Redwood: Report Material Scrap in a Discrete Manufacturing Work Order

Manufacturers need a streamlined process for frontline operators to accurately report and record scrapped material, minimizing delays and administrative overhead while ensuring precise cost and inventory tracking. With this update, you can record, review, and correct material scrap during material reporting, production execution, mobile production reporting, and postproduction reporting for discrete manufacturing work orders.

Once a material has been issued to a work order operation, you can report a scrap quantity into a default or specified subinventory and locator, where it can be further investigated and dispositioned by a material review board. You can also return scrapped materials to the work order to address a data entry error. New material transaction types for scrap and scrap return are introduced in addition to capturing a reason code and transaction note.

You can review the material scrap reported and initiate return from scrap to correct data entry errors before completing and closing work orders. When e-signatures and e-records are enabled, you can sign off on material scrap and scrap return transactions. These transactions are visible in the electronic production record, production transaction history, and product genealogy. Also, you can separate the cost accounting of scrap and scrap return from the product cost using existing source and action mappings.

Scrap component transaction

Scrap Component Transaction

Scrap transaction through handheld device

Scrap transaction through handheld device

REST API changes:  Work Order Material Transactions REST API has been updated to support the new 'Scrap' and 'Return Scrap' material transaction types.

FBDI changes: WorkOrderMaterialTransactionTemplate FBDI file has been updated to support the new 'Scrap' and Return Scrap' material transaction types.

Tracking scrapped materials improves visibility into production losses and true material costs.

Steps to enable and configure

Use the Opt In UI to enable this feature. For instructions, refer to the Optional Uptake of New Features section of this document.

Offering: Manufacturing and Supply Chain Materials Management  No Longer Optional From: Update 26D

Tips and considerations

  • This feature is available only with the Redwood experience. For a consistent user experience, you can enable the Redwood pages for work orders, material transactions, production execution, mobile production reporting using industrial handheld devices, postproduction reporting, production transaction history, and product genealogy. 
  • You can report material scrap or scrap return only for materials with supply type of push at this time. 
  • When scrap is recorded, the issued quantity on the work order operation is reduced and the net scrap (component scrap - return component scrap) is displayed for the operation item.
  • You can't report material scrap or scrap return if the material hasn't been issued to the work order operation or the scrapped quantity is equal to the issued quantity. The lots and serials that are scrapped or returned from scrap must align with the lots and serials that were initially issued or scrapped, respectively.
  • You can configure a plant parameter to default the subinventory and locator for material scrap and scrap return. As a best practice, the scrap subinventory and locator should reflect a non-reservable material status.

Key resources

  • Watch the 26B feature 'Report Material Scrap in a Discrete Manufacturing Work Order' demo.
  • Watch the 24D feature 'Report Material Transactions for a Work Order Operation Using a Redwood User Experience' Demo.
  • Refer to the Oracle Fusion Cloud SCM: Using Manufacturing guide, available on the Oracle Help Center. 
  • Refer to the Oracle Fusion Cloud SCM: Implementing Manufacturing and Supply Chain Materials Management guide, available on the Oracle Help Center.

Access requirements

Users who are assigned a configured job role that contains these privileges and codes can access this feature:

  • Report Material Transactions (WIP_REPORT_MATERIAL_TRANSACTIONS_PRIV)

These privileges were available prior to this update.