Quality Inspection Management Implementation - R19A - Student Guide PDF

Schedule: Timing Topic
05 minutes Lecture and Demo

00 minutes Practice
05 minutes Total
Oracle SCM Cloud: Quality Inspection Implementation 1 - 2
This slide lists the lessons in this course.

Oracle Supply Chain Management Cloud documentation is available in the Oracle Help Center:
https://docs.oracle.com/en/cloud/saas/supply-chain-management/19a/books.html
• Using Quality Management: https://docs.oracle.com/en/cloud/saas/supply-chain-
management/19a/fauqm/using-quality-management.pdf
• Using Product Development: https://docs.oracle.com/en/cloud/saas/supply-chain-
management/19a/faupd/using-product-development.pdf
• Getting Started with Your Manufacturing and Supply Chain Materials Management
Implementation: https://docs.oracle.com/en/cloud/saas/supply-chain-
management/19a/fammi/getting-started-with-your-manufacturing-and-supply-chain-materials-
management-implementation.pdf
• Using Inventory Management: https://docs.oracle.com/en/cloud/saas/supply-chain-
management/19a/famml/using-inventory-management.pdf
• Implementing Common Features for SCM (Chapter 21: External Integration):
https://docs.oracle.com/en/cloud/saas/supply-chain-management/19a/faicf/implementing-common-
features-for-scm.pdf

• Cloud Customer Connect (https://cloudcustomerconnect.oracle.com/pages/home) is Oracle's
online cloud community — specifically designed to promote peer-to-peer collaboration and sharing
of best practices, enable members to keep pace with product strategy, and provide a cloud solution
feedback channel directly to Oracle development. Within this community, members benefit by
leveraging the collective knowledge of Oracle Cloud customers and product experts.
o The Quality Forum
(https://cloudcustomerconnect.oracle.com/resources/20017a09d2/summary) enables you
to network and collaborate on real-life challenges and solutions with fellow members.
Share best practices as you strive to deliver consistent, personalized customer
experiences, and connect every customer engagement with your brand.
o The Idea Lab (https://cloudcustomerconnect.oracle.com/pages/b2b501d83a) allows you
to contribute to our product roadmap that is derived from a variety of influences, such as
market changes, compliance and regulatory forces, industry trends, and one of our best
sources, our customers.
o The Events (https://cloudcustomerconnect.oracle.com/resources/28806a6537/summary)
tab lists upcoming and replays of Supply Chain Management events.
o The Supply Chain Management Readiness Material (https://cloud.oracle.com/saas/readiness)
allows you to learn about the latest innovations in our Supply Chain Management products. In the
left of the web page, click Supply Chain Management and then, select the product you want to
learn about (for example: Quality Management, Manufacturing, Order Management, etc.)

• Product experts schedule Customer Connect training. These sessions provide more information on
topics already discussed in this training or discuss topics relevant to the implementation and use of
the product. The replays of these sessions can be found here:
https://cloudcustomerconnect.oracle.com/posts.
o You can also select one of the available Event Series. The event series filters the events by training
and product areas. A list of recorded events available for Enterprise Quality Management can be
found here:
https://cloudcustomerconnect.oracle.com/posts?tagName=Enterprise+Quality+Mangement.
o Here is a link to the recorded event SCM – Quality Management Cloud: Quality Inspection
Management Implementation Tips and Tricks
(https://cloudcustomerconnect.oracle.com/posts/18339e3e74).
• The Oracle Supply Chain Management Integration Overview
(https://cloudcustomerconnect.oracle.com/posts/5d7d178db7) discusses core integration capabilities
for Supply Chain Management including external web services, integration with PaaS, business
events, file-based data import, ADFdi and common messaging framework.

05 minutes Practice
30 minutes Total
This section provides an overview of Quality Inspection Management.

This diagram depicts the Oracle Quality Management Cloud solution. This solution covers the entire
flow, from defining inspection plans, entering inspection results, identifying quality issues, through
implementing corrective actions. In addition, it provides the ability to build and implement quality best
practices throughout the lifecycle of a product, starting with the development of a product all the way
through to its manufacturing and distribution.

This section discusses the business objects, use cases, and key features of Quality Inspection
Management.

