The Components of SAP MM are listed below:
Transaction code ME51N can be used to create Purchase Requisition in MM
Basic procurement is of 2 types as listed below:
By utilizing MT 301, one step transfers of materials can be posted. The other different transport scenarios vary in the MTs by the good receipt and good Issues. Common Goods Issues may utilize MTs 303, 351, 641, or 643 in the STO. A STOs Good Receipt generally uses MT 101.
A Purchase Requisition is a type of document which notifies the need for services or materials, whereas a Purchase Order is a document type which is a more formal request for materials or services from a plant or an outside vendor. Procurement types can also be defined at the line item and can be either subcontracting, stock transfer, standard, consignment or an external service.
MM (Material Management) is a module which deals with the day to day operations of inventory management (stuff related to material valuation, storage, requirement planning etc ) and Procurement processes ( is related to goods, receipt, Purchase orders BOMs etc).
MDM refers to Master Data management, It is business specific data, which encompasses information regarding vendor/customer names, Product descriptions, along with banking information.
In the MM module, the Pricing procedure is a channel for determining the prices in purchasing documents. This give us functionality for assigning different calculation types for various needs. During PO and RFQ creation In MM module, the pricing procedure is utilized. The total value of material is based on all the addition and subtraction such as surcharge, discount, tax, freight, etc.
In T-Code: MIGO navigate to post Goods Receipt using the path given below −
Logistics -> Materials Management -> Inventory management -> Goods movement -> Goods movement
By using the XK01 transaction code the user can successfully link the document with the vendor master record or by utilizing the following menu path:
SAP Menu -> Logistics -> Material Management -> Purchasing -> Master Data -> Vendor -> Central -> XK01-> Create.
Special stocks are all those stocks which are managed separately as they don’t belong to your company or these are stored at a specific location.
Lister below the following special procurement types available in the SAP System:
SAP Consignment is defined as a process in which the user purchases the goods from a vendor, however, doesn’t valuate that stock. The user must make the payments to the vendor, only when goods are withdrawn from his store. Best example would be the Car shop which purchases the goods from its vendors for advertisement and display purposes and only once cars are sold, the vendor charges him.
The entire process of Consignment in SAP MM is managed by an item category in purchasing document and there are certain prerequisites/steps meant for the consignment process to work.
Please follow the steps below:
The program RM07C030 verifies all the G/L account definition in your Material Master valuation class. User can Search it via Company code and Valuation area.
Data archiving removes mass data which is no longer required by the system (but that still should be available for reporting) from the database. The SAP data archiving concept is typically based on the archiving objects of the Archive Development Kit (ADK).
The stock population is known as the total of all stock management units which are encompassed in an inventory sampling. All these stock management units are exclusively defined through the allocation of the stock management levels to a given inventory sampling. As a result of this, the stock population is also defined when the user allocates the level of the stock management.
The user can try to create a new movement type with reference to 201 movement type.
The user can modify the description in the In the user field by customizing (SPRO) and appended a search help to it.
User has to Go to t-code MMAM - This t-code is meant for altering the material type and not the valuation class.
If the user modifies the material type in MMAM transaction, then automatically the valuation class will be altered in the material master. The system will accept the changed material type valuation class which was initially created for that material type.
Please try with MBAL - Archived Material Documents.
First, select the option Database table and then in the 'Tables and Archiving Objects' you are required to choose the second option 'Tables from which data is archived'
There is no feature available in the subcontracting to have multilevel BOM, we have two options
Subcontracting is defined as one of the procurement processes available in MM. In this process, the components are shared with the vendor for getting the final product. The material which must be produced by the vendor can be ordered as a subcontract item in a purchase requisition, purchase order, or scheduling agreement. Each of the subcontract item has one or more sub-items which contains the individual components the vendor is required to perform the subcontract work or value-added service.
We recommend you to get an updated invoice in which the cost of Nut Bolt and Gasket etc. are all added. Thereby, you can either alter the PO price as per that price or make the invoice accordingly. By doing this the system will automatically update the Material/Product cost accordingly.
Assume we are creating movement type 281 Goods issue for a network
Please follow the steps below:
RTP (Returnable Transport Packaging) is referred to a multi-trip packaging medium (for instance, containers or pallets) through which the goods can be transported multiple times between customers and vendors. Returnable transport packaging from a vendor which is stored at a place on your premises is treated as a special stock and is clearly assigned as a belonging to the vendor. RTP is vendor's property, therefore, it is excluded from the customer’s valuated stock.
A quantity of returnable transport packaging can be entered at goods receipt for a purchase order, as listed below:
A transfer posting of RTP stock between two storage locations is entered as listed below:
Stock Transfer Order (STO) for Intra Company
Stock Transfer Purchase Order (STPO) for Intra Company