Some people have suggested that we utilize an Inheritance IRA with my mother's 401K money and have RDM payment scheduled according to the company we go with.

My question is this, if we et-up inheritance IRA's and roll them over from her 401 K can we roll them over to different accounts for all of the kids or does it have to be specifically to the beneficiary?

The inheritance account must be in the name of the beneficiary. If you tried to give the account to someone else (your kids, for example) I believe this would have to be counted as a withdrawal by you from the IRA (and consequently there would be significant income tax issues) and a gift (so you wuld have gift tax and/or estate planing consequences).