MM - Material Management

Material Management (MM) in SAP is a comprehensive module that plays a crucial role in managing materials and inventory within an organization. It is a part of the SAP Logistics module and focuses on the procurement, storage, and movement of materials required for production and other activities. The MM module is integrated with other SAP modules like Sales and Distribution (SD), Production Planning (PP), Quality Management (QM), Finance (FI), and Controlling (CO).

Key Components of SAP MM:

1. Master Data:

   • Material Master: Centralized repository of material-related information used across various departments.
   • Vendor Master: Contains information about suppliers.
   • Purchasing Info Records: Links materials with vendors, containing pricing and delivery details.
   • Source List: Lists approved sources of supply for materials.
   • Service Master: Data for managing services.

2. Procurement Process:

   • Purchase Requisition: Internal request to procure materials or services.
   • Request for Quotation (RFQ): Inviting suppliers to bid for supplying materials or services.
   • Purchase Order (PO): Formal order sent to vendors to procure materials or services.
   • Goods Receipt: Recording the receipt of materials into inventory.
   • Invoice Verification: Matching invoices with purchase orders and goods receipts for payment.

3. Inventory Management:

   • Goods Movement: Transactions like goods receipt, goods issue, stock transfer, and physical inventory.
   • Stock Management: Managing stock levels, batch management, and special stock types (e.g., consignment, subcontracting).

4. Material Requirements Planning (MRP):

   • MRP Planning: Ensuring materials are available for production and sales by planning requirements and procurement.

5. Valuation and Account Assignment:

   • Material Valuation: Determining the value of inventory based on various methods (e.g., standard price, moving average price).
   • Account Assignment: Linking procurement transactions with financial accounts.

6. Service Management:

   • Managing the procurement and processing of services, including service entry sheets and acceptance.

Benefits of SAP MM:

• Efficiency: Streamlines procurement and inventory processes, reducing manual effort and errors.
• Cost Control: Helps in maintaining optimal inventory levels, reducing carrying costs and avoiding stockouts or overstocking.
• Integration: Seamlessly integrates with other SAP modules, ensuring consistent data flow and comprehensive reporting.
• Compliance: Ensures compliance with organizational policies and regulatory requirements through standardized processes.

Typical SAP MM Process Flow:

1. Requirement Determination: Identifying the need for materials or services through demand forecasting or direct requests.
2. Source Determination: Identifying potential suppliers and evaluating their capabilities.
3. Vendor Selection: Choosing the best supplier based on quotations, quality, and delivery terms.
4. Purchase Order Processing: Creating and sending purchase orders to selected vendors.
5. Order Follow-Up: Monitoring the status of purchase orders and ensuring timely delivery.
6. Goods Receipt: Receiving and verifying materials against purchase orders.
7. Invoice Verification: Matching invoices with purchase orders and goods receipts for payment processing.
8. Payment Processing: Paying suppliers based on verified invoices.

Overall, SAP MM helps organizations manage their material resources efficiently, ensuring smooth operations, cost savings, and better supplier relationships

 T. CODE

MM01 -  Create Material

MM02 -  Change Material

MM03 - Display Material

/N :- In the context of SAP (Systems, Applications, and Products in Data Processing), "/n" is a command used in the SAP GUI (Graphical User Interface) to terminate the current transaction and return to the SAP Easy Access screen. It's a quick way to exit out of the current activity without having to go through multiple steps or screens.

For example, if you are in a transaction and want to go back to the main menu, you can type "/n" in the command field and press Enter. This is especially useful for users who need to navigate quickly between different transactions and screens.

/O :- In the SAP GUI, the "/o" command is used to open a new session. This command allows users to run multiple SAP transactions simultaneously in different sessions or windows without having to close the current session.

For example:

• Typing /o followed by a transaction code (e.g., /oVA01) in the command field will open the specified transaction (in this case, VA01 for creating a sales order) in a new session.
• Simply typing /o in the command field will open a new blank session.

This feature is particularly useful for multitasking and working on multiple transactions at the same time.

# PRIME TYPE OF MATERIAL REQUARD IN ANY INDUSTRY.

• Row Material (ROH)
• Packing Material (VERP)
• Spear parts (ERSA)
• Trading Goods (HAWA)
• Semi Finished Goods (HALB)
• Finished Goods (FERT)

Creating a material in SAP involves using the Material Master (MM01) transaction code. Here are the steps to create a new material:

1. Access Transaction MM01:

   • Enter the transaction code MM01 in the SAP command field and press Enter.

2. Select Material Type:

   • In the initial screen, select the appropriate material type for the material you want to create (e.g., raw material, finished product).

3. Select Industry Sector:

   • Choose the industry sector that the material belongs to (e.g., mechanical engineering, chemical industry).

4. Enter Basic Data:

   • Provide the basic data for the material, including a description, base unit of measure, and material group.

5. Define Views:

   • Select the views that you want to maintain for the material (e.g., Basic Data 1, Basic Data 2, Sales, Purchasing, Accounting). Each view contains specific information relevant to different departments.

6. Enter Data in Each View:

   • Fill in the required fields in each selected view. The fields will vary based on the view and the material type.

7. Save the Material:

   • After entering all the necessary information, click the Save button. The system will generate a unique material number for the new material.

Here is a detailed breakdown of each step:

1. Access Transaction MM01:

   • Go to the SAP Easy Access screen.
   • Type MM01 in the command field and press Enter.

2. Select Material Type:

   • In the "Create Material (Initial Screen)" dialog box, select the material type from the dropdown menu (e.g., ROH for raw materials).
   • Click the Continue button (green checkmark).

3. Select Industry Sector:

   • Choose the industry sector from the dropdown menu (e.g., M for mechanical engineering).
   • Click the Continue button.

4. Enter Basic Data:

   • Fill in the following fields in the "Basic Data 1" view:
     • Description: Enter a meaningful description of the material.
     • Base Unit of Measure: Specify the unit of measure (e.g., EA for each, KG for kilogram).
     • Material Group: Select the appropriate material group.

5. Define Views:

   • Select the views you need to maintain by checking the corresponding checkboxes (e.g., Basic Data 1, Basic Data 2, Sales, Purchasing, Accounting).

6. Enter Data in Each View:

   • Enter the necessary information in each selected view. For example:
     • Basic Data 1 and Basic Data 2: Provide additional material descriptions and units.
     • Sales View: Enter sales organization data, distribution channels, and sales units.
     • Purchasing View: Provide purchasing group, order unit, and purchasing value key.
     • Accounting View: Enter valuation class, price control, and standard price.

7. Save the Material:

   • After completing all required fields, click the Save button (disk icon) to create the material.

The system will confirm that the material has been created and display the new material number.