Features of SAP MM (Materials Management)
SAP MM is a comprehensive module that encompasses various features to facilitate efficient procurement, inventory management, and materials handling within an organization. Here are key features of SAP MM:
1. Procurement Processes:
- Purchase Requisition (PR): Allows users to initiate the procurement process by creating requests for materials or services.
- Request for Quotation (RFQ): Enables the organization to invite quotations from potential suppliers.
- Purchase Order (PO): Facilitates the creation of purchase orders detailing the terms, conditions, and quantities for materials or services.
2. Inventory Management:
- Goods Receipt (GR): Records the receipt of materials into inventory, updating stock levels.
- Goods Issue (GI): Documents the removal of materials from inventory for various purposes like production or consumption.
3. Invoice Verification:
- Three-Way Match: Validates invoices against purchase orders and goods receipts to ensure accuracy before processing payments.
- Vendor Invoice Management (VIM): An extension for automating and streamlining the accounts payable process.
4. Master Data Management:
- Material Master: Central repository containing comprehensive information about materials, including purchasing, sales, and inventory details.
- Vendor Master: Stores information about suppliers and vendors, facilitating efficient procurement.
5. Logistics Execution:
- Warehouse Management (WM): Integrates with SAP WM for advanced warehouse handling and optimization.
- Handling Unit Management (HUM): Manages packaging materials and their tracking during logistics processes.
6. Integration with Other SAP Modules:
- Integration with SAP SD (Sales and Distribution): Ensures seamless coordination between procurement and sales processes.
- Integration with SAP PP (Production Planning): Facilitates planning and execution of production processes.
7. Reporting and Analytics:
- SAP Analytics: Provides a range of reporting tools and analytics for monitoring and analyzing procurement, inventory, and materials data in real-time.
8. User Interface and Accessibility:
- SAP Fiori: Introduces a modern and intuitive user interface for better user experience and accessibility.
SAP MM – Introduction, Components and Features
One of the main components of the SAP ERP (Enterprise Resource Planning) system is SAP MM (Materials Management). It is essential to the management of an organization’s inventory and buying procedures. From the point of acquisition to the point of consumption, SAP MM helps companies optimize their material and logistics management procedures, guaranteeing effective and economical handling of items.
Table of Content
- What does SAP MM stand for?
- What is SAP MM?
- Master Data Components in SAP MM:
- Features of SAP MM (Materials Management):
- Conclusion: