Change Base UOM

Change Base Unit of Measure

One raw material we assigned base unit of measure as OZ, later add alternate unit of measure as ML.

Now I wanted to change the base unit to ML and alternaet to OZ. For that I deleted component from the BOM. Related PO's, Prd ord and demand are closed. Deleted the alternate unit from purchasing and plant/stock (Area were we assign the alternate unit), then try to change it giving message as Unit of measure ML used as alternate unit. (In additinal data screen still the alternate unit and conversion available)

You can do the following procedure (after deleting the material in all concerened documents):

1. Delete the uom from Unit of issue field (General Plant Data / Storage 1) in MM if you have mentioned it there.

2. Go to additional data , use delete line tab and delete the conversion factor by keeping the cursor on that line.

3. Come to main data, now change the base unit of measure to the required one.

4. Then give the alternative unit of measure, system will ask for conversion factor.

5. Then save

Changing V.Types

Changing the Material Valuation Types

Assuming you have defined split valuation types in the sap img, you must remove all stock for the current period and one previous period before you can create the material with different valuation types.

The best method is to wait until the last day of a period, and then perform a physical inventory adjustment to remove the stock.

Then on the first day of the next period you can set up the material accounting views for each split valuation type.

After the material valuation types are set up for the material, you can do an inventory adjustment to put the stock back in.

Make sure you notify your accounting inventory control departments as to the quantities and values you are taking out at
the end of the period.

Split Valuation

SAP Split Valuation for Materials

The SAP R/3 System allows you to valuate stocks of a material either together or separately, that is, according to different valuation criteria. Split valuation is necessary if, for example:

1. Stock from in-house production has a different valuation price than externally procured stock.

2. Stock obtained from one manufacturer is valuated at a different price than stock obtained from another manufacturer.

3. Different batch stocks of a material have different valuation prices.

4. Value damaged and repair part differently from a new part.

To used split valuation, you have to activate it using 'OMW0'.

To change split material valuation once it has been set, you must

1. first post out all stocks (for example, to a cost center or with movement type 562)

2. then change the control parameters

3. if necessary, change the automatic account determination

4. finally post the stocks back in again

In split valuation, you can distinguish between partial stocks of a material according to certain criteria and valuate them separately.

The material stock is divided according to valuation category and valuation type.

The valuation category determines how the partial stocks are divided, that is, according to which criteria.

The valuation type describes the characteristics of the individual stocks.

With the function "Setting" you can determine:

which valuation categories exist in your company (global categories)
which valuation types exist in your company (global types)
which valuation types belong to which valuation category
which valuation categories exist in a valuation area (local categories)

Your entries are only relevant if you set split valuation as active in the function "Global settings".

In the standard SAP R/3 System, the following valuation categories are default settings :

B procurement type with the valuation types:

"EIGEN" for in-house production
"FREMD" for external procurement

H Origin

X automatic valuation (only for batch)

To select split valuation ('OMWC'), proceed as follows:

1. Determine the valuation categories and valuation types that are allowed for all valuation areas:

global valuation categories via menu "Goto --> Global Categories"
global valuation types via menu "Goto --> Global Types"

2. Allocate the valuation types to the valuation categories.

a) Select "Goto --> Global Categories".

b) Position the cursor on a valuation category and select
"Goto --> Global Categories --> Assignments --> 'Types->Category'".

c) Activate the valuation types you want.

3. Determine the local valuation categories for each valuation area.

a) Select "Goto --> Local definitions".

b) Position the cursor on a valuation area and select
"Goto --> Local Definitions --> Allocate Categoires->Org.units (button Cats->(OU)".

You obtain a list of the global valuation categories.

c) Activate the categories to be used in this valuation area.

The system creates the local valuation types based on the allocations under point 2.
Only now can you create a master record with split valuation.

Specifying Split Valuation by creating Material Subject to Split Valuation

1. Create a material master record, selecting the Accounting View 1.

2. Enter your data as required on the Accounting data screen, specifying a valuation category.
(If you can't find the valuation category field, it might be hidden, use OMSR to define the Field Groups.

Look for the field MBEW-BWTTY for Valuation category).

3. Be sure that the price control indicator is V for moving average price and enter a moving average price.

4. In the case of split valuation, you can create only one valuation header record with price control V because the individual stock values are cumulated, and this total value is written to the valuation header record. This is where the individual stocks of a material are managed cumulatively. To do this, fill in the Valuation category field on the accounting screen when you create the material master record and leave the Valuation type field blank.

