SAP QM Quick Guide Overview
SAP QM Quick Guide Overview
SAP QM - Overview
SAP Quality Management is a part of SAP R/3 system and is integrated with other SAP modules
like SAP Material Management (MM), Production Planning (PP), and Plant Maintenance (PM). QM
is an integral part of logistic management and it is used to perform quality functions such as quality
planning, quality assurance, and quality control, at various stages such as incoming material stage,
in-process manufacturing process stage, and after production as well.
With Quality Management module, you can implement the key modules of QM system as defined in
manufacturing standards like ISO 9000.
As SAP Quality Management is an integral part of SAP R/3 system, it performs the following key
functions in manufacturing of goods −
Quality Planning − Quality planning allows to plan the inspection of goods from the
vendor, raw material, work-in-process, and final product.
Quality Notifications − Quality notification includes the defect identification and steps to
be taken by quality department.
Quality Inspection − Here, quality results are captured and decision is taken as to
whether an inspection lot is to be accepted or rejected.
In the following diagram, you can see the key components that are involved in SAP Quality
Management process.
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SAP QM - Components
Quality Planning
Quality planning includes data for quality planning and how the quality process has to be
performed?
You perform Quality inspection plan. It is used to define the way you can inspect an item and the
steps involved to perform an inspection. It also determines the characteristics of an item to be
inspected and what equipment are required to perform an inspection.
Inspection plan definition is an important part of the QM planning process. The inspection plan
contains the number of characteristics of the item to be inspected and the list of tests to be
performed for performing the inspection.
Inspection planning can be done for raw material, work in progress and finished products.
Quality Assurance
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A Quality inspection involves someone from the quality department inspecting an item as per the
defined points in inspection plan. You perform the inspection based on one or more inspection lots,
where a lot is a request to inspect a specific item.
In SAP system, you can create Inspection lot either manually by a user or automatically in the
system.
Quality Control
Under Quality Control, you have quality notifications, standard reports, and Quality notification
system. Quality control determine what actions need to be taken as after defects are detected.
The quality notification process includes recording problem that is either identified by a customer
for a product manufactured in an organization, or in a company against the product of a
supplier/vendor.
Quality notification can be raised internally to raise an issue that have arisen on the production line.
A quality notification can be assigned to an existing order or you can also create a new order as per
the quality notification.
Standard Reports
You can create reports in QM system to check how many times a product has been identified with a
defect and improvement areas that your company has to implement. There are number of reports
that can be generated in QM −
It can be used to check the number of times an item has been identified with a defect status.
This report is used to show the number of defected material supplied by a vendor. This can be
checked by examining the inspection lots of the goods received. A quality department can highlight
vendors who have supplied material which are failing in inspection.
This report is used to show the defects that were found on inspections for outbound deliveries. This
helps the organization to improve the quality of goods delivered and hence raise the customer
satisfaction.
SAP QM – Functions
These functions comprise to form Quality Management process. In SAP QM system, you can
perform the following functions −
Quality Planning
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Quality Inspection
Quality Control
Quality Certificates
Quality Notifications
Test Equipment Management
SAP QM - Integration
SAP QM is integrated with other SAP modules to perform the quality planning, inspection and
control process. You can integrate this with the following modules −
Manage the releases for vendors and manufacturers and also monitor QM systems for
suppliers.
Manage the release status of delivery from vendor.
Maintain quality agreements and RFP details when you request for a quotations and
purchase orders is raised for vendors.
Manage the inventory of goods during the inspection and accept the cleared goods in the
inventory system.
You can also use SAP QM in material management to determine the characteristic values
from quality inspections to define the batch number of produced material.
Using SAP QM, you can evaluate vendors as per the quality scores, material provided and
quality notification.
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You can use QM process to manage partial lots of a material during production, which are
different in quality.
You can confirm the quality information as per manufacturing orders.
Using SAP QM, you can monitor the production quality with the help of control charts and
reports in Production planning.
You can integrate SAP QM with Sales and Distribution to perform the following activities −
You can manage quality information related to customer for sales and distribution process.
In SAP QM system, you can initiate an inspection when a delivery is created against a
purchase order
You can manage quality in sales & distribution by performing quality notifications and
RCA’s and by processing customer complaints to improve customer satisfaction.
