TABLE OF CONTENTS

1. INTRODUCTION ............................................................................................... 4
1.1. Welcome to Materials Management............................................................... 4
1.2. Document purpose ........................................................................................ 4
2. MASTER DATA ................................................................................................. 4
2.1. Creating a Vendor.......................................................................................... 4
Use ........................................................................................................................... 4
2.2. Changing Vendor Master Records ............................................................... 12
Business Process Overview .................................................................................... 12
2.3. Displaying a Vendor Master Record............................................................. 14
2.4. Deletion of Vendor Master Record ............................................................... 16
2.5. Block/Unblock Vendor ................................................................................. 18
2.6. Creating a Material ...................................................................................... 20
2.7. Change of Material ...................................................................................... 28
2.8. Display Material ........................................................................................... 31
2.9. Deletion of Material ...................................................................................... 34
2.10. Creating a Service Master Record ............................................................... 36
3. PURCHASING ................................................................................................ 38
3.1. Create a Quantity Contract .......................................................................... 38
3.2. Create a Value Contract .............................................................................. 42
3.3. Request for Quotation .................................................................................. 59
3.4. Change or Delete RFQ ................................................................................ 63
3.5. Display the RFQ .......................................................................................... 66
3.6. Maintaining a Quotation ............................................................................... 68
3.7. Display the Quotation .................................................................................. 70
3.8. Price Comparison ........................................................................................ 71
3.9. Generate Purchase Requisition ................................................................... 47
3.10. Create Purchase Requisition Non-Stock ...................................................... 49
3.11. Create Purchase Requisition Asset ............................................................. 51
3.12. Change Purchase Requisition...................................................................... 57
3.13. Display a Purchase Requisition ................................................................... 58
3.14. Generate Purchase Order............................................................................ 73
3.15. Generate Purchase Order for a Service ....................................................... 77
3.16. Canceling a Purchase Order........................................................................ 84
3.17. Purchase Order Change .............................................................................. 86
3.18. Purchase Order Display............................................................................... 89
3.19. Releasing a Purchase Order........................................................................ 91
3.20. Displaying Released Purchase Orders ........................................................ 95
4. INVENTORY MANAGEMENT ......................................................................... 96
4.1. Generate Goods Receipt ............................................................................. 96
4.2. Generate Service Entry Sheet ....................................................................100
4.3. Display of a Goods Receipt ........................................................................106
4.4. Cancellation of a Goods Receipt.................................................................107
4.5. Goods Issue ...............................................................................................108
Business Process Overview ...................................................................................108
4.6. Creating a Reservation ...............................................................................112
4.7. Goods Issue to a Reservation.....................................................................114
4.8. Goods Issue to a Maintenance Order ............. Error! Bookmark not defined.
4.9. Change Reservation Document ..................................................................116
4.10. Goods Returned to Stores ..........................................................................118
4.11. Issuing Material to Scrap ............................................................................120
4.12. Initial Data Take on .....................................................................................123
4.13. Reversing Initial data Take-on ....................................................................126
5. PHYSICAL INVENTORY ................................................................................129
5.1. Create Physical Inventory ...........................................................................129
5.2. Display the Physical Inventory Document ...................................................130
5.3. Printing a Physical Inventory .......................................................................132
5.4. Entering the Inventory Count ......................................................................135
5.5. Differences List ...........................................................................................137
5.6. Preparing a Recount ...................................................................................139
5.7. Posting Physical Inventory Differences .......................................................141
5.8. Period Closing ............................................................................................144
6. Material Requirements Planning .....................................................................146
6.1. Generate MRP Run ....................................................................................146
7. Generate Stock/Requirements List .................................................................149
8. REPORTS ......................................................................................................152
8.1. Stock Overview...........................................................................................152
9. General Reporting Selection (Purchasing) ......................................................154
9.1. General Reporting Selection (Inventory Management) ...............................156
9.2. Plant Stock Analysis ...................................................................................156
9.3. Reservation List ..........................................................................................158
1. Enter Plant .........................................................................................................158
9.4. Stock for Posting Date ................................................................................159
1. INTRODUCTION

1.1. Welcome to Materials Management

The Materials Management application component supports materials management functions
and processes in day-to-day business operations. Hardly any other field makes such wide-
ranging and conflicting demands on a standard software package.

This is due to:

· Industry-specific requirements
· Product-specific features
· Factors involving company policy
· Moreover, there are links and interfaces to other commercial applications.

The Materials Management (MM) application component includes the following transactions
and functions:
· Materials Requirements Planning
· Material Procurement
· Inventory Management
· External Services Management

1.2. Document purpose

This document acts as a reference guide for the Users of Materials Management. It
contains screenshots, step by step instructions, and system tips and tricks.

2. MASTER DATA

2.1. Creating a Vendor

Use
The process covers capturing vendor information into the system and the allocation of an
appropriate account.

Business Process Overview

· The process covers capturing vendor information into the system and the
allocation of an appropriate account.

Risks/Manual issues
· Capturing a single vendor twice.
· Creating unauthorized vendors

Controls
· Check that the vendor requiring to be created in the system is not already in the
system.
· Only registered companies shall be created in the system.
· All vendors must be created centrally through the MM module.
 · Only purchasing and finance staff are to create vendors in the system

SAP MENU PATH:

Logistics ® Materials Management ® Purchasing ®Master Data ® Vendor ®
Central ® Create (XK01)

1. Enter Company Code

2. Enter Purchasing Organization
3. Select Account Group (Choose between VN01,VN02, VN03 and VN04)

Screen Title: Create Vendor: Initial Screen

3. Click Enter

Screen Title: Create Vendor: Address

Screen Title: Create Vendor: Address
Screen Title: Create Vendor: Address
Screen Title: Create Vendor: Address
5. Enter Name
6. Enter Search Term
7. Enter Street/House Number
8. Enter Postal Code/City
9. Select Country
10. Enter PO Box
11. Enter Telephone
12. Enter Fax
13. Enter E-mail Address
(If required)

Use then following keys to go to the next or previous screen

You do not necessarily have to fill in all the data unless it is a mandatory field (one with a tick)
then you will be able to proceed without making an entry.

14. Click
Screen Title: Create Vendor: Control Data

15. Enter VAT. reg .no. (If Required) Note: Populate the second VAT Reg No. field as in
the screenshot as the first is for European Union Entries only.

16. Click
Screen Title: Create Vendor: Payment transactions

17. Click (If Required enter bank details)

18. Click

Screen Title: Create Vendor: Accounting Information Accounting

22. Select Reconciliation Account

Drill down and enter a reconciliation account for the respective vendor i.e. domestic
or foreign accounts payables.
23. Select Sort Key

24. Click

Screen Title: Create Vendor: Payment transactions Accounting

25. Select Payment terms

26 Payment Methods

27. Click

Screen Title: Create Vendor: Correspondance Accounting

Click without making entries unless necessary.

Screen Title: Create Vendor: Purchasing data

29. Select order currency

30. Select terms of payment
31. Select GR-Based Inv.Verif

32. Click

Screen Title: Create Vendor: Partner functions

33. Click without making entries unless necessary

34. Click

Results
Screen Title: Create Vendor: Initial Screen

Vendor 0000000040 created for company code and purchasing organization, number
found at the bottom of the screen.
3.1. Changing Vendor Master Records
Business Process Overview

· The process covers the changing of vendor master data records in the system for
example vendor address and alternative payment agreements.

