How to restrict a user to one inventory organization?

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Inventory > Setup > Organization > Organization Access

Defining Organization Access

You can specify which organizations a responsibility can access by mapping responsibilities to organizations. Once this mapping is set up, a user logging into an Oracle Manufacturing product is restricted to the organizations mapped to the responsibility chosen. The Change Organization window is restricted as well.

Attention: Until you assign an organization to a responsibility in this window, all responsibilities have access to all organizations. Once you have restricted any responsibility to an organization, you must then explicitly define the organizations which all responsibilities can access.

Attention: This feature does not restrict access once the user is in the product. Users with access to functions that cross multiple organizations (such as ATP, Inter-organization Transfers, Item Search, Multi-organization Quantity Report, and so on) can still specify any valid organization when running these functions.