Fundamental of SAP Material Management (MM)

Having completed this module you will be able to:

• Describe the SAP Material Management module and its important components.
• State the different ways in which businesses and enterprises can get help from SAP MM.
•  Recognize and define components of organizational structure in SAP MM.
•  Define the purchasing process in SAP MM and the procedures involved in it.
•  Explain the ten steps of the SAP MM pay-to-procure procedure.
•  Identify the important SAP MM codes and their function.
•  Define the terms “make-to-order” and “make-to-stock.”
•  Discuss the terms make-to-order and make-to-stock based on their attributes.
•  Outline workflows of make-to-order and make-to-stock approaches and notice the difference between them.
•  List the steps required in SAP that enable the make-to-order process.

What Is the SAP Materials Management Module?

One of the key components of the SAP ERP software is the Material Management (MM) application module, which facilitates the inventory and procurement processes involved in regular corporate operations. There are several components to this MM module, such as

• Inventory
•  Consumption-based planning
•  Material storage
•  Product acquisition
•  Purchasing

The good thing about SAP MM is that it is fully integrated with other modules of the SAP R/3 systems, including Plant Maintenance (PM), Finance (FI), Production Planning (PP), Warehouse Management (WM), Quality Management (QM), Controlling (CO), and Sales and Distribution (SD). It enables purchasing, item acquisition, inventory management, materials planning and control, and invoice verification at every process stage.