QM Quality Management

Process

Table of Contents
1.

Quality Management (QM)........................................................................................................... 8

1.1
1.2
1.3
2.

Enterprise Structure.................................................................................................................. 10

2.1
2.2
2.3
3.

Overview................................................................................................... 8
Purpose of the document..........................................................................9
Scope of implementation..........................................................................9

Company Code........................................................................................ 10
Plant........................................................................................................ 10
Storage Location..................................................................................... 10

Master Data................................................................................................................................. 11

3.1
3.2

Master Inspection Characteristics...........................................................11

Catalogues.............................................................................................. 12

3.2.1

Code groups....................................................................................................................... 13

3.2.2

Codes.................................................................................................................................. 13

3.3
3.4
3.5
3.6
3.7
3.8
4.

Sampling Procedures............................................................................... 15
QM-Specific Data in the QM View of the Material Master........................16
Quality Certificates.................................................................................. 16
Quality Info Records................................................................................ 18
Inspection Plan........................................................................................ 19
Status Management for Inspection Lot....................................................20

SAP Enabled Business Processes........................................................................................... 22

4.1

Inspection for a Goods Receipt................................................................22

4.1.1

Process Description.......................................................................................................... 22

4.1.2

Process Overview (To-Be)................................................................................................. 22

4.1.3

Process Chart (TO-BE)...................................................................................................... 23

4.2

In Process Inspection during Production..................................................24

4.2.1

Process Description.......................................................................................................... 24

4.2.2

Process Overview (TO-BE)................................................................................................ 24

4.2.3

Process Chart (To-Be)....................................................................................................... 25

4.3

Inspection for Goods Receipt from Production........................................26

4.3.1

Process Description.......................................................................................................... 26

4.3.2

Process Overview (To-Be)................................................................................................. 26

4.3.3

Process Chart (To-Be)....................................................................................................... 27

4.4

Quality Notifications / Customer & Consumer Complaints......................28

2

4.4.1

Process Description.......................................................................................................... 28

Customer Complaint......................................................................................... 28
Complaint against Vendor.................................................................................. 29
Internal Problem............................................................................................... 29
4.4.2

Process Overview (To-Be)................................................................................................. 30

4.4.3

Process Chart (To-Be)....................................................................................................... 31

4.5

Manual Inspection Lot............................................................................. 33

4.5.1

Process Description.......................................................................................................... 33

4.5.2

Process Overview (To-Be)................................................................................................. 33

4.5.3

Process Description (To-Be)............................................................................................. 34

4.6

Recurring Inspection............................................................................... 35

4.6.1

Process Description.......................................................................................................... 35

4.6.2

Process Description (To-Be)............................................................................................. 35

4.6.3

Process Chart (To-Be)....................................................................................................... 37

5.

Integration.................................................................................................................................. 38

5.1
5.2
5.3

Quality Management in Procurement......................................................38

Quality Management in Production.........................................................38
Quality Management in Sales & Distribution...........................................38

Legend
The following describes the symbols used in the process map:
Symbol

Details

Symbol

Details

Process Activity Related

to other Module.(A more
detailed process map is
provided in other
Business Blue Print
document to describe the
activity)

Decision

Preparation

Termination

Activity

Document

System

Continuation of the process

map to a different page

GLOSSARY OF TERMS
FULL TEXT
Bill of Material
Controlling
Finance
Goods Issue
Goods Receipt
Goods Receipt/Invoice Receipt
Logistic Information System
Material Master
Materials Management
Material Inspection Characteristics
Material Issue Request
Material Requirement Planning
Planned Independent Requirement
Planned Order
Purchase Order
Purchase Requisition
Quality Management
Routing
Sales & Distribution
Semi-Finished Good
Sales & Operations Planning

SHORT NAME
BOM
CO
FI
GI
GR
GR/IR
LIS
MAT
MM
MIC
MIR
MRP
PIR
PLO
PO
PR
QM
RTG
SD
SFG
SOP

1. Quality Management (QM)

1.1

Overview

The Quality Management component (QM) is part of the integrated SAP System. With the functions of
the Quality Management (QM) module, Del Monte will implement the most important elements of a
QM system.
The Quality Management (QM) module plays a very important role in controlling the quality of the
materials coming from vendor (external procurement), from production (in-process) etc. The Quality
Management (QM) module is integrated with other modules like Sales and Distribution (SD), Materials
Management (MM), Plant Maintenance (PM) and Production Planning (PP).
The use of Quality Management (QM) module will streamline and standardize the business processes
of Del Monte to a great extent. It will also ensure customer satisfaction and will reduce the
nonconformity of the materials. Precisely it will lead to process improvement; cost reduction and
information flow becoming more automated.
Del Monte will use the QM component functions for the following quality management tasks:

Quality planning

Basic data for Quality Management

Inspection planning

Quality certificates

Quality control

Quality notifications
8

QM information system

In addition, QM will control the creation of quality certificates and manage problems with the help of
quality notifications.