5. Save your data and the system creates the valuation header record.

6. The initial screen appears.

7. Extend the material by creating new material master records from the Accounting view 1. For the first material, specify a valuation type in the Organizational Levels dialog box and enter the respective accounting data on the data screen. Proceed likewise for the other materials, distinguishing between them by valuation type. To do this, call up the material in creation mode again. Due to the fact that a valuation header record exists, the system requires you to enter a valuation type for the valuation category.

8. Repeat step seven for every valuation type planned.

You want to valuate the stock of material XYZ that you obtain from manufacturer A in Los Angeles at a different price than the stock you obtain from manufacturer B in Detroit. In this case, the valuation category is H for origin. Your valuation types can be LOS ANGELES and DETROIT.

If a material is subject to split valuation, every quantity (sub-stock) of this material must be assigned to a valuation type (for example, country of origin).

For every valuation type, there are two types of data in the system, as follows:

Valuation data (for example, valuation price, total stock quantity, total stock value), which is defined for every valuation type at valuation-area level and applies to all dependent storage locations.

Stock data, which, like batch data, is managed separately for each storage location. If a material that is subject to split valuation is also subject to management in batches, its stock data is not managed by valuation type, but rather by batch. Every batch is assigned to a valuation type.

The stock quantity, stock value, and valuation price for all valuation types are managed cumulatively at valuation-area level.

Must the Valuation Type Exist Before the First Goods Receipt?

You can post the goods receipt of material of a certain valuation type only if the valuation data for this valuation type already exists, because the system valuates the goods receipt at the price defined in the valuation data. On the other hand, the stock data for the valuation type is created automatically during the first goods receipt into the storage location, if this is defined in Customizing for Inventory Management.

Goods Movements with Materials Subject to Split Valuation

If you want to enter goods movements for materials subject to split valuation, you must enter the valuation type in addition to the material number.

Enter the valuation type in the Batch field for MB01.

In MIGO, there is a valuation type field in Detail data -> Material.

Price Control V or S

Price Control V or S in material type

When is it useful to use the price control V or S in Material Master ?

Do I have to follow the SAP standard setting in the material type for the following material types:
- ROH(Raw materials) -> moving average price
- HALB(Semifinished products) -> standard price
- FERT(Finished products) -> standard price

In which case and why is useful to change these standard setting in material type?
What is difference between standard price and moving average price?
When and how to use it?

Standard price are used for products that do not fluctuated frequently. It is usually used for finished or semi finished products.

Moving average price are used mainly for raw materials that are purchased externally. The advantage of using moving average price for your raw materials is that your inventory costs will always reflect the current market cost.

SAP strongly recommends that you do not select price control V for semi-finished products and finished products, because doing so will very easily cause the calculation of unrealistic valuation prices.

SAP recommends:
Price control V for raw materials and trading goods; price control S for semi-finished products and products.

If you nevertheless select price control V, take care in the following situations:

Unrealistic prices occur if materials are produced and also retire during one period (that is, the inventory at the end of the period is smaller than the total of aquisitions from production orders) and if, in addition, several production orders belonging to a material were finished in this period, and the production order settlement calculates variances at the end of the period. Every single production order carries out an inventory coverage check and may therefore cause the moving average price to be changed.

However, the individual production orders do not check whether the inventory available at the end of the period has already been debited by another production order.

Example: on 20 workdays in the period, 1 piece of material xyz was produced for each day and delivered to the warehouse at a price of USD 1000. At the end of the period there is 1 piece at the warehouse.

Since an activity price of a participating cost center was higher than planned , every single production order calculates cost of goods manufactured of USD 1100 during the settlement. Every single one carries out a inventory coverage check and finds out that the variance can be posted completely to the inventory.

That is, the ending inventory of one piece is debited with USD 20 x 100 and it consequently receives a price of USD 3000.

1. A settlement is carried out although not all costs have yet been posted to the order. This can even result in a price of 0 for the delivered product.

2. No period check of the costs is carried out on the order, that is, costs from previous periods may be settled.

3. Settling orders is already possible in the 'Delivery completed' status.

Solution: Standard price for products together with possible manual price changes.
If you are required to valuate semi-finished and finished products with actual prices that correspond to the costs of the actual production, SAP recommends you use the function of the material ledger for this. Here, a periodic actual price is created that is calculated on a much more reliable basis than the moving average price.

As so-called price limiter quantity is used which makes sure that in the above example price differences are proportionally taken into account (95% of the total price differences) when valuating the 19 pieces withdrawn from material xyz which results in a periodic actual price of 1100 USD. In addition, it is possible as of Release 4.5 to even take into account the variances of the actual prices of the raw materials in the valuation of the semi-finished and finished products that are manufactured from it.