You can integrate SAP QM with controlling process to manage the costs for defect control and non-
confirmative costs in production process.
To perform the quality process, you need to maintain data related to inspection planning in SAP
system. You need to maintain the data for quality planning to maintain standard reports related to
material master, supplier, and customer complaints.
The following master records have to be created related to Quality planning −
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You can define inspection specifications for the materials. For example, dimensions of inspected
material width, length and height of the material, etc. Master inspections are specified at the
production level and you can organize the master inspection specifications to remove duplicate
specifications.
These specifications are used in the inspection plan, and equipment’s specifications are used in the
inspection plan.
You can define the following type of master inspection specifications in SAP QM system −
Quantitative specifications
You can directly get the results for quantitative specifications from inspection while recording the
result. You can set the limits like minimum and maximum value for each parameter at the master
level. You can also attach the inspection method to the inspection specification level.
Qualitative specifications
Step 1 − Use the T-Code: QS21 in SAP Easy access. In the following screenshot, you can see
how to start creating an MIC.
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Select the checkbox for quantitative if you are creating Quantitative Characteristic which
can be measured.
Select the status as "Released"
Select Complete copy model from the drop-down list as the MIC data needs to be
maintained completely.
Enter the Short text and search field as per your choice.
Click the Control indicators button at the top to maintain other important data like lower
and upper limits. You can define the range when material is accepted for production.
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Step 4 − Once you click the Control Indicator button, a new dialog box appears. This is to
maintain the lower and upper limit data.
Select Lower specification limit.
Select upper specification limit.
Select sampling procedure to use sampling procedure.
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Step 5 − To move to the next screen, press ENTER and you will be redirected to the Tolerance
window.
Step 6 − Click the tick mark and you will be on the main screen. To save the master inspection
characteristics, click the save button.
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You can use the inspection method to perform the inspection. An inspection method can be
assigned to master inspection characteristics or directly to an inspection characteristics in an
inspection plan.
An Inspection method can be created in one plant and the same method can be used in other
plants.
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SAP QM - Sampling
Sampling procedure in QM is used to determine the size of the inspection lot to be used in
inspection plan under Quality planning. You can define a sampling procedure as fixed sample,
percentage or other sample. A sampling scheme contains collection of sampling plans.
In sampling plan, you define the sample size specification for the inspection lot, to determine if a
sample is accepted or not accepted.
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Step 3 − Press ENTER, select Control chart type. At the top, you have a Sample button. Click the
Sample button to open a Sample attribute window. Enter the sample size and click the tick button.
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To save the sampling procedure click the save button at the top.
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Quality info records are used to manage the supplier relation in an organization. When there is
continuous defect in the material supplied by a vendor, you can use Quality Info Records to block
a vendor.
When you create a purchase order, SAP system performs a check to find if a Quality Info Record
is required and is available for combination of material and vendor.
Quality information record has to be maintained when you use the source inspection functionality.
This means a material has to undergo an inspection prior to reaching the plant for Goods Receipt.
Under Quality Info Record, you can set that the inspection is required when it is procured from
vendor A and is not required if you procure it from Vendor B.
Step 3 − Go to the Release tab; enter the release date, which means that the material can be
ordered from the vendor till release date.
You can also enter Block function if you want to block this material to be ordered from this
particular vendor.
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To save the Quality Info Record, click the save button at the top.
In SAP system, you can perform the incoming inspection for different material like raw material
inspection, in progress material inspection or final goods inspection. Goods receipt is generated as
a part of purchasing or against a scheduling agreement.
For each good receipt, SAP system creates a one-inspection lot, which contains details such as
vendor, date or purchase, etc.
Step 1 − To post goods receipt against PO, use T-Code: MIGO
Step 2 − In the next window, enter the following details as shown in the screenshot.
Select Goods receipt from the drop-down list.
Select Purchase order from the drop-down list.
Enter purchase order number.
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You can see the stock type as Quality Inspection is generated automatically as the material is
subjected to quality inspection. To save the document, click the save button at the top.
You can record the result for the inspection lot created at the time of Goods Receipt. To record the
result, follow the steps given below.
Step 1 − Go to T-Code: QA32 as shown in the image given below −
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Step 3 − Click the Execute button to display the list of inspection lot. In the next screen, you can
see the following details −
Inspection lot generated in earlier steps along with material.