This diagram depicts Oracle's Quality Management Cloud solution that covers Enterprise Quality
Management (EQM), which is an umbrella term that refers to a holistic approach for managing
quality and compliance across the value chain. It comprises two modules: Quality Inspection
Management and Quality Issue and Action Management.
• Quality Inspection Management works closely with the receiving and manufacturing
processes where quality inspections are performed regularly. You can define what is
involved in a specific type of inspection and record inspection results in the application.
• Quality Issue and Action Management works with manufacturing, development, and
support to resolve issues from any source. You can gather information about an issue and
route it to those who can find the root cause and resolve it. To learn more about Quality Issue
and Action Management, take the Oracle Cloud: Quality Issue and Action Management
course.

Quality Inspection Management
• Provides the ability to define quality inspection requirements for both materials and resources
through the definition of inspection levels and inspection characteristics, which come together
in inspection plans. It allows users to define usage specific inspection plans such as Work in
Process inspection plans, Receiving inspection plans, Inventory inspection plans and
Resource inspection plans.
• Provides the ability to perform inspections at key points in the supply process including in-line
Work in Process inspections, in-line Receiving inspections, ad-hoc Inventory inspections, ad-
hoc Resource Inspections and ad-hoc Work in Process inspections
• Allows users to analyze the results of inspections in order to identify failures or non-
conformances. Infolets for WIP Inspection Failures and Receiving Inspection Failures are out
of the box, and OTBI is available for ad-hoc reporting.
• Allows users to leverage Oracle Social Network functionality to collaborate in defining quality
requirements and to discuss quality results.

• Perform inspections at key points in the supply chain or collect results on an ad-hoc basis
• Analyze the results of inspections in order to identify failures or non-conformances

Following are the key business objects of Quality Inspection Management:
• Quality Inspection Level: Describes how much to sample and how often inspections should
be performed
• Quality Inspection Characteristic: Describes the properties, measurements, or tests that
define an item or process
• Quality Inspection Plan: Defines the data to collect, where and when to collect it
• Quality Inspection: Represents the information or measurements collected as part of
performing a business process

This diagram depicts the following three steps:
• Record and monitor quality of products from suppliers and aid in supplier quality comparison
and rating
• Record and monitor quality of products and resources during manufacturing, and helps to
identify process inefficiencies and aides in process improvements
• Check product quality in their storage locations and ensure that only good quality products
are being supplied for manufacturing and shipping

Use Case 1: Define Inspection Characteristics from Item Attributes
Product Design Engineer Defines Item Attributes; Quality Engineer Defines Inspection
Characteristics and Inspection Plan Based on Item Attributes and Specifications
Define Attribute Group, Item Class, Item, and Item Specifications
Note that this is a standard Product Hub related setup.
• Product Design Engineer defines an attribute group for the specification values of a user-
defined attribute (e.g., “Thickness Minimum”, “Thickness Target”, “Thickness Maximum”).
• Product Design Engineer associates the attribute group to an item class
• Product Design Engineer defines an item and item specification values for the attributes to be
used in quality inspection.
Create Inspection Characteristic
• Quality Engineer creates an inspection characteristic “Thickness”
• Quality Engineer maps the item attributes to the expected Minimum, Target, and Maximum
(e.g. "Thickness Target" to Target Attribute Reference, “Thickness Minimum” to Minimum
Attribute Reference, "Thickness Maximum" to Maximum Attribute Reference).
Create Inspection Plan with Item/Quality Specifications
• Quality Engineer creates the inspection plan for the item
• Quality Engineer adds inspection characteristics, including “Thickness”
• System defaults the item specification limits/target for “Thickness” characteristic
• Quality Engineer reviews the quality specifications in the inspection plan

Use Case 2: Define Inspection Characteristics and Plans
Quality Engineer Defines Inspection Characteristics and Inspection Plan Independent of Item
Attributes and Specifications
Create Inspection Characteristic
• Quality Engineer creates a new inspection characteristic “Blemish Free”
• Quality Engineer adds expected values, “Yes” & “No”
Create Inspection Plan
• Quality Engineer creates an inspection plan
• Quality Engineer adds inspection characteristics, defines specification values, and specifies
inspection criteria in the inspection plan

Use Case 3: Collect Inline Work in Process Inspection Results
Production Operator Enters Inspection Results at Work Order Completion
Record Complete Quantity
• Production Operator enters the quantity completed for the work order operation from the
Dispatch list
• System indicates that quality inspection is required before work order operation completion
• Enter Inspection Results
• Production Operator enters inspection results (e.g., Voltage = 250 V)
System Assigns Inspection Disposition and Processes Inspection Action
• System determines the inspection disposition (accept, reject) and processes the inspection
action that automatically creates a nonconformance issue based on inspection result failures
Complete Work Order Operation
• Production Operator enters the completed, rejected, and scrapped quantity based on the
inspection results
• Production Operator moves the completed quantity to the next operation and either moves
the rejected or scrapped quantity to a designated material review board subinventory or
reworks the material and re-inspects at operation completion.

