator. Configure the Move Hours field to account for transit time to and from the vendor, typically 2-5 days each way. Use the Generate Outside Process POs utility under Purchasing > Utilities to automatically create purchase orders for all released jobs with pending outside process operations. The GenOutsidePOSp procedure matches job operations to vendor records and generates PO lines.

Add outside process operations to routings referencing the O-type work center
Set Move Hours to include round-trip transit time between your facility and vendor
Run Generate Outside Process POs utility from Purchasing > Utilities for batch PO creation
Review generated POs on the Purchase Orders form to verify quantities and vendor pricing

Managing Shipments and Receipts for Outside Processing

Ship materials to the vendor using the Outside Process Shipment form (SLOutsideProcessShip). Select the job and operation, enter the quantity shipped, and print the shipping document. The system moves inventory to an In-Transit location, maintaining material traceability. When the vendor completes processing, receive the materials back using the Outside Process Receipt form (SLOutsideProcessRecv). The receipt transaction posts the vendor's processing cost to the job's WIP account and moves materials back to the production floor location. Match the receipt to the purchase order for three-way matching during accounts payable processing. Track vendor performance metrics including on-time delivery and quality acceptance rates.

Ship materials via Outside Process Shipment form which moves inventory to In-Transit location
Receive processed materials using Outside Process Receipt form to credit vendor PO and update job costs
Enable three-way matching between PO, receipt, and vendor invoice for AP accuracy
Track vendor on-time delivery and quality rates using the Vendor Performance Report

Frequently Asked Questions

How does SyteLine generate purchase orders for outside processing?

SyteLine generates outside process POs through the Generate Outside Process POs utility in Purchasing > Utilities. The GenOutsidePOSp procedure scans all released jobs for operations assigned to outside process work centers. It creates PO lines matching the job quantity, vendor, and cost from the work center configuration. The process typically generates POs in batches of 20-50 per run, completing in approximately 30-60 seconds depending on the number of eligible operations.

Can I track materials while they are at the outside vendor in SyteLine?

Yes, SyteLine uses an In-Transit inventory location to track materials sent to vendors. When you ship materials via the Outside Process Shipment form, inventory moves from your production floor to the In-Transit location. This maintains quantity visibility and cost accounting throughout the subcontracting cycle. Approximately 70% of manufacturers configure separate In-Transit locations per vendor for clearer tracking across 3-15 active subcontractors.

How do I handle quality rejections from outside processing vendors?

Process quality rejections by receiving only the accepted quantity on the Outside Process Receipt form and reporting the rejected quantity as scrap. For rework situations, create a debit memo against the vendor PO and ship the rejected parts back for reprocessing. Track rejection rates on the Vendor Performance Report, targeting less than 2% rejection rate. Vendors consistently exceeding 5% rejection rates should trigger a vendor quality review involving approximately 4-6 corrective action steps.

Key Takeaways

1Setting Up Outside Processing Work Centers and Vendors: Create a dedicated work center for each outside processing operation in the Work Centers form (SLWorkCenters). Set the Work Center Type to Outside Process (O) to flag it for subcontract handling.
2Configuring Routing Operations for Outside Processing: On the Routing form (SLRoutings), add an operation that references the outside process work center. Set the operation type to Outside Process and enter the standard cost per unit.
3Managing Shipments and Receipts for Outside Processing: Ship materials to the vendor using the Outside Process Shipment form (SLOutsideProcessShip). Select the job and operation, enter the quantity shipped, and print the shipping document.

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