1.2

Purpose of the document

The purpose of this document is to provide the users understanding of the SAP-enabled Quality
Management business processes that are being implemented at Del Monte and mapped accordingly
with Del Montes current business processes.
This document will serve the basis on which the major configuration related activities will be
undertaken during the realization phase of the SAP Implementation project at Del Monte.

1.3

Scope of implementation

Scope of implementation of the Quality Management module at Del Monte comprised of the following
sub-modules/ functionalities:

Basic Data

Inspection Planning

Inspection lot processing

Results Recording

Defects Recording

Sample Management

Quality Information System

Quality certificates

Quality notifications

10

2. Enterprise Structure
Enterprise Structure forms the hierarchy in which the various organizational units of an enterprise are
arranged according to tasks and functions.
The Quality Management organization structure is as follows:

Company Code

Plant

Storage Location

2.1

Company Code

Company code is used in order to define the organizational unit for which a complete self-contained
set of accounts can be drawn for external reporting. This includes the entry of all transactions that
must be posted and the creation of all items for legal individual financial statements, for example, the
balance sheet and the profit and loss statement.

For further details on Company Code and its activities please refer to FI Business
Blueprint.

2.2

Plant

A plant is a place where either material is produced, or goods and services are provided. A plant can
be subdivided according to production, procurement, maintenance, and materials planning aspects.
Every Plant is assigned to a Company Code. This ensures that stocks and stock values can be
managed separately in each company. Valuation of stocks takes place per plant. This means that
valuation prices can differ from plant to plant.
Plants can be added or deleted as per requirement.

For further details on Plant and its activities please refer to MM Business Blueprint.

2.3

Storage Location

A storage location is an organizational unit facilitating differentiation between the various stocks of a
material within a plant. Storage locations are created with reference to a plant.

For further details on Storage and its activities please refer to MM Business Blueprint.

11

3. Master Data
In SAP, the master data is the data relating to individual objects, which remains unchanged over an
extended period of time.
In Del Monte, the following master data would be maintained with reference to Quality Management:

Master Inspection Characteristics

Catalogues

Code Groups

Selected Set

Inspection Method

Sampling Procedures

QM-Specific data in the QM view of the Material Master

Quality Info Record

Inspection Plans

Sampling Scheme

3.1

Master Inspection Characteristics

An inspection characteristic describes what is to be inspected. In other words, an inspection

characteristic describes the inspection criteria. Each operation can contain several inspection
characteristics.
A master inspection characteristic is an inspection characteristic, which has been defined for frequent
use in the task lists or should be evaluated for all inspection plans. Master inspection characteristics
improve and standardize inspection planning. Search and replace functions for master inspection
characteristics ensure simplified processing.
There are basically two types of characteristics.

Quantitative Characteristics

Qualitative Characteristics

The Quantitative characteristics are those characteristics that involve the numerical values and
number ranges. The Qualitative characteristics are those characteristics that describe the physical
attribute of a material e.g. color and surface attributes and appearance etc. For example, in case of
12

Del Monte, the qualitative characteristic can be the bag check at the time of goods receipt inspection.
Following table shows an explanatory MICs:

13

MICS CODE

DESCRIPTION

Phy.App.

Physical Appearance

BagChk

Bag Check

TrdChk

Threading Check

3.2

Catalogues

Del Monte will use catalogues to define, manage, and standardize information related to the defect
types, characteristic attributes, and causes of defects and the location of the defects. By using
catalogues, it is easier to record and evaluate qualitative data and describe objects. In a catalogue,
information is assigned a unique alphanumeric code and an explanatory text.
The information stored in catalogues can be accessed from master inspection characteristics and task
lists. Del Monte will also have access when processing inspection lots or notifications and the usage
decision. Catalogues are hierarchically structured; they show the top most level of the hierarchy.
There are standard catalogues in the system for example in case of Del Monte catalogues 1, 2, 3, 5,
8, 9, and E shall be used to record the physical attributes, usage decision, types of defect and the
location of the defects. The following table further explains Catalogue types in SAP which shall be
used by Del Monte.

