Document Number: SOP 10020 Revision: 03

Title: Handling of Scrap and Nonconforming Effective:

Goods 4/14/2020

Objective:
To define the process for disposal/recycling of scrap materials and parts which are not to be used by
Numed in service delivery or QA testing.
Scope:
This procedure applies to all systems and components deemed nonconforming or unusable for
Numed in service delivery or QA testing.
References:
SOP 10003, Control of Documents and Records
SOP 10019, QA Testing
SOP 10018, Harvesting
21 CFR 820.90
ISO 9001:2015 Quality Management Systems – Requirements, Clause 8.7

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Definitions:
Netsuite: Numed enterprise management system application.

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Serial Number: a part or assembly-specific number, existing or assigned by Numed, as a unique
identifier for the component, which is traceable to the system of origin as well as the manufacturers

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part number.

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WIP (Work in Progress) - WIP inventory contains incomplete parts not yet ready for sale or use that
are still in need of testing, inspection, or repair.
Responsibilities:

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Numed Management: oversight of harvesting and parts evaluation processes.
Engineers: harvesting of parts and assemblies, performance of QA testing. Determine parts, materials

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to be scrapped.

1. General Requirements
1.1. Scrap and nonconforming goods will be clearly identified and segregated from WIP and
Approved Parts.
1.1.1. Scrap and nonconforming parts identified during harvest are not entered into Netsuite
and cannot be further processed.
1.1.2. Nonconforming parts identified in the field which are already in Netsuite will be
removed from use and adjusted out of Netsuite.
1.2. Scrap and nonconforming goods will be stored in assigned locations in the designated scrap
area.
2. Identification of Scrap and Nonconforming Goods
2.1. Scrap materials and nonconforming goods will be identified through the following process:
2.1.1. Upon delivery to the Harvest area, and throughout the harvest process, the harvesting
personnel will identify scrap items and place them in the appropriate scrap

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 Document Number: SOP 10020 Revision: 03

Title: Handling of Scrap and Nonconforming Effective:

Goods 4/14/2020

receptacles; or, for larger items, tag them and indicate scrap disposition with a red
sticker.
2.1.2. These items will not be entered into the Netsuite system for further tracking, as they
will not become inventory.
2.1.3. At any time during inspection or testing, should a part be deemed nonconforming or
unsuitable for use, it will be tagged or placed in the appropriate scrap material
container.
2.1.4. Scrap may also include items not included on the harvest spreadsheet, such as: excess
wiring, plastic covers, and items for which there is no service demand.
2.1.5. Full scrap receptacles or tagged parts will be placed in the incoming scrap area or
incoming scrap rack to await movement by the Parts Manager or designated

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warehouse personnel into Scrap.

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2.2. Warehouse personnel will monitor the levels in the scrap area. When the scrap area or bins are
full, warehouse personnel will arrange transport of the scrap to recycling centers for

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processing.

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3. Record Retention
3.1. Records associated with scrapped goods will be maintained within Netsuite, per the
requirements of SOP 10004, Control of Records.

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Page 2 of 2
Document Number: SOP 10020
Title: Handling of Scrap and Nonconforming Goods
Revision: 03
Date Released: Apr 14, 2020

Approval History
Name of
Approval Date Approval Notes
Approver
26-Feb-2020
Zach Parker
19:01:03

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Revision History

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Revision Details Effective Date

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23-Oct-2018
01

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00:00:00
11-Feb-2019
02 Minor process changes
00:00:00

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Section 2.1.1 revised to reflect change of scrap sticker 14-Apr-2020
03
color 00:00:00

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Reference

No records to display.

Training Requirements
Job Function
Service Center Associate
Executive Management
Field Service Engineer
Parts Management
Quality Manager
Service Center Management
Quality Management
Service Desk Engineer