Are you expecting a credit note for the parts or are they being re-worked and being returned to you?

One option would be to define your Supplier also as a Customer (Supplier record > Purchase tab > General sub-tab > Customer No) and Ship the Parts to the Supplier using a Customer Order. This functionality is normally designed/used to send Purchase Components to your Suppliers (Purchase Component Method = Customer Order in Site record > Sales and Procurement tab > General sub-tab), but it can be applied to your case also.

To do this, your Part needs to be defined as a Sales Part also. If you use Price values as appropriate (Normally, Sales Price should be the same as the Original Purchase Price that you paid when Purchasing these Parts before IFS was implemented), you can use a Standard Customer Order Invoice to handle the FInancial side of the transaction (I.e. to get the refund).

If it is a Supplier Credit note that you’ll be using to get the money back (Entered on Financials\Supplier Invoice\Manual Supplier Invoice), you can set Sales Price as ‘Zero’ on Customer Order (Which in fact results in a Zero valued Customer Invoice) and use it to handle the Inventory movement only. When entering the Supplier Credit note, you can use the Customer Order No as one of the references to keep the link between the two IFS records.

Note :

There is a functionality called Supplier Shipment (Only available in newer IFS versions) but currently, it does not support Order-less returns. If you could do that, it would be the ideal way to handle this scenario (Similar to Order-less RMA in Sales), since you can’t create a new Supplier Shipment without an Order/Receipt, this method can’t be used to return a Stock that does not have a corresponding Order/Receipt record in IFS.

Anyway, I’ll add your request to our ‘Ideawall’ (A Flatform that is used to collect ideas for future developments) so that your request is also considered when integrating similar functionality into a coming Core version.

In my Apps 7.5 - Apps 8 Experience and I am not sure if this would cause a GRNI issue for you or costing depending on the inventory valuation method but I have always created a dummy PO to bring in the stock to avoid this issue.  You count the stock out and create a Purchase Order and receipt the stock in referring to the original Purchase Order and pricing of the parts?  

In summary 

Count parts out> Raise Dummy PO>Receipt Stock>Inspect>Return for Rework/Credit

@PRODQ we are expecting a credit note

@BPLFABRIZIO and @KanishkaD thanks for your replies I will send them thru to the appropriate people in our business.

In that case, Gerry, you could manually adjust the stock off (Issue Inventory Part), post to whichever account code you felt appropriate.  When the credit note arrives, post it against this account code.

Linda

Thanks All

We will probably use the following process which is similar to what a couple of you proposed.

1. Ensure there aren’t any received but not invoiced PO’s(GRNI balance related to the parts)  for the inventory parts in interest (to avoid future cascading effect of Weighted Average unit price changes)
2. Move the parts to other sites using ‘move inventory parts’ functionality ( If bulk transfer is required, we can use transport task)
3. Set the posting type M6 to a new clearing account and scrap the inventory parts
4. Enter a negative manual supplier invoices (MSI) for the $ value and manually map the postings to the string used in M6 postings (This will net off the scraping cost against what supplier pays us. If there is a gap between the cost of scrapping and what supplier agrees to pay that will be either a revenue or cost)
5. Offset the negative MSI in supplier payment proposal