Inspection results can be entered for inventory registered purchase parts, non-inventory registered purchase parts, and no-number parts. This must be done when the quantity to inspect is larger than zero (0). For inventory parts, you must enter the inspection results before you are allowed to move the parts into a stock location. For non-inventory parts or no-number parts, the results must be entered to complete the receipt. Use of serial numbers affect the handling.
You can enter the inspection results via the Receipt page (and some related places) or the Inspection Management page. Both pages lead to the same dialog. Inspection results can be reported regardless of where the parts are located, i.e., in an arrival, inspection, or stock location.
If you are using IFS/Quality Management and have created an analysis, tested the parts in question, and reported the results in this component, you can use these results as a guideline when you enter the inspection results and return parts for credit, in the receipt function.
When you enter the inspection results, faulty parts can be returned for credit. The return cause can, for example, be problems with the quality or a delivery made by mistake. The financial burden of returned parts is placed on the supplier, i.e., a credit invoice is required when returning parts with a Company Owned ownership type. A replacement order can be created for the returned parts. (See the activity description for replacement order for further information).
A return for credit is normally entered per return cause in the appropriate place when you enter the inspection results. You can specify several return causes for a receipt line. Do this by entering one line for each return cause. Example: You have a receipt line with ten parts. Six parts are entered as approved, one part is returned by the return cause A on one line, and three parts are returned by the return cause B on a second line. To make a full report, the sum of the quantity approved and any quantities scrapped or returned should be the same as the quantity to inspect. Otherwise, you have done a partial report of the inspection results.
When you are returning several lines with the same return cause on a receipt line, such as serial numbered parts, it is time-consuming to enter a new line and specify the return cause for each serial number. Instead, you can select all lines in question in the Receipt/Details tab and specify the return cause in advance by clicking Return Receipt Lines. A dialog opens and you can specify a return cause for all selected lines. You also must choose the return type Return Credit. When this is completed, the dialog for entering the inspection result opens with the return cause specified per serial number already filled in in the proper place. You can remove a line that is selected by mistake. It is also possible to change the return cause on a single line.
Once you confirm the return, the parts can be sent back to the supplier. Depending on the shipment type setting in the supplier's default delivery address (tab Outbound Address Information) shipments will either be created manually or by using the Available Lines for Shipments page in combination with Source Ref Type "Purchase Receipt Return". If the shipment type is set to create shipment at Report Return, purchase receipt return lines will be added to existing (matching) shipments. Otherwise, new shipments will be created.
In case a supllier return has been planned by mistake, this can be undone from the Receipt/Return tab before attaching the shipment to a shipment or after releasing the line from the shipment. For the shipment lines which are not yet delivered but reported picked, this can be undone from Inventory Parts in Shipment Inventory page. If this actions needs to be reverted after having delivered the shipment, this can be undone either through Undo Inspection Results for Inventory Part, Undo Inspection Results for Non-Inventory Part pages or Undo Delivery command in shipment page.
Note: Rentals cannot be returned as rework/credit and/or scrap during purchase order inspection.
A credit invoice is required when returning parts with a Company Owned ownership type. A replacement order can be created for the returned parts. The financial burden of returned parts is placed on the supplier.
If an outside operation item is credited, the remaining quantity for the operation after the outside operation is decreased by the credited quantity. This is displayed in the Shop Order/Operations tab. The operation history transaction is updated.
If you are using IFS/Quality Management in the receipt process, and if you have returned parts before an analysis is created, the quantity to inspect indicated on the Purchase Order Receipt page will be recalculated based on the quantity available when you create a new analysis. An existing analysis will not be affected.
For inventory-registered purchase parts with a Company Owned ownership type, postings are created with the debit posting type M14, Scrapped for Credit/Returned Goods in Inventory, and the credit posting type M1, Inventory. However, postings are not created when returning parts that have either Customer Owned or Supplier Loaned ownership types. For inventory parts with Company Rental Asset ownership inventory transactions for the return are created without postings, and in addition purchase transactions are created with debit posting type M91, Non-Inventory Receipt with PO Not-Invoiced, and credit posting type M92, Purchase Non-Inventory Material Arrival.
For consignment handled parts (a Consignment ownership type), postings are created with debit posting type M61, Consignment Stock Receipt, and the credit posting type M60, Consignment Stock.
If purchase charges where booked separately at purchase order arrival, then the charges will be booked separately when parts are returned to the supplier for credit using the debit posting type M196 - Return/Scrap of Charges.
For detailed descriptions of all system events and posting types, see the document Financial Events and their Bookings.