Incoming goods inspection simply explained

The purpose of incoming goods inspection is to safeguard the company economically. It ensures that operations run smoothly and helps avoid follow-up costs.

The main task of incoming goods inspection is to ensure that the quantity and quality of incoming goods or products match the purchase order.

Typically, all companies whose products must meet certain quality requirements perform incoming goods inspections.

Incoming goods inspections are usually carried out by employees from the warehouse or purchasing department, quality inspectors, and supplier representatives.

There is no law that mandates incoming goods inspection. However, standards and requirements regulate the assurance of product quality and safety. To meet these, companies usually carry out incoming goods inspections.

These include standards such as:

• Product liability laws
• Quality management systems according to ISO 9001
• Industry-specific regulations

For a thorough incoming goods inspection, packing lists, delivery notes, and shipping handover records are typically reviewed. For deliveries from abroad, the inspection also usually includes customs documents.

An efficient way to ensure reliable warehouse receiving is to use checklists. They should include the following points:

1. General information such as supplier name and contact details, purchase order number and invoice number, date and time of goods receipt
2. Quantitative comparison of the order and units with the delivered quantity
3. Review of accompanying documents, such as delivery note and invoice
4. Inspection of packaging for integrity and conformity
5. Inspection of packaging for transport damage
6. Quality checks through sampling, testing, and defined inspection procedures
7. Recording of deviations and defects and their escalation to the responsible department
8. Documentation of inspections, results, and actions – also for traceability and in case of quality audit inquiries
    
    
    

The process of incoming goods inspection usually involves the following steps in sequence:

1. Preparation
   The inspection is prepared. Necessary information is gathered, and tools and equipment are provided.

2. Goods receipt
   The goods arrive at the company and are accepted.

3. Inspection
   Accompanying documents and quantities are checked, and it is ensured that no defects are present.

4. Recording deviations
   Identified defects or deviations, such as temperature issues, are documented through deviation management and escalated if necessary.

5. Documentation
   All steps carried out during the incoming goods inspection are documented.

There are a number of methods for incoming goods inspection. The most important are:

Most companies rely on the 4-step method, which includes the following steps:

1. Visual inspection
2. Document inspection
3. Quantitative inspection
4. Qualitative inspection

Time pressure

Inspecting goods – especially in large quantities – can quickly lead to time constraints.

Complexity

Some goods require specialized knowledge for reliable inspection, which not all inspectors may have.

Supplier management

Collaboration with suppliers can become challenging if mutual understanding of quality and performance changes. To avoid problems, close contact with suppliers is recommended.

Defects

During incoming goods inspection, deviations may be detected and complaints may arise. It is especially important to document and escalate these reliably.

Incoming goods inspection plays a vital role for companies in maintaining defined quality standards. The following tips can help improve the incoming goods process:

• Use a checklist to guide each step of incoming goods inspection.
• Digitize incoming goods with scanners to reduce manual errors.
• Schedule delivery times so that sufficient capacity is available for processing.
• Define quality standards that inspectors can use as a benchmark.
• Use sampling to save time while still ensuring reliability.
• Automate incoming goods inspection processes to increase efficiency.
• Regularly review and analyze incoming goods inspection to identify and implement improvement potential.

More information on how to optimize your incoming goods

In regulated industries, incoming goods inspection processes are subject to specific requirements and standards to ensure the safety, quality, and traceability of products. Here are some of the most important aspects of incoming goods inspection in these industries:

Strict legal and regulatory requirements

• Regulatory authorities such as the FDA (Food and Drug Administration) in the USA or the EMA (European Medicines Agency) in Europe set strict requirements for quality control and traceability.
• Guidelines such as GMP (Good Manufacturing Practice) in the pharmaceutical industry or ISO 13485 in medical technology specify that every item entering the supply chain must meet high quality standards.

Documentation requirements

• Comprehensive documentation is required to demonstrate compliance with all regulations.
• Batch records, test certificates, certificates of conformity, and other quality documents must be carefully checked, archived, and linked.
• Especially in the pharmaceutical industry, it is often necessary to review detailed certificates of analysis to ensure that raw materials meet specifications.

Traceability

• In regulated industries, traceability of material and supplier data back to the source must be guaranteed. Every batch must be identifiable and traceable to the original producer.
• Companies are often required to use special labeling systems such as barcodes or RFID tags to ensure complete lot tracking.

Specialized testing methods

• In addition to visual and quantitative checks, specialized testing methods are often used in these industries. These include chemical analyses, microbiological tests, or physical inspections to ensure materials are free from contamination or deviations.
• In medical technology and the pharmaceutical industry, particularly high requirements for sterility and freedom from particles must be observed.

Validation and qualification

• Regulatory authorities often require validation of the processes and equipment used in incoming goods inspection. This means that all testing methods and instruments must be demonstrably reliable and reproducible.
• Suppliers must be regularly audited and qualified to ensure they meet regulatory requirements.

Risk analysis and sampling procedures

• Risk analyses play a major role, especially in the pharmaceutical and food industries. A comprehensive risk assessment (e.g. according to the HACCP concept in the food industry) determines which incoming goods inspections are mandatory.
• Sampling inspections are carried out based on the risk assessment. Products with higher risk or from new or unknown sources require more intensive checks.

Temperature and storage conditions

• In certain industries, such as pharmaceuticals, it is critical that products remain within specified temperature ranges during transport and storage to ensure quality. Temperature logs or special storage conditions (e.g. cold chains) are often checked.

Training and qualification of personnel

• Personnel working in incoming goods inspection must be specially trained and qualified to understand and implement the requirements of their industry.
• In regulated industries, training is monitored particularly closely, and it is expected that all employees in quality-relevant positions receive regular further training.

ERP solutions offer numerous features for digital incoming goods inspection. Essentially, these include:

• Automatically creating documents such as delivery notes, receipts, and invoices to save time and reduce sources of error.
• Real-time data updates to keep information on incoming goods up to date and ensure accurate inventory visibility.
• Quality assurance during goods receipt, with inspectors retrieving predefined standards from the system and comparing them with the received goods.
• Supplier integration to automate communication and data exchange, making processes more efficient.
  Deviation management to document defects completely and remain audit-proof and compliant in case of inquiries or audits.

Yaveon 365 is an industry-specific ERP solution based on Microsoft Dynamics 365 Business Central, designed specifically for the needs of the process industry. The software helps companies comply with regulatory requirements and optimize business processes – especially in batch management, lot tracking, and quality control.

For incoming goods inspection, Yaveon 365 offers a wide range of useful features:

Yaveon 365 offers numerous useful functions for incoming goods inspection:

• Batch management and traceability: Tracks every batch from goods receipt to delivery – essential for audits and regulatory requirements.

• Quality control: Integrated inspections can be triggered automatically upon goods receipt, with results documented.

• Compliance and audit readiness: Documents the entire inspection process and simplifies audit preparation through comprehensive traceability and validation.

• Release workflows: Materials remain blocked until quality checks are completed, preventing untested goods from entering the production process.

• Risk-based inspection plans: Automates inspections based on risk assessments, saving resources while meeting regulatory requirements.

• Supplier management: Supports the qualification and monitoring of suppliers by systematically recording inspection reports and quality data.

• Automated processes: Reduces manual effort through automation of inspection processes and real-time data.

• Reporting: Provides integrated dashboards and reports to monitor incoming goods inspection and quality assurance.