Infor LN Subcontract Manufacturing Configuration
Subcontracting in Infor LN manages the outsourcing of specific manufacturing operations or complete assemblies to external vendors while maintaining production control and cost visibility. The subcontracting framework, configured through sessions like tirou0102m (Subcontract Operations) and tdpur0501m (Subcontract Purchase Orders), supports operation-level subcontracting, complete-item subcontracting, and vendor-managed material supply scenarios common in aerospace, automotive, and industrial equipment manufacturing.
Subcontract Operation Setup
Infor LN subcontract operations are defined within routings through session tirou0102m, marking specific operations to be performed by external vendors. Each subcontract operation specifies the vendor, outside processing cost, lead time, and material supply method. When a production order is released, subcontract operations automatically generate purchase requisitions or purchase orders to the designated vendor, linking manufacturing execution to procurement processing.
- Define subcontract operations in tirou0102m within standard routings specifying vendor, cost rate, and lead time per operation
- Configure automatic purchase order generation for subcontract operations when production orders are released or firmed
- Set up vendor selection rules for subcontract operations based on capability, capacity, cost, and quality performance scores
- Define alternate subcontract vendors with priority ranking for failover when primary vendors cannot meet capacity or delivery requirements
- Configure subcontract costing to include vendor charges, transportation costs, and quality inspection overhead in production order costs
Material Supply and Vendor Management
Infor LN supports multiple material supply methods for subcontracting through session tdpur0506m. In free-issue subcontracting, the manufacturer ships raw materials to the vendor who performs the operation and returns finished goods. In vendor-procured subcontracting, the vendor sources materials independently. The system tracks material issued to vendors, work-in-process at vendor locations, and receiving of completed goods with proper inventory valuation.
- Configure free-issue material supply in tdpur0506m generating shipment orders for materials sent to subcontract vendors
- Track material-at-vendor inventory positions to maintain visibility of company-owned materials at external vendor locations
- Set up vendor-procured subcontracting where the purchase order includes both material and processing costs in a single line
- Define subcontract return processing workflows including receiving inspection, quantity reconciliation, and scrap reporting
Subcontract Cost Control and Performance Tracking
Cost control for subcontracting in Infor LN tracks planned versus actual vendor costs per production order operation. Purchase price variances, delivery performance, and quality metrics are captured per subcontract vendor. Session tdpur0510m provides subcontract cost analysis reports comparing quoted costs against invoiced amounts, enabling vendor negotiation based on actual performance data and supporting make-versus-buy decision analysis.
- Track subcontract cost variances comparing planned operation costs against actual vendor invoices per production order
- Configure vendor performance scorecards measuring on-time delivery, quality acceptance rate, and cost adherence for subcontract operations
- Generate make-vs-buy analysis reports comparing in-house manufacturing costs against subcontract vendor pricing for outsourcing decisions
Optimize subcontracting in your Infor LN environment—schedule a vendor management review with Netray.
Related Resources
Infor LN Production Control Setup Guide
Configure Infor LN production control with production order types, routing setup, material issuing methods, and shop floor integration for manufacturing.
Infor LNInfor LN Quality Management System Configuration
Configure Infor LN quality management with inspection plans, test definitions, non-conformance tracking, and CAPA workflows for ISO and regulatory compliance.
Infor LNInfor LN Cost Accounting Configuration Guide
Configure Infor LN cost accounting with cost price calculation, cost components, variance analysis, and standard costing setup for manufacturing cost control.