SAP Material Management Concepts

List the possible values for ‘Procurement Types’

The possible values for Procurement Types are,

No procurement

External Procurement

In-house production

Both procurement types.

Plant

A plant represents a manufacturing location, a distribution center or a warehouse. Though a plant is not a financial entity it can be still linked to a Business Area. In a plant, we actually validate

the inventory. During an order entry the system checks for the inventory either at the plant or plant/storage location and sap training institute in Hyderabad.

Organizational units

Purchasing Organization, Plant, Storage location is the basic organizational units in SAP MM.

Explain the various functions supported by SAP’s Materials Management (MM) module.

The various functions supported by SAP MM are,

Procurement

Inventory management

Invoice verification

MRP (material requirement planning)

Explain what a ‘factory calendar’ is in SAP MM.

Factory calendar is a country-specific calendar with the list of public holidays and working days, which is client independent. The public holidays are maintained via the Holiday calendar. Each plant

is assigned with a factory calendar. Factory calendar helps in controlling goods issues/ receipts sap training institute in Hyderabad.

Explain the SD – MM integration in SAP.

The goods/services from a plant (MM) can be sold by one or more ‘sales organizations’ (SD). The sales organizations can also sell good/services to more than one plant. A sales organization attached to

a company code is further divided into ‘Distribution Channel’ and ‘Divisions’ in SD. A Division in MM represents a product line and is assigned to a material in the material master sap training Hyderabad.

Explain what ‘Inter – Company Sales’ is in SAP MM.

The condition when the sales organization sells for more than one plant belonging to one or more company code is called inter-company sales. The inter-company sales require more specific

the configuration in the system sap training Hyderabad.

Name the various functions supported by Material Master. The data stored in Material Master support a variety of business functions and operations. Some among them are,

MRP

Procurement

Invoice Verification

Inventory management

Product Costing

Sales and Distribution

Quality Management

SAP MM – Material management utilized through purchase department.It mainly works for procurement of raw materials and inventory management systems and sap institute in Hyderabad.

It also allows you to work in the area of material requirement planning (mrp).The master data in MM module relates to materials and vendors.The purchase organization is created as per the requirement of client company and it focus on procurement of materials according to the needs of the plant sap institute in hyderabad.

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