SAP MM Support Problem Solution

Is it possible to maintain the same material master with same code in all plants in a company. Our client is using same materials in all their four plants?

Material numbers are always maintained at Company code level. If you look at the Material master data, some data is maintained at Company code level, some at Plant level and some at Storage location level. If you have all the 4 plants attached to one company code, they should have the same material number. What you need to do is to extend the material to all the 4 plants if thats your requirement. Also, if you have your valuation area as your Plant, then you have the flexibility to maintain Plant specific pricing for the same material.

You can use MM01 T code to copy material from old plant to new plant. But check for the required details in your new plant and make changes accordingly.

Where we do the configuration for the cost centre allocation, because whenever we GR a material, accounting document is created for that particular material. How that particular material go in to the particular accounting (G/L account)

In Tcode: OBYC -- Automatic Postings.

for Inventory Posting Trns Key is: BSX
for Off setting entries like Goods issue, initial stock......Trans Key is : GBB

Based on the Movement types, Valuation class it will be assigned to a G/L account.
You can refer the configuration in Tcode: OBYC

Could any one can explain complete configuration of pricing procedure & application.

The Basic thing is Condition Technique. In which there are

1. Access Sequence 2. Condition Record 3. Condition Type 4. Condition Table.

A Access Sequence access a Condition Record of a Condition Type in a Condition Table is a Condition Technique.This is a simple logic

Here the Condition Type is very important like PB00, PBXX,RA01 etc.
In the background every Condition Type has its own defition means the purpose of the Condition Type like, is it for Pricing or Percentage, Quntity base, Accrual Feilds etc is to be defined to work this functions. Normally we use the existing ones without any risk. But some cases, we have to Create a New Condition Types as per the organisation requirement.

The Pricing Schema is useful to minimise condition types while mention prices for Vendor on the basis of Pricing Schema which we defined according to organisation requirement.

The Pricing Schema means the calculations procedure of Condition Type.

Ex. RA01 - Discoount % is caclulated on PB00 - Gross Price means RA01 is based on PB00 like that we have to define in the Pricing Schema which makes easy to use in real time. Here PB00 has the Access Sequence - 0002. But RA01 does not have the Access Sequence.Why because it is a dependent on PB00. But both are Condition Types.

In the system, by default some standard Scheme will be there at Vendor Schema Group in the Vendor Master Screen means the standard one is assigned which is very lengthy which may fullfil our requirement. But some cases which may not fullfil our requirement, in such we have to define.

For the configuration, I may not able to explain properly through here but will give some idea.

Configuration: SPRO - IMG - Material Management - Purchasing - Conditions - Define Price

Deternmination Process:

1. Define Access Sequence

2. Define Condition Type

3. Defince Calculation Schema:- Here you have to define the Schema

- Define Schema group

1. Define Schema Group vendor

2. Define Pricing Schema group

3. Schema group for Purchase Organisation

4. Assign Schema group to Purchase Organisation - Define Schema determination
1.define calculation schema for Standard purchase organisation

After completion of the Schema Group, we have to assign it to Vendors. Then whenever we use any transaction with this Vendor, the concerned Schema will work as configured by us.

The Pricing in MM is vast because each Condition have its own importance and each Access Sequence have its own importance. So you need not bother about this. First you learn how to define the Calculation Schema through the above.

SAP Material Management Interview Questions

Problem is that after goods receipt and AFTER invoice verification, reversal of goods receipt is being done. Client wants this more controlled as the GRIR account is being affected. So no reversals to be done after Invoice verification. How to approach this?

Make this setting: SPRO > Materials Management > Inventory Management and Physical Inventory > Goods Receipt > For GR-Based IV, Reversal of GR Despite Invoice

Here remove the tick against Mvt 102 & 122.

Now the system will not allow to return the Good at any case.

I have created a new vendor. Later I found that there were some mistakes and that I want that the system should not allow me to make any PO or post any entries to this vendor. How to deactivate this vendor?

You can block a vendor at the following levels:

All company code
Single company code
All Purchase org
Single Purchase org

Where to Get the Goods Movement Type List?

Step 1) Run spro command/TC

Step 2) Then move to "SAP Reference IMG" screen

Step 3) Then navigate following path:

IMG --> Materials Management --> Inventory Management and Physical Inventory --> Movement Types --> Copy, Change Movement types

Here with "Copy, Change Movement types" option a help tutorial is available (rectangular blue colour icon). In that go to "Further information" section where you can find a big list of movement types with some brief explanation.

Where the schedule margin key is customized?

You define the order float in the scheduling margin key, The scheduling margin key is copied from the material master. The float before production or float after production and the release period are defined in the scheduling margin key

For Customizing for Shop Floor Control, by choosing Operations --> Scheduling --> Define Scheduling Margin Key .
The scheduling margin key is assigned to the material ( MRP area in the material master) and is transferred when the production order is created. These values can be changed in the production order.

What is the function of OBYC?