Risks/Manual issues
· Changing details for the wrong vendor.

Controls
· Only purchasing and finance personnel shall maintain vendors in the system

SAP MENU PATH:

Logistics ® Materials Management ® Purchasing ® Master Data® Vendor ®
Central ® Change (XK02)

1. Enter Vendor
2. Purchasing Organisation
3. Company Code
4. Select the relevant screen that needs to be changed e.g. address

Screen Title: Change Vendor: Initial Screen

Tick the box for which you want to make the changes and click
Screen Title: Change Vendor: Address

Make the necessary changes and click

The editing will be ended prompt box will appear and to save the changes Click Yes
 Screen Title: Change Vendor: Initial Screen

Result:

Changes have been made.

3.2. Displaying a Vendor Master Record

Business Process Overview

· The process involves the displaying of Vendors in cases where there is need to
view vendor attributes without amending details.

SAP MENU PATH:

Logistics ® Materials Management ® Purchasing ® Master Data ® Vendor ®
Central ® Display (XK03)

1. Enter Vendor Number

2. Enter Company Code
3. Enter Purchasing Org
4. Select the data views to be displayed
 Screen Title: Display Vendor: Initial Screen

5. Tick all the views to be displayed

Screen Title: Display Vendor Accounting Information Accounting

Click enter to view

 3.3. Deletion of Vendor Master Record

Business Process Overview

· The process covers the flagging of a vendor for deletion. However, the
vendor will not be removed completely from the system. Only the status of
the vendor will read as “flagged for deletion”.

Risks/Manual issues
· There may be unauthorized deletion of vendor.

Controls
· Only the purchasing and finance personnel shall delete vendors.

SAP MENU PATH:

Logistics ® Materials Management ® Purchasing ® Master Data ® Vendor ®
Central ®- Flag for Deletion (XK06)

1. Enter Vendor
2. Enter Company Code
3. Enter Purchasing Organisation

Screen Title: Flag for Deletion Vendor: Initial Screen

4. Click
Screen Title: Flag for Deletion Vendor: Details

5. Select the area for which you want to set Deletion Flags and/or Deletion Block

6. Click

Flag for Deletion Vendor: Initial Screen

The message “Changes have been made” appears at the bottom of the screen
 3.4. Block/Unblock Vendor

Business Process Overview

· The process covers the blocking or unblocking of a vendor.

Risks/Manual issues
· There may be unauthorized blocking/unblocking of a vendor.

Controls
· Only the purchasing and finance personnel shall block/unblock
vendors.

SAP MENU PATH:

Logistics ® Materials Management ® Purchasing ® Master Data ® Vendor ®
Central ®- Block (XK05)

1. Enter Vendor
2. Enter Company Code
3. Enter Purchasing Organisation

Screen Title: Block/Unblock Vendor: Initial Screen

4. Click

Select the area for which Deletion Flags and/or Deletion Block is to be set
Screen Title: Block/Unblock Vendor: Details

6. Click

Screen Title: Block/Unblock Vendor: Initial Screen

The message “Changes have been made” appears at the bottom of the screen
 4.1. Creating a Material

Business Process Overview

· The process covers the creation of a material in the system.

Risk/Manual issues
· There could be duplication for instance; the material could have been
created before with different descriptions.

Controls
· The creation of the material must be authorised.
· Always check that the material was never created in the system.

SAP MENU PATH:

Logistics ® Materials Management ® Material Master ® Material ® Create
General ® Immediately (MM01)

1. Enter Material Number

2. Select Industry Sector: NRZ
3. Select Material Type: Operating Supplies

Click

Create Material (Initial Screen)

4. Click

Create Material (Initial Screen)

5. Select Views

6. Click

Create Material (Initial Screen)

7. Enter Plant
8. Enter Storage Location

9. Click

Create Material 1 (Operating Supplies)

10. Enter material description

11. Enter base Unit of Measure
12. Material Group

13. Click

Create Material 1 (Operating Supplies)

14. Click

Create Material 1 (Operating Supplies)

15. Enter GR Processing time

16. Tick Post to insp. Stock
17. Click

Create Material 1 (Operating Supplies)

19. Enter MRP type and Reorder Point

20. Enter MRP Controller
20. Enter Lot Size
Create Material 1 (Operating Supplies)

21. Enter Safety Stock

22. Click

Create Material 1 (Operating Supplies)

23. Enter Availability Check

25. Click
Create Material 1 (Operating Supplies)

26. Click

Create Material 1 (Operating Supplies)

27. Click
Create Material 1 (Operating Supplies)

33. Click

Create Material 1 (Operating Supplies)

34. Enter Valuation class

35. Enter Moving Average Price

36. Click
Create Material 1 (Operating Supplies)

42. Select Yes

Create Material (Initial Screen)

Result
Material Created, number found at the bottom of screen
 4.2. Change of Material

Business Process Overview

· The process covers the changing of the master records for the material in
the system when certain material attributes are changed, for example

Risks/Manual issues
· Capturing wrong material details.
· There may be unauthorized changes to the material.

Controls
· The Catalogue & Coding via material master creation form should
approve all amendments to materials.

SAP MENU PATH:

Logistics ® Materials Management ® Materials Master ® Material ® Change
® Immediately (MM02)

1. Enter Material Number

Screen Title: Change Material (Initial Screen)

2. Click
3. Select Views to be changed

Screen Title: Change Material (Initial Screen)

4. Click
5. Enter Plant
6. Enter Storage Location

Screen Title: Change Material (Initial Screen)

7. Click
Screen Title: Change Material 1 (Operating supplies)

8. Make the necessary changes on the screens selected

9. Click to move to the next screen

Screen Title: Change Material 1 (Operating supplies)

10. Click
Screen Title: Change Material (Initial Screen)

Result
Material 1 changed

4.3. Display Material

Business Process Overview

· The process involves the displaying of materials in cases where
there is need to view item attributes without amending details.

SAP MENU PATH:

Logistics ® Materials Management ® Materials Master ® >Material ® Display
® Display Current (MM03)

1. Enter the Material Number

Screen Title: Display Material (Initial Screen)

2. Press to go to the Select Views Tab

Screen Title: Display Material (Initial Screen)

3. Click to move to Organisational Level

4. Enter Plant
Screen Title: Display Material (Initial Screen)

6. Click to go to Display Material

Screen Title: Display Material 1 (Operating supplies)

7. Click to move to the next selected view.

Screen Title: Display Material 1 (Operating supplies)

8.Click

4.4. Deletion of Material

Business Process Overview

· The process covers the flagging of a material for deletion. However,
the material will not be removed completely from the system. Only
the status of the material will read as “flagged for deletion”.

Risks/Manual issues
· There may be unauthorized deletion of material.

Controls
· Only the Stores Controller shall delete materials.

