SAP MM (Materials Management) 

is a module of the SAP ERP software package from SAP AG that is used for
Procurement Handling and Inventory Management.

SAP Materials management covers all tasks within the supply chain, including consumption-based planning,
planning, vendor evaluation and invoice verification. It also includes inventory and warehouse management to
manage stock until usage dictates the cycle should begin again. Concepts such as Electronic Kanban / Just-in-Time
delivery are supported within MM.

Materials management is integrated with other modules such as SAP SD, SAP PP and SAP QM. SAP MM is used for
procurement and inventory management. The module has two important master data – material and vendor. Broadly,
the various levels that can be defined for a SAP MM (Material management) implementation are: Client, Company
Code, Plant, Storage Location and Purchase Organization.

SAP MM can be divided into five major components. These are: materials management, plant maintenance, quality
management, production planning and control, and a project management system. Each is divided into number of
sub-components.

SAP MM (Material management) is all about managing the materials i.e the resources of an organization. These
resources include man, manpower and materials. The main functionality within MM (Material management) includes
purchasing, Inventory management, valuation and assignment, batch management and classification. In simple words,
SAP Material Management is a fundamental module of the SAP ERP (Enterprise Resource Management) system that
manages the complete material supply chain and inventory management processes of an organization.

SAP MM is essentially an element of Logistics. It is counted as one of the most important modules when talking about
SAP ERP software. The MM application module allows the user to manage and procure the data in a very organized
manner. SAP MM module has plenty of aspects such as receiving and purchasing goods, material storage, inventory
and most importantly planning based on consumption.

SAP MM is the key area within Logistics in SAP. It is very important component of Logistics because it is tightly
integrated with all of other components of SAP Logistics. MM contains of the following components:

 MM-PUR : Purchasing
 MM-IM : Inventory Management
 MM-CBP : Consumption based Planning
 MM-IV : Invoice Verification
 MM-EDI : Electronic Data Inter-exchange
 MM-IS : Information System

This SAP Material Management (MM) course by Uplatz enables you to understand the end to end process of Supply
Chain Management which helps the organization to optimize the inventory and effectively execute the procurement
process. This course deals with the process of direct procurement to material requirement planning and from
purchasing to pricing.

The SAP MM training provides you insight into various procurement and goods movement processes in an
organization that aims in optimizing, increasing productivity and reducing cost while providing flexibility to
accommodate changes.

This SAP MM training will help you gain complete knowledge on several components and sub-components of SAP
Material Management, including Master Data, Purchasing, consumption-based planning, and Inventory. Our SAP MM
course materials are designed in simple modules by industry experts for easy understanding and help you sail through
the exam in the first attempt itself.

Course Objectives
SAP MM Module online training will train the student in all the aspects of SAP MM Module. By the end of the training
program, one will be thorough will all the characteristics of the software. These comprise of:

 Source Determination
 Requirements Determination
 Correct selection of vendor
 PO Processing
 Follow up of PO
 Purchasing and receiving of goods along with efficient inventory management.
 And finally verification of Invoice

SAP MM - Course Curriculum

Introduction to ERP & SAP

 ERP Packages
 Introduction to SAP
 Functions and Objectives of MM
 SAP Logistics Cycle SD/MM/PP
 MM Flow And Procurement Types

SAP Navigation

Organizational structure of an Enterprise in the SAP R/3 System

 Company, Company code, Controlling Area, Plant, Storage Location, Purchase Organization, Purchasing
group
 Controlling Settings (Cost Center and Cost Element Etc…)

Master Data

 Material Master
 Vendor Master
 Purchase Info Record

Source Determination

 Source List
 Quota Arrangement

Purchasing

 Purchase Requisition
 Purchase Order
 Request For Quotation (RFQ)

Outline Agreement

 Contracts
 Schedule Agreement

Document Types for Purchasing Documents

  Define Document Type
 Define Number Ranges for Document Types
 Define Screen Layout At Document Level

Release Procedure for Purchasing Documents

 Purchase Requisition, Purchase Order, Request For Quotation (RFQ), Outline Agreement- Contracts, Schedule
Agreement

Pricing Procedure

 Maintain Condition Table

 Define Access Sequence
 Define Condition Types
 Define Calculation Schema
 Define Schema Group
1. Schema Group Vendor
2. Schema Group for Purchasing Organization
3. Assignment of Schema Group to Purchasing Organization
 Define Schema Determination
1. Determine Calculation Schema for Standard Purchase Orders