Use Case 4: Collect Inline Receiving Inspection Results
Receiving Agent Enters Quality Inspection Results at Receipt
Record Received Quantity
• Receiving Agent records the quantity received
• System indicates that quality inspection is required
Enter Inspection Results
• Receiving Agent enters inspection results
• System Assigns Inspection Disposition and Processes Inspection Action
• System determines the inspection disposition (accept, reject) and processes the inspection
action that automatically creates a nonconformance issue based on inspection result failures
Complete Receiving Transaction
• Receiving Agent enters the results values. The system determines the accepted and/or
rejected quantity based on the inspection results.
• Receiving Agent receives the accepted quantity into inventory and/or quarantines the
rejected quantity for possible return to vendor

Use Case 5: Collect Ad-hoc Inventory Inspection Results
Quality Engineer Enters Inspection Results for Inventory
Create an Inspection
• Quality Engineer creates an inspection against inventory
Enter Inspection Results
• Quality Engineer enters inspection results
System Determines Conformance and Processes Inspection Action
• System determines conformance to specifications and creates a quality issue for all inspection result
failures
Complete Inventory Transaction
• Quality Engineer decides what to do with the inventory based upon the inspection results

Use Case 6: Manage Inspection Results
Quality Engineer Views and Analyzes Inspection Results
1. Quality Engineer searches for the inspection results by work order, receipt, lot, serial, date, or
user
2. System returns search results for inspection results
3. Quality Engineer selects inspection results to view
4. System identifies work order or receipt, inspection event identifier, date, and user
corresponding to the inspection results
5. Quality Engineer assesses compliance to specification
6. Quality Engineer views quality metrics and analysis

This section discusses how you can navigate through the Quality Management work area.

The screenshots depict the ways through which how you can access Quality Management work
area:
• Navigator
• Springboard

This screenshot depicts the following infolets on the Quality Management landing page.
• My Favorites: lists how many of each object type that you have designated as a favorite.
Click a number to invoke a search for those favorite objects.
• My Issues: lists how many Issues you created that correspond with each category. Click a
number to invoke a search for Issues in that category.
• My Actions: lists how many Actions you created that correspond with each category. Click a
number to invoke a search for Actions in that category.
• Open Issues by Severity: a circle chart that lists all open Issues and graphically divides
them by severity. Place your cursor over a section of the circle for more details and click the
section to invoke a search for Issues in that category.
• My Open Issues by Age: lists open Issues you created and graphically divides them by age
range. Place your cursor over a bar in the chart for more details and click on a bar to invoke
a search for Issues in that range.
• Recent Activity: lists the number of Issues and Actions created in the last 24 hours.
• Inspection Plans by Type: used with Quality Inspection Management.
• Receiving Inspections: used with Quality Inspection Management.
• Inspections Status: used with Quality Inspection Management.
• Unassigned Issues: lists the number of Issues that do not have a user listed in the Assigned
To field.
• WIP Inspections: used with Quality Inspection Management.

These screenshots depict how you can search for quality objects.
Users with the Quality Analyst role can only search for Issues and Actions. Users with the Quality
Engineer role can only search for Inspection Plan, Inspection Characteristic, Inspection Level,
Inspection. Users with both roles can search for all quality objects.

These screenshots depict how you can narrow search results by using:
• Create a new or edit an existing inspection plan, and export a list of the existing inspection
plans to an Excel spreadsheet
• Filters

These screenshots depict how you can create an inspection plan.
Note that users with the Quality Analyst role can only create Quality Issues and Quality Actions.
Users with the Quality Engineer roles can create Inspections, Inspection Plans, Inspection
Characteristics, and Inspection Levels. Users with both roles can create all quality objects.

Instructor Note: Demonstrate this practice to the students.
In this practice, you navigate through the Quality Management work area.

20 minutes Practice
70 minutes Total
This section provides an overview of inspection-related setups.

This diagram depicts how inspections plans are built from characteristics and levels.

This section discusses inspection levels.