Function of the OBYC stand for Configure Automatic Postings. In this step, you enter the system settings for Inventory Management and Invoice Verification transactions for automatic postings to G/L accounts.

Postings are made to G/L accounts automatically in the case of Invoice Verification and Inventory Management
transactions relevant to Financial and Cost Accounting.

For example, Posting lines are created in the Stock account and Consumption account.

Tell me what is *make to order*?

Make-to-order production is a process in which a product is individually manufactured for a particular customer. In contrast to mass production for an unspecified market where a material is manufactured many times, in make-to-order production a material is created only once though the same or a similar production process might be repeated at a later time.

In global trade, you often need to process several different kinds of transactions at the same time. The Trading Execution Workbench (TEW) provides a central cockpit where traders can process trading contracts and their subcomponents, such as purchase orders and sales orders and follow-on documents. In addition, TEW automates a large part of the data entry, making processing quicker, easier, and more error-free.

How to delete a material completely?

Try MMDE transaction but be careful this will remove all material from Client.

What is the use of Tables in MM. i.e. How the tables get created?

Through SE11 you can create a new Table. In MM if you create a Material Master MARA, MARM, MARC,MARD, MBEW & MVKE will updated. In Vendor Master LFA1, LFB1 & LFM1 will be updated. The same applies to EKKO,EKPO for P.O, MSEG & MKPF for MIGO & RBKP for MIRO.

If in any error, only the message no. ! or the table no. is shown , then how to resolve the error using message no. or table no.?

Contact ABAP or BASIS person to resolve this.

How to create new transaction codes?

In transaction code SE93 you can create, Change & Display a Transaction Code.

Interview Questions on SAP MM

1. What are the types of special stocks available?

Subcontracting, consignement, pipeline, project, sales order, RTP, stock transfer ,third party.

2. What are the types of inforecords?

Standard, consignment,subcontracting & pipeline.

3. What is meant by consignment stock?

The stock supplied by the vendor is in the companies premises with the company having no liability for the same. The liability for the company will only be affected when the goods are issued from the consignment stock for use.

4. What are the steps involved in consignment cycle?

Create consignment info record with proper tax code, create Po with item category K, maintain output condition record for KONS, process GR, no invoice verification done, but settlement is done through MRKO transaction.

5. Tell me about the subcontracting cycle.

The Po is created with item category L , the goods is transferred to subcontractor by 541 movemet. for this movement note no accounting docs take place. When GR is done automatically, 543 movemnt takes place which take care of the consumption of components from stock.

6. How are the byproducts taken care of in subcontracting?

You can add these by products in the BOM for the header matl.

7. What is meant by scales?

Can scales be used in standard purchase order? You can fix a price in the info record for a say qty from 1-100 price RS150 & if the order qty is 101- 500- the prices is 140 . Scales cannot be used directly in PO but can be pulled into the PO from various master data like info record, quota arrangement.

8. What is the difference between a contract and a scheduling agreement?

With regard to Outline Agreement:

1. You can create the centrally contract (cross-plant) where you can maintain different pricing conditions for each and every plant

2. You have to create the Release Order with reference to Outline Agreement.

3. No detailed delivery schedule can be made in the Release Order.

4. No Release documentation is created.

5. Only time-dependent conditions can be created.

6. Some Item Category 'M' and 'W' can be used.

With regard to Scheduling Agreement:

1. The Plant Location must be entered in the Scheduling Agreement.

2. We do not have to create any other purchasing document except for delivery schedule line via Transaction ME38 or MRP running (with the appropriate setting of Source List).

3. Delivery Schedule line items are created subject to your specific requirement.

4. Can create both Scheduling Agreement with and without Release Documentation (subject to the Document Type LP or LPA) with the selection of either FRC or JIT delivery schedule.

5. Either time-dependent or time-independent conditions can be created subject to the customizing in the Document Type of the Scheduling Agreement.

6. Item Category 'M' and 'W' can not be used.

9. How does the system calculate taxes?

10. How does the system calculate nondeductible taxes?

11. What is meant by batches? How can the batches be searched?

A batch is a subdivision of your stock of a material having the same characteristics.
For instance:

- food production uses batches to indicate the day of production.

- paint production uses batches based on production date and the used ingredients. It is very hard to reproduce the same color in exactly the same way at two different moments.

- or else may be divided in batches based on their mineral content.

You can search batches using the standard search facility (match code, key F4) based on the naming convention of the batches or, if you use batch classification, based on the characteristics of the batches.

12. How is a shelf-life item managed in SAP? What is the full cycle?

13. What are the settings required for quota arrangement?

To set up a quota arrangement for the procurement of a material, proceed as follows:
Master data -> Quota arrangement -> Maintain, enter the material and plant number, press ENTER to display the overview screen for the quota arrangement periods, Enter a validity period for quota arrangement, Enter date until which the quota arrangement is valid. The start date is calculated by the system. Press ENTER .