CATALOGUE

DESCRIPTION

Characteristic attributes

Tasks

Usage Decision

Causes

Activities

Defect Types

Defect Location

14

3.2.1 Code groups

Maximum length of a code group can be up to eight characters. They are at the middle of the
hierarchy, e.g. the code group under catalogue 1 would be characteristics; having different codes
describing attributes. The following table explains the assignment of Code Groups to their specific
Catalogue types.
CATALOGUE

DESCRIPTION

CODE GROUP

DESCRIPTION

Characteristic attributes

Phy.App.

Physical Appearance

Bag

Bag Check

Trd

Threading Check

Odr

Odour

Apr.

Appearance

Func.

Functional Defect

Col

Colour

Others

Others

Z1

GR. from Vendor

Z4

GR. from Production

Defect Type

Usage Decision

3.2.2 Codes
A code is a description of a characteristic, defect, cause, etc. Maximum length of a code can be up to
four characters. The lowest level of the information structure contains the codes. For example, for Del
Monte, code for packaging defects could be Logo not properly printed, Part damage, etc. The
following table explains the assignment of Codes to their respective Code Groups:

15

CODE
GROUP

DESCRIPTION

CODES

DESCRIPTION

Phy.App.

Physical Appearance

0001

OK

0002

Not OK

0001

OK

0002

Not OK

0001

OK

0002

Not OK

Total Acceptance

A1

Partial Acceptance

A2

Conditional Acceptance

Total Rejection

Total Acceptance

A1

Partial Acceptance

A2

Rework

Acceptance

A1

Repair / Rectification

Rejection

Paint
Bag
Z1

Z4

Z8

Paint Check
Bag Check
GR. from Vendor

GR. from Production

Transfer Posting

16

3.3

Sampling Procedures

The manual or automatic determination of samples is a part of the inspection process. Sample
determination would be used to evaluate inspection lots on the basis of samples. It is an obligatory
step in inspection lot processing. Sample determination procedures vary for different products. In
SAP, sampling can be done through fixed sampling, percentage sampling, 100% sampling and
sampling scheme.
For example, in Del Monte, at the time of goods receipt different sampling procedures or schemes
shall be used depending on the nature of the materials. In the sampling scheme we define the lot size
and its corresponding sample size. At the time of lot creation system automatically picks the
predefined sample quantity against the lot quantity.
For example there are three sampling categories i.e. Tightened, Normal and Reduced. In SAP, these
categories will be created as sampling schemes that are as follows.

SAMPLING
CODE

SCHEME

DESCRIPTION

TIG

Tightened Sampling Scheme

NRM

Normal Sampling Scheme

RED
Reduced Sampling Scheme
These sampling schemes will be assigned to their respective sampling procedures, created in the
system. The Sampling procedures will be as follow.

SAMPLING
CODE

SCHEME

SAMPLING PROCEDURE CODES

TIG

Tightened

NRM

Normal

RED
Reduced
These sampling procedures will be assigned to the materials, according to their inspection severities,
in the inspection plan.

17

3.4

QM-Specific Data in the QM View of the Material Master

In the Del Monte material masters quality management view, depending on the nature of material,
different inspection types will be defined. These inspection types define those events on which quality
of the material will be inspected.
In Del Monte, for example these events will be;

Goods receipt from vendors (inspection type 01),

In-process inspection during production/process order (inspection type 03),

Goods receipt from production/process order (inspection type 04) and

Defective return from customers (inspection type 05).

3.5

Quality Certificates

A quality certificate shows the quality of goods. The chemical or physical properties of goods can be
recorded as follows:

Inspection results

Characteristics of the batch

A customer may have specific demands for quality, which may take the form of customer-specified
(specification limits), which may lead to auxiliary quality inspections.
Besides general certificates, customer-specific certificates are also used in which the contents and
layout is tailored to the customer requirements.
Generally, a quality certificate is created automatically or semi-automatically for a delivery item. In
certain cases, a certificate may be requested ad hoc from a location for which no customer/vendor
relationship exists.
Del Monte will determine the following during certificate planning:

The layout and contents of the quality certificate using the form and certificate profile.

Whether the certificate should be automatically created for the delivery or manually.

Certificate elements include headers, footers, order item and date, delivery item and date,
material number, address, and inspection results.