An inspection level determines the relative amount and frequency of inspection. It is associated to an
inspection plan, which is specific to an inventory organization, item, item catalog, and optionally
suppliers if the inspection plan type is Receiving.
A predefined inspection level is available for 100% inspection, which means every unit is inspected.
Work In Process, Inventory, and Resource inspection plans can only support the 100% inspection
level. In addition, Receiving inspection plans can leverage user-defined inspection levels in order to
differentiate the expected level of quality control and acceptance. User-defined inspection levels can
be defined with sampling size enabled, skip lots enabled or both sampling size and skip lots
enabled.
Based upon inspection results, the user can change the inspection level associated to a Receiving
inspection plan based on the history of acceptance.
This diagram depicts an example in which 4 out of 10 receipt lines have been rejected. The supplier
is Advanced Network Devices and Item is CM4751116.

100% inspection level: Every inspection lot and entire inspection lot quantity is inspected
• Level I: Reduced inspection level: 1 out of 10 inspection lots received are inspected and
sample size is 1% of inspection lot quantity
• Level II: Normal inspection level: 1 out of 5 inspection lots received are inspected and sample
size is 5% of inspection lot quantity
• Level III: Tightened inspection level: 2 out of 5 inspection lots received are inspected and
sample size is 10% of inspection lot quantity
In this release, the user-defined inspection levels are not based on Acceptable Quality Limit (or
AQL), which is a statistical tool that determines the sample size and maximum number of rejected
units for acceptance based on the quantity received.
Also, the user can manually switch the inspection level associated to a Receiving inspection plan
based on the history of acceptance.
• If 2 out of 5 consecutive lots received are rejected, then switch from Normal inspection and
inspection plan A to Tightened inspection and inspection plan B
• If 5 consecutive lots received are accepted, then switch from Tightened inspection and
inspection plan B to Normal inspection and inspection plan A
• If 10 consecutive lots received are accepted, then switch from Normal inspection and
inspection plan A to Reduced inspection and inspection plan C

This section discusses item and non-item inspection characteristics.

Inspection Characteristics describe the properties, measurements, or tests that define an item or
process. They are reusable building blocks for the specifications defined within an inspection plan,
which is specific to an item, item catalog, or resource.
Also, inspection characteristics can be associated to a characteristic group in order to quickly add
the characteristics to an inspection plan or inspection. For example, multiple characteristics can be
associated to a characteristic group for the purpose of collecting rejection information in the
inspection record, such as reject reason and description.

This table depicts examples of inspection characteristics. The table contains the following:
• Columns: Characteristic Group, Characteristic Name, and Value Set
• Rows: Mechanical, Performance, and Visual
Note: Calculations are not supported yet, so the inspection characteristic must be input as the
calculated measure.

This diagram depicts an example to link an inspection characteristic to an item class attribute group
in Product Hub. The data type of the characteristic is automatically determined based on the attribute
definition.
Item-based inspection characteristics verify conformance to product specifications though inspection.
Subsequent changes to the item attributes in Product Hub are identified in an output file from running
a scheduled process called “Process Item Characteristic Changes”, so that the Quality Management
user can update the affected inspection plans by creating new versions and approving them.

This screenshot depicts the Inspection Characteristics page. Non-item characteristics can be defined
directly in the Quality Management Cloud application. They can apply to inspection plans for items,
item catalogs, and resources. For example, temperature could be modeled as an inspection
characteristic for equipment monitoring purposes.
Note: For a Character type non-item inspection characteristic, you can enter free-form text while
entering inspection results instead of selecting a value from value set. Any result entered for such a
characteristic added directly to an inspection or as part of an inspection plan is accepted without an
evaluation against specifications, and is recorded for data collection purposes.

This demonstration shows how you can create an item inspection characteristic.

In this practice, you create a non-item inspection characteristic.

This section discusses different types of inspection plans and explains how to set them up.

There are three parts to an inspection plan: the header details, the specifications, and the inspection
plan criteria. This screenshot highlights the Details section.
An Inspection Plan can be defined for an item, item catalog, or resource. Creating an inspection plan
for an item catalog can help streamline data maintenance, unless there are exceptions, in which
case you would define a separate item-specific inspection plan.
There are four types of inspection plans - Receiving, Work in Process, Inventory, and Resource.
Depending on the type, inspection criteria, and setup, an inspection plan can be implemented for
inline or ad-hoc inspection.
• Inline inspection means that quality results are required and embedded as part of a business
transaction, like receiving or work order operation completion.
• Ad-hoc inspection allows standalone quality results collection against Work in Process,
Inventory, or a Resource. Mandatory and optional inspection plans can be used in ad-hoc
inspections.

