Returns

Returning received lines is the process of moving the material received in the warehouse back to the supplier, customer, or receiving. You must have a valid receipt prior to processing returns.

These aspects are important when returning receipts:

• Return eligibility

• Return quantity

• Lot and serial number information

• Subinventories and locators

• Debit memos

• Returns processing

• Transfer orders

• Return for credit

Return Eligibility

The following aspects determine whether a receipt is eligible to be returned:

• Purchase order status: You can return an item to the supplier if the purchase order is not in either Canceled or Final Closed status.

• Unordered receipt matching: You must match unordered receipts before they can be returned.

• Source type: You cannot return receipt lines with internal source types (interorganization shipments).

• RMA status: You cannot return RMAs to the customer if the material has been delivered to inventory.

Return Quantity

If you select an item for return, then the return quantity must be less than or equal to the recorded quantity. If your organization does not allow negative balances, and the return quantity will result in a negative on-hand quantity, then you cannot proceed with the transaction.

You have the option to enter a complete or partial return. If you are returning only part of a receipt line, the return quantity will be less than the recorded quantity. If you are returning the entire receipt line, then the return quantity will equal the recorded quantity.

Lot and Serial Number Information

If you select a line to return and the corresponding item is either lot or serial controlled, then you must enter the lot and serial information. If the complete receipt line corresponds to a single lot or serial range, then you can update the lot and serial information directly on the Return Lines page or the Return Line page. If not, then you can select the Record Lots and Serial Numbers item from the Actions menu to enter new lots and serial numbers. You cannot generate any new lot or serial numbers during returns.

Subinventories and Locators

When you return items to receiving, you have the option of selecting the subinventory and locator, as well as the return from subinventory and locator. If you don't select a subinventory and locator, the application uses the default receiving subinventory and locator for the warehouse.

Debit Memos

Depending on the debit memo setting for the supplier site, the application can automatically create a debit memo when a return is processed for the receipt line.

You can also manually create a debit memo for the return transaction.

Note:

You can't automatically create a debit memo for returns of consigned items.

Returns Processing

Return processing differs depending on whether you are returning items to the supplier, customer, or receiving:

• Supplier: When you return items to the supplier, Oracle Receiving creates both a Return to Receiving and a Return to Supplier transaction.

  Receiving also reopens the associated purchase order for the return quantity by reducing the original receipt quantity.

• Customer: When you return items to the customer, Receiving creates both a Return to Receiving and a Return to Customer transaction.

  For customer returns, if you return the item back to the customer, Receiving updates the RMA to reflect the returned quantity.

• Receiving: When you return items to receiving, you can optionally select the subinventory and locator. If you don't select a subinventory and locator, the application uses the default receiving subinventory and locator for the warehouse.

Transfer Orders

When you request a return against a transfer order, the returns process associates the return transfer order with the original transfer order, and the physical return of the material is optional.

The following exceptions apply to returns against transfer orders:

• You can't perform return transactions for expense destination transfer orders.

• When you initiate a return against a transfer order, you can no longer correct the returned quantity.

• You can't combine the transfer order return lines with other purchase order or RMA return lines on the same return receipt.

• You can't perform return transactions for an intraorganization transfer order.

Return for credit

When you request return against purchase order, the returns processed would not be a physical replacement of the returned goods but a credit note for the amount of the returned goods. Therefore, you don't want the original purchase order reopened to ensure that goods can't be received against that purchase order in the future.

The following exceptions apply to returns against purchase order schedule:

• You can't perform return transactions if you have a schedule that was already returned without a credit.
• If you have a schedule that was partially returned without the credit option, any subsequent return (same receipt or different) will not allow credit.
• If you have a schedule that was partially returned with credit, all subsequent returns will have return for credit.