The manufacture's products are usually produced in its factory, but it may subcontract some of operations to other companies for its insufficient capacities or technical skills or financial reasons. In this case, parts and materials necessary to generate the requested items are provided to subcontractors, which is called "Supplying" and its parts and materials provided to subcontractors are called Supplied items. Supplies are provided for free or for a fee. Generally the former is called Free Supplying, while the latter is called Charged Supplying. Regarding supplies provided to subcontractors, they may be provided from the company or directly from the source which the company procures the items like purchased parts from. The former is called Direct Dispatch, while the latter is called Direct Sending.


Related term: Supplied Item,Purchasing Planning