The type helps determine how to apply an inspection plan to an inspection point as defined in the
inspection criteria. All inspection plan types default to the 100 percent inspection level. For a
Receiving inspection plan type, another user-defined inspection level can be selected. For example,
all Tier 1 suppliers for an item use the Level I or reduced inspection level.
Inspection plans support version control and approval status as managed manually by the inspection
plan owner. An inspection plan version has a start date and end date that does not overlap other
versions of the same inspection plan name. The inspection plan must be in Approved status to be
considered for inspection purposes, as well as being within the start and end dates.
An inspection plan is specific to an inventory organization, so a copy feature is available to
propagate the plan header and its specifications to other inventory organizations where it applies.

This screenshot highlights the Specifications section.
You can specify specifications or tolerances for the inspection characteristics to be measured or
collected during inspection. An inspection characteristic can only be listed once in the specifications.
Users can select both item based and non-item based inspection characteristics. A non-item
inspection characteristic with the type of Character or no value set defined does not require any
specification values, since free-form text is allowed during results entry.
Characteristics can be added individually, or as a group. For Item-based characteristics, if the
specification is being defined for a specific item, the values for minimum, maximum and target
values, as well as the unit of measure, are pulled in from the PIM attributes to which these values are
mapped. If no value is/ was entered for the PIM attribute for the specified item, then the user will be
able to specify the value to use during inspection.
Inspection results are automatically evaluated against the applicable inspection plan specifications to
determine the overall inspection disposition.

This screenshot highlights the Inspection criteria section.
Lastly, you can define the conditions under which an inspection plan applies to a particular
inspection point in Work in Process, Receiving, and Inventory. Consider the following:
Work in Process criteria can be set up to enforce inline inspection at a particular operation or
operation dispatch status. Note that the same inspection plan could apply to a first time inspection as
well as a re-inspection use case by adding both the Ready and Reject dispatch status criteria.
• Receiving criteria can be defined to embed inline inspection as part of the receiving
transaction by document type or supplier, as examples. For example, a multi-sourced item
could share the same inspection plan across its suppliers.
• Inventory criteria can be applied to ad-hoc inspection at a particular subinventory designated
for quality-related purposes such as Material Review Board or quarantine.
• The Resource inspection plan type only supports ad-hoc inspection for an organization and
resource. No additional inspection criteria can be entered for this type.
• The inspection criteria works together with the inspection plan header attributes in order to
determine the best applicable inspection plan for an inspection point or event. For an inline
Receiving or Work In Process inspection, a mandatory inspection plan is automatically
selected based on a matching logic using the inspection point or event details (for example,
organization, item, and supplier or work order and operation). For an ad-hoc Work In
Process, Inventory, or Resource inspection, the matching logic may return a mandatory or
optional inspection plan.

With the user-friendly Visual Information Builder interface, with drag and drop capabilities, you can
define sentence based business rules. These rules are based on the values defined in the
specifications section of the inspection plan, as well as an “Any Characteristic” option. The use of "Any
Characteristic" allows you to set up a rule applicable to all the of characteristics listed in the
specification section. The list of conditions that can be used to build the "IF" portion of the business
rules vary based upon the data type of the characteristic, as do the list of parameters required for each
condition. For example, if the data type of the inspection characteristic is numeric, you can choose a
condition such as "Is Above Maximum" and specify a tolerance around the maximum value. Tolerances
can be defined as a percentage or a flat value. The entry of a value for tolerance is not required.
While creating or modifying an inspection plan, you can use the inspection characteristics in the plan to
create action rules.
• Change material status: On saving the result, the status of the material changes at the
subinventory, locator, lot, or serial level. For example, you could change the material status to
“Good” if the results value is in spec.
• Create a quality issue: On saving the result, the application automatically creates a quality issue.
• Display alerts: On entering or evaluating the inspection value, a message appears on the
Inspection Results page. For example, you could display a message telling the operator to re-
calibrate machinery if a value if outside of the specification range.
• Raise an business event: On saving the result, an event triggers that calls a service or API.
• Send notifications: Specified recipients receive an email notification upon saving inspection
results. For example, you’ll be able to send a notification to a warehouse manager to let them
know that they need to quarantine failed materials.