Select the quota arrangement and choose Goto -> Item overview to display the item overview screen of the quota arrangement. Enter a quota arrangement item for each source of supply you want to include in the quota arrangement.

You must enter the following data.

- Procurement type

- Special procurement type, Enter k in the S column, for example, if a consignment arrangement for the material exists with the vendor.

- Vendor number

- Procurement plant (supplying plant):

- Quota column, enter the quota assigned to each item.

Press ENTER .

The percentage distribution of the quotas is calculated and displayed automatically by the system. Save the quota arrangement. The system assigns a number to the quota arrangement item automatically

14. What is meant by MRP Type and lot sizing?

15. Can it be configured in such a way that the external requisitions can also be taken into account while MRP runs in consumption-based planning if VB is selected as MRP type?

16. How are free items managed in a PO? yu need to tick the tem as free in the PO. The price will be zero for such PO's.

17. What are the differences between release procedure with classification and release procedure without classification? When are they used?

Release procedure with classification means the Purchase requsition can be released both at item level & at the header level. Release procedure with out classification can also be used for PR which is used for item level release only. all other external documents cannot be relesed with classification. The two procedures are mutually exclusive (that is to say, you must decide in favor of one of them only - you cannot use both).

18. Is it possible to have a release procedure without classification for a PO?

No

19. What is the maximum number of levels available in SAP?
Did not get this question …need answer to clarify.

20. Is it possible to have scales in a quotation?

No

21. What is GR blocked stock? When it can be used?

Whenever you are not sure about the quality of the product received, you can put in GR blocked stock.

22. How are the variations in subcontracting taken care of in SAP?

23. How to give specifications for developments?

We normally prepare a business requirement document in which we specify what is required. what field & tables have to be referred for the required development.

24. How to create PR or PO by MRP?

The PR is created according to the safety stock mentioned for the material or can be triggered from a requirement . For creating a PO, you need to have the scheduling agreement in place .After the MRP is run the schedule lines are generated which are nothing but the PO.

Adding Views in Material Master

I am trying to add views using MM02. It is showing me just 3 views ...BASIC DATA1, BASIC DATA2 & CLASSIFICATION..... I want to add other views but am not able to do it.

There are 2 ways to add views to the existing material master:

1. Go to mm01

- Enter the material for which you want to add the views.
- Then you enter the same material in copy from material
- Then you may find all the view
- Then select the views you want to add and make entries in the same view and save it
All this is done in mm01.

or

You can mass extend views for a material in tcode mm50.
Select the maintenance status as V for e.g. if you want to add views of sales.

2. If the default setting is done in the material of the material type then you may not find the new views in mm01

If that is the case, then you go to spro >> log general >> mat master >> basic sett >> material types >> define attributes of materisl types.

- Select material type of the material in which you want to make the change

- Double click on the same, then on right hand side, you will find user parameters under which you will find the views

- Select the view you want and save your settings

- Then go to mm01 and do the way it is mentioned in the first step.

Why we are maintaining 4 views for mrp? What is the reason behind that?

The 4 MRP views that we maintain has got its individual importance like in

- MRP1 - For for consumption based planning

- MRP2 - Procurement type (inhouse or external)

- MRP3 - For Planning strategy & consumption period

- MRP4 - For repetitive mfg.

It is not mandatory to maintain all MRP views. It depends upon your company profile.

Procedures for copying One Plant to Another

Can anyone give me a step by step process of creating another plant or storage location by copying from an existing one.

Plants Definition :

/NSPRO-IMG---Enterprise Structure---Definition---Logistic General---Define,copy,delete,check plant---Define Plant (In this, we are defining plants(s) under company which is defined earlier)

/NSPRO-IMG---Enterprise Structure---Definition---Logistic General---Define,copy,delete,check plant--- copy,delete,check plant---F6 to copy org. object from plant 0001 to defined plant(s).

Storage Location :
/NSPRO-IMG---Enterprise Structure---Definition---Materials Management---Maintain Storage Location-New Entries (Define required storage location(s) under different plant(s) )

/NSPRO-IMG---Enterprise Structure---Definition---Materials Management---Maintain Storage Location---Storage Location Description---- New Entries ( enter here addresses of each plants)

Copy Organizational object Plant using Transaction: EC02.
(recommended to Copy from a standard sap plant)
Create or copy storage location using :OX09

1. Copy existing plant A to new plant B. All of plant A’s data in throughout the IMG will be created/copied for plant B. In some cases with plant A data that is not desired. In step 3 you must go through and correct invalid entries

2. Correct address information

3. Correct data copied to plant B as plant A

(a) In Sales and Distribution -> Shipping -> Picking -> Determine Picking Location -> Assign Picking Locations (OVL3), delete entry where Shipping Point = plant A and Plant = plant B and press save.

(b) In Sales and Distribution -> Shipping -> Basic Shipping Functions -> Shipping Point Determination -> Assign shipping points – wherever plant B is found the shipping point is plant A,this must be changed to plant B.

