How to Configure QM in Procurement

How to Configure QM in Procurement

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Quality Management (QM) is a component of SAP S/4HANA that supports businesses implement and run quality control processes.

QM integrates with other components of SAP like

  • Material Management (in procurement)
  • Production Planning (in production order)
  • Plant Maintenance
  • Sales & Distribution
  • Logistics

In this post we will see how to Configure & Test QM in Procurement in detail.

1. QM in Procurement

SAP Quality Management is tightly integrated with the purchasing and Inventory Management process.

If material is subjected to QM then inspection lot is generated to inspect the material upon receipt of the material against the purchase order.

Quality results are entered against master inspection characteristics.

2. Maintain Inspection Types and Origins

for integrating QM in procurement, inspection type “01” is used.

2.1 Maintain Inspection Type

The inspection type states how an inspection is to be carried out. For example : Inspection type “01” will describe how an inspection needs to be carried out for a material at the time of goods receipt against purchase order.

Below are the main configuration element of inspection type “01”

Follow the below path

SPRO –> Quality Management –> Quality Inspection –> Inspection Lot Creation –> Maintain Inspection Types

We have configured inspection type “01” as below

Picture: Inspection Type “01”

2.2 Maintain Inspection Lot Origins and Assign Inspection Types

The inspection lot origins are predefined so we cannot configure our own inspection lot origins.

We must define the below parameters for each inspection lot origin

  • Number range
  • Available dynamic modification criteria
  • Task list type
  • Inspection plan status

Follow the below path for this configuration

SPRO –> Quality Management –> Quality Inspection –> Inspection Lot Creation –> Maintain Inspection Lot Origins and Assign Inspection Types

We have configured the below

Picture: Inspection Lot Origin

Picture: Inspection Type for Origin

2.3 Define Default Values for Inspection Type

This configuration defines default values for a material’s inspection setup.

These default values are used for new materials with this inspection type assigned. These values defines the inspection setup in the Quality Management view of the material master.

Follow the below path for this configuration

SPRO –> Quality Management –> Quality Inspection –> Inspection Lot Creation –> Define Default Values for Inspection Type

We have defaulted the below field for inspection type “01”

Picture: Default values for inspection Type “01”
--> So if a material is subjected to quality checking at the time of goods receipt inspection, we need to assign inspection type "01" in QM view of the material master to activate the GR inspection.

--> Upon activation of inspection type "01", all the fields defaulted through the above configuration will be automatically selected for that material.

Please see the below post to have an overview for the material creation with inspection type “01”

2 Minutes Guide to Create your First Material in S4 HANA-Creation of QM view for QM-MM Interface

3. Our Concept of GR inspection

We want to inspect one qualitative characteristics & 1 Quantitative characteristics or our component “Tail Light”

3.1 Qualitative Characteristic

We will measure SURFACE of our tail lights as Qualitative Characteristics.

We will measure “SURFACE” against characteristics attribute as Rough (Rejected), Smooth (Accepted), Scratches (Rejected) & Dents (Rejected)

Besides this there will be three defects class.

  1. Functional Defects
    • Bad Performance
    • No-Function

3.1.1 Edit Catalogs for Inspection Characteristics

follow the below path for this configuration

SPRO –> Quality Management –> Quality Planning –> Basic Data –> Catalogs –> Edit Catalogs for Inspection Characteristics (QS51)>Edit Code Groups and Codes

We have configured the below

Picture: Edit Catalogue

Now give all the four codes

Picture: Edit Catalogue for SURFACE

SPRO –> Quality Management –> Quality Planning –> Basic Data –> Catalogs –> Edit Catalogs for Inspection Characteristics (QS51)>Edit Selected Sets

Picture: Edit Selected set

Now enter all the 4 codes created earlier

Picture: Edit Selected set for all the 4 codes

3.1.2 Create Inspection Method

Inspection methods are master records which are assigned to master inspection characteristics or inspection plans. 

For our qualitative characteristic “SURFACE” we will create an inspection method “SURFACE”

To create inspection method run tcode QS31

Picture: Create inspection Method..1

Set the status as “2-Released” and given short text

Picture: Create inspection Method..2

Save and inspection method is created

3.2 Quantitative Characteristic

We will measure “Length” as Quantitative Characteristics.

Valuation will be according to the mean value of the tolerance range i.e. the length should be within tolerances.

4. Create Work center

Create the work center for quality inspection. we have created work center “QMWC” for quality

Please check the below post to see how to create work center in detail

How to Configure Base PP Cycle in 5 Minutes-Create Work Center

5. Create Sampling procedure (QDV1)

Sampling procedure specify how the system calculates the sample size. Sampling procedure contains information about the valuation of an inspection characteristic during results recording (attributive, variable, manual, etc.).

Run the tcode QDV1 to create the sampling menu

5.1 Sampling Plan for Qualitative Characteristics.

First we will create sampling plan “YSAMP1” for our qualitative characteristics “SURFACE”

Picture: Sampling Procedure Creation…1

This is a percentage sample.

Picture: Sampling Procedure Creation…2

Since this inspection plan is for Qualitative characteristics “SURFACE” so valuation mode will be according to the characteristics attribution code.

Picture: Sampling Procedure Creation…3

Click on “Sample”

Picture: Sampling Procedure Creation…4

This sample will select sample size as 10%

5.2 Sampling Plan for Quantitative Characteristics.

Now we will create sampling plan “YSAMP2” for our quantitative characteristic i.e. “Length”

Run T-code QDV1

Picture: Sample plan for Quantitative Characteristics..1

Press enter

Picture: Sample plan for Quantitative Characteristics..2

Give Sampling procedure description as “Quantitative Inspection”

Sampling Type as %

Also here we will measure the length which should be within the tolerance range so valuation mode will be this.

Sampling size will be 10% of the lot size

Picture: Sample plan for Quantitative Characteristics..3

6. Create Master Inspection Characteristics (QS21)

Master Inspection characteristics describe the inspection specifications for materials so for example : for our quantitative characteristics “Length” we will measure the length so MIC will describe the lower limit, upper limit etc.

We will create MIC for our quantitative Characteristics we well as for qualitative Characteristics

To create the MIC run the t-code QS21

6.1 Create MIC for Qualitative Characteristics.

First we will create MIC “YMIC1” for “SURFACE”

Picture: Create MIC for Qualitative Characteristics…1

Picture: Create MIC for Qualitative Characteristics…2

Click on inspection method and input our earlier created Inspection method (details HERE)

Picture: Create MIC for Qualitative Characteristics…3

Click on “Control Indictor” and input as given in the below field

Picture: Create MIC for Qualitative Characteristics…4

Picture: Create MIC for Qualitative Characteristics…5

Click on “Catalogue” and input the catalogue created in earlier steps

Picture: Create MIC for Qualitative Characteristics…6

Save and MIC “YMIC1” will be created

6.2 Create MIC for Quantitative Characteristics.

Now we will create MIC “YMCI2” for our Quantitative Characteristics “LENGTH”

Start T-code QS21

Picture: Create MIC for Quantitative Characteristics…1

Input the fields as shown in the below picture

Picture: Create MIC for Quantitative Characteristics…2

Click on “Control Indicator” and make sure that all the fields are selected as per the screenshot below

Picture: Create MIC for Quantitative Characteristics…3

Picture: Create MIC for Quantitative Characteristics…4

Go back on click on “Quantitative Data”

Picture: Create MIC for Quantitative Characteristics…5

Save and MIC is created.

7. Create Inspection Plan (QP01)

We need an inspection plan to capture the results of quality records.

In the inspection plan,

  • Sequence of inspection steps are defined.
  • Specifications as per the Master Inspection Characteristics (MIC)
  • Sampling procedure to calculate the sample size.
  • Inspection method

We will inspect our component material for Quantitative characteristics “LENGTH” as well as for Qualitative characteristics “SURFACE”

We have already selected the material “500000007” for Quality inspection in goods receipt.

Please see the details in the below post to check the creation of material “500000007”

2 Minutes Guide to Create your First Material in S4 HANA-Creation of QM view for QM-MM Interface

Start T-code QP01 and input the material and plant as well as group

Picture: Create Inspection Plan….1

Input usage as “5-Goods Receipt” and Status as “4-released”

Picture: Create Inspection Plan….2

select the line and click on operations

Picture: Create Inspection Plan….3

Select the line and click on “Inspection Characteristics”

Input our Qualitative & quantitative MICs and their corresponding sampling plans

Picture: Create Inspection Plan….4

Sava & inspection plan is created

8. Testing of QM in Procurement (MM-QM interface)

Now we will test the QM in procurement

Step 1 : Create the Purchase Order (PO)

Since we need to check quality inspection at the time of GR, so we have to create PO against which we will receive the goods

We have created PO

Note: Check the below post in detail to see how to create Purchase Order (PO)

All About Purchase Orders in SAP MM

Step 2 : Post The Goods Receipt (GR)

Check the below post to know in detail how to do the GR of the PO and corresponding accounting & material documents.

Ultimate guide to configure S4 HANA MM-FI Integration-Goods Receipt

Stock is in Quality inspection after GR posting

Picture: Stock is in QI

Step 3 : Check Inspection Lot (QA03)

Run T-code QA03 and display your inspection lot (search it with PO number)

Please note that inspection plan is applied to this inspection lot

Picture: Inspection Lot Display

Step 3.1 : Check the Sample calculation in Inspection Lot

Sample size is calculated corrected as 10% of 10 kg i.e. 1 KG (see the below screenshot) as per our sampling procedure YSAMP1/YSAMP2

Picture: Sample Size Calculation

Step 4 : Record the Results (QE51N)

Now we will record the result for both our quantitative characteristics (“LENGTH”) & qualitative characteristics (“SURFACE”)

Run T-code QE51N

Picture: Results Recording…1

System will present both of our characteristics to record the results against

Picture: Results Recording…2

Record the results

Picture: Results Recording…3

Save the result recordings

Status of the inspection lot is updated accordingly

Check the new status in QA03

Picture: Updated Status of Inspection Lot

Step 5 : Perform UD (QA11)

Now go to QA11 and perform the Usage Decision (UD)

give UD code as “A-Accepted”

Picture: Performing UD..1

And Quantity to move from QI to UNR

Picture: Performing UD..2

Once we save the UD , system post the qty to the unrestricted status and post the material document of “321” movement type in the background.

Inspection lot UD status changes accoordingly

Picture: inspection Lot status after UD

This completes the End to End cycle of QM-MM integration.

Image by storyset on Freepik

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