Cost Accounting for Rework and Transformation Work Orders

Oracle Cost Accounting provides costing and accounting functionality for the following manufacturing work order types:

• Rework Work Orders. A work order of type Rework is created for finished products with defects that need to be repaired and reworked. For example, a product may need to have a defective component removed and replaced with a new component.

• Transform Work Orders. A work order of type Transform is created when you want to refurbish a product and transform it into a different product, for example, by upgrading one of the product components.

Transactions Types for Rework and Transform Work Orders

The following transaction types have been added for rework and transform work orders:

• Material Negative Issue. If the quantity is negative and the transaction type is Issue, then a Material Negative Issue transaction is used.

• Material Negative Return. If the quantity is negative and the transaction type is Return, then a Material Negative Return transaction is used.