(c) In Enterprise Structure -> Maintain Structure -> Assignment -> Sales and Distribution -> Assign shipping point to plant – delete plant B shipping point from the plant A assignement.

(d) In Enterprise Structure -> Maintain Structure -> Definition -> Sales and Distribution -> Define, copy, delete, check shipping point – copy shipping point plant A to shipping point plant B. Correct the description in the define section of this node.

(e) In Sales and Distribution -> Shipping -> Picking -> Determine Picking Location -> Assign Picking Locations (OVL3), copy plant A entry to plant B entry, changing all data to plant B.

(f) Check with Reorder buying group to determine MRP controllers for new plant. Remove plant A MRP controllers from plant B, and add controllers received from reorder buying group. IMG is Materials Management -> Consumption Based Planning -> Master Data -> Define MRP controllers

(g) Define special procurement. IMG is Materials Management -> Consumption Based Planning -> Master Data -> Define special procurement type.

(h) OMGN – Assign customer in “Set up stock transport order – [Plant]”.

(i) OMGN – in “Set up stock transport order – [Purchasing Document type]”; an entry was created for source plant B and plant A, this entry should have a UB order type and the check box should be off. Each plant needs a plant B UB entry created.

(j) OMJ3 – Delete incorrect entry in print parameters. Remove entry where plant = plant B & storage location = plant A. Create entry for plant B storage location B

(k) Verify entry for new plant exists in OVLT picking output

(l) Verify entry for new plant is correct in VP01

4. Manual configuration

(a) Create plant customer number and assign to plant in OMGN.

(b) OMJ3 – set correct printer for plant B

(c) OPK8 – Set printer for plant for list LG01. This is for production orders.

(d) Output determination OVLT (set printer),

In addition to above, other changes based on customization in your installation needs to be done as well.

Safety Stock Calculation in SAP

Let me try and explain to you through a mix of functional procedures and how SAP calculates the Safety Stock:

In normal materials management there are basically 2 basic inventory management systems, the P system and the Q system.

P system is a system wherein replenishment is done keeping the quantity constant. The period becomes the variant. In other words you fix the quantity you want the stock to dip, to trigger a requirement. As soon as the stock level is reached you replenish the stock. During a lean period the time taken to reach the level will be longer and during an active period the time taken to reach that stock could drop.This normally relates with your consumption based planning.

Q system is a system wherein replenishment is done keeping the period constant. The quantity becomes the variant. In other words you will check for the level of stock at fixed time intervals (daily, weekly, monthly etc.) compare it with the requirements on that day and trigger the procurement process for replenishment.This normally relates with your MRP.

Now there are 4 more factors that could affect the idealistic procurement pattern:

1. Ordering Lead-time.

2. Manufacuring Lead-time

3. Transporting Lead-time

4. Stock conversion Lead-time (or Quality Inspection lead time)

A delay in any or all of the above can have effect on the entire replenishment process and the stock. A buffer stock must be designed to take into account the above coverage. Again the determination of your safety stock depends on the accuracy of your forecast. Higher your accuracy, lower your safety stock. This relationship between forecast accuracy and service level
is denoted by factor R. This also takes into account that the customer demand cannot be always satisfied 100% of the time.

Hence what we have is:

R = Relationship between forecast accuracy and service level (Service Factor)
W = Delivery time (in days) / Forecast Period (in days)
MAD = Mean absolute deviation (parameter for forecast accuracy)

Now If replenishment lead time is greater than the forecast period by factor W then:

Safety Stock = R x Sq.rt. W x MAD

Else

Safety Stock = R x W x MAD

Now in SAP If the material is produced in-house, the delivery time is: opening period + in-house production time + goods receipt processing time. It is expressed in workdays. The forecast period is taken from the material master record and is also expressed in workdays.

If the material is procured externally, the delivery time is: Processing time for purchasing + planned delivery time + goods receipt processing time. It is expressed in calendar days. The forecast period is taken from the material master record and is also expressed in calendar days.

As a result of this you will have observed now that the safety stock must cover both the unplanned material excess consumption, as well as the additional requirements caused by delayed deliveries.

In SAP you can specify a minimum safety stock. If the result of the safety stock calulation by the system is lower than this limit, the safety stock is automatically set to this value. You enter the minimum safety stock in the material master record (MRP 2 screen).

Safety Stock:

In IMG -> Materials Management -> consumption Based Planning -> Master Data -> Check MRP Types (transaction code OMDQ) you use the indicator Calculate Safety Stock so that system calculates the safety stock automatically.

The safety stock can be calculated automatically for materials planned with one of the consumption-based planning procedures if:

1. The service level has been maintained in the material master record.
2. Historical data exists
3. The forecast has been carried out for the material.