This table depicts how inspection plans can be set up for incoming inspection. The table contains the
following:
• Columns: Receiving, Inventory
• Rows: Inspection Plan Type, Details, Inspection Level, Optional Inspection Plan, Inspection
Criteria, and Suitable use cases

This table depicts examples of inspection plans can be set up for in-process inspection. The table
contains the following:
• Columns: WIP, Resource, and Inventory

This table depicts an example of how inspection plans can be set up for final inspection. The table
• Column: Final Inspection
Additional use cases and setups could cover:
• Incoming inspection using an ad-hoc inventory inspection plan for a quarantine subinventory
• In process inspection using ad-hoc WIP inspection plan for post-production quality data
collection
• In process inspection using ad-hoc inventory inspection plan for a Material Review Board
subinventory

This demonstration shows how you can create a Receiving inspection plan.

In this practice, you create a Work in Process inspection plan.

30 minutes Practice
95 minutes Total
This lesson covers the execution of quality inspections, including the, Oracle Social Network (OSN),
and quality issues.

This section discusses the concept of quality inspections and how they are useful to organizations.

Performing Quality Inspection allows organizations to:
• Record and monitor quality of products from suppliers and aid in supplier quality comparison
and rating
• Record and monitor quality of products and resources during manufacturing, and helps with
process improvements
• Check product quality in their storage locations and ensure that only good quality products
are being supplied for manufacturing and shipping

This section discusses how you can perform different types of quality inspections.

The inspection disposition logic is described as follows:
• If 100% inspection, then
- All accepted samples/serials means accepted disposition
- Partial accepted/rejected samples/serials means complete disposition
- All rejected samples/serials means rejected disposition
• If sampling inspection, then
- All accepted samples means accepted disposition
- Any rejected sample means rejected disposition
Free-form text can be entered for non-item, character-based inspection characteristics, and any
result considered acceptable.

The rules defined for the inspection plan that is selected for use to perform the inspection are passed to
the Oracle Business Rules (OBR) engine to in order to evaluate result values. If any rule is evaluated to
be “TRUE” based upon the result values entered, the specified action, or actions, are executed
according to the data defined in the rule.
After the results have been entered and saved, the actions taken are displayed in the Inspection
Actions panel drawer in Inspection Results page. They are noted in the Inspection Disposition E-record
as well. However, nothing is noted in the panel drawer or the Inspection Disposition E-record when the
action is “Raise a Business Event” or “Display a Message”.

Quality inspections can be performed in two modes: inline or ad-hoc. In inline inspections, results are
automatically evaluated against the inspection plan specifications to determine whether samples or
serials are accepted or rejected. However, if an inspection is required, the base transaction (receipt
or operation completion) cannot be completed until the inspection has been completed.
REST services are provided for support of inline Receiving and WIP inspections through mobile
devices, as well as for integration with third-party products.
Ad-hoc inspections can be performed at any time and are not tied directly to any business
transaction. They provide the ability to collect inspection results with or without any predefined
inspection plan.

The table shows different options that exist for enforcing quality checks on incoming materials. The
table contains the following:
• Columns: 2-Step Receiving, 3-Step Receiving without Inspection Plan, and 3-Step
Receiving with Inspection Plan
• Rows: Process Flow, Receipt Routing, Receiving Parameter for Inventory Organization, How
Inspection is Recorded, and Suitable Use Cases
One option is to bypass inspection at receiving until the material is in inventory. This could be the
case for business processes that need to track all inventory for contractual or regulatory reasons.
Several things must be considered when choosing to implement Quality inspections as part of the
Receiving process. Depending on the type of receipt routing that is used, and when the inspection
occurs, various setups need to be in place to support the desired inspection process.
If a receipt routing is set to require inspection, then inspection will occur at the time of receipt. The
inventory organization will have a setup option that indicates whether a quality inspection plan is to
be used. If this is Yes, then when the user performs an inspection at the time of receipt, they will
enter the results against a quality plan. If this is No, then the inspection will occur on the receiving
UIs and not be captured in an inspection plan.
The 3-step receiving with inspection plan option that is highlighted in red describes the inline
receiving inspection flow in this course.

