Condition codes are user-defined values that can be used to specify the condition of parts from distinct lots/batches and individual serial tracked parts. These codes can be particularly useful when tracking parts or components that may be repaired, overhauled, or replaced. This functionality is available only for parts that are lot/batch and/or serial tracked.
Condition codes are defined on the Part Condition Code page, and are available to be used in a large number of windows and reports throughout IFS Cloud. For example, condition codes for specific parts can be viewed and/or changed in various windows in purchasing, customer order, shop order, DOP, maintenance, and vehicle information management. Condition codes are enabled per part number on the Part/Main tab.
Once condition codes are enabled for a part, all subsequent issue and receipt transactions involving that part require the use of condition codes. However, parts that are reserved (e.g., through customer orders, shop orders, work orders) prior to enabling the condition code functionality can still be delivered/issued without specifying a condition code. These transactions can also be reversed without specifying condition codes.
IFS planning processes, such as Constraint Based Scheduling (CBS), Master Scheduling, Customer Schedule, Supplier Schedule, and MRP will ignore condition codes values, i.e., only the default condition code will be used. Requisitions and orders created by these processes for parts that require condition codes will specify the default condition code value.
When you change the condition code of a specific serial or lot/batch number, inventory transactions will be created for the parts in stock, moving the value from the old condition to the new condition.
Both valuation method Standard Cost and Weighted Average is valid to be used with cost level condition code. The valuation method to be used is enabled on the Inventory Part/Main tab.
With Standard cost enabled, the system set a standard cost per unique combination of part number, site, configuration ID, and condition code. The inventory value for each combination can only be changed by changing condition code to a condition code with different inventory value or by changing the inventory value on the existing condition code.
With Weighted Average valuation method enabled, the system calculates weighted average inventory values by unique combination of part number, site, configuration ID, and condition code. These values are recalculated by the system based on inventory receipt transactions or if the condition code is changed to a condition code with different inventory value or by changing the inventory value on the existing condition code.
The inventory values are visible on the Inventory Part Unit Cost page, and are displayed by unique combination of part number, site, configuration ID, and lot/batch or individual serial number. Note that you cannot change inventory valuation method unless the total quantity on hand is zero.
The Estimated Cost per Condition tab is used to enter and view estimated condition cost values per condition on the inventory part Unit Cost page. It will be used and stored on the customer order line and work task material/returns line as an estimate until the correct value is known. Also, the estimated cost per condition code is used as a unit cost of the Return Material Authorization receive parts transactions if a different condition code is used for the return than was originally set on the delivery transaction, and the actual value for that condition code is unknown.
Example:
When a serial part (serial no: ‘S1’ & condition code: ‘New’) is delivered
on a Customer Order, the corresponding cost is shown in the Inventory Transaction
History page. Assume the customer may want to return the product because it
is damaged, so then the customer raised a Return Material Authorization with
the condition code: ‘Broken’. Assume that condition code estimate cost value
setup exists. Then the Return Material Authorization receive part transaction
(for serial no: ‘S1’ & condition code: ‘Broken’) will be created with the
corresponding estimated condition code cost instead of the delivered transaction
cost.
The priority for fetching cost when creating a Return Material Authorization receipt transaction is based on the following order:
| Priority | Description |
| 1 | Get the cost based on the condition on the Inventory Part Unit Cost Details. |
| 2 | Get the cost based on the condition
on the Estimated Cost per Condition. |
| 3 | Get the cost based on the latest
transaction by considering the condition code available in the Inventory
transaction. |
| 4 | Get the cost based on the Weighted average
config cost details (condition code is not considered). A User can see
this value in the Unit Cost field on the Receive Inventory Part page. |
| 5 | Get the cost based on the latest transaction
without considering the condition code available in the Inventory transaction. |