Certificate Profiles:
The certificate profile controls the following:

18

Lot Selection
The selection and the order of the characteristics displayed on the certificate.
To create a form, SAP standard system contains the sample form QM_QCERT_01, this form can
either be directly linked to a certificate profile, or it can be used as a copy model to create other forms
which meet the specific requirements. If the sample form QM_QCERT_01 is used as a copy model,
then the sample form is copied under another name.
An appropriate SAP script form is mandatory for creating a certificate profile.
In the certificate profile creation screen, the Del Monte user will enter a name and certificate type. The
certificate profile is identified by a combination of the name, type, and version number. If a profile
already exists with the same name and certificate type, the user can copy the data from an earlier
version.
The Del Monte user will now assign a form to the profile. The form describes the layout and, in part,
the contents of the certificate.
If printing of characteristics for materials in a production chain is required, then Del Monte user will
choose Materials.
The Del Monte user will specify the characteristics for display on the certificate. The number
determines the order of the characteristics.
Select the characteristic in the subsequent dialog box and then maintain the detail data, and save the
profile.
Incoming Quality Certificate
When goods are procured from a vendor, you can request that the vendor to submit a quality
certificate with the shipment of goods (in addition to meeting the requirements specified in the
technical delivery terms and quality assurance agreement). If you request a quality certificate, you can
monitor the receipt of the certificate independently of the goods receipt posting, regardless of whether
an inspection lot is created or not.
Certificate is received before the goods receipt
The receipt of the certificate is recorded with reference to the purchase order. You choose the
transaction to record a certificate receipt, and enter the purchase order number, the purchase order
item and, if known, the delivery number.
Certificate is received with the goods receipt

In goods receipt posting, certificate receipt can be monitored.

If you confirm the receipt of the certificate, the status Certificate received is set. If an
inspection lot is created and no additional certificate check is required, the lot status CROK
(certificate receipt confirmed) is set.

If you don't confirm the receipt, the status Certificate requested is set. If an inspection lot is
created, the lot status CTCM (certificate confirmation missing) is set.
19

You choose the transaction to change a certificate receipt, and enter the purchase order number, the
purchase order item and, if known, the delivery number for which you want to confirm the receipt of
the certificate.
If a certificate for a purchase order item is received after the good receipt, there are two possibilities:

Confirmation with the usage decision

Confirmation by using the transaction to change a certificate receipt.

You enter either the purchase order number or purchase order item, or the material document number
and material document for which you want to confirm the receipt of the certificate.
You confirm the receipt of the certificate as described under "Certificate for a purchase order item
received after the goods receipt (no inspection lot created)"

3.6

Quality Info Records

If Del Monte requires a quality assurance agreement or a vendor release for a material, it is proposed
that Del Monte must create a quality information record (quality info record). The quality info record
determines how the material can be processed further.
When a quotation or purchase order is created, the system checks whether a quality info record is
required and available for the combination of material and vendor
The system also checks whether the vendor and material-vendor combination is blocked or released
for quotations, purchase orders and/or goods receipt. The execution of this check depends on the
setting of the QM in procurement control key in the material master.
The quality info record displays a vendor block specified in the vendor master, the vendor's QM
system, and the lock date.
A quality info record is normally created after the QM-specific data has been maintained in the
material master; a vendor master data must also be available.
Since quality info record is maintained for a combination of material and vendor at the plant level, Del
Monte user will enter a material, vendor, and plant in the quality info record creation screen.
On the data entry screen, enter the following:

Status profile to release supply relationship

Release criteria for procurement functions

Information about the function (s) that should be blocked

Quality assurance agreement

20

Specify whether the goods receipt inspection should be deactivated, or whether a goods receipt
inspection and/or source inspection should be performed. For this purpose choose the Inspection
Control tab and enter the following data:

If a source inspection is to be performed in addition to a goods receipt inspection, enter an

inspection type for the source inspection and a lead time in days

If a goods receipt inspection is not to be performed even though the settings in the material
master specify such an inspection, set the No inspection indicator for the Insp. control field.

If it is required to perform only a source inspection instead of a goods receipt inspection, set
the Source inspection - no GR indicator.

If this indicator is set, the system does not create an inspection lot for a goods receipt if a
source inspection is performed. If a source inspection is not performed, the system creates an
inspection lot for the goods receipt.

3.7

Inspection Plan

The inspection plans are used to describe how a quality inspection should be performed for one or
more materials. The inspection plan shows in which order individual inspection operations should
occur and which inspection characteristics should be inspected using which inspection specifications.
The inspection plans for Del Monte can be created for different uses. For example, the inspection plan
will be created for goods receipts inspection, final inspection etc.
In an inspection plan, an operation is defined for the inspection of material at a specific plant. Under
this operation different master inspection characteristics (qualitative or quantitative) are assigned
along with their specifications, catalogues and sampling procedures.
In an inspection plan, a link is created between the inspection type assigned to a material in the
material master and the task list usage in plan for that material. Following table describes the
appropriate task list usage in inspection to plan, linked to their respective inspection types.

