MELJUN CORTES Materials Management Rules
Upcoming SlideShare
Loading in...5
×
 

MELJUN CORTES Materials Management Rules

on

  • 562 views

MELJUN CORTES Materials Management Rules

MELJUN CORTES Materials Management Rules

Statistics

Views

Total Views
562
Views on SlideShare
562
Embed Views
0

Actions

Likes
0
Downloads
35
Comments
0

0 Embeds 0

No embeds

Accessibility

Categories

Upload Details

Uploaded via as Microsoft PowerPoint

Usage Rights

© All Rights Reserved

Report content

Flagged as inappropriate Flag as inappropriate
Flag as inappropriate

Select your reason for flagging this presentation as inappropriate.

Cancel
  • Full Name Full Name Comment goes here.
    Are you sure you want to
    Your message goes here
    Processing…
Post Comment
Edit your comment

MELJUN CORTES Materials Management Rules MELJUN CORTES Materials Management Rules Presentation Transcript

  • Unit 11Materials Management (MM) - Rules -
  • Business Process Integration Rules MM © SAP AG - University Alliances and TheJanuary 2008 Rushmore Group, LLC 2008. All rights 2 reserved.
  • Rules • Defines the parameters for Master Data and Transactions • Determines functionality for Master Data and Transactions • Relatively fixed • Changes as policy changes © SAP AG - University Alliances and TheJanuary 2008 Rushmore Group, LLC 2008. All rights 3 reserved.
  • Materials Management (MM) SD FI Sales and Financial Distribution Accounting MM CO Materials Controlling SM PP Mgmt. Production Planning R/3 AM Fixed Assets Mgmt. EC Service Client / Server Enterprise Mgmt. Controlling QM Integrated Business PS Quality Project Mgmt. PM Solution WF System Plant Maintenance Workflow HR IS Human Industry Resources Solutions © SAP AG - University Alliances and TheJanuary 2008 Rushmore Group, LLC 2008. All rights 4 reserved.
  • Unit 11 – Overview• Reservations• Tolerances – Purchasing – Goods Receipt – Invoice Receipt• Automatic Account Assignment• Invoice Verification © SAP AG - University Alliances and TheJanuary 2008 Rushmore Group, LLC 2008. All rights 5 reserved.
  • Reservations• A request to have a material ready for issue at a future date for a production order, sales order, etc.• The purpose of a reservation is to ensure that a material is available when required and not assigned to another use © SAP AG - University Alliances and TheJanuary 2008 Rushmore Group, LLC 2008. All rights 6 reserved.
  • Purchasing Tolerances• A tolerance limit is set for allowed variance before a warning/error message is displayed – Price variance • Compares the price in the purchase order with the valuation price stored in the material master – Maximum cash discount • This tolerance limit is set to assure that cash discounts do not exceed allowable discounts © SAP AG - University Alliances and TheJanuary 2008 Rushmore Group, LLC 2008. All rights 7 reserved.
  • Goods Receipts Tolerances• Purchase order price