QM config ppt

1
SAP Quality Management (QM) When to Leverage It,
How to Set It Up, and How to Integrate It with
Your Current Production Planning Processes

• Isaac Mazliach
• S.D.M. Israel

2
What This Session Will Cover, and Why!

• Due to regulations put forth by the Food Drug
  Administration (FDA), the Federal Aviation
  Association (FAA), Sarbanes-Oxley (SOX), and
  others, SAP customers are compelled to use the
  Quality Management (QM) component more than ever

3
What This Session Will Cover, and Why! (cont.)

• QM is increasingly viewed as a business advantage
  (as with Motorola Six Sigma plan Statistical
  Process Control SPC)
• This session will introduce the Quality
  Management component (QM), and describe its main
  uses relevant to SAP Production Planning (PP)
  processes

4
What Well Cover

• What is QM?
• How different manufacturing strategies
  discrete, repetitive, and Process Industry
  (PP-PI) change the ways to integrate QM
• What are the differences between QM during
  production and QM at the end of production?
• Main customizing tasks to integrate QM with PP
• Master data requirements to integrate QM with PP
• Demo Process order with and without QM
• Wrap-up

5
A Definition of QM

• Quality Management (QM) is a component of mySAP
  PLM used to plan, check, verify, and document the
  quality of products and processes
• Three main requirements for a QM system
• Total Quality Management (TQM)
• Industry-specific standards FDA and Good
  Manufacturing Practice (GMP)
• Standards for QM systems (ISO 9000)

6
Evolution of QM

• Lets see a brief look at the history of software
  development in the quality management area
• SAP R/3 QM Planned and event-controlled
  processes in quality management for purchasing
  and production, with little functionality
  (compared to todays)
• mySAP PLM QM Functional area of mySAP PLM,
  encompassing quality engineering, quality
  improvement, and quality assurance and control
• mySAP ERP QM All QM-relevant processes
  (quality planning, quality inspection, quality
  certificate, quality notification, quality
  control, test equipment management, stability
  study)

7
What Does QM Include?

• Quality Management is integrated in the SAP
  system and uses basic and cross-application
  functions, such as
• Document Management System (DMS)
• Engineering Change Management (ECM)
• Classification System
• Audit Management
• Workflow
• ArchiveLink
• SAPoffice
• Example QM documents may be managed with DMS
  (txn CC04) and/or SAPoffice (txn SBWP)

8
Functions of the Quality Management Area

• Quality planning create and manage the master
  data that is required to plan and execute quality
  inspections
• Quality inspection identify whether the
  inspected units fulfill the predefined quality
  requirements
• Quality certificate certify the quality of a
  material (contains texts, specification values,
  and inspection results)
• Quality notification record and process
  internal and external problems that are primarily
  caused by poor-quality goods or services

9
Functions of the Quality Management Area (cont.)

• Quality control implement various preventive,
  monitoring, and corrective activities
• Specifications from quality planning and
  evaluations from quality inspections and quality
  notifications, form the basis for quality control
  
• Test equipment management manage master data,
  as well as plan and process calibration
  inspections for test equipment
• Stability study manage basic data, as well as
  the planning and execution of stability studies

10
Quality Management (QM) in Production Planning
(PP)

• QM in PP covers the following areas
• Integrating inspection planning/production
  operations
• Inspection operations can be directly included in
  routines (discrete manufacturing and repetitive
  manufacturing) or Master Recipes (process
  industry)
• Controlling inspections during production
• Inspection lot origin 03 (during production)
• Inspection lot origin 04 (Goods Receipt GR
  from production)
• Statistical Process Control (SPC)
• For example, control chart with mean value and
  standard deviation for an inspection
  characteristic
• Processing internal problem notifications
  notification type Q3

11
What Well Cover

• What is QM?
• How different manufacturing strategies
  discrete, repetitive, and Process Industry
  (PP-PI) change the ways to integrate QM
• What are the differences between QM during
  production and QM at the end of production?
• Main customizing tasks to integrate QM with PP
• Master data requirements to integrate QM with PP
• Demo Process order with and without QM
• Wrap-up

12
Discrete Manufacturing

• As soon as a planned order is generated from
  Materials Requirement Planning (MRP), shop floor
  takes over the information available and adds the
  order-relevant data to it to guarantee complete
  order processing
• Production orders are used to control production
  within a company, and also to control cost
  accounting

• These are the normal production orders
• Each material is produced individually (i.e., an
  individual production order for each production
  lot)
• The work processes within a company are executed
  using production orders
• A production order defines which material is to
  be processed, at which location, at which time,
  and requiring how much work
• It also defines which resources are to be used
  and how the order costs are to be settled

