Return Loaned Material To Supplier

Explanation

This activity is used to register and process the return of supplier loaned parts that were issued to a work task. Once the registration of the return line is complete, the parts can be returned to the supplier. If the borrowed period is subject to invoicing, this process should be used. The process is also applicable when the borrowed period is not invoiced.

When returning a serial-tracked part with ownership type Supplier Loaned, the part must first be registered on the Return tab of the work task. When the return line is selected, the Return Loaned Part to Supplier command becomes available, and the assistant opens to enter the required details. The system retrieves the Shipment Type automatically, first from Supplier/Address ID/Outbound Address Information and then from the Site/Shipment Management. If no default exists, the shipment type can be entered manually. If the Invoiceable indicator is enabled on the line, it means that the borrowed period can be invoiced.

 When the assistant is confirmed, a purchase order is created automatically to receive the returned parts into inventory and process the return. The flow continues automatically until a shipment is created. If the shipment type is configured without intermediate stops, the shipment completes automatically. The automatically created purchase order can be used for price adjustments and to raise an invoice for the borrowed period. Price adjustments can also be managed through the manual supplier invoice.

Prerequisites

• The inventory part must be registered in IFS/Inventory and Serial Tracking should be enabled.
• The work task status must be between Released and Work Done.
• The Return Reason must be defined in Procurement/Receipt/Receipt Basic Data/Return Causes.
• Shipment Type must have At Report Return specified as the creation method in Receipt Return field in Shipment Type/Creation tab.

System Effects

As a result of this activity:

• The part is returned to supplier, and inventory quantities are updated.
• Navigation from the return line to the automatically created receipt details will be possible.
• On Receipt Details, the label Supplier Loaned Part Return will be visible under Receipt Indicators.
• Pending shipment lines are created to complete the return to supplier, or if fully automated, the shipment is completed.
• On the Return tab of Receipt page, a return line will be visible with Return Type called Return Loaned.
• On the automatically created purchase order line, the column Supplier Loaned Part Return is set to Yes.
• If the Invoiceable indicator was on, a purchase transaction will be created.
• Other necessary transactions are created including an inventory transaction for the supplier loaned part return.