Check the SAP system status as REL CALC SPRQ shows that Inspection plan is copied in
inspection lot and sample size calculated and stock posting required from quality stock to
unrestricted or any other stock category.
Step 4 − Click the Results button at the top to do results recording.
Step 5 − In the next screen, you will see the result of inspection lot.
You can see the short text- Master Inspection Characteristics with the specifications like length,
surface, width, etc.
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Usage decision is used to decide whether you want to accept or reject the goods in the inspection
lot based on the results of the inspection. As per inspection results the process is marked as
completed.
To create a usage decision against inspection lot −
Step 1 − Go to T-code: QA32 and Enter Plant Code.
Step 2 − Select the inspection lot origin 01, which is SAP inspection type used for raw material
inspection.
Step 3 − Press Execute to display the list of inspection lot.
Step 4 − In the next screen, click the Usage Decision button at the top.
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Step 5 − In the next screen, enter the UD code as A for acceptance. You can see the quality score
as 100 based on Usage Decision code.
Step 6 − Go to Inspection lot stock TAB to do stock posting in next SAP screen.
Step 7 − In the next screen, you can select the quality stock of 200 to unrestricted stock if the
quality results are within expected specifications, which hits movement type 321 in the background.
To see the listing of existing lot in SAP system, follow the steps given below −
Step 1 − Use T-Code: QA33.
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Material
Inspection lot creation date
Batch
Vendor
Inspection dates
Plant
Inspection type
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You can run the quality process for intermediate or finished product during the production process
in SAP system, for example, Inspection in each shift, etc.
The in-process inspection has a reference to a production order in SAP system. You generate an
Inspection lot at the time of production order release and inspection type for in-process inspection
is 03 in the system. When there is a production order release, inspection lot will be automatically
created in the system.
To create and release Production order −
Step 1 − In SAP easy access system, use T-code CO01
Step 4 − In the next screen, you can see inspection lot triggered once you release the production
order.
Result Recording
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You can do the result recording for the inspection lot created at the time of Goods Receipt.
Step 1 − To perform the Result recording, go to T-Code: QA32
Step 3 − Next, click the Results button at the top to do results recording.
Step 4 − In the next screen, you will see the result of inspection lot.
You can see the short text- Master Inspection characteristics with the specifications like
length, surface, width, etc.
A sample size of 5 calculated automatically by the system if sampling procedure is
assigned in the inspection plan. Enter your actual results against the inspection
specifications.
Click the save button to save the inspection results.
Step 3 − Select the inspection lot origin 03, which is SAP inspection type used for in process
material inspection.
Step 4 − Press Execute to display the list of inspection lot.
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Step 5 − In the next screen, select Usage decision button at the top.
Step 6 − In the next screen, enter the UD code as A for acceptance. You can see the quality score
as 100 based on Usage Decision code as for the raw material inspection.
Note − There is no Inspection lot stock tab to do any stock posting as it was in raw material
inspection.
Click the save button to save the usage decision and hence in-process inspection is completed.
You perform final inspection of goods after production goods receipt in SAP system. Inspection lot
is created after goods receipt for a production order and inspection lot type is 4 for final inspection.
SAP system creates a unique inspection slot contains details of production order, sampling, etc.
The quality inspection is performed until you perform result recording and usage decision is made
for the lot.
Final inspection process consists of the following steps −
Creation and Confirmation of Production order
Listing Inspection lot
Attaching and releasing inspection lot
Sampling
Result recording
Usage decision
Posting the stock
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Step 3 − Once you enter all the details, click the tick icon at the top. In the next screen, you have to
enter the details of Production Order.
Enter the Production Order quantity.
Enter current date from the drop-down list.
Step 4 − Click the Release button at the top to release the order.
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Step 5 − Click the Goods Receipt tab to confirm if you have Quality inspection activated. When
you have this activated, you can see quality inspection stock against stock type in next window.
Step 6 − In the next window, check stock type as quality inspection, which means after
confirmation and goods receipt of production order, it will trigger an inspection lot and the stock will
hit quality inspection stock.
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Step 2 − In the next window, you have to enter the production order number created in the previous
step. After entering order number, all details would be populated automatically.
Step 3 − Click Goods Movement to post goods receipt and goods issue of components.