INSPECTION TYPE IN MATERIAL MASTER

TASK LIST USAGE IN INSPECTION PLAN

01

04

05

08

21

3.8

Status Management for Inspection Lot

The system manages the status of an inspection lot. Whenever Del Monte users will execute a
function that changes the processing status of the inspection lot, the system will change the status
accordingly. On the basis of this system status, the user can determine the following activities:

Has inspection been carried out for inspection lot

Can inspection still be carried out for inspection lot

STATUS

MEANING

CRTD

Created

REL

Released

ICNC

Inspection completion w/o confirmation

PREQ

Plan/specification required

PASG

Plan/specification assigned

CHCR

Characteristics must be created

LTIN

Long-term inspection

CCTD

Inspection characteristics created

CALC

Sample calculated

SKIP

Skip lot

PRSI

Sample drawing instruction printed

INSP

Inspection active

RREC

Results confirmed

22

STATUS

MEANING

LKD

Inspection lot locked

DEF

Defects were recorded

ICST

Short-term inspection completed

ICCO

Inspection close completed

UD

Usage decision made

SPRQ

Stock posting required

SPST

Stock posting started

SPCO

Stock posting completed

QLCH

Quality level changed

QLUP

Quality level updated

IRCH

Quality info-record changed

IRUP

Quality info-record updated

MCAN

Lot marked for cancellation

LTCA

Lot cancelled

BREQ

Batch assignment required

BASG

Batch assigned

CTCM

Certificate confirmation missing

23

STATUS

MEANING

CROK

Certificate receipt confirmed

BRRQ

Batch record required

MSUB

Marked for subsystem

SUB

Lot transmitted to subsystem

CLQM

Classification transferred (short-term inspection characteristics)

APIP

Based on approved inspection plan

LOLK

Lot locked for batch record

RO

Repairs processing

ARBL

Lot blocked for archiving

ARCH

Lot archived

RE03

Lot detail data deleted

RE02

Lot sample data deleted

RE01

Characteristics and operations deleted

24

4. SAP Enabled Business Processes

4.1

Inspection for a Goods Receipt

4.1.1 Process Description

The system automatically creates an inspection lot when a goods receipt is posted in the system.
When a goods receipt is posted from an external source (from a vendor), they can be posted to one of
several destinations:

Goods-receipt blocked stock (GR blocked stock)

Material Unit (for example, to inspection stock, blocked stock or unrestricted-use stock)

Consumption (for example, to an account assignment object such as a cost center or order)

At Del Monte at the time of goods receipts from vendor, material (raw material and packaging
material) is subjected to the quality inspection and will be posted to quality inspection stock. As a
result of this posting both material document and accounting document will be created in the system.
In addition to this, system will also generate an inspection lot number in order to carry out the
inspection process. This lot number will be created parallel to the GR-document. This lot number will
be used as a reference number in the system. Once the lot number is created, system will
automatically create the sample size (if defined for the material). After creating the sample size the lot
will be ready for further processing i.e. results recording and usage decision.

4.1.2 Process Overview (To-Be)

The following solution is proposed to Del Monte for standardization and automation of the Inspection
at Goods Receipt process.

The system will create an inspection lot automatically when the goods receipt is posted in
Material Management (refer to GR process of MM in MM Business Blue Print); and will assign
the inspection lot a unique inspection lot number.

The system will calculate the sample size. If the sample calculation must be triggered
manually (controlled by the inspection settings in the material master), the user will call up the
inspection lot in the change mode and choose the function to trigger the sample calculation
manually.

After the sample calculation / determination process, Master Inspection Characteristics are
populated in the Inspection lot, based on the task list attached to the inspected material.
Quality inspector will now record results, acquired from the physical tests performed on the
material.

Referring to the recorded results, material unit or concerned unit will take Usage Decision on
the Inspection lot (usage decision has been made quality inspector in SAP standard
functionality).

If materials are found to be defective and the stock is rejected on usage decision, the stock
will either be returned to the vendor or posted to blocked stock (depending upon Del Montes
policy); and a subsequent Material Document will be created.
25

If the materials are accepted on usage decision, the stock will be posted to un-restricted
stock, and subsequent Material and Financial documents will be created.