SAP MENU PATH:

Logistics ® Materials Management ® >Materials Master ® Material ® Flag for
deletion ® Immediately (MM06)

1. Enter Material
2. Enter Plant
3. Enter Storage Location

Screen Title: Flag Material for Deletion: Initial Screen

4. Click

Flag Material for Deletion: Data Screen

5. Select the level at which the material should be flagged for deletion

6. Click
Flag Material for Deletion: Initial Screen

The message “Deletion flags changed” appears at the bottom of the screen

4.5. Creating a Service Master Record

Business Process Overview

· The process covers the creation of a service master record.

Risks/Manual issues

· There may be unauthorized deletion of the service.

SAP MENU PATH:

Logistics ® Materials Management ® Service Master ® Service ® Service
Master (AC03)

Screen Title: Create Service Master Record

Click on the create new service icon

1. Enter Service Description in the field after the activity number field.
2. Enter Service Category
3. Base Unit of measure
4. Enter Valuation Class

5. Click

Screen Title: Display Service 1000000

5. PURCHASING

5.1. Create a Quantity Contract

Business Process Overview

· The process covers the outlining of the purchase agreement against
which release orders (releases) can be issued for agreed materials
or services as and when required during a certain overall time-
frame.

The process is initiated by a physical contract document whose details are

captured in the system.

Risks/Manual issues
· Creating an order with reference to a wrong or rejected contract.

Controls
· Only staff of the Engineering department / Procurement can create a
contract

SAP MENU PATH:

Logistics ® Materials Management ® Purchasing ® Outline Agreement
® Contracts ® Create (ME31K)

1. Enter Vendor
2. Select Agreement Type

Screen Title: Create Contract: Initial Screen

3. Enter Purchasing Organization

4. Enter Purchasing Group
5. Enter Plant
6. Enter Storage Location
7. Click

Screen Title: Create Contract: Header Data

10. Select Payment Terms

11. Enter Validity Start
12. Enter Validity End
13. Click
Screen Title: Create Contract: Item Overview

14. Enter Material or Short Text

15. Enter Contract Target Quantity
16. Enter Net Price
17. Click the saving prompt box will appear and click yes to save .

Note: If contract is for a non-stock item an additional account assignmnent

screen will appear.

Enter
GL Account
Cost Centre

Screen Title: Create Contract: Item Overview

19. Click

Screen Title: Create Contract: Item Overview

18. Click

Screen Title: Create Contract: Item Overview

Result:
A message “Quantity Contract created under the number 4600000041” appears
at the bottom of the screen.

5.2. Create a Value Contract

Business Process Overview

· The process covers the outlining of the purchase agreement against
which release orders (releases) can be issued for agreed materials
or services as and when required during a certain overall time-
frame.

The process is initiated by a physical contract document whose details are

captured in the system.

Risks/Manual issues
· Creating an order with reference to a wrong or rejected contract.

Controls
Only staff of the Procurement can create a contract

SAP MENU PATH:

Logistics ® Materials Management ® Purchasing ® Outline Agreement
® Contracts ® Create (ME31K)

1. Enter Vendor
2. Select Agreement Type

Screen Title: Create Contract: Initial Screen

3. Enter Purchasing Organization
4. Enter Purchasing Group
5. Enter Plant
6. Enter Storage Location

7. Click

Screen Title: Create Contract: Header Data

10. Enter Validity Date

11. Enter Target Value

12. Click
Screen Title: Create Contract: Item Overview

13. Enter Material/ Short text

14. Enter Target Quantity
15. Enter Net Price

Screen Title: Create Contract: Item

16. Enter G/L Account and Cost Center

17. Click
Screen Title: Create Contract: Item Overview

18. Click to save.

Screen Title: Create Contract: Initial Screen

Result
Value contract created, number found at bottom of screen
 5.1. Change Contract and view its status

SAP MENU PATH:

Logistics ® Materials Management ® Purchasing ® Outline Agreement
® Contracts ® Change (ME32K)

Click enter

To view the contract status, highlight the line item and click the release
documentation icon
Note : The Release order documentation will only be updated after a goods release
has been made and a goods receipt has been posted.
Then go back and save if any changes have been made.

5.2. Generate Purchase Requisition (Stock Item)

Business Process Overview

· The process covers the generation of a purchase requisition. This
may be done manually or through Materials Requirement Planning
(MRP).

Risk/Manual issues
· For Plants that are not online, unauthorised purchase requisition
may be created.
· You may create a purchase requisition for the wrong plant.
· You may request the wrong quantity or material.

Controls
· An authorised person must approve the requisition.
· The requisition must contain detailed specification of goods or services
required.
· The purchase requisition should be generated timeously so as to allow for
the release, purchase order generation and the delivery lead-time.

SAP MENU PATH:

Logistics ® Materials Management ® Purchasing ® Purchase Requisition ®
Create (ME51N)

1. Enter Material Number

2. Enter Quantity
3. Enter Delivery Date
4. Enter Plant
5. Enter Purchasing Group

Screen Title: Create Purchase Requisition

6. Click check to see if your document is still incomeplete.

7. Click

Screen Title: Create Purchase Requisition

Result
Purchase Requisition created, the number is found at the bottom of the screen
 5.3. Create Purchase Requisition Non-Stock

Business Process Overview

· The process covers a formal request for a Service or Non Stock
item.

Risks/Manual issues
· For plants that are not online, unauthorized purchase requisitions
can be created.
· Wrong account assignment can be used, i.e., the general ledger
account and the cost center.

Controls
· An authorized person must approve the requisition.
· Requisition must contain detailed specifications of goods or
services required

SAP MENU PATH:

Logistics ® Materials Management ® Purchasing ® Purchase Requisition ®
Create (ME51N)

Screen Title: Create Purchase Requisition

1. Select Account
2. Assignment Category

3. Click
4. Enter Short Text
5. Enter Quantity
6. Enter Unit of measure
7. Enter Delivery date
8. Enter Material group
9. Enter Plant
10. Purchasing group
11. Enter Requisitioner

12. Click

Screen Title: Create Purchase Requisition

13. Enter G/L Account

14. Enter Cost Center
15. Select Valuation Tab

Screen Title: Create Purchase Requisition

16. Enter Valuation Price

17. Click
18. Click

Screen Title: Create Purchase Requisition

Result
Purchase Requisition created for non-stock item, number found at the bottom of
screen

5.4. Create Purchase Requisition Asset

 Business Process Overview
· The process covers a formal request for an Asset.

Risks/Manual issues
· For plants that are not online, unauthorized purchase requisitions can be
created.
· Wrong account assignment can be used, i.e., the general ledger account and
the asset.

Controls
· An authorized person must approve the requisition.
· Requisition must contain detailed specifications of goods or services required
SAP MENU PATH:
Logistics ® Materials Management ® Purchasing ® Purchase Requisition ®
Create (ME51N)

Screen Title: Create Purchase Requisition (Asset)

1.Create Purchase requisition

2. Assignment Category

3. Click
4. Enter Short Text
5. Enter Quantity
6. Enter Unit of measure
7. Enter Delivery date
8. Enter Material group
9. Enter Plant
10. Purchasing group
11. Enter Requisitioner

12. Click
Screen Title: Create Purchase Requisition

13. Enter Asset

14. Select Valuation Tab

Screen Title: Create Purchase Requisition

16. Enter Valuation Price

17. Click
18. Click

Screen Title: Create Purchase Requisition

Result

Purchase Requisition created for asset, number found at the bottom of screen

5.5. Create Purchase Requisition (Service Item)

Business Process Overview

The process covers a formal request for a Service item.