Step 4 − In the next screen, you can see Goods receipt for this Production Order. Click the save
button to save the order.
Step 1 − Use T-Code: QA32 as shown in previously under Raw material inspection.
Enter Plan code.
Enter Inspection lot as 04.
Press the execute button to display inspection lot list.
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Step 3 − In the next screen, you will see the result of inspection lot.
You can see the short text- Master Inspection Characteristics with the specifications like length,
surface, width, etc.
Step 4 − A sample size of 5, calculated automatically by the system if sampling procedure is
assigned in the inspection plan. Enter your actual results against the inspection specifications.
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Step 2 − In the next screen, select Usage decision button at the top.
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Step 3 − In the next screen, enter the UD code as A for acceptance. You can see the quality score
as 100 based on Usage Decision code as for the raw material inspection.
Step 4 − Go to the Inspection lot stock TAB to do stock posting in next SAP screen.
Step 5 − In the next screen, you can select the quality stock of 200 to unrestricted stock if the
quality results are within expected specifications, which hits movement type 321 in the background.
In SAP QM, you can capture different types of record, which are identified at the time of inspection.
SAP Quality notification can be used to analyze the defects identified and perform root cause
analysis.
You can process defects related to −
Complaints filed by customers − This includes the defects identified in goods that are
delivered to customers. You can use standard SAP Quality notification Q1 to record
customer complaint and take action against problem reported by customer.
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Complaints identified in vendor delivered goods − This includes the defect identified
with quality of goods delivered from supplier/vendor. You use standard SAP QM notification
type Q2 to record a complaint against vendor and take action for the incoming material.
Internal Defects − This includes recording internal problems which are identified at the
time of in process quality inspection. You use standard SAP QM notification type Q3 to
deal with problems identified in goods manufactured in a company.
Defect Recording
Step 3 − In the next screen, you have to select the defect parameter and value for the parameter.
You will get a confirmation that Quality notification has been created in the system.
As mentioned in the previous topic, using Quality notification you can record different type of
problems occurred due to poor quality of goods.
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Quality notifications can be created for the following internal and external problems −
Defect Analysis
Customer Complaint
Complaint against vendor
You can use SAP quality notification process to raise the following documentation −
To record the names of all individuals/ partners who are directly associated with the defect
identified in goods delivery, production.
To record the individual defect items and analyze the root cause of the defected items.
To mention the corrective actions to be taken that are identified after doing the analysis of
problem in detail.
To track corrective actions to be implemented using status management features of
notification.
In quality notification, you capture all the activities and tasks that are performed as part of
problem identification and to fix the issue.
You can generate various standard reports related to defects and quality notification in
SAP system.
Step 2 − In the next screen, enter quality notification number created. Press ENTER to move to
next screen.
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Step 4 − When you click the Item tab, you can see the defect type in the next screen.
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Step 5 − Select the item and click the Causes button to move to next screen to define cause of the
problem.
Step 6 − Enter the code group QM for the cause means that this is design defect. These code
groups are configured based upon the business requirements.
Step 7 − Go to the Tasks tab to define the rework, which needs to be done. Select code QM-G2 for
the rework. Go to the Activities tab to move to the next screen.
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Step 8 − In the Activities tab, you need to mention the activities to be performed when the defect is
identified. Enter the group QM- G2 that shows that a special complaint to be filed against the
vendor.
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Step 9 − To complete the notification process, click the complete button at the top as shown in the
screenshot given below.
SAP QM - Benefits
In SAP MM process, SAP QM allows a company's representative to visit the supplier office
to check the quality of the goods they produce. You call this process as source inspection
in Quality Management module.
The common type of quality inspection includes checking the goods for Purchase Order
upon delivery. When goods are delivered, an inspection lot is automatically created. You
perform the result recording and usage decision is made if the delivered quantity is
acceptable or not acceptable.
SAP QM is directed linked to controlling for costing and to decide how many goods are
accepted. You update the vendor quality record in the system and this helps to find out if
same vendor should continue to supply the material or there is a need to find a new
source.
SAP QM - Tables
In SAP QM system, you have the following tables related to each module- Sales and Distribution,
Master data, Procurement, Quality control and notification etc.
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SAP QM Procurement
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TQ02B QM system
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TQ70C Function codes for navigation from the characteristic overview screen
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