26

4.1.3 Process Chart (TO-BE)

NUMBER RANGE OF INSPECTION LOT IN CASE OF GOODS RECEIPT FROM VENDOR

01000000000

01999999999

27

4.2

In Process Inspection during Production

4.2.1 Process Description

In an inspection during production, the system creates an inspection lot for a process order for the
following order types:

Process Orders (master recipe)

The inspection lot is created automatically if the following conditions have been met:

A released process order exists for the material

QM view is active for the material to be inspected in material master

An inspection type is active for inspection lot origin 03 (inspection during production)

Inspection characteristics have been created or assigned to one or more operations in a

master recipe

4.2.2 Process Overview (TO-BE)

Master Recipe will be created in Production Planning, and inspection phases are assigned to
the Master Recipe at header level, operation level, and phase level by lab unit with operation
unit.

The inspection requirements are defined as master inspection characteristics in the master
recipe by the lab unit for the corresponding operations or phases.

The inspection characteristics for the operations are copied into the corresponding inspection
operations or phase for the inspection lot. When the order is released, a corresponding
inspection lot containing the inspection specifications (sample size, inspection frequency) is
generated, using information from the routing or master recipe.

Once the production or process order is released, the system automatically will create an
inspection lot, provided that an appropriate inspection type has been activated in the material
master. Since the quantity to be inspected is classed as goods in process, the inspection lot is
not relevant for stock.

Results can be recorded in several steps. Once the results have been recorded for the
sample, physical sample etc., the characteristics are evaluated and closed. Once all
characteristics have been closed, the inspection lot is completed through usage decision.

Whenever the user will analyze the defect then concerned user will generate the notification
for corrective action.

Once the results have been recorded, the inspection lot is completed by the usage decision,
which determines whether the lot is accepted or rejected.

If the inspection lots are stock-relevant, the system will make automatic stock postings, based
on the usage decision (for example, from inspection stock to unrestricted-use stock). Since
28

lots in inspection during production are not stock-relevant, no stock posting takes place in this
case.

If the inspection lot is rejected the stock will be posted in the rework area for corrective action.

29

4.2.3 Process Chart (To-Be)

NUMBER RANGE OF INSPECTION LOT IN CASE OF GOODS RECEIPT FROM VENDOR

03000000000

03999999999

30

4.3

Inspection for Goods Receipt from Production

4.3.1 Process Description

During an inspection during production, an inspection for goods receipt from production can be
performed. This processing variant will allow Del Monte to:

Inspect the goods received from production before they are posted to the warehouse stock

Record and track the finished product quantities in inspection stock

Post the finished goods out of inspection stock after making the usage decision for the
inspection lot

When the system releases a production order or process order, it can create an inspection lot for a
goods receipt from production (inspection lot origin 04).
The system creates this inspection lot when an order is released, and the stock is posted to Quality
Inspection Stock. This inspection lot is used to:

Inspect the completed production goods before the stocks are posted to the warehouse stock
in a goods receipt

The following condition must be met in the inspection settings of the material master:

An inspection type assigned to inspection lot origin 04 is active.

This will allow the system to automatically generate an inspection lot when a production or process
order is released or when confirmation is put against production or process order. A goods receipt is
made for produced goods.

4.3.2 Process Overview (To-Be)

Following solution is proposed to Del Monte to perform inspection of goods receipt:

A production order is released (see, process number Process Order Confirmation in PP); and
a goods receipt is posted to quality stock (see, process number Goods Receipt in Production
Planning); if lot origin 04 is active on the production material. The stock is posted to Quality
Stock and Inspection lot will be created, the inspection lot is also assigned a unique
inspection lot number

Based on the task list assigned to the material, samples are determined and inspection
characteristics are recalled

Del Monte user will now record results on the activated characteristics

Referring to the recorded results, usage decision will be taken by the approved authority

If accepted the stock is posted to un-restricted use stock

31

If rejected the stock is posted to blocked stock

32

4.3.3 Process Chart (To-Be)

NUMBER RANGE
VENDOR
04000000000

OF

INSPECTION LOT

IN CASE OF

GOODS RECEIPT FROM

04999999999

33

4.4

Quality Notifications / Customer & Consumer Complaints

4.4.1 Process Description

Notification describes a business object's non-conformance with a quality requirement and contains a
request to take appropriate action. A quality notification may relate to a customer complaint, a
complaint against a vendor, or an internal problem report. A quality notification can specify the
persons responsible for processing the notification.
When the user records a defect, the system automatically creates a quality notification with the
notification type that has been assigned to the inspection type in Customizing:

Customer / Consumer complaint (notification type Q1/F1); for example, in a quality inspection

Complaint against the vendor (notification type Q2/F2); for example in a goods receipt
inspection

Internal problem notification (notification type Q3/F3); for example, in a goods receipt
inspection from production.