Risks/Manual issues
For plants that are not online, unauthorized purchase requisitions can be created.
Wrong account assignment can be used, i.e., the general ledger account and the
cost center.

Controls
An authorized person must approve the requisition.
Requisition must contain detailed specifications of goods or services required

SAP MENU PATH:

Logistics ® Materials Management ® Purchasing ® Purchase Requisition ®
Create (ME51N)

2. Assignment Category
3. Enter Item Category D ( Service)
4. Enter Short Text
5. Enter Quantity
6. Enter Unit of measure
7. Enter Delivery date
8. Enter Material group
9. Enter Plant
10. Purchasing group
11. Enter Requisitioner
3. Click to activate an addition service item detail tab.

Enter Service Number

Enter Quantity
Enter price

Click and enter GL account and cost centre.

Click and save the document.

 5.6. Change Purchase Requisition

Business Process Overview

The process covers the altering of information on the purchase requisition.

Risks/Manual issues
Changing details for the wrong Purchase requisition.

Controls
All edited purchase requisitions are to be re-approved.

SAP MENU PATH:

Logistics ® Materials Management ® Purchasing ® Purchasing Requisition
® Change (ME52N)

1. Select Purchase Requisition from the Menu Bar

2. Select Other Requisition
3. Enter the Purchase requisition Number to be changed
4. Select Other Document

Screen Title: Change Purchase Req. 10000023

Screen Title: Change Purchase Req. 10000014

5. Make the necessary changes

6. Click to save the changes made to the purchase requisition

Result
Purchase Requisition changed for stock item, number found at the bottom of the
screen

5.7. Display a Purchase Requisition

Business Process Overview

The process covers the viewing of purchase requisition without the ability to amend
details.

SAP MENU PATH:

Logistics ® Materials Management ® Purchasing ® Purchasing Requisition
® Display (ME53N)

1. Select Purchase Requisition from the Menu Bar

2. Select Other Requisition
3. Enter the Purchase requisition Number to be displayed
4. Select Other Document

Screen Title: Display Purchase Req. 10000014

 You can view your Purchase requisition
Click to exit the screen

5.8. Request for Quotation

Business Process Overview

· The process covers the request for quotation creation (RFQ), which is an
invitation, extended to a vendor by a purchasing organization to submit a
quotation (bid) for the supply of materials or performance of services.

Risks/Manual issues
· Some vendors might send their quotations but fail to deliver when they are given
the order.

Controls
· A minimum of three vendors should be invited to submit quotations.
SAP MENU PATH:
Logistics ® Materials Management ® Purchasing ® RFQ/Quotation ®
Request for Quotation ® Create (ME41)

1. Enter Quotation deadline for quotation

2. Enter Purchasing Organization
3. Enter Purchasing group

Screen Title: Create RFQ: Initial Screen

4. Click
5. Enter material number
6. Enter RFQ quantity
7. Enter Delivery. Date

Click (Header Details-F6)

8. Enter Delivery date

9. Enter Coll. no
Screen Title: Create RFQ: Item Overview

8. Click to maintain vendor address

9. Enter Vendor Number
10. Click to update the vendor address from the system

Screen Title: Create RFQ: Vendor Address

13. Click to save the RFQ

Screen Title: Create RFQ: Header Data

14. Click

Screen Title: Create RFQ: Vendor Address

Note: Enter a different vendor number to create the RFQ for another vendor.
The system generated RFQ number at the bottom of the screen.

5.9. Change or Delete RFQ

Business Process Overview

· The process covers the amending or deletion of an RFQ.

Risks/Manual issues
· Changing details for the wrong RFQ.

Controls
· RFQ details should be checked before saving.
· Enter a collective number to be able to identify RFQs for the same
items.

SAP MENU PATH:

Logistics ® Materials Management ® RFQ/Quotation ® Request for Quotation
® Change (ME42)

1. Enter the system generated RFQ number

Screen Title: Change RFQ: Initial Screen

2. Click to go to Item Overview Screen

Screen Title: Change RFQ: Item Overview

3. Make changes where appropriate

4. Click to save

Screen Title: Change RFQ: Item Overview

5. Click to save.
Screen Title: Change RFQ: Initial Screen

The message that the RFQ has been changed appears at the bottom of the screen.
 5.10. Display the RFQ

Business Process Overview

· The process covers the displaying of Request for Quotations without
the ability to amend the details.

SAP MENU PATH:

Logistics ® Materials Management ® RFQ/Quotation ® Request for Quotation
® Display (ME43)

1. Enter RFQ number

Screen Title: Display RFQ: Initial Screen

2. Click to move to Display RFQ: Item Overview Screen

Screen Title: Display RFQ: Item Overview

3. View the Screen and Click to exit

 5.11. Maintaining a Quotation

1. Business Process Overview

· The process covers the maintenance of a Quotation.

SAP MENU PATH:

Logistics ® Materials Management ® Purchasing ® RFQ/Quotation ®
Quotation ® Maintain (ME47)

1. Enter RFQ number

Screen Title: Maintain Quotation: Initial Screen

2. Click
3. Enter the quoted Net Price
Screen Title: Maintain Quotation: Item Overview

4. Click

Screen Title: Maintain Quotation: Initial Screen

The message “Quotation for RFQ 60000000107 maintained” appears at the bottom
of the screen. Note: Maintain prices for all your quotations.
 5.12. Display the Quotation

Business Process Overview

· The process covers the displaying of a maintained Quotation.

SAP MENU PATH:

Logistics ® Materials Management ® Purchasing ® RFQ/Quotation ®
Quotation ® Display (ME48)

1. Enter Quotation number

Screen Title: Display Quotation: Initial Screen

2. Click to move to Display Quotation: Item Overview

 Screen Title: Display Quotation: Item Overview

3. View the Screen and Click to exit

5.13. Price Comparison

Business Process Overview

· The process covers the comparison of prices from all quotations received as a result
of a competitive bidding process using the price comparison list. The comparison list
ranks the quotations by item from lowest to highest price.

Risks/Manual issues
· The correct interpretation of the mean and total values might not be possible if each
quotation does not have pricing data for the same item.

Controls
· Pricing comparison results interpretation should be carried out in conjunction with
external factors.

SAP MENU PATH:

Logistics ® Materials Management ® Purchasing ® RFQ/Quotation ®
Quotation ® Price Comparison (ME49)

1. Enter Purchasing organization

2. Enter Collective RFQ (description)
Screen Title: Price Comparison List

3. Click to view the Price Comparison List in Currency USD screen

Screen Title: Price Comparison List in Currency USD

The price comparison list appears.

4. Click to exit.
 5.14. Generate Purchase Order

Business Process Overview

· The process covers the generation of a purchase order.

Risk/Manual issues
· For a plant that is not online, unauthorised purchase order may be
created.

3. Controls
· An authorised person must approve the purchase order.
· The purchase order must contain detailed specification of goods or
services required.
· The purchase order can be created with reference to other
purchasing documents.