The screenshots depict the 3-step receiving process:
1. Receive
2. Inspect
3. Putaway
The Receiving transaction cannot be completed without a results entry if the inspection is required.
Skip Lots functionality may be enabled based upon the setup for the applicable Inspection Level.
Each receipt line is treated as an inspection lot. For example, if the inspection level is set to inspect
1 out of 4 lots, then 1 out of 4 receipt lines for that item, supplier, and inspection level combination is
inspected. Lot sampling (meaning a percentage of the units received) may be enabled based upon
the setup for the applicable inspection level.
If lot sampling is being employed and if any of the samples inspected fails inspection, the whole
receipt line is rejected. If lot sampling is not employed, each individual unit is accepted or rejected
individually.
In the event that the Receiving organization parameter requires the use of inspection plans and a
mandatory inspection plan is not set up correctly for a receipt line to be inspected, the user cannot
proceed with entering quality results. The inspection plan must be defined in order to complete the
receiving transaction.

In this practice, you perform an inline Receiving inspection.

This table depicts the different options available for capturing the quality of production. The table
• Columns: Complete without Inspection Plan, Complete with Mandatory Inspection Plan, and
Complete with Optional Inspection Plan
• Rows: Process Flow, How Inspection is Recorded, and Suitable Use Cases
One option is to complete a work order operation without the use of an inspection plan. This means
recording the complete (accept), reject, and scrap quantities.
The other options highlighted in red describe the quality management capabilities using an
inspection. If it is a mandatory inspection plan, then inline WIP inspection is required before the
operation transactions can be recorded. If it is an optional inspection plan, then an ad-hoc WIP
inspection can be created in order to enter quality results that reference a work order and operation.

These screenshots depict the following steps:
1. Enter inspection results
2. Save inspection results
3. Determine completion quantities
In inline Work in Process inspection, the quantity being completed in an operation must be inspected
in order for the completion transaction to continue. Each individual unit is accepted or rejected
individually. Rejected units can then be reworked and inspected again or move to scrap as
appropriate.
The inspection of both serialized and non-serialized items are supported. For serial tracked
manufacturing, inspection results can be collected for individual serials. Disposition of each serial as
complete or reject is based on the inspection results entered. The user will have to complete or
reject the serials depending on the inspection results entered. However, the user can choose to
scrap the serials rejected by inspection if the user has the appropriate privilege.
Inspections are supported in both Quick Complete and Complete With Details flows.

In this practice, you perform an inline Work in Process (WIP) inspection.

This table depicts examples of ad-hoc inspections. The table contains the following:
• Columns: Inspect WIP with Optional Inspection Plan, Inspect Inventory with Optional
Inspection Plan, and Inspect Resource with/without Inspection Plan
• Rows: Process Flow, How Inspection is Recorded, and Suitable Use Cases
Inspections in standalone mode can be collected against an inspection plan previously setup or
without an inspection plan. If an inspection plan has been used, the inspection results are
automatically evaluated against the inspection plan specifications to determine sample or serial
acceptance or rejection. A nonconformance issue is automatically created for each inspection failure
for subsequent root cause investigation by a Quality Analyst. Note that if it's an Inventory or WIP
inspection, you can enter results against a specific lot. For an ad-hoc WIP inspection, the lot number
can be entered only when the inspection is related to the last operation.
If result collection is initiated without an inspection plan, then the user will have to add the required
inspection characteristics and collect the results against them.

This demonstration shows how you can perform an ad-hoc Resource inspection.

The screenshot depicts an inline electronic signature capture as initiated when you submit a quality
inspection disposition transaction.
When you operate a business across different countries, you may choose to enable this feature for all
your inventory organizations, or only certain inventory organizations where it is mandatory to maintain
electronic records and electronic signatures. Once you enable inline electronic signature for the Quality
Inspection Disposition, you can enter all inspection results and sign off the quality inspection
disposition by submitting it for approval. An electronic record is generated and the E-Signature page
opens where you can view the status of the approval process of the inspection disposition.
When you initiate the approval process, notifications are sent to all approvers. Approvers can view
these in bell notifications and click the notification to view the e-record approval page, read the e-
record, enter their comments, and approve or reject it.
The reason why inline WIP inspection is not included in the Quality Inspection Disposition ERES is
because it is included in the Work Order Completion ERES under Manufacturing Cloud.
Note: If the initiator is also an approver, the initiator's signature is captured in the inline signature page.
Notifications are sent to subsequent approvers to capture the remaining signatures. The new or
updated transaction data remains in the pending status until all approvals are complete. You can
refresh the E-Signature page to retrieve and view the latest status of the e-record.

This section discusses entry of quality inspection results and integrations with mobile devices.