The activities or tasks that must be carried out to complete a quality notification can be described at
the header level or item level of a notification.
Customer Complaint
If goods are returned by a customer for repair or replacement because of a defect, a quality
notification can be used to process the return delivery. The problem is described in a quality
notification for a customer complaint (notification origin Q1).
A customer complaint can be processed in the following ways:

A notification is created with reference to a sales document (sales order, delivery note). In this
case, further information, for example material number and customer, will be directly
transferred to the quality notification. A general description is recorded of the problem and
save the notification.

Perform a defect analysis on the returned goods and enter the defects in the notification.

Use the results of the defect analysis to decide which corrective tasks are required. Use the
action box for the notification to post a goods movement, that is to post the goods to the
appropriate stock (for example, unrestricted-use stock if no rework/ repack is required,
blocked sales order stock if the goods must be reworked/ repacked, or scrap).

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Complaint against Vendor

The procurement process in a company includes planned and unplanned events. When receiving
goods:

Discover that the delivery is incorrect

Identify and record defects in a planned goods receipt inspection

In both cases, a quality notification to process a complaint or to document the defects that have been
identified can be created. At goods receipt, it can be discovered that the vendor has delivered the
wrong product. A quality notification is used to document this event and to send a complaint. A quality
notification can be created manually in the system. If a vendor delivers the wrong goods, a quality
notification (notification type Q2) for the notification origin Q2 (vendor) can be created.
A return delivery can be created with or without reference to an original purchasing document.
If defects are found during the goods receipt inspection, they can be managed using quality
notifications in the defects recording function.
When recording a defect, the system creates a quality notification with the status "Defects recording"
and "Outstanding notification". A quality notification can be activated manually with this status, or the
system can activate the notification automatically. If a quality notification is activated, the status of this
notification changes to "Outstanding notification".

Internal Problem
If problems occur during any stage of the production process, a quality notification can be created
manually.
Different notification types can be used to create and process internal problems for the notification
origin Q3. Examples are:

Notification type Q3: Internal problem notification in production

Notification type F3: Defect notification for a material

If needed, a quality notification can be created for a process order, this can be done from the
confirmation of the process order transaction. If notifications already exist for this process order (for
example, notifications related to defects recording), then changes can be made to these notifications.
When creating a new quality notification, the notification type can be freely defined. If, during
notification processing, a defect is discovered it can be traced back to the vendor, and a complaint
against the vendor (notification origin Q2) using the action box in the internal problem notification
(notification origin Q3) can be created.

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4.4.2 Process Overview (To-Be)

At Del Monte the SAP process of Quality Notifications is a value addition. Following steps describe
the to be process:

Del Monte user will navigate to notification creation screen, and create a Quality Notification.

Complaints or defects will be recorded which have been observed during quality inspection.

A defect location is assigned. A defect location is the location where quality inspection was
carried out and defects were observed, for example at Del Monte a defect location could be
the Lab Unit etc.

Del Monte user will explain root causes of the defect (if any).

Del Monte user will explain the correction tasks to eradicate the defect.

A person / agent or department responsible for corrective / preventive measures will be

assigned.

Activities would be explained that should be performed by person / agent or department for
corrective / preventive actions.

Each task that needs to be performed will be designated a status.

Save and close notification.

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4.4.3 Process Chart (To-Be)

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38

4.5

Manual Inspection Lot

4.5.1 Process Description

Inspection lots can be created automatically by the system or manually by the user. Quality
Management supports a number of variants for creating inspection lots in the system. Inspection lots
can be created manually for all inspection lot origins except the following:

10 (Delivery to customer with sales order)

11 (Delivery to customer without sales order)

12 (General delivery)

13 (Repetitive manufacturing)

14 (Plant maintenance)

17 (Externally triggered inspection)

When an inspection lot is created manually, original documents (for example, a goods receipt
document, an order, or a delivery note) cannot be referenced.

4.5.2 Process Overview (To-Be)

The following steps need to be followed when creating an inspection lot:

Del Monte user will navigate to the inspection lot creation screen.

In the inspection lot creation screen, the Del Monte user will enter the material, plant, and
inspection lot origin, and confirm the entries. (For inspection lot origins 03, and 04, do not
specify a material).

Del Monte user will assign task list to the inspection lot, inspection characteristics must be
maintained in the task list being used.