Dynamic Safety Stock:

If the option Define Range of coverage profiles is chosen in IMG (Tr.Code OM1A) you can determine a safety stock level that takes into account:

1. Requirements.
2. Range of coverage

The limiting factors to the above are:

1. Maximum and minimum range of coverage ( defined period , that is month, week or PPC planning calendar)

2. Determination of various periods for the validity of the range of coverage.

The system uses the formula:

Dynamic safety stock = average daily requirements (ADR) x Range of coverage

ADR = Requirements in the specific period / number of days in the total period length (defined period x standard days)

Please note here that if you carry out the planning run even in the middle of the month the system will include even the requirements planned at the beginning of the month.

Please also note that you can determine the range of coverage for a maximum of 3 periods.

1. Range of Coverage in the First Period
2. Range of Coverage in the second period
3. Range of coverage on the rest of the horizon

However you have the option of maintaining different coverage for each of these periods.

Based on your customization the system determines the number of days used for calculating your average daily requirement

Minimum Stock Level (mSL) = ADR x minimum range of coverage
Target Stock Level (Dynamic Safety Stock this is DSL) = ADR x Target range of coverage.
Maximum Stock Level (MSL) = ADR x maximum range of coverage.

Having confirmed the above, I will now try and explain through an example how the system calculates the Dynamic safety stock:

Presume that the system has determined the ADR as 25 Kgs for a material.

You have set the following in customizing:

Minimum Range of coverage = 2 days
Target Range of coverage = 6 days
Maximum Range of coverage = 10 days

Now the System determines the following;

mSL = 2*25 = 50 KGs
DSL = 6*25 = 150 KGs
MSL = 10*25 = 250 KGs

This is what happens for various levels of stock

Case 1:

Stock = 45 Kgs
System Activity = DSL - stock
Procurement Proposal = 105 Kgs

Case 2:

Stock = 60 Kgs
System Activity = DSL - stock
Procurement Proposal = 90 Kgs

Case 3:

Stock = 155 Kgs
System Activity = none
Procurement Proposal = none

Case 4:

Stock = 255 Kgs

System Activity = System checks whether the procurement proposal is firmed and if yes it displays an exception message.

Also note that in the case of Time Phased materials planning The range of coverage is calculated differently.

Maintain Plant

Plant 0001 is the SAP default.

OX14 - Define Valuation Area (Tick one only- Once your system go live, no more changes)
Most company take the SAP recommended choice - Value Material Stock at Plant level
Value Material Stock at Plant or Company Level

• If you valuate material stocks at plant level, the plant is the valuation area.
• If you valuate material stocks at company code level, the company code is the valuation area.
• The decision you make applies to the whole client.

OX10 - Create / Change / View Plants

OVXB - Create / Change / View Division

OX18 - Assign Plant to company code
e.g. 0001 - 0001 - All Plants
Px1 - Plant Px1
Px2 - Plant Px2
OX19 - Assignment of company code to the Controlling Area

OB38 - Assign company code to Credit Control Area

OMJ7 - Assign business area to Plant/Valuation area and division
e.g. Plant Px1 - Business Area Bx1
Bx2
Assign Valuation area to the Business Area
.e.g. Valuation area Vx1 - Business Area Bx1
Business Area Bx2

OMS0 - Assign Factory Calendar to the Plant and Business Area

The plant plays an important role in the following areas:

• Material Valuation - If the valuation level is the plant, the material stocks are valuated at plant level. Each plant can have its own material prices and account determination.
• Inventory Management - The material stocks are managed within a plant.
• MRP - Material requirements are planned for each plant. Each plant has its own MRP data. Analyses for materials planning can be made across plants.
• Production - Each plant having they own production/planning.
• Costing - In costing, valuation prices are defined only within a plant.
• Plant Maintenance - If a plant performs plant maintenance planning tasks, it is defined as a maintenance planning plant. A maintenance planning plant can also carry out planning tasks for other plants (maintenance plants).

If you want to use the application PP (production planning) or product costing and job-order costing, you must set valuation at plant level.

The valuation level that you choose affects

• the maintenance of material master records
• the G/L accounts in which material stocks are managed
• the G/L accounts to which transactions are posted in Materials Management

Effect on the maintenance of material master records:

Depending on the valuation level chosen,

• you maintain accounting data in the material master record for each plant or for each company code
• you define a valuation price for the material in each plant or in each company code

Effect on G/L accounts:

If material stocks are valuated at company code level, all plant stocks of a material are managed in a joint stock account for each company code.
If material stocks are valuated at plant level, you can manage the material stocks for each plant in different accounts. For each plant, you can define a separate determination.
If several plants are to use account determination, you can group these plants in "Valuation and Account Assignment" Customizing.

Material Master - Introduction

The material master is the starting point for the rest of the modules.

What Material Types are there?

The material types that you use are configured in Customizing for the Material Master under

Logistics Master Data : Material Master -> Material -> Control data -> Define material type attributes.

The following list shows you the material types contained, for example, in the standard SAP R/3 System, and what their different roles are:

DIEN (services)
Services are procured externally and cannot be stored. A material master record of this material type can always contain purchasing data.

