NAV 5.0 - Contract Manufacturing and Sales Implementation - (CK-NAV 15-Sep-2009)

Business Central/NAV User Forum
1

Hi Everyone,

I would like to know if there is anyone with experience in setting up Contract Manufacturing and Sales.

Company A is the Host Company that offer Manufacturing contracting services to other companies…

Company B is the Company contracting Manufacturing and Sales Services from Company A.

Company A uses it’s own Raw material and BOM to make company B product at agreed Cost.

Once produced Company A sells and Ships Product to Company B Customers at agreed Selling Price.

Selling and Administration Costs related to the Product are charged back to Company B.

Freight and Distribution Costs are also charged to Company B.

Customer Rebates are also charged back to Company B.

Company A also sells Company B product to it’s own Customers at a different Selling Price.

I would like to know if anyone has had any experience setting/implementing this scenario in plain NAV and if using add-ons which ones they used.

Any feedback is appreciated.

Thanks,

CK.

2

So means they are IC vendor and customer to each other i.e. all. [:D]

Freight and distribution costs in any case they will load on Inventory again can be taken off by an IC Journal.

Only thing they cannot do is manufacture at agreed cost as I read it because if it is agreed cost that means anything deviating from agreed cost will be taken as variance for that u need to have standard cost. If it is standard than for other customers as well they will get the variance.