We have a situation where scrap is accidentally reported via Advanced MES, and it’s not AMES’s fault!!!). Standard Kinetic does not allow a negative scrap. How do y’all “unscrap” production? Salvage? Qty Adjustment? 
Or something else?
Thanks!!!
Was this via labor backflush or?
How can you possibly have reverse scrap?! I can’t even comprehend what you are asking. 
Maybe someone thought a part was out of size or proper parameters and scrapped it. He’s wanting to undo that transaction.
OK, full story. In Advanced MES, we have two signals wired to the machines: production and scrap. For every part, good or bad, you get a production cycle. If the machine falls out of spec for certain parameters, it will generate a scrap cycle. No problem.
Historically, the machine cycle is not set to the time for a good part. It’s set to alarm when the operator falls below the target rate, which is generally less. Without IoT, an alarm would sound to tell the operator they were falling behind and not because the part is bad. With IoT, Advanced MES sees the scrap signal and is reporting it - as it should. BUT, many of these are not bad parts and the integration to Kinetic is reporting scrap.
So, the question is, how do we salvage those good parts? Yes. I know. I know.
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Could you use salvage to inventory and just receive the top level part back into stock?
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Maybe… All the other labor is imported on a schedule. I would have to figure a way to do this automagically through a function… 
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I am curious.
What happens to the total part cost in the system (QOH x ExtCost) when a part is scrapped. Does the cost increase for the remaining manufactured parts?
Sort of thinking could you receipt the scrap parts in at a lower cost, then not worry about the burden? Stupid idea.
This is exactly why we are NOT doing this at our shop. 
We have almost the same problem but decided that we will require the operator to quantify scrap separately but continue to run until the number of completed/acceptable parts equal or exceed the JobOp requirement.
For your situation, I think I would actually do a job Adjustment to include the completed qty. It should fix all the job related table records for completed qty and costs, but you may still have to do an inventory adjustment for Qty/Cost in inventory if you are MFG → STK instead of MFG → CUS.
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Just for argument’s sake. What do people do if they pick the wrong scrap code or enter the wrong scrap amount?
its easy when you are doing wrong to begin with! I just reverse the sign and do another qty adjustment 
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I know, I meant the qty adjustment screen that directly hits the inventory. I don’t know the proper way in your case. In my case I am not scrapping a part or any labor, just raw material.
Does the process you are using put them in inspection and the whole DMR process or is it instantly evaporating the physical part into a cost ?
Putting it inspection would be ideal in this case!
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@Evan_Purdy beat me to it. I was going to say, can you do an NCR off of the operation instead of a scrap? At least that way, it would go to inspection processing and can be processed there.
Is it too late to modify the labor transaction through T&E?
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have you tried using job adjustment to reverse it?
Without a reverse-scrap option, this is the most likely to not make a mess. Not guaranteed, but darn likely.
Depending on GL controls, if job or inventory adjustments aren’t mapped in a way that’ll reverse the scrap postings, fixing inventory would make an accounting mess. Recalling and changing a time entry should reverse the scrap posting, because if it did it would be using the same GL controls. Any way it goes I’d want to verify where journal activity went to prove out the method for future use.
For the occasions that time entries can’t be intercepted before they’re posted, it might be worth taking a look at providing an adjustment mapped to reverse how scrap posts to the GL. Maybe it’s not possible reverse the entire scrap transaction like that, but at least what can be reversed should clean up its accounting tracks in the process.
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Can you remove the scrap in Time and Expense Entry? I don’t have Advanced MES, so that might not be an option , but with normal MES that is how i would adjust it.
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I like these suggestions. Let me detail what is happening in more detail:
In our AMES setup, every time the machine cycles, it records one part for production. If the machine alarms for any reason, it then records a scrap. AMES sends this information (LaborDtl records) periodically, in our case: every hour. Later, it is determined that a lot of the parts alarmed because we set the cycle time to keep the operators moving at a certain pace. The cycle time for a good part is actually longer, so the alarm records scrap even though the parts are good. In AMES, there is a command to undo the scrap. However, Kinetic can’t accept the negative adjustment that AMES can.
While AMES shows a column for non-conformance, the documentation says it’s unused. But, if it did work, we would be generating dozens of NCs a shift to process.
I think we could go into T&E and zero out the machine rejections. Again, dozens of entries by shift by employee every day would be a lot of manual work for what is supposed to by an IoT solution.
Our issue is entirely self-inflicted, so I really appreciate the suggestions!