FERT (finished products)
Finished products are produced by the company itself. Since they cannot be ordered by Purchasing, a material master record of this material type does not contain purchasing data.

FHMI (production resources/tools)
Production resources/tools are procured externally and used in the manufacture of products. A material master record of this material type can contain purchasing data, but no sales data. It is managed on a quantity basis. Examples of production resources/tools are apparatus, equipment, and measuring and testing devices.

HALB (semifinished products)
Semifinished products can be procured externally (sub-contracting) as well as manufactured in-house. They are then processed by the company. A material master record of this material type can contain both purchasing and work scheduling data.

HAWA (trading goods)
Trading goods are always procured externally and then sold. A material master record of this material type can contain purchasing and sales data.

HIBE (operating supplies)
Operating supplies are procured externally and required for the manufacture of other products. A material master record of this material type can contain purchasing data but no sales data.

NLAG (non-stock material)
Non-stock material is material that is not held in stock because it is consumed immediately. (Office supplies such as stationary. You need to create purchase order and accounting document for payment but the stock balance is always zero as it is issued out immediately to the various department.)

ROH (raw materials)
Raw materials are always procured externally and then processed. Since raw materials cannot be sold, a material master record of this material type contains no sales data.

UNBW (non-valuated materials)
Non-valuated materials are managed on a quantity basis, but not by value.

VERP (packaging materials)
Packaging materials are used to transport goods and come with the goods free of charge. A material master record of this material type is managed both on a quantity basis and by value.

WETT (competitive products)
Competitive products have their own material master records created from the Basic Data view. The competitor's number, which is stored in the material master record, assigns the material to a particular competitor.

Maintain the Material Type

OMS2 - Material Type Maintenance - Create/Change/Display

Steps:-

• transaction OMS2
• click Change
• key in the Material Type you want to change e.g. FERT then hit enter

The Views belows allows you to choose the Views for each Material Type.
(Press the Page up/Page Down keys to scroll the views)

If you tried to change from FERT to HAWA in 4.6x, you will receive an error message :-
The material type cannot be changed. This is not allowed if only external procurement is defined for the new material type, or if the new material type has a different account category reference than the old material type.

To overcome it, goto OMS2 and change the HAWA material type.
In the Internal/external purchase orders sections:
Original Changes
Ext. purchase orders 2 1
Int. purchase orders 0 1

Screens in Material Master

• MM01 - Create, MM02 - Change, MM03 - Display and MM06 - Flag for deletion.
• MM04 - Display the changes done to the material master.
• MMAM - Change the Material Type. for e.g. from FERT to HALB

Configure the Material Master Screen MM01 / MM02 / MM03

OMSR - Assign the field to the field group
OMS9 - Maintain the data screen field

Unit of Measure

In the material master, there is a Units of measure button for users to store in the different conversion rate. This sample program (ZUNT) extract the data from the unit of measure conversion table.

In the Material Master the moving average price are affected by:-

• Goods Receipt for Purchase Orders
• Transfer from Plant to Plant
• Invoice Receipt
• Settlement
• Price Change

Common configuration changes-

• define new material group (OMSF)
• define new valuation class (OMSK) and automatic posting (OBYC)
• define new material account assignment group (transaction OVK5) and
  Customer/Material/Account keys (transaction VKOA)

Block materials from inventory posting

After blocking, when the user do a inventory posting, they will get this error message :-

E: Material xxxxx has status Blocked for procmnt/whse

To activate the blocking :-

Goto transaction MM02 - Purchasing View

Type in 01 at the MM/PP status field and save it

Create Delivery Log - Material xxx is blocked

During the Create Delivery (VL01), SAP prompt you a log that Material xxx is blocked.

During the Sales Order Create/Change for that material, there might be some update termination that causes the locked of the material (Windows hanged or power failure).

You can check using transaction SM12 - type an "*" at the User name field.

Check whether the material is in the locked list.

If it is in the locked list, asked the user to log out before you delete it from the locked list.

Maintain Storage Location

MMSC - Collective entry of Storage Location for a material.

Insert new or delete un-used Storage Location.

Maintain whether the storage location was included or excluded from MRP run.

Block Storage Location from further posting

1. You can block the storage location of a material without affecting the rest of the location using the same material.
Create a Physical Inventory document for the storage location with transaction MI01

Select the Posting Block checkbox.
This would prevent transactions from occuring until you either post or delete the physical inventory document.
(There are no impact, unless you do a post difference for the physical inventory document.)

2. Another method is to rename the storage location name.

Go to transaction OX09
Edit -> Copy as (copy the original storage location to a new name, replacing the first character e.g. ZXXX)
Edit -> Delete (delete the original storage location)

Do the reverse if you want back the original storage location.

