| # Subcontracting - Service order Subcontracting is an arrangement with a subcontractor to perform a service order activity. The entire service or a part of the service can be subcontracted to a subcontractor. A Cost or Service item and the subcontractor must be defined at the service order activity level to identify that the activity is subcontracted. You can subcontract different activities to various subcontractors. During service order planning, a purchase order is generated for the supplier. A subcontracting cost line is created in the Service Order other cost lines with the cost type set to Subcontracting to register the cost and sales of the subcontracted activity. A purchase order must be received to indicate that the subcontractor has delivered the required services. |