If we select std price for any type of material or mav and then make po, it will pick from material master or what?

The Purchase Info Record have the FIRST priority. When no po info record is found, the Purchase Order will pick the user LAST enter price. The PO module do not pick up any price from material master.

M.C in Difnt C.C

Creation of same Material Code in Different Company Codes

Our requirement : To create one material code (eg., A123) with different material type (HALB & UNBW) in two different company's plants. We have created A123 material code with HALB in 1000 company's 1100 plant. While creating A123 material with UNBW material type in 2000 company's 2100 plant, system is taking default material type as HALB, as already created for 1000 company's 1100 plant.
This requirement is due to the Job work process (non-valuated material) in 2000 company.

The basic data (like Matl. no., description, UOM etc.) in material master are maintain at client level. We can not maintain the same at company code level. So in your case you have to maintain two seperate code for different companies, with different matl type.

But you can for the same material type to define, that in some valuation areas it has update by value and quantity, but in another valuation areas only by quantity. Maybe you don't have to have two material types:)

Detail and what are the settings are required in customization:

Tr.code OMS2

1)Select details of material type and on end of screen in part 'Quantity/Value update" select for Value update radiobutton "By Valuation Area"

2)After that on left side of screen select folder "Quantity/Value update" and set in which areas you need value update by setting indicator in column "Value update".

Block or Delete

Block or Delete Any Material From Material Master

How can we block or delete any material from material master?

When engineering marks a finished goods material master for deletion, it does not prevent customer service from booking an order against it. However, MRP ignores it and would not suggest a planned order or a purchase requistion(for buy-outs).

Where in configuration can I block customer service from booking an order for deleted material master? Currently, there is a pop up window to tell the order entry personnel that the material master is marked for deletion but that person can still process the order.

We can obsolete a matl master at Sale Data 1 which will prevent order entry but very often, our document control or engineer forgets and head straight to marking an item for deletion and not archiving it after that.

The best way is to keep the materail status with deleted or blocked for puchase / sales and need to maintain in the materail master.

You cannot delete the material from material master until archiving but you can block that material for any procurement

Goto Basic data 1

X-plant matl status ------

01 Blocked for procment/whse
02 Blocked for task list/BOM
10 Blocked for MRP

Select any one.

Valid from ----------- Here you enter valid date from which the material should be blocked.

So from this your material will be blocked for any PR/PO/any transactions related to Procurement

Flag of Deletion

Displaying Material Flag of Deletion

To list materials which are flagged for deletion, without any development work.

Go to MB52 which is basically a stock report.

In the "Settings" section, tick "Display Materials flagged for Deletion".

It will give you the stocks of materials flagged for deletion.

Delete s.location

Delete storage location in material master

Assuming that you have create a Material master in Plant : P001 and Storage location : 0001 and 0002.

Later, you would like to delete storage location : 0002 in this Material master.

In MM06 Enter Material number, plant and storage location.

Press enter, and set the cross in front of storage location.

Next, you need to run archiving to get it physically out of the SAP system.

One to Two

One Storage Location for Two Different Plant

Can one storage location be extended to two different plants?

Eg plant PPL01-- storage loc 1) sc01 2)sc02.

Can another plant PPL02 have any of the storage locations of PPL01.

You can duplicate a storage location identifier at different plants but each of those is a unique storage location. For example Plant = 0001 Storage location = S001 and Plant = 0002 Storage location = S001. Those two storage locations, both called S001, are totally separate unique storage locations. They just both happen to be named S001. Material is valued at the plant level therefore you cannot have a single storage location that spans two plants.

A storage location has to be unique for a specific plant only. It cannot be common to two plants.

You can use the same storage location number for two different plants and the system identifies them uniquely based on the plant/storage location combination.

e.g (Storage location 01 in Plant Mumbai) and (Storage location 01 in Plant Bangalore).

Just ask yourself a question:

Which plant will the material in a given storage location belong to when you take the inventory at plant level ?

If physically you are using the same warehouse or godown for two different plants, still I am sure you are maintaining separate books for the inventory of each plant. These separate books are separate storage location in the system assigned to each plant though physically they are same.

Configure the Storage Location:

You can configure same store location for two diiferent plants:

Display IMG----- >Enterprice structure---> Definition----->Maintain storage location

Enter Storage Location for Each Material:

In Transaction MMSC enter Material and Plant and click List extendable slocs only.

Then enter sloc and save.

NumberRange Intervals

Control the Number Range Intervals for Material Master

You can define the Material Master Number Range in transaction MMNR.

Click the button Groups to Maintain the Material Type Grouping.

Below are those material type that have no number range groups.