Accounting document number range for MM

Transaction OMW9

Document Type - Double click on desire transaction code to check the document type for number range.
(e.g. MR21 Document type - PR)

Financial accounting document type - Assign the document type to a number range and account type.
(e.g. PR - Account type allowed for posting will be MS)

• Double click on the document type PR.
• Assign an unique starting number range that was not used. e.g. 88
• Choose the Account type for Material and G/L account (MS)
• The rest of the fields are optional (you can leave it as blank)

SAP definitions for account type -

• A - Assets
• D - Customers
• K - Vendors
• M - Material
• S - G/L accounts

Number ranges for financial accounting document type - Assign the number range to the running number range.

No. Year (till) From number To number Current number Ext (no tick internal or tick external)
88 9999 8800000000 8899999999 Track by SAP Blank

Accounting document will be generated if there are stocks during price change, if you don't have any stocks, no accounting document will be generated as there are no inventory to revaluate for price differences.

Valuation Class for Material Group

In 4.6x and 4.5b, you can assign valuation class to Material Group.

It is useful in the sense that user do not have to manually do an Account Assignments.

For stock items, valuation class cannot be changed whenever the stock on hand is not zero.

Valuation class are tied to a G/L account.

A change of valuation class means a change of G/L account.

In FI concept, you have to debit and credit to balance the G/L account. That is why your stock must be zero before the system allows you to changed the valuation class. If it is not zero, you have to either transfer it to another material or do a dummy issues. After changing the valuation class, do a reversal entries for the stocks which you have transfer out or you have done a dummy issues.

IMG - Material Management -> Purchasing -> Material Master -> Entry aids for items without a Material Master

G/L Accounts in MM Account Determination

The program RM07C030 check all the G/L account define in your Material Master valuation class.

Search is via Company code and Valuation area.

Compare fields status for movement types against General Ledger

Use SA38 then run RM07CUFA

Configuration Setting

Config Setting In Batch Management

This will help you for config setting:

Logistics general - Batch Management

1.1. Specify Batch Level
Menu Path Enterprise Structure--> Logistics General--> Batch Management --> Specify batch level and activate batch status management Transaction OMCT

1.2. Batch Number - Activate Internal Number Assignment
Menu Path Enterprise Structure--> Logistics General--> Batch Management --> Batch Number Assignment --> Activate internal batch number assignment Transaction OMCZ

1.3. Batch Creation - for Goods Movements
Menu Path Enterprise Structure--> Logistics General--> Batch Management --> Creation of new batches --> Define batch creation for goods movements Transaction

1.4. Characteristic Value Assignment -- Update Standard Characteristics
Menu Path Enterprise Structure--> Logistics General--> Batch Management --> Characteristic Value Assignment --> Update Standard Characteristics Transaction

1.5. Activate Batch Classification for Goods Movements in Inventory Management
Menu Path Enterprise Structure--> Logistics General--> Batch Management --> Characteristic Value Assignment --> Valuation for goods movements --> Activate Batch Classification for goods movements in Inventory Management Transaction OMCV

1.6. Batch Determination – Condition Table(Cross Client)
Menu Path Enterprise Structure--> Logistics General--> Batch Management --> Batch Determination & Batch Check --> Condition Tables --> Define production order condition tables Transaction OPLB

1.7. Batch Determination – Condition Table(Cross Client)
Menu Path Enterprise Structure--> Logistics General--> Batch Management --> Batch Determination & Batch Check --> Condition Tables --> Define SD condition Tables Transaction V/C7

1.8. Batch Determination – Access Sequence(Cross Client)
Menu Path Enterprise Structure--> Logistics General--> Batch Management --> Batch Determination & Batch Check --> Access Sequences --> Define Production Order Access Sequences Transaction OPLF

1.9. Batch Determination – Access Sequence(Cross Client)
Menu Path Enterprise Structure--> Logistics General--> Batch Management --> Batch Determination & Batch Check --> Access Sequences --> Define SD Access Sequences Transaction V/C2

1.10. Batch Determination – Strategy Types
Menu Path Enterprise Structure--> Logistics General--> Batch Management --> Batch Determination & Batch Check --> Define Production Order Strategy Types Transaction OPLE

1.11. Batch Determination – Strategy Types
Menu Path Enterprise Structure--> Logistics General--> Batch Management --> Batch Determination & Batch Check --> Define SD Strategy Types Transaction V/C1

1.12. Batch Determination – Batch Search Procedure
Menu Path Enterprise Structure--> Logistics General--> Batch Management --> Batch Determination & Batch Check --> Define IM Search Procedure Transaction OMCY

1.13. Batch Determination – Batch Search Procedure
Menu Path Enterprise Structure--> Logistics General--> Batch Management --> Batch Determination & Batch Check --> Define Production order Search Procedure Transaction OPLG

1.14. Batch Determination – Batch Search Procedure
Menu Path Enterprise Structure--> Logistics General--> Batch Management --> Batch Determination & Batch Check --> Define SD Search Procedure Transaction V/C3

1.15. Batch Determination – Batch Search Procedure Allocation
Menu Path Enterprise Structure--> Logistics General--> Batch Management --> Batch Determination & Batch Check --> Allocate IM search procedure/activate check Transaction OMCG