External Service Management

 Service Master Creation

 Model Service Specifications – MSS
 Service PO
 Service Entry Sheet

Optimized Purchasing

 Automatic PO w ref to PR
 Automatic PO at GR

Inventory Management

 Movement types
 Goods Receipt
 Goods Issue
 Transfer Postings

1. Transfer Posting from Stock to Stock

2. Transfer Posting from Plant to Plant
3. Transfer Posting from Sloc to Sloc
4. Transfer Posting from Material to Material
 Return Delivery to vendor
 Initial Entry of Stock Balances
 Reservations

Physical Inventory
  Types of Physical Inventory
 Creating Physical Inventory Document
 Entering Physical Inventory Count
 List Of Inventory Differences
 Post the Difference

Special Stocks and Special Procurement Types

 Consignment
 Stock transport order
 Subcontracting
 Pipeline
 Returnable transport packaging – RTP
 Third Party Processing

Batch Management in MM

 Condition Tables
 Access Sequence
 Strategy Types
 MM Batch Search Procedure
 Batch Status in MM
 Characteristics and class
 Sort Sequence for MM Batch
 SLED In Batch in MM
 Manual And Automatic Batch Display In MM

Valuation and Account Determination

 Introduction to Material Valuation

 Split Valuation
 Configure Split Valuation
 Defining Global Categories
 Defining Global Type
 Defining Local Definition& Assignment

Invoice Verification

 Basic Invoice Verification Procedure

 Invoice for Purchase Order
 Unplanned Delivery Costs
 Planned Delivery Costs
 Credit Memo
 Blocking the Invoice
 Releasing Blocked Invoices
 Subsequent Debit/Credit
 Automatic Settlements (ERS, Cosignment,Pipeline)
 GR/IR Account Maintenance
 Stochastic Block
 Parking Invoice Document

Integration Concepts
  Integration of MM with FI/CO

Automatic Account Determination

 Integration of MM with SD

Stock Transport Order (STO)

Intra Company Stock Transfer
Inter Company or Cross
Company Stock Transfer
Third Party Processing

 Integration of MM with PP

MRP Concepts
Planned Independent Requirements
Consumption Based Planning
Reorder Point Planning
Forecast Based Planning

 Integration of MM with WM

Introduction to Warehouse Management

Warehouse management overview in SAP R/3

 Organization Data
 Warehouse Structure
 WM Flow with MM/SD/PP/QM

Organization Data

Define Warehouse Organization structure

 Warehouse number, Storage type, Storage section, Storage Bin, Storage Bin Structure, Storage Bin Types,
Picking Area, Storage unit, Quant

Master Data

 Material Master

Search Strategies

 Storage Type Search Strategies, Storage Section Search Strategies, Storage Bin Type Search Strategies

Storage Bins

 Define Storage Bin Types, Define Blocking Reasons, Define Storage Bin Structure

WM Settings for the Material Master

 Define Storage Type Indicators, Define Storage Unit Types, Define Storage Section Indicators, Define Special
Movement Indicator
 Integration of MM with QM
  Master Inspection Characteristics, Sampling Procedure, Quality Inspection types, Quality Inspection Planning,
Quality Inspection Lot, Record Quality Results and Record Usage Decision for the Quality Inspection Lot.

Summarized list of Key Topics covered in this course

Introduction to MM
o Introduction to ERP
o SAP Overview
o Functions and Objectives Of MM
o Overview Cycle of MM
o Organizational structure of an Enterprise in the SAP R/3 System

Creation of Organizational Elements

o Company
o Company code
o Plant
o Storage Location
o Purchasing Organization
o Purchasing Group and Assignments

Master Data

o Material Master
o Vendor Master
o Info Record Source Determination
o Source Determination
o Material Master
o Vendor Master
o Info Record
o Source Determination Purchasing
o Purchase Requisition
o Purchase Order
o RFQ – Request for Quotation
o Outline Agreements Document Types for Purchasing Documents (PR, PO, RFQ, Contract and
Schedule Agreement)
o Define Document type
o Define Number Ranges for Document Type

