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Dynamics 365 Community / Forums / Small and medium business | Business Central, N... / External Production
Small and medium business | Business Central, N...
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External Production

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Posted on by GS-17051342-0 130
Hi
 
We currently use a vendor to one of our manufacturing processes. We send them 25 pieces of item A. They have item B in stock. They will then solder our item A to their item B. The finished result item C is sent back to us. How does business central handle external productions?
Categories:
Dynamics 365 Business Central
  • Suggested answer
    Jun Wang Profile Picture
    Jun Wang 7,577 Super User 2025 Season 1 on at
    External Production
    2 ways, 
     
    search production bom or routing, if BC not showing anything, it means you are NOT on premium version
     
    or 
     
    go to company information page, try to change experience to premium. If this it couldn't be changed, then you are running essential.
     
    Jun Wang
     
  • GS-17051342-0 Profile Picture
    GS-17051342-0 130 on at
    External Production
    Where can I find my version?
     
    At this moment I was going to go down the line of using a BOM. 
  • Suggested answer
    Jun Wang Profile Picture
    Jun Wang 7,577 Super User 2025 Season 1 on at
    External Production
    if you are running BC premium and use the production module, the processes need to be set up using subcontracting in BC. If you don't use production module, you could use item journal to adjust off item A, adjust in item B with the correct costing. Since you don't own item B, the cost will be provided by the vendor.
     
    this is a simplified answer, it may need more detailed analysis and setup
     
    Jun Wang
  • Suggested answer
    YUN ZHU Profile Picture
    YUN ZHU 77,879 Super User 2025 Season 1 on at
    External Production
    Hi, I vote for assembly orders, it's simple after all.
     
    In addition, if item C is newly purchased, you can also use the Item Substitution function to directly ship it.
    More details: Dynamics 365 Business Central: Item Substitution
     
     
    Hope this helps as well.
    Thanks.
    ZHU
  • Suggested answer
    Valentin Castravet Profile Picture
    Valentin Castravet 26,323 Super User 2025 Season 1 on at
    External Production
    What modules do you use in the system? i.e. assembly or manufacturing?

    If you're using assembly orders you can simply create an assembled item thats item C, as part of the assembly bom you have item a, item b as well perhaps if you track this item in your system as well. And then a resource line for the cost that to the vendor.

    The manufacturing module has a subcontracting component as well, it can work similarly, where item C is the manufactured item and item A is part of the bom. The soldering part would be a separate work center   - Subcontract Manufacturing - Business Central | Microsoft Learn
     

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