1.16. Batch Determination – Batch Search Procedure Allocation
Menu Path Enterprise Structure--> Logistics General--> Batch Management --> Batch Determination & Batch Check --> Assign Search procedure to production order Transaction OPL8

1.17. Batch Determination – Batch Search Procedure Allocation(SD)
Menu Path Enterprise Structure--> Logistics General--> Batch Management --> Batch Determination & Batch Check --> Allocate SD Search procedure Transaction V/C5

1.18. Batch Determination – Activate Automatic Batch Determination(SD)
Menu Path Enterprise Structure--> Logistics General--> Batch Management --> Batch Determination & Batch Check --> Activate Automatic Batch Determination in SD -->For delivery item categories Transaction V/CL

1.19. Batch Determination – Batch Selection Class
Menu Path Enterprise Structure--> Logistics General--> Batch Management --> Batch Determination & Batch Check --> Define Selection Classes Transaction CL01

1.20. Batch Determination – Sort Rule
Menu Path Enterprise Structure--> Logistics General--> Batch Management --> Batch Determination & Batch Check --> Define Sort Rules Transaction CU70

1.21. Batch Determination – Make Settings for Batch Where-used list
Menu Path Enterprise Structure--> Logistics General--> Batch Management --> Make Settings for Batch Where-used list Transaction OMBB

Batch Handling

SAP Batch Handling

What is a batch no. of a materail? and where can we mention batch no for material? Can we maintain batch no in mm01 Tcode while creating material?

In simple terms SAP Batch Handling means an additional keys fields for users to identify the same materials.

For e.g. Normal Control : Plant + Material + Storage Location
Batch Hanlding : Plant + Material + Storage Location + Batch Number

The structure of the material master record allows you to manage stocks of a material by value at plant level or company-code level and by quantity down to storage-location level. Under certain conditions, you may need to make further subdivisions for a material and manage batches.

Certain materials' features cannot always be guaranteed to be exactly alike in production. For example, you cannot guarantee that a certain color will always have the same shade. Minor differences between production lots cannot be avoided. You need to be able to uniquely identify the individual production lots of the same material and manage them separately in inventory.

Materials that require such precise identification, for example pharmaceutical products, are identified and managed in stock not only according to material number, but also according to batch number.

With batch handling, you can manage not only production lots from in-house production, but also production lots from vendors as separate entities.

It is possible to supplement standard batch management with batch status management.

What Is a Material Handled in Batches?
Before you can manage batches of a material in stock, you must first specify in the material master record that the material is to be managed in batches for the specified plant. To do this, you must set the batch management requirement indicator in the material master record (for example, in the Purchasing view field MARA-XCHPF or Storage Location view field MARC-XCHPF).

Whether the material is managed in batches:
This indicator can be set while creating material.
MM01 -- General Plant data/storage 1 View -- Batch Management (check box)
(Check also Purchasing or Warehouse Mgmt 1 view).

Level of Batch Number Assignment
If a material is subject to management in batches, every quantity of that material must be assigned to a batch. Each batch of a material is identified by a unique batch number, under which it is managed. This number is either entered by the user (external number assignment) or assigned automatically by the system.

You can define number assignment for batches at various levels:

- Uniquely at client level for a material
- Uniquely at material level
- Uniquely at plant level

In the standard R/3 System, numbers are assigned to the individual materials at plant level.

For every batch, there are two types of data:

- General data on the batch (for example, shelf life expiry date, date of the last goods receipt), which is defined in the master batch. The master batch applies to all storage locations in which the batch is located. No stocks are managed at this level.
- Stock data, which is managed separately for every storage location in which the batch is located.

For example, if the batch C1 of a material is spread across two different storage locations, the stock quantity is tracked for each storage location.

Must the Batch Exist Before the First Goods Receipt?
Both the master batch and the stock data for the batch are created automatically during the first goods receipt. Thus, you do not need to create this data manually. However, if you want to define specific data for a batch, such as the shelf life expiration date, you have to manually maintain the batch data.

What Sorts of Batch Stocks Are There?
The following stocks are managed separately at batch level:
- Unrestricted-use stock
- Restricted-use stock
- Quality inspection stock
- Blocked stock
- Stock in transfer
- Blocked stock returns

Working with Materials Handled in Batches
When you enter goods movements for materials handled in batches, you must enter the batch number in addition to the material number. If you do not know the batch number, you can search for the batch using the required characteristics.

Mass Change Material Group

Mass Change Material Group In Materials Master

How I can move several materials belonging to one Material Group to another Material Group?

1. SE16 - MARA table find all the material with OLD_material_group.

2. MM17 - select TABLE as MARA and FIELDS as MATKL (material group), press execute.

3. In tab "Data Records to be changed", copy all the materials you have selected in step 1. Press execute.

4. In NEW VALUES field enter NEW_material_group. Press 'Carry out a mass change' button.

5. Press Save.

6. Check in MARA table for materials with new material group.