13
Repetitive Manufacturing

• A component in the SAP system for planning and
  controlling repetitive manufacturing and flow
  manufacturing
• It enables the period-dependent and
  quantity-dependent planning of production lines,
  reduces the work involved in production control,
  and simplifies backflushing (confirmation, Goods
  Receipt posting)

• Implement repetitive manufacturing if the
  following is true of your production process
• You produce the same or similar products over a
  lengthy period of time
• You do not manufacture in individually defined
  lots. Instead, a total quantity is produced over
  a certain period at a certain rate per
  part-period.
• Your products always follow the same sequence
  through the machines and work centers in
  production
• Routings tend to be simple and do not vary much

14
Process Industry Manufacturing (PP-PI)

• With PP-PI, SAP provides an integrated planning
  tool for batch-oriented process manufacturing
• It is primarily designed for the chemical,
  pharmaceutical, food, and beverage industries, as
  well as the batch-oriented electronics industries

• PP-PI uses terms such as
• Master Recipes the processes to be used for
  producing materials in your plant, as well as the
  resources and ingredients required for production
• Process Orders copy a process described in a
  Master Recipe and adjust it to the actual
  production run
• Process Management coordinate the communication
  between PP-PI and the process control during the
  execution of a process order

15
QM Changes According to Production Method

• QM uses different blocks (customizing, master
  data, etc.) according to the production method
  (discrete, process, and repetitive). Here are
  some examples
• When process order is used inspection planning
  may reside in the Master Recipe
• When production order is used inspection
  planning may reside in the routine (txn CA03)
• When PP-PI is used inspection results shall be
  recorded in the PI sheet (txn CO60)
• When discrete or repetitive is used inspection
  results shall be recorded in the inspection lot
  (txn QE51N)

16
What Well Cover

• What is QM?
• How different manufacturing strategies
  discrete, repetitive, and Process Industry
  (PP-PI) change the ways to integrate QM
• What are the differences between QM during
  production and QM at the end of production?
• Main customizing tasks to integrate QM with PP
• Master data requirements to integrate QM with PP
• Demo Process order with and without QM
• Wrap-up

17
Production Chain
Production Planning
Order release
Inspection during production
Order confirmation
Goods movement

• Sample calculation
• Inspection lot creation
• Approval procedure

• Recording of scrap
• Partial lot creation
• Valuation
• Batch classification

• GR in warehouse
• Batch proposal
• Batch classification
• Release of batch record

• Operations inspection characteristics
• Inspection points
• Measured value and defects recording
• SPC control chart
• Externally processed operations

18
QM During Production

• Inspection lot origin 03
• Inspection lot is created at the PP order release
• At Goods Receipt, material immediately entered
  into unrestricted-use stock
• Control is less strict
• Materials with bad inspection may enter the
  good stock
• If better control is required, production
  reporting should be on the operation level
• In this case, it should be forbidden to move to
  the next operation if the previous one was not
  accepted

19
QM at the End of Production

• Inspection lot origin 04
• Inspection lot is created at Goods Receipt
• At Goods Received, the produced material is
  received into QI-Stock
• Only usage-decision may move it to
  unrestricted-use stock
• Control is more strict
• If material did not pass inspection, it cannot be
  used
• Production reporting may be on operation level or
  on order level

20
What Well Cover

• What is QM?
• How different manufacturing strategies
  discrete, repetitive, and Process Industry
  (PP-PI) change the ways to integrate QM
• What are the differences between QM during
  production and QM at the end of production?
• Main customizing tasks to integrate QM with PP
• Master data requirements to integrate QM with PP
• Demo Process order with and without QM
• Wrap-up

21
Customization Tasks to Integrate QM with PP

• Separate transaction for QM customization QCC0
• Quality planning
• Inspection characteristics, inspection methods
• Sample determination
• Define task list types, usage, and status
• Define control key for inspection operations
• The required Task List Usages can be created in
  customizing
• The Task List Usage is entered in the headers of
  the task lists and in customizing of the
  inspection types

22
Assign Task List Type to Material Types
23
Quality Inspection

• Inspection types
• Inspection for goods movements
• Assign inspection type for manufacturing order
  (per production order type or process order
  type)
• Maintain usage decision for catalog type 3
• Define physical sample type, container, and
  locations

• Important
• The meaning of the catalogs 0 to 9 Z and A to O
  is defined by SAP
• The other catalogs (P to Z) can be defined by
  the customer

24
Define Control Keys for Inspection Operations
25
Quality Certificates

• Certificate profile
• Maintain form
• Output determination

26
Quality Notifications

• Notification types and content
• Additional notification functions (action box and
  follow-up actions)

