Sounds just like where I work.
If a product is not built correctly, machined wrong, welded wrong, etc, the last Production Manager we had came up with these "NCR"s we had to fill out...Non-Comforming Reports.
Complete waste of time as you can't begin to perform the required repaired until all the paper work is done. Which is usually not in the same day.
In reality if the part would just get sent immediately to be repaired, fixed, etc, it saves the company $$$
My supervisor came up with a number one day, that it costs the company something like over $500 in that day just with guys having to take 8 hrs or more to do paperwork when the part could've been fixed in sometimes an hour or so, depending on the part, which costs the company something like $80 on the hour.
We just shake our heads.