Customer Service Jobwork

Customer Service Job Work

Many times a large companies send their materials to their Subcontractors to manage the development or convert the Raw materials to Finished Goods. This process is called Jobwork where the Vendor doesn’t own any materials, but he would be charged for the conversion or the jobwork fees. We are making an attempt to explain the process and how to manage a Customer Service Jobwork.

Here the word “Service Jobwork” is used for services charges or the machine utilisation done by a vendor to convert RM to a Finished Goods as per his customer needs.

This is like a contract between Customer and supplier where its agreed to deliver some FG and the agreement on how much to pay for a piece of work.

Important:

It’s a good practice to have a Jobwork order and based on that receive the RAW Materials inside the company (Through Inward DC module)
However, its also possible to receive the RM without any Jobwork, but just by making a inward DC

Following fields to be entered for a JOB WORK order menu

Enter – Job work Number
Select a customer ID and Customer name can be modified, if required
Mention the credit terms, if any.
Enter the Reference Document and its details, if any
Enter finished goods for which this agreement is made.
Select service ID (non-inventory Item)
Enter quantity and unit price of service and it automatically calculate total cost of FG