Q What are Quality
Notifications? A Quality Notifications are the
central medium in QM for processing problems and
unplanned events
27
Quality Control

• In Materials Management (MM) Vendor evaluation
• In Logistics Information System (LIS) Quality
  Management Information System (QMIS)
• In QM Definition and evaluation of original
  documents

Control Chart Form for the graphical display of
characteristics values that occur during an
inspection. The control chart compares the
displayed values with the action limits and, in
this way, supports the quality-related control of
the process. The run-chart is a graphical display
of the single values of a quantitative
characteristic in a run time. You cannot valuate
inspection results using the run-chart.
28
Stability Study

• Define physical sample types
• Define testing schedule category
• Notification types
• Catalogs
• Inspection types

Stability Studies are performed in the chemical,
pharmaceutical, and food industries to examine
how different conditions affect a product over a
specified period of time
29
What Well Cover

• What is QM?
• How different manufacturing strategies
  discrete, repetitive, and Process Industry
  (PP-PI) change the ways to integrate QM
• What are the differences between QM during
  production and QM at the end of production?
• Main customizing tasks to integrate QM with PP
• Master data requirements to integrate QM with PP
• Demo Process order with and without QM
• Wrap-up

30
Quality Planning as a Foundation for Master Data

• In quality planning, you define information and
  processes on a long-term basis as Master Records
• Quality planning provides the basis for
  inspection processing
• To do that, quality planning uses
  cross-application data, such as
• Material Master
• Batch classification
• Quality documents
• Work center
• Serial numbers

31
Master Data Material Master QM View

32
Master Data Routine View
33
Master Data Routine View (cont.)
34
Quality Planning as Part of QM

• Quality planning uses QM-specific basic data such
  as
• Master inspection characteristics
• Inspection methods
• Sampling procedures
• QM work center (with its capacity)
• Catalog

35
Quality Planning and Inspection Planning Data

• Quality planning uses inspection planning data
  such as
• Inspection plans
• PP-PI Master Recipe, Resource
• Routing
• Material specifications

36
What Well Cover

• What is QM?
• How different manufacturing strategies
  discrete, repetitive, and Process Industry
  (PP-PI) change the ways to integrate QM
• What are the differences between QM during
  production and QM at the end of production?
• Main customizing tasks to integrate QM with PP
• Master data requirements to integrate QM with PP
• Demo Process order with and without QM
• Wrap-up

37
Process Order Without QM

• When production is complete, enter a Goods
  Receipt of the material into stock
• The Transaction is CO60 maintain PI sheet

38
DEMO Process Order Without QM
No QM data!
39
Process Order with QM

• When production is complete, enter the following
• Inspection results (through characteristics)
• Usage decision
• Only then, enter Goods Receipt of the material
  into stock
• The transactions
• CO60 maintain PI sheet
• QE51N find inspection lot per material
• QA11 enter usage decision

40
DEMO Process Order with QM
Enter QM data here!
41
DEMO Process Order with QM (cont.)
42
DEMO Process Order with QM (cont.)
43
DEMO Process Order with QM (cont.)
44
What Well Cover

• What is QM?
• How different manufacturing strategies
  discrete, repetitive, and Process Industry
  (PP-PI) change the ways to integrate QM
• What are the differences between QM during
  production and QM at the end of production?
• Main customizing tasks to integrate QM with PP
• Master data requirements to integrate QM with PP
• Demo Process order with and without QM
• Wrap-up

45
Resources

• Product information
• www.sap.com/plm
• Product documentation
• http//help.sap.com
• For customers and partners
• http//service.sap.com/qm
• Information about courses
• www.sap.com/education

Requires login credentials to the SAP Service
Marketplace
46
7 Key Points to Take Home

• QM became crucial in recent years
• Now, more than ever, it is important to implement
  it in PP
• Before starting the QM project, make sure your
  implementation complies to the rules and
  regulations of your companys business (SOX,
  FDA, etc.)
• To allow the QM process to work, allocate the
  necessary resources to ensure that master data is
  correct
• If a more strict control is required, you may
  consider inspecting the material at the end of
  production
• If the production process is long or divided into
  many processes, you may consider inspecting
  during production, also

47
7 Key Points to Take Home (cont.)

• Focus on the main customizing and master data
  tasks
• Do not try to achieve everything right at the
  beginning
• Use notification wisely. It is very powerful.
• Make sure you allow production to continue
  working after QM implementation
• Do not sacrifice production on the altar of QM

48
Your Turn!
How to contact me Isaac Mazliach ISAAC_at_SDM-C.COM