Define Material Provision Indicators

The material provision indicator identifies a BOM item as a material to be provided. This indicator is read in
MRP.

In a BOM explosion, you can use this indicator to restrict the items selected according to material provision
indicator.
The indicator does not interrupt the explosion of the BOM to the lowest level. There are two steps to the
BOM explosion:

The system explodes the entire BOM, regardless of the indicators you select to restrict items. You
do not see the result of this explosion on the screen.

The system reads the indicators you selected to restrict items, such as the Material provision
indicator.
These indicators act as filters. The explosion result you see on the screen only includes the items
that have the material provision indicator you selected.

There are two types of material provision:

Provision of material by a vendor

Provision of material by a customer

Material provided by a vendor

This indicator controls MRP. Only set this indicator for a material component if the material master record of
the header material supports subcontracting (Special procurement field).
The special procurement key for subcontracting means that all components of the BOM are provided free of
charge to a subcontractor for further processing. The items are copied to a subcontract order.

If the item is provided to a vendor, do not enter a material provision indicator.

Dependent requirements are generated for this item.

If the item is already at a vendor's premises and is not provided by us, enter an indicator for
material provision by a vendor.
No dependent requirements are generated for this item.

Material provided by a customer

This indicator is not currently active.

Actions

1. Find out which types of material provision occur in your company.

2. Define your material provision indicators accordingly.