Subcontracting Landed Costs
Manage additional costs for subcontracting
The MRP Subcontracting Landed Costs module improves the management of landed costs (additional costs) for subcontracting orders. This module allows easy identification of subcontracting orders when applying landed costs, displays picking references in search view, allocates additional costs to subcontracted products, and accurately calculates inventory valuation.
Key benefits
Key points
• Easy search: Displays picking reference for quick subcontracting order lookup
• Accurate: Properly allocates costs to each product
• Transparent: Tracks all additional costs comprehensively
• Accounting: Records correct inventory valuation
Installation and configuration
This module is automatically installed when you have Stock Landed Costs and MRP Subcontracting.
Steps
1. Go to Inventory → Configuration → Settings.
2. In Valuation section: Check Landed Costs.
3. Click Save.
4. Go to Inventory → Configuration → Landed Cost Types to create cost types.
Common cost types
Landed cost types for subcontracting
| Type | Description | Example |
|---|---|---|
| Shipping | Transportation | Shipping cost from subcontractor |
| Insurance | Insurance | Goods insurance |
| Customs | Customs | Import duties |
| Handling | Handling | Loading and unloading costs |
| Other | Other | Other additional costs |
Create new landed cost
Steps
1. Go to Inventory → Operations → Landed Costs.
2. Click Create.
3. Select Transfers: Choose receipt from subcontractor.
4. Add Cost Lines: Enter cost type and amount.
5. Choose Split Method: By Quantity, By Current Cost, By Weight, or By Volume.
6. Click Compute to calculate allocation.
7. Review allocation results.
8. Click Validate to confirm.
Allocation methods
Split methods
| Method | Description | When to use |
|---|---|---|
| By Quantity | Allocate by quantity | Homogeneous products |
| By Current Cost | Allocate by current value | Products with different values |
| By Weight | Allocate by weight | Shipping costs |
| By Volume | Allocate by volume | Storage costs |