MM concepts for End 2 End Implementation

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
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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