| # Payable to supplier and standard quarantine handling compared To help you choose between standard quarantine handling and quarantine handling payable-to-supplier, the following table lists the main differences.
LN Process | No payable to supplier | Payable to supplier
--- | --- | ---
General | Applies to items sent to quarantine after rejection during: Inbound or outbound inspection Production upon reporting an operation complete | Only applies to items originating from purchase orders or purchase schedules sent to quarantine after rejection during inbound inspection.
Confirm receipt | The items become company owned. | Register received items as approved on purchase order. The items become company owned.
Warehouse inspections | Update purchase order with approved quantities. No invoicing and payment of the entire received quantity until the warehousing inspection and quarantine processes are completed. | Received items remain registered as approved. This facilitates invoicing and payment of the entire received quantity before the warehousing inspection and quarantine processes are completed.
Send items to quarantine | The items originating from purchase orders or schedules become customer owned, which in actual practise means supplier owned. | The items remain company owned.
Inventory valuation in quarantine | Valued as customer owned inventory. | Quarantined items are valuated identically to items in receipt locations. On the inventory valuation report, quarantine items are listed with the original receipt value.
Use as is/No fault found | Create new receipt. Update purchase order with approved quantities. | Directly create inbound advice to the storage location, create no receipt. If the warehouse is not location-controlled, directly put away the accepted inventory.
Scrap | Create back orders or potential back orders for items originating from purchase orders or purchase schedules. | Create no back orders or potential back orders. Create no debiting or other supplier payment related financial transactions.
Rework | Rework of quarantined items originating from purchase orders or purchase schedules not allowed. | Rework of quarantined items originating from purchase orders or purchase schedules allowed.
Reclassify | Reclassification of quarantined items originating from purchase orders or purchase schedules not allowed. | Reclassification of quarantined items originating from purchase orders or purchase schedules allowed.
Related topics Quarantine inventory payable to supplier Quarantine inventory |