Save the inspection lot.

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4.5.3 Process Description (To-Be)

NUMBER RANGE OF INSPECTION LOT IN CASE OF MANUAL INSPECTION LOT

89000000000

89999999999

40

4.6

Recurring Inspection

4.6.1 Process Description

The system can automatically create inspection lots at predefined intervals for selected batch
materials. Such inspections can be planned by having the system monitor the date for a recurring
inspection.
Recurring inspections are triggered by a report that can be executed manually or the system can
execute automatically (provided it has been planned as a background job). When recurring
inspections are triggered automatically, the background job executes the report, which in turn selects
the batches and creates the inspection lots according to the selected processing parameters
The system creates inspection lots automatically for recurring inspections if the following conditions
have been met:

Each material to be inspected is defined as a batch material in the material master record.

An inspection interval is specified in the Quality Management view of the material master
record.

An inspection type is active for inspection lot origin 09 in the inspection settings of the
material master record.

The inspection settings in the material master record specify an inspection using a task list or
material specification

A next inspection date is specified for the batch in the batch master.

To trigger a recurring inspection automatically:

Define parameters in the report program for a recurring inspection

Save the report as a variant

Plan the variant as a background job

4.6.2 Process Description (To-Be)

If Del Monte wants to make recurring inspections, following is the proposed solution of recurring
inspection in SAP for Del Monte material unit. This process can also be adopted by any other
units/departments of Del Monte.

A recurring inspection is triggered:

Automatically by the system via a background job.

Manually by the Del Monte user

The system selects the batches that meet the selection criteria.
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The system processes the selected batches on the basis of Del Monte users
parameter settings in the report.

42

Only lot creation. The Del Monte user will create inspection lots for the selected batches when
the next inspection date is within the opening period.

To inspect stock at lot creation. The system creates inspection lots for the selected
batches when the next inspection date is within the opening period. When the
inspection lots are created, it posts the batch stock to inspection stock. If an
inspection lot already exists, the stocks are also posted to inspection stock and the
inspection lot is updated accordingly.

Block batch at lot creation. The system creates inspection lots for the selected
batches and blocks the batches by changing their status to "restricted." If the batch
status management function is not active, the stock is posted to blocked stock.

When Del Monte users will create the inspection lots, the following activities will be triggered:

The system will assign an inspection specification to the inspection lot.

The system will calculate the sample size.

Inspection will be generated and automatically forward to the Del Monte user through workflow. Del
Monte user will see this inspection lot and specific assigned Master Inspection Characteristic and
record the result and save this document.
If a user finds any defects in this inspection lot or material then he will create a notification and record
the defect, and send this notification to the concerned unit though workflow.
When the inspection with a usage decision for an inspection lot is completed, the system updates the
next inspection date in the batch master record. The system determines the new inspection date by
adding the value of the inspection interval specified in the material master record to the current date.

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4.6.3 Process Chart (To-Be)

NUMBER RANGE OF INSPECTION LOT IN CASE OF GOODS RECEIPT FROM VENDOR

09000000000

09999999999

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5. Integration
5.1

Quality Management in Procurement

Quality Management module integrates with Material Management module in its Procurement subcomponent during the process of Goods Receipt. When the purchase order is created and goods
receipt is posted against that purchase order, then automatic inspection lot will be created. In results
recording, the system will bring all the master inspection characteristics to be inspected for the
material from the inspection plan, which is assigned to that material. The user will record the results
against these specifications and take the appropriate usage decision.

5.2

Quality Management in Production

Quality Management module integrates with Production Planning module during the creation and
execution of Production / Process Orders, to inspect production materials, and / or finished goods. At
Del Monte, process order (master recipe) functionality is being used in Production Planning. At the
time of process order creation, the user will incorporate inspection phases within the order. When the
process order is released for finished goods then an inspection lot will be created automatically and
inspection will be started. On completion of the process, at the time of goods receipt of finished goods
from production, the finished goods are posted to Quality Inspection stock for finished goods
inspection. After this, inspection finished good stock will be posted to the storage location, depending
upon the usage decision.

5.3

Quality Management in Sales & Distribution

Quality Management module integrates with Sales and Distribution during the Delivery process. If a
delivery is created in SD for a product or material, the QM component automatically creates an
inspection lot for the delivery items that must be inspected. A delivery item must be inspected if the
corresponding control parameters are active in the SD and QM components. The delivery can be
released for the goods issue posting, provided a usage decision to accept the goods is made for the
inspection lot.

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END OF DOCUMENT

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