Define Screen Layout at Document Level Release Procedure for Purchasing Documents:

o Creation of Characteristics
o Creation of Class

Release Group, Release Codes, Release Indicator, Release Prerequisite, Release Strategies Conditions or
Pricing Procedure or Price Determination:
o Define Access sequence
o Define Condition Types
o Define Calculation Schema
o Define Schema Group
o Schema group vendor
o Schema group purchasing organization
o Assignment of Schema group to purchasing Organization
o Define Schema Determination

Determine Calculation Schema for Standard Purchase Orders External Services Management (ESM):
 o Define Organization status for service categories
o Define service category
o Define Number Ranges
o Define Number Ranges for Service Entry Sheet
o Define Internal Number Ranges for Service Entry Specification
o Assign Number Ranges
o Define Screen Layout

Procedure for Services

o Creation of Service Master

o Creation of Service PO
o Creation of Service Entry Sheet

Invoice wref Service Entry Sheet Inventory Management (IM):

o Goods Movement
o Goods Receipt – GR
o Goods Issue – GI
o Transfer Posting – TP

Reservation Physical Inventory (PI):

o Types of PI processes
o Creating Physical Inventory Document
o Entering Physical Inventory Count
o List Of Inventory Differences
o Post the Difference

Print Out PI Difference Report Special Stocks and Special Procurement Types:

o Consignment
o Stock transport order
o Subcontracting
o Pipeline
o Returnable transport packaging – RTP

Third Party Processing Valuation and Account Determination:

o Introduction to Material Valuation

o Split Valuation
o Configure Split Valuation
o Defining Global Categories (Valuation Category)
o Defining Global Type (Valuation Types)

Defining Local Definition& Assignment (Valuation Area)Valuation and Account Determination:

o Basic Invoice Verification Procedure

o Invoice for Purchase Order
o Planned Delivery Costs
o Unplanned Delivery Costs
o Credit Memo
o Blocking the Invoice
o Releasing Blocked Invoices
 o Subsequent Debit/Credit
o Automatic Settlements (ERS)
o GR/IR Account Maintenance
o Invoice for Tax, Discounts, Terms of Payment
o Invoices for PO’s with Account Assignment
o Parking Invoice

Invoice With reference to Service Entry Sheet Integration With Other Modules:

o Integration of MM with FI/CO

o Integration of MM with SD
o Integration of MM with PP

Benefits of SAP MM

Customer demands are changing rapidly; an organization’s efficiency is measured primarily by its ability to
cater to the market demands in the shortest time possible. For this to happen, the business has to have stock of
the required raw materials at the right time and must be able to use it efficiently a proper Material
Management process ensures that there is never a shortage of materials or any gaps in the supply chain
process of the organization. The SAP MM automates the procurement and material management activities to
make the processes smoother and effective. Some prominent benefits of SAP MM are:

o Reduces material costs by avoiding stocking of unnecessary or obsolete materials

o Inventory losses are minimized
o Direct labor costs are reduced and labor can be used efficiently
o Manufacturing cycle times are reduced and can be controlled effectively
o Effective inventory management and reduces expenditure on unwanted material storage
o Improves delivery time and increases transparency across the organization

Who this course is for:

o SAP MM Consultants, End Users, Managers

o SAP MM/WM/PP/PM/SD/QM Consultants & Analysts
o SAP Logistics Consultants & Managers
o SAP S/4HANA MM Consultants, Managers, End Users
o Newbies and Beginners aspiring for a career in SAP
o Store Managers, Inventory Managers
o SAP SRM, SCM, EWM Consultants
o Technology Consulting: SAP S/4HANA SD/MM Managers
o SAP & ERP Professionals
o Business Analysts & Consultants
o SAP Specialists
o Solutions Architect SME
o Anyone having interest in SAP MM and Inventory Management

Resubmission of life certificate with Pramaan ID 9140422381 for non-crediting of

pension from Mar'22 onwards- Regarding

I am Mrs. Anusha Paturi D/o P Lakshmi. My mother's pension has not been credited
since Mar'22. My mother's pension ID is SS-1950/TCAP Dtd. 29.09.2004. For this
purpose we resubmitted my mother's life certificate as the earlier submitted certificate
was wrongly routed to another section. The submitted life certificate with pramaan ID
9140422381 is herewith attached for your reference. The bank account details of my
mother’s pension account as mentioned bellow for your reference.