To assign a group, in the not assigned group, select the Material Type you want to group.

Then tick the Group you want to assign and click the menu path Edit -> Assign Element Group.

From the same screen, if you want a new number range intervals, click Group -> Insert Group.

If you decided to used an external number range, goto transaction OMS2 and
tick the field External no. assignment w/o check.

You have two ways of assigning number range :

Internal number assignment

In this case, a number within the number range interval allowed is assigned by the SAP R/3 System.

External number assignment

Here, the user assigns a number within the number range interval allowed. You can define the intervals for external number assignment numerically and alphanumerically.

You can assign one or more material types to each group.

If you assign just one material type to a group, you can define both an internal and an external number range interval for the material type.

If you group together more than one material type, you can define an internal and an external number range interval here too. This allows several material types to have the same number range intervals.

Material in process

Define whether the Material can be used at which business process

The materaial status is very useful if you want to block the material from being used
at a certain business process.

For example :-

You want to designate a material as a material to be discontinued. In the master record,
you give the material a status whose parameters have the following settings:

Parameters in transaction OMS4 (Double click the status line items for IMG Settings) :

Purchasing "B" = error message

MRP "A" = warning

Inventory Management " " = no message

If the material is used, this parameter assignment has the following effect:

Purchasing

You can perform no further purchasing function for the material; for example, you can
enter no further purchase order for the material.
In this instance, you are given a corresponding error message.

MRP

If you plan requirements for the material, you are warned that the material is one to
be discontinued.

Inventory Management

You can continue to withdraw the material from stores; no message is given.

Control Output Format

Control the Output Format of your Material Numbers

In OMSL, you can define the following:

1. Input and output length of material numbers
(A material number can have a maximum of 18 characters).

2. Template for displaying or printing material numbers.
You indicate with an underscore any position in the material number that you do not want
to contain a template character.

3. Form in which material numbers are stored

4. Output with or without leading zeros

The settings are client independent.

Controlling the Fields

Controlling the Fields in Material Master

Define whether a field is hidden or displayed, or whether an entry is mandatory or optional in material master maintenance by assigning the field to a field selection group in OMSR.

Each field selection group has a number between 1 and 240.

The values of the field selection groups have been preassigned as follows:

001-110 Material master for industry
111-120 Reserved for customers (except where the values are already in use)
121-150 Material master for industry
151-210 Material master for retail
211-240 Reserved for customers

Create and maintain field references (OMS9).

All the fields in the same fields group will have the same field selection option.
(hide, display, required entry, or optional entry)

You can see where a field reference is used by choosing Where-used list.

Define or change the field references as required (except for field references with the prefix SAP which must not be changed). New field references must begin with Y or Z.

Changing the Field Selection Options for a Field Selection Group

1. Specify the field selection group .
2. Select the field selection option (hide, display, required entry, or optional entry)
for each field reference as required.
3. Save.

Creating a Field Reference

1. Choose New entries.
2. Specify a field reference beginning with Y or Z.
3. Select the field selection option for each field selection group as required.
4. Save.

Changing a Field Reference

1. Double-click the relevant field reference.
2. Change the field selection option for each field selection group as required.
3. Save.

Define industry sectors and industry-sector-specific field selection in OMS3.

Define plant-specific field selection and screen selection in OMSA.

Allow Negative stocks

SAP Inventory - Allow Negative stocks

In order to use negative stocks, you have to allow negative stock in customizing.

Only those materials for which negative stocks is activated in the material master, will be allowed to have negative stocks.

Customizing: transaction OMJ1 - Allowing Negative Stocks.

First level: Valuation area.

Choose for which valuation area you want to allow negative stocks and activate the flag.
Select the line of that valuation area and go to the plant level.

Second level: Plant.

When only one plant exists for that valuation area (this will always be the case in case the valuation area is defined as a plant), you see immediately a details screen with special stocks.
Choose the special stocks that may go negative. Next use F3 or the green arrow to return to the overview of the plants. Select the plant and go the the storage location level.

Third level: Storage Locations.

Select for which storage locations negative stock is allowed.

Save the whole lot.

Negative stock will now be allowed in the selected storage locations for all materials that have the negative stock indicator activated in the material master in the storage 2 view.

User default settings

Maintain the user default settings when creating Material Master

Default values while creating Material Master.
Is it possible to define default values for certain fields, while creating the material master?

I know about the MRP profile and the forecast profile. I am looking for something similar for defaulting values for certain fields in the basic view.

You can define the following defaults for each user with transaction code OMT3U in 4.6c :

Default Industry sector (Industry only)

Where in the config can you default the Industry sector in MM01?

