Subcontracting in S/4HANA

The key to effective handling of external assignments

Are you looking for a way to effectively process external work within your SAP system?
Do you lack transparency and plannability in your subcontracting process?
Do you have complex subcontracting of production steps to external suppliers and need to map these in SAP?

If a company lacks the technological competence or specialization to manufacture a product, it is necessary to have the machining or processing performed externally by a subcontractor. Unplannable capacity bottlenecks in production make it necessary to outsource certain processing steps. The lack of know-how about the complex functions in S/4HANA, as well as the master data required for this and dependencies of the adjacent modules in relation to the subcontracting process make implementation difficult.

The order and inventory monitoring increases with the number of external processing by a subcontractor as well as the components to be provided per subcontractor part. Without intelligent inventory management in the system, a company quickly loses track of all subcontractor inventories.

Subcontracting cockpit

In addition to the integration of payroll processing in all SAP modules, you can also benefit from innovations in the SAP Fiori environment. Use the payroll cockpit to efficiently control your payroll processes in the company:

Matthias Lebschy - CONSILIO GmbH

Use the integration of payroll processing in almost all SAP modules to guarantee all your employees an all-round view of all your payroll processes. We are happy to support you from conception to implementation.

Matthias Lebschy, Consultant MM & MRPCONSILIO GmbH

Your advantages

By using the subcontracting process in SAP, a company benefits from end-to-end visibility of the business partner relationship between the company and its suppliers. By maintaining the necessary master data, it is possible to automate the ordering process. The entire flow of documents and goods can be tracked throughout the entire process chain. 

  • Overview and transparency of the inventory situation at the subcontractor's premises
  • Order monitoring
  • Unambiguity between finished part and component provided thanks to a bill of materials
  • One goods receipt posting for finished part and component to be provided
  • By using MRP areas, requirements for material provided to vendor are displayed separately and not mixed with plant requirements.


CONSILIO approach to subcontracting

CONSILIO brings the complete know-how in the area of payroll processing in S/4HANA to its customers. From classic subcontracting to complex subcontracting scenarios with third-party processing as well as integration in adjacent modules, such as SD and PP/DS. Through a holistic process analysis, we are able to understand the currently lived customer process.

This enables us to subsequently implement the optimal subcontracting process for the customer. The implementation can take place on an ECC system as well as in the new S/4HANA system. With a fully comprehensive training concept, users are optimally prepared for the process implementation.

Effectively handle suppliers!

Use payroll processing in S/4HANA and create added value!

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