This diagram depicts how Quality Inspection Management interacts with users through interfaces
such as the search screens, manufacturing and receiving screens, and the create screens. Similarly,
other applications and interfaces can connect with the system through the REST services. Users can
also access them through the use of OTBI. All interactions work with the master data stores for
Product Hub, Product Development Cloud, Inventory Cloud, Manufacturing Cloud, and Supply
Network Model.

The following four inspection REST services are available for mobile device integration and are
depicted in the image.
• The Determine Inspection Required service can used to determine if an inspection is required
as part of a transaction process such as manufacturing completion or receiving. Based upon
the information provided, Quality Inspection Management uses the inspection criteria values,
along with identifying information from the inspection plan header, to determine if there is an
applicable inspection plan defined. If an inspection plan is found, Quality then uses the
inspection level information to determine if an inspection is required.
• The GET Required Inspection Information service can be used to retrieve all of the Inspection
Plan identification and specification related data required in order to perform an inspection
and collect the required inspection results.
• The POST Inspection Results service can be used to send the inspection results collected for
each of the samples/serials that were inspected back to Quality Inspection Management.
• The Commit Inspection Information service can be used to update the result status and
related transaction ID(s) once the base transaction (for example, Work Order completion) has
been saved and the transaction ID(s) have been generated. This will take the results out of
“draft” mode and make the results “available” to view in the Inspection Results related UIs
and searches. Note that the Commit Inspection Information service is only applicable for
inline inspections.

The Manage Quality Inspection Plans Using REST Services feature:
• Facilitates initial load of inspection plans
• Synchronizes inspection plan changes to specifications, suppliers, inspection levels, etc.
• Shares inspection plans with external systems
Note: Action rules are NOT included in any of the REST service operations.

The ability to retrieve all applicable Inspection Plans that could be used to perform the inspection and
collect inspection results. It supports the ability to perform ad-hoc (or non-inline) inspections against
any of the retrieved inspection plans, or against no inspection plan at all. Unlike in-line inspections, ad-
hoc inspection results can be updated. The Inspection Results REST service supports the update of all
ad-hoc inspection results, with the inspection status being updated accordingly. So an inspection can
be created and the inspection result values can be passed in when they are collected. They do not
have to be collected and passed in all at once, as is the case with in-line inspections.
You can inspect loose or damaged material identified through cycle counting or put away in warehouse
management activities in order to connect quality to a specific subinventory, lot or serial number. This
feature allows you to record quality results collected from a contract manufacturer, outside processing
supplier, in-house manufacturing or even a Manufacturing Execution System with reference to an
organization, item, work order, and operation. Additionally, with this feature, your organization can
collect data automatically from shop floor, maintenance, or lab equipment or an external Manufacturing
Execution System or Laboratory Information Management System. Note that inspection action rules
are NOT executed when data is loaded through REST Services.

This section discusses how Quality Inspection Management provides the ability to leverage Oracle
Social Network functionality to collaborate in defining quality requirements and discussing quality
results.

This screenshot depicts that Quality Inspection Management can leverage Oracle Social Network
functionality to collaborate in defining quality requirements and discussing quality results.

15 minutes Practice
25 minutes Total
This section discusses the Oracle Transactional Business Intelligence reporting of quality inspection
results. In addition, it reviews the key features of Oracle Transactional Business Intelligence.

This diagram discusses the following advantages offered by Oracle Transactional Business
Intelligence:
• Real time business intelligence
• Ease of use, highly interactive
• Seamless integration with Fusion applications
• Fusion extensibility

Inspection results can be exported from OTBI into different formats used by other reporting tools like
for Statistical Control Chart analysis.

This section discusses the subject areas in Oracle Quality Inspection Management Cloud.

The Quality Inspection Results Real Time subject area is available in OTBI so that reports can be
created against Quality Inspection Management related data. Values related to the following
dimensions, or data objects, are available for inclusion in these reports:
• Event Dispositions
• Result Evaluations
• Sample Results
• Characteristics
• Samples
• Inspection Events
• Inspection Plans
• Inspection Levels
• Items

The following data objects are available for inclusion as well:
• Item Categories
• Inventory Organizations
• Locators
• Sub Inventories
• Work Orders
• Work Order Operations
• Suppliers
• Resources

This section discusses how you can build user-defined reports using Oracle Transactional Business
Intelligence.

In this practice, you build an Oracle Transactional Business Intelligence report on inspection results.


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05 minutes Lecture and Demo

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