SAP MENU PATH:

Logistics ® Materials Management ® Purchasing ® Purchase Order ® Create
® Vendor/Supplying Plant Known (ME21N)

Screen Title: Create Purchase Order

Enter:
Vendor
Purchasing Organisation
Purchasing Group
Company Code
If you want to reference another document.

Click on document overview on ® Choose Selection Variant --->Select

the type of document you want to reference

® Highlight the purchase document and click adopt or you click once and

hold then drag and drop it in the shopping cart

If the Purchase order has no reference, you should fill the item overview manually.

Screen Title: Create Purchase Order

6. Click to get past the can delivery be met warning.

7. Check the price adopted from the reference document and enters. (for referenced
P.O’s)

8 In the menu bar click on Goto ® Messages

Enter:
Output type ( Purchasing Org e.g NRZH for NRZ head office)
Medium e.g. Print output

Click highlight the line just entered and select the

Enter:
Logistical destination (Enter the printer you’ll use for printing) LP01 is the SAP default
printer
Check the print immediately box.

Click back and select a dispatch time

Select back and to view you purchase order click on

8.Click back and save your purchase order

Screen Title: Create Purchase Order

Result
Purchase Order created, number found at bottom of the screen in the status bar
 7.1. Generate Purchase Order for a Service or Non Stock Item

Business Process Overview

· The process covers the generation of a purchase order.

Risk/Manual issues
· For a plant that is not online, unauthorised purchase order may be
created.

Controls
· An authorised person must approve the purchase order.
· The purchase order must contain detailed specification of goods or
services required.
· The purchase order can be created with reference to other
purchasing documents.

SAP Menu Path:

Logistics ® Materials Management ® Purchasing® Purchase Order ® Create
® Vendor/Supplying Plant Known (ME21N)

Screen Title: Create Purchase Order

1. Enter the Account Assignment (K Cost Center)

2. Enter Item category (D for service) Note: Do not enter item category for a
non- stock item that is not a service.
3. Enter short text
4. Enter the quantity
5. Enter the unit of Measure
6. Enter the material Group
7. Enter the Plant
 8. Enter Purchasing Organization
9. Enter Purchasing Group
10. Enter Company Code
11. Enter Vendor

Screen Title: Create Purchase Order

12. Enter Service Number

13. Enter Quantity
14. Enter Gross price

Click Enter

15. Enter GL Account

16. Enter Center
 17. Enter the service Number in the services tab
18. Enter G/L account and Cost Center

Click enter and Save

Screen Title: Create Purchase Order

 19. Check if anything necessary needs to be edited andClick

Screen Title: Create Purchase Order

Purchase Order Number Generated Displayed at the bottom of the page

7.2. Create a Contract Release order

Business Process Overview

· The process covers the generation of a purchase order.

Risk/Manual issues
· For a plant that is not online, unauthorised purchase order may be
created.

3. Controls
· An authorised person must approve the purchase order.
· The purchase order must contain detailed specification of goods or
services required.
· The purchase order can be created with reference to other
purchasing documents.

SAP MENU PATH:

Logistics ® Materials Management ® Purchasing ® Purchase Order ® Create
® Vendor/Supplying Plant Known (ME21N)
Enter:
Vendor
Purchasing organisation
Purchasing group
Company code

Go to the Selection variant button and select contracts

Remove the purchasing document number if it is there and you may put the vendor
and document date.

Execute
Highlight your contract and click on adopt

Enter Plant
Enter Quantinty

Click enter if delivery date can be feasible and save

 7.3. Generate Stock Transport Order

Business Process Overview

· The process covers the generation of Stock Transport Order ( An
order of materials from another plant / ward)

Risk/Manual issues
· For a plant that is not online, unauthorised STO order may be
created.

3. Controls
· An authorised person must approve the purchase order.
· The STO order must contain detailed specification of goods and
where they are required
· The STO can be created with reference to other purchasing
documents.

SAP MENU PATH:

Logistics ® Materials Management ® Purchasing ® Purchase Order ® Create
® Vendor/Supplying Plant Known (ME21N)

Change the Order Type to NRZ Stock Transport Order.

ENTER:
1. Supplying Plant
2. Purchasing organization
3. Purchasing Group
4. Material
5. Quantity
6. Plant (Receiving)
 Check the Document and if no more editing is necessary you can
save.

7.4. Canceling a Purchase Order

Business Process Overview

The process covers the cancellation of a purchase order. In SAP, if you cancel a
document, it is voided (i.e. it is cancelled but not completely deleted from the system.
This is for Audit trail purposes.

Risk/Manual issues
For a plant that is not online, unauthorised cancellation of purchase order may be
effected.

Controls
An authorised person must approve the cancellation of a purchase order.

SAP MENU PATH:

Logistics ® Materials Management ® Purchasing ® Purchase Order ®
Change (ME22N)

1. Select Purchase order from the Menu Bar

2. Enter the Purchase Order Number to be cancelled.
3. Select

Screen Title: Standard PO 4500000004

4. Select the line item(s) to be deleted

5. Select
6.
7. Take note of which is now on the purchase order line item to be deleted.

An information message appears at the bottom of the screen indicating that the
Standard Purchase Order has been changed (cancelled)

7.5. Purchase Order Change

Business Process Overview

The process covers the amending of purchase order details for example purchase
order quantity and vendor.

Risks/Manual issues
Amending details for the wrong purchase order.

Controls
All purchase orders must be re-approved.
Only Procurement staff can amend purchase orders.

SAP MENU PATH:

Logistics ® Materials Management® Purchasing® Purchase Order ® Change
(ME22N)

1. Click
2. Enter Purchase Order number

Screen Title: Standard PO 4500000140

 3. Click other document.

Screen Title: Standard PO 4500000140

4. Make the necessary changes

Screen Title: Standard PO 4500000140

6. Click

Screen Title: Standard PO 4500000140

 7 Click

Screen Title: Standard PO 4500000140

Result:
At the bottom of the screen, a message appears stating that the change has been
effected.

7.6. Purchase Order Display

Business Process Overview

The process covers the viewing of purchase orders without the ability to amend
details.

SAP MENU PATH:

Logistics ® Materials Management ® Purchasing ® Purchase Order ®
Display (ME23N)

1. Click other purchase order

2. Enter Purchase Order number to be displayed

Screen Title: Standard PO 4500000140

5. Click

Screen Title: Standard PO 4500000140

Result:
The Purchase Order is displayed
7.7. Releasing a Purchase Order

Business Process Overview

The process covers the approval of a purchase order.

Risks/Manual issues
Approving the wrong purchase order.

Controls
An authorized person must release the purchase order.

SAP MENU PATH:

Logistics ® Materials Management ® Purchasing ® Purchase Order®
ReleaseàCollective Release / Cancellation

Screen Title: Release (Approve) Purchasing Documents

1. Enter range of Purchase Order numbers (to be released) / leave blank to view all
2. Select Release Code

3. Click
Screen Title: Release Purchasing Documents with Release Code MS

4. Highlight all the documents to be released and click release . All

documents to be released will be highlighted.
Result:
Releases (effected) Saved

Business Process Overview

The process covers the approval of a purchase order.

Risks/Manual issues
Approving the wrong purchase order.

Controls
An authorized person must release the purchase order.

SAP MENU PATH:

Logistics ® Materials Management ® Purchasing ® Purchase Order®
ReleaseàIndividual Release

Screen Title: Release (Approve) Purchasing Documents

You may select the respective Purchase order you want to release by going to
Other purchase document.

Enter your purchase order number and click on other document

Each approver will release the order by clicking on the tick against their title.

Note: If the release icon does on appear go back and re-enter individual
release.

After all approvers in the hierarchy have released against their code the order may
be placed with vendor.
Note: The release indicator will change from 0 to 1 and

you can save the order

7.8. Displaying Released Purchase Orders

Business Process Overview

The process covers the viewing of the released purchase orders without the ability to
amend the details.

SAP MENU PATH:

Logistics ® Materials Management ® Purchasing® Purchase Order ® List
Displays ® By Purchase Order Number (ME2N)

Screen Title: Purchasing Documents per Document Number

1. Enter Purchasing Organization
2. Enter Plant
Note: Leave scope of list as BEST

3. Click

Screen Title: Purchasing Documents by Document Number

Result: A list of Purchase Orders is shown with their status

8. INVENTORY MANAGEMENT

8.1. Generate Goods Receipt

Business Process Overview

The process covers receiving material into stock from external vendors. A goods
receipt is generated and posted into the system.

Risks/Manual issues
· The stores receive fewer goods or more goods than the ordered goods.
· The stores receive material not ordered.

Controls
· A goods receipt is generated and is proof of receiving the material.
· Check received quantity against purchase order quantity.
· Storage location on goods receipt should be the same as the storage location
on the purchase order.
SAP MENU PATH:
Logistics ® Materials Management ® Inventory Management ® Goods
Movement ® Goods Receipt ® For Purchase Order ® PO number known
(MIGO)

1. Enter Purchase Order number

2. Click

Screen Title:
Goods Receipt Purchase Order 4500000140

Click Enter and the order data defaults to the Goods Receipt

1. Enter Posting Date

2. Enter Document Date
3. Enter Delivery Note Number

Screen Title:
Goods Receipt Purchase Order 4500000009
If it is a part delivery, click on the Quantity Tab.
5. Enter the quantity being received.
6. Enter Storage Location

Screen Title: Goods Receipt Purchase Order 4500000140

6. Enter the Goods Recipient

7. Tick your item O.K. check box and check your document
The message “Document OK” appears at the bottom of the screen

12. Click or

Screen Title: Goods Receipt Purchase Order 4500000140

Goods Receipt created, Material number shown at the bottom of the screen
 8.2. Generate Service Entry Sheet

Business Process Overview

· The process covers receiving services eg vehicle maintenance

SAP Menu Path:

Logistics ® Materials Management ® Service Entry Sheet ® Maintain
(ML81N)

Screen Title: Service Entry Sheet

1. Click
2. Enter the Purchase Order Number for the service to be received

3. Click
Screen Title: Service Entry Against Purchase Order 4500000000 00010

4. Click

Screen Title: 1000000002 Create Entry Sheet

5. Click
Screen Title: 1000000002 Create Entry Sheet

6. Click on Adopt full quantity

7. Click

Screen Title: Select Services as Reference

8. Select the line item to be copied

Screen Title: Select Services as Reference

9. Click

Screen Title: 1000000002 Create Entry Sheet

10. Click
Screen Title: 1000000002 Create Entry Sheet

11. Click

Screen Title: 1000000002 Create Entry Sheet

12. Click
Screen Title: 1000000002 Display Entry Sheet

The Service entry sheet is saved; acceptance document (material) is the posted
 8.3. Display of a Goods Receipt

Business Process Overview

· The process covers the display of a goods receipt.

SAP MENU PATH:

Logistics ® Materials Management ® Inventory Management ® Goods
Movement ® Goods Receipt ® For Purchase Order ® PO number known
(MIGO)

Screen Title:
Display Material Document

1. Select Display
2. Enter Material Document number if it does not default.

3. Click
Screen Title:
Display Material Document 5000000034

The Material Document is displayed

8.4. Cancellation of a Goods Receipt

Business Process Overview

The process covers the cancellation of a goods receipt in the system.

SAP MENU PATH:

Logistics ® Materials Management ® Inventory Management ® Goods
Movement ® Goods Movement (MIGO)

1. Click Cancellation
2. Enter Material Document Number
Screen Title: Cancellation Material Document

3. Click

4. Select and tick

5. Click

Result: Material Document is posted and the number is displayed at the bottom of the
screen

8.5. Goods Issue

Business Process Overview

· The process covers a goods issue, which is a goods movement with which a
material withdrawal or material issue or a material consumption is posted.

Risks/Manual issues
· Cross issuing of stores material.

Controls
· The Head Of Department should authorize goods issue for consumption.
· Compare the material quantity issued to the reservation and the information
captured on the system.

SAP MENU PATH:

Logistics ® Materials Management ® Inventory Management ®Goods
Movement ® Goods Issue (MIGO)
Screen Title: Enter Goods Issue Other:

1. Enter Posting Date

2. Enter Material in material tab

Screen Title: Enter Goods Issue Other:

2. Enter Quantity in quantity tab

Screen Title: Enter Goods Issue Other:

3. Enter Movement type 201 (Goods issue for a cost centre)

4. Enter Plant
5. Enter Storage location
6. Enter Goods recipient

7. Click

Screen Title: Enter Goods Issue Other:

8. Enter Cost centre

Screen Title: Enter Goods Issue Other:

9.Click

An information message appears at the bottom of the screen

10. Click

Screen Title: Enter Goods Issue Other:

Result
Goods Issue created, number found at the bottom of screen
8.6. Creating a Reservation

Business Process Overview

· The process covers a request by a system user for stock items to be
reserved for use at a desired stage.

SAP MENU PATH:

Logistics ® Materials Management® Inventory Management ® Reservation®
Create (MB21)

Screen Title: Create Reservation: Initial Screen

1. Enter Base Date:

2. Enter Movement Type
3. Enter Plant

4. Click
Screen Title: Create Reservation: Initial Screen

5. Enter Cost centre

6. Enter Material
7. Enter Quantity
8. Enter Goods Recipient
9. Enter Storage Location

10. Click

Screen Title: Create Reservation: Initial Screen

Result:
The number for the posted document is shown at the bottom of the screen

8.7. Goods Issue to a Reservation

Business Process Overview

· The process covers a goods issue, which is a goods movement with
which a material withdrawal or material issue or a material consumption is
posted.

Risks/Manual issues
· Cross issuing of stores material.

Controls
· The Head Of department should authorize goods issue for consumption.
· Compare the material quantity issued to the reservation and the
information captured on the system.

SAP Menu Path:

Logistics ® Materials Management ® Inventory Management) ® Goods
Movement® Goods Movement (MIGO)

Screen Title: Goods Issue Reservation

1. Enter the resevation number

2. Click
Screen Title:Goods Issue Reservation

2. Change the necessary information, for example enter the storage location
were material is to be withdrawn from.

3. Check Item ok

Screen Title:Goods Issue Reservation

6. Click

6. Click

Screen Title:Goods Issue Reservation

8.8. Change Reservation Document

Business Process Overview

The process covers the altering of reservation details for example quantity and
requisitioner. The responsible Manager has to authorize the release of the materials
so that the requisitioner will be able to receive them from stores. The Manager does
this by selecting the movement for reservation allowed.

SAP MENU PATH:

Logistics ® Materials Management® Inventory Management ® Reservation®
Change (MB22)

Screen Title: Change Reservation: Initial Screen

 1. Enter the Reservation Number to be changed
2. Click

Screen Title: Change Reservation:000000010: Collective Processing

3. Make the necessary changes

4. Click
 Screen Title: Change Reservation: Initial Screen

Result
The number for the posted document appears at the bottom of the screen

8.9. Goods Returned to Stores

Business Process Overview

· The process covers the returning of goods to the stores after they had
been issued to a cost center.

Risks/Manual issues
· Stores should verify that the goods being returned are still in a
good condition. (i.e. their original condition before they were
issued to a cost center).

Controls
· The responsible Manager should authorize goods returns from a
cost center.
· Compare material issued to the reservation and the information
captured on the system.

SAP MENU PATH:

Logistics ® Materials Management ® Inventory Management ®Goods
Movement ® Goods Issue (MIGO)
Select Return Delivery
Select the Material Document from the Posting you want to reverse.

Click execute

Enter the goods recipient

Tick the item o.k. check box
Check if document is ok

Save the document and note the material document number on the status bar.
8.10. Issuing Material to Scrap

Business Process Overview

· The process covers a goods issue to scrap (obsolete stock), which
is a goods movement with which a material withdrawal or material
issue or a material consumption is posted.

Risks/Manual issues
· Cross issuing of stores material.

Controls
· The relevant Manager should authorize goods issue for
consumption (scrapping).
SAP MENU PATH:
Logistics ® Materials Management ® Inventory Management® Goods
Movement ® Goods Movement (MIGO)

Screen Title: Goods Issue Other

1. Enter Movement Type (201 – Goods Issue to Cost Centre)

3. Enter Material
4. Enter Quantity

Screen Title: Goods Issue Other- LSAMU

5. Enter Plant
6. Enter Storage Location
7. Enter the GL account for Scrapping
8. Enter Cost Centre

9. Click

Screen Title: Goods Issue Other

10.Click

Screen Title: Goods Issue Other

Result
The number for the posted document appears at the bottom of the screen

8.11. Initial Data Take on

Business Process Overview

· The process covers the take on of the initial stock balances.

Risks/Manual issues
· Capturing wrong material quantities.

Controls
· Captured information should be thoroughly checked before saving
on the system.

SAP Menu Path:

Logistics ® Materials Management® Inventory Management® Goods
Movement ® Goods Movement (MIGO)

Screen Title: Goods Receipt Other

1. Enter Posting Date

2. Enter Material
3. Enter Quantity
4. Enter Movement Type 561
5. Enter Plant
6. Enter Storage Location
Screen Title: Goods Receipt Other

7. Click

Screen Title: Goods Receipt Other

A message appears at the bottom of the screen

8. Click
Screen Title: Goods Receipt Other

Result
The number for the posted document appears at the bottom of the screen
 8.12. Reversing Initial data Take-on

Business Process Overview

· The process covers the reversal of the initial stock material
quantities.

Risks/Manual issues
· Changing details for the wrong stock material

Controls
· Check all input data before saving.

SAP MENU PATH:

Logistics ® Materials Management ® Inventory Management ® Goods
Movement ® Goods Movement (MIGO)

Screen Title: Goods Receipt Other – LSAMU

1. Enter Posting Date

2. Enter Material
3. Enter Quantity
4. Enter Movement Type 562
5. Enter Plant
6. Enter Storage Location
Screen Title: Goods Receipt Other

8. Click

Screen Title: Goods Receipt Other

A message appears at the bottom of the screen

8. Click
Screen Title: Goods Receipt Other – LSAMU

The number for the posted document appears at the bottom of the screen
9. PHYSICAL INVENTORY

9.1. Create Physical Inventory

Business Process Overview

· The process covers the creation of the physical inventory document or
stock sheets containing the material to be counted.

Risks/Manual issues
· If the inventory document is created manually, some material to be
counted can be omitted from the sheet.

Controls
· Check that all materials to be counted are on the stock sheet.

SAP MENU PATH:

Logistics ® Materials Management ® Physical Inventory ® Sessions ® Create
Physical Inventory docs ® W/o Special Stock (MI31)

1. Enter Plant
2. Enter Storage Location
3. Select create dcmts directly
4. Account to stock: tick unrestricted-use only
5. Enter planned count date
6. Check freeze inventory block

Screen Title: Selected Data for Physical Inventory Docs w/o Special Stock

7. Click
Screen Title: Physical Documents Were Created Directly

Physical Inventory Document Number created

9.2. Display the Physical Inventory Document

Business Process Overview

· The process covers the displaying of Physical Inventory documents
without the ability to amend the details.

SAP MENU PATH:

Logistics ® Materials Management ® Physical Inventory ® Physical Inventory
Doc ® Display (MI03)

1. Enter Physical Inventory Document

2. Enter Fiscal Year

3. Click to move to Display Physical Inventory Documents

Screen Title: Display Physical Inventory Document: Initial Screen

Screen Title: Display Physical Inventory Document 100000000: Overview

4. Click to exit display of physical inventory document

 9.3. Printing a Physical Inventory

Business Process Overview

· The process covers the printing of a physical inventory document (stock
sheets).

SAP MENU PATH:

Logistics ® Materials Management ® Physical Inventory ®Phys. Inventory
Doc® Print (MI21)

Screen Title: Print physical inventory document

1. Enter Physical Inventory Document Number

2. Enter Plant
3. Enter Storage Location

4. Click
Screen Title: SAP

5. Select Output Device

6. Click

Screen Title: SAP

7. Enter Output Device

8. Enter number of copies
9. Tick Print Immediately
10. Click on
Screen Title: Print Preview of hp_at_mbada_sapoffice Page 00001 of
00002(Copy 1 of 2)

10. Click

Screen Title: Print physical inventory document

Result:
Print request completed
 9.4. Entering the Inventory Count

Business Process Overview

· The process covers the capturing of stock-take balances into the system.

Risk/Manual issues
· Incorrect stock-take balances may be entered into the system.

Controls
· The stock-take balances should be checked for accuracy.
· Before the stock-take balances are entered, they should be authorised by
the person responsible for the stock-take.

SAP MENU PATH:

Logistics ® Materials Management ® Physical Inventory ® Inventory Count ®
Enter (MI04)

1. Enter Phys. Inventory doc.

2. Enter Fiscal Year

Screen Title: Enter inventory count: Initial screen

2. Click
Screen Title: Enter inventory count 100000000: Collective Processing

3. Enter Quantity (if the materials are many, you enter the quantities)
4. Tick ZC for Zero count

5. Click

6. Click

Screen Title: Enter inventory count: Initial Screen

Result
Count Entered for Phys. Inv Doc. 100000000
 9.5. Differences List

Business Process Overview

· The process covers the viewing of the count difference with the ability to
amend it.

Risk/Manual issues
· Incorrect balances may be entered into the system.

Controls
· The differences should be checked for accuracy.
· Before the differences are amended, they should be authorised by the
person responsible for the stock-take.

SAP MENU PATH:

Logistics ® MaterialsManagement ® Physical Inventory ® Difference®
Difference List (MI20)

Screen Title: List of Inventory Differences

1. Enter Plant
2. Enter Storage Location

3. Click
Screen Title: List of Inventory Differences

5. You can Select ( ) a line item and choose any of the tabs (e.g. Change Inv.
Count) on the Application Toolbar

Screen Title: List of Inventory Differences

 9.6. Preparing a Recount

Business Process Overview

· The process covers the preparation of the stock recount.

Risks/Manual issues
· Stock that is not ours (consignment stock, third-party stock etc) may be
included in the recount.
· Other Materials may not be considered for the recount.
· Duplicate stock counting.

Controls
· Ensure that all the required resources for the recount are available.
· Stock should be counted physically.
· Ensure that no material will be omitted during the recount.
· Avoid duplicate stock counting.

SAP MENU PATH:

Logistics ® MaterialsManagement ® Physical Inventory ® Physical Inventory
Document ® Recount (MI11)

Screen Title: Enter Recount: Initial screen

1. Enter Physical Inventory Document Number

2. Enter Fiscal Year
3. Enter Date
4. Select Posting Block
5. Click
Screen Title: Enter Recount: Selection list

6. Select Items
7. Click

Screen Title: Enter Recount: Initial Screen

Result
Physical Inventory Document created, number found at the bottom of screen
 9.7. Posting Physical Inventory Differences

Business Process Overview

· The process covers the posting of the differences between the system
balances to the physical stock count balances.

Risks/Manual issues
· Updating the wrong reasons for the resultant discrepancies.

Controls
· Information should be thoroughly checked before saving.

SAP MENU PATH:

Logistics ® MaterialsManagement ® Physical Inventory ® Difference ® Post
(MI07)

1. Enter Physical Inventory Document

Screen Title: Post inv. Differences: Initial screen

2. Click
Screen Title: Post inv. Differences 100000001: Selection screen

2. Select Reason for movement

3. Click

Screen Title: Post inv. Differences 100000001: Selection screen

5. Click
Screen Title: Post inv. Differences: Initial screen

Result
A message appears at the bottom of the screen stating that the
Differences have been posted.
 9.8. Period Closing

Business Process Overview

· The process covers the closing of the MM periods once it has been
ascertained that an acceptable level of completeness has been achieved
in a given financial period.

Risks/Manual issues
There are two conflicting risks that need to be managed relating to clearing
backlogs from previous period and creating new backlogs in the new period
These two risks are outlined below;
· Once the period has been closed it will only be possible to post in the new
period and the period immediately prior to the new period. Thus it is
essential to ensure that there has been an acceptable level of
completeness in the processing of the previous period documents before
carrying out this process.
· Once the MM period is closed it is impossible to re-open and it will be
impossible to post MM documents (including GR) in a period until the
previous period has been closed. Thus backlogs will accrue if the period is
not closed timeously.

Controls
· Only the Administration Manager should authorize or close the period.

SAP MENU PATH:

Logistics ® Materials Management ® Material Master ® Other ® Close Period
(MMPV)

1. Enter From Company Code

2. Enter To Company Code
3. Enter Period to close
4. Enter Fiscal Year or Date
Screen Title: Close Period for Material Master Records

5. Click

Screen Title: Close Period for Material Master Records

Result
Period closed for specified period
10. Material Requirements Planning

10.1. Generate MRP Run

Business Process Overview

· The process covers the running of material requirements planning

run to

Risks/Manual issues
· The material requirements planning run is not done.

SAP MENU PATH:

Logistics ® Materials Management ®Material Requirements Planning (MRP) ®
MRP
® Planning ® Total Planning ® Online (MD01)

Screen Title: MRP Run

1. Enter Plant
2. Create Purchase req: 3 for planned orders
3. Click
Screen Title: MRP Run

4. Click

Screen Title: MRP Run

5. Click
Screen Title: MRP Run
11. Generate Stock/Requirements List

Business Process Overview

· The process covers the running of the stock/requirements list to
view the materials that need to be procured

Risks/Manual issues
· The material requirements planning run is not done.

SAP Menu Path:

Logistics ® Materials Management ®Material Requirements Planning (MRP) ®
MRP® Evaluations ® Stock/Reqmts List (MD04)

Screen Title: Stock/Requirements List: Initial Screen

1. Enter Material
2. Enter Plant
Screen Title: Stock/Requirements List: Initial Screen

3. Click

Screen Title: Stock/Requirements List as of 14:58 Hrs

4. Select the planned order to be processed

Screen Title: Stock/Requirements List as of 15:02 Hrs

Results
The PR Item is displayed
12. REPORTS

12.1. Stock Overview

Business Process Overview

· The process covers the displaying of stock in the relevant company
code/ plant/ storage location.

Risks/Manual issues
· Getting displays of wrong plants or storage locations.

Controls
· Check that the relevant plant or stock is displayed.

SAP MENU PATH:

Logistics ® Materials Management ® Inventory Management ® Environment
® Stock ® Stock Overview (MMBE)

1. Enter Material
2. Enter Plant
3. Enter Storage Location

Screen Title: Stock Overview: Company Code/Plant/Storage Location/Batch

4. Click
Screen Title: Stock Overview: Basic List

Result
List of unrestricted, quality inspection and reserved stock for material is displayed
13. General Reporting Selection (Purchasing)

Business Process Overview

· The process covers the viewing of the analysis of the Vendors,
Order Values, Goods Receipt Values and Invoice Values.

SAP MENU PATH:

Information Systems ® Logistics® Purchasing à Vendor à Purchasing
Values (MC$4)

Screen Title: Vendor Analysis: Purchasing Values: Selection

1. Enter Purchasing Organization

2. Enter month range
3. Click
Screen Title: Vendor Analysis: Purchasing Values: Basic List

Result
View of Vendor, Order Value, GR Value and Invoice Value is displayed
 13.1. General Reporting Selection (Inventory Management)

Business Process Overview

· The process covers the viewing of the List per material, Stock
value by currency, Valuated stock by unit of measure and Stock
Transport Orders per Receiving Plant.

13.2. Plant Stock Analysis

SAP MENU PATH:

Information Systems ® Logistics® InventoryManagement ® Plant ® Stock
(MC.1)

1. Enter Plant
2. Enter Storage Location
3. Enter Material
4. Enter Month range

Screen Title: Plant Analysis: Stock: Selection

5. Click

Screen Title: Plant Analysis: Stock: Basic List

6. Click on

Screen Title: Plant Analysis: Stock: Basic List

7. Select Material

8. Click
Screen Title: Plant Analysis: Stock: Drill down

Result
List per material: stock value by currency, valuated stock by unit of measure and
consignment stock by unit of measure displayed

13.3. Reservation List

Screen Title: Reservation List Inventory Management

1. Enter Plant
2. Click

Screen Title: Reservation List Inventory Management

 13.4. Stock for Posting Date

Screen Title: Stock on Posting Date

1. Enter Company code

2. Enter Plant

3. Click

Screen Title: Material Stocks between 01.01.0000 and 31.12.9999