Introduction SAP MM

ERP-Software: SAP R/3

Sales and
Distribution
Material
Management

SD

Financial
Accounting

FI
CO

MM

R/3

PP

AM

Client / Server
PS

ABAP/4

QA

OC

PM
HR

IS

Controlling

Components of Materials Management

Organizational Structures

Organizational Structures:
Client

The client is a unit within an SAP R/3

system that is self-contained both in
legal and organizational terms and in
terms of data, with separate master
records and an independent set of
tables.
From a business viewpoint, the
client represents a corporate
group, for example.
Client: 3 numerical digits

Organizational Structures: Company

& Company code
The company code is the smallest
organizational unit of external
accounting for which a complete,
self-contained bookkeeping system
can be replicated.
A company code represents an
independent unit producing its own
balance sheet, for example, a
company within a corporate group
(client).
Company code = 4 characters

Organizational Structures:
Plant

Lowest valuation area

Organizational level where Material
Requirements (MRP) runs
Generally used to describe a
production site, a distribution center
or centralized warehouse
May be a physical or logical unit

Storage Location
Storage locations are organizational
units that allow the differentiation of
material stocks within a plant.

Organizational Structures: Purchasing

Organizations

An organizational unit responsible for

procuring materials or services for
one or more plants and for
negotiating general conditions of
purchase with vendors.
The purchasing organization
assumes legal responsibility for all
external purchase transactions.

Purchasing organization
materia
l group

purchasing organization

purchasing group MG 0, 3

purchasing group MG 1, 4
purchasing group MG 2, 5
purchasing group MG 6
plant

purchasing group MG 7, 8, 9

Master Data in SAP MM

Material Master Data
Service Master Data
Vendor Master Data
Purchasing Info Record

Material Master