You can define that a particular industry sector is proposed whenever the user creates a material master record. However, this setting cannot be made for the material master for retail since retail is itself the industry sector.

You can hide the industry sector if you do not want the user to change it. SAP will take the default Industry sector you specify in the IMG.

Goto your user profile, own data (tranx SU3), click on [Parameters] tab, place MTP under parameter and your desired industry code, say M (for Mech/engr) in values and save. You should see your default in mm01.

A second possibility is in MM01 directly. In the menu Settings -> Industry (Default -> Industry Sector 4.6c) you can enter your default and can even flag a box that it should not be shown anymore.

In 4.6c, you have another choice, that is tcode OMT3U where you can Maintain the user settings for the default Industry
Sector.

So what you do depends on your preference and project cycle. If you have not yet gone live, and all of most of the materials is of a certain industry, then use the parameter option during user maintenance. If you have gone live, and then maintain in MM01 for a default.

Organizational levels (Industry and Retail)

You can define for a combination of user and screen sequence the organizational levels that are proposed whenever the user creates, changes, or displays a material master record, and the organizational levels and profiles that are proposed whenever the user creates a material master record.

Views that are preselected in the Select View(s) dialog box (Industry and Retail)

You can define for a combination of user and screen sequence that certain views appear as preselected in the Select View(s) dialog box.

Finally, if you create your material master record by referencing to the other material number, then several fields will be defaulted.

Relation bn Materials

Maintain relation between Alternatives Materials

Ours is an auto industry & we have materials that are alternatives to other materials. These materials are perfect substitutes of each other & are known as alternatives. (the user can consume either of the materials or both). How to maintain the relation between the alternatives in SAP? How the MRP considers the quantity of each alternative for the MRP calculation?

You can have 2 options:

1) Create only one generic material in your system and while placing orders for different equivalent materials, mention the equivalent product name in the vendor info record Under vendor prwhich will get copied to Purchase order. Thus in your system you will have only one material.

2) If this is not suitable for you, than you can configure Manufacturer Part Number functionality.

Option No 1 . Pl take this scenario of a Chemical co.

Step 1 - Creation of Material in SAP

Genaric Material Vendor
(Silicon Surfactant)

Alt.Material 1 Vendor X
Alt.Material 2 Vendor Y
Alt.Material 3 Vendor Z

In this case, you will create material in SAP as Silicon Surfactant. This material will be used in BOM.

You will not create 3 different alt.materials like Material 1,2 and 3 in system.

Step 2 - Vendor Inforecord will have Vendor Material No i.e Material 1 etc.

Thus whenever you will print PO, PO will be printed with reference to your internal SAP material no i.e of Silicon Surfactant and will also have vendor material no. If you want only Vendor material to be printed then you have change the print format.

Thus for MRP, only 1 material will be cionsidered. Hope this is clear.

Option No2 -Manufacturer's Part Number

Step 1 -
In customisng under Lo General - Material Master - You have to create a MPN profile.

Step 2 -

Create normal material under material type ROH or Traded as required. Under purchasing tab , maintain MPN Profile,Manufacturer's part number(Vendor material number) and Manufacturer's code.(Vendor Code)
This is a material in which you will maintain stock, use in BOM etc. This is your internal material number. This number will not be used in the PO.

Step 3

Create a new material each for your alternative materials under Material type HERS. Under this you will create material which is supplied by your vendor.In this material you will link the internal material number as created in step 2 above.

Step 4

Create a PO by using material number created under material type HERS.

Step 5 - Do a GRN

MPN process works like this :
Order is created for HERS material but whenever you will do GR against this PO, stock and other reports will get updated under material code created in step 2 i.e normal material created under material type ROH or traded. Thus HERS material is used only for ordering purpose.

Difference bn client..

Difference Between Client , Purchasing Org , Plant , Company code

What is the technical difference between Client , Purchasing Org , Plant , Company code?

Client : Unit within SAP system, self-contained, separate master data with independent set of tables. It represent corporate group.

Company Code : Smallest organisational unit of external account for which a complete, self-contained bookkeeping system can be replicated. eg, company within a corporate group.

Plant : An organisational unit within logistics, subdivides an enterprise from the viewpoint of production, procurement and materials planning.

Purchasing Org : Organisation within logistics which subdivides an enterprise according to purchasing requirements.

The procurement business process uses this organisational structure:

Client--->Company Code--->Plant--->Storage Location--->Purchasing Org/ Purchasing group

The standard procedure for creating a new plant in SAP:

SPRO -> Enterprise Structure -> Logistics - General -> Define, copy, delete, check plant