During installation, you are prompted to provide a path to a home directory to store Oracle Grid Infrastructure software.

You also need to provide a home directory when installing Oracle RAC. Each directory has certain requirements that must be met for the software to work correctly.

Oracle Universal Installer creates the directories during installation if they do not exist.

• About the Directories Used During Installation of Oracle Grid Infrastructure
  OUI uses several directories during installation of Oracle Grid Infrastructure.
• Requirements for the Oracle Grid Infrastructure Home Directory
  Review directory path requirements for Oracle Grid Infrastructure Home directory.
• About Creating the Oracle Base Directory Path
  The Oracle base directory for the Oracle Installation User for Oracle Grid Infrastructure is the location where diagnostic and administrative logs, and other logs associated with Oracle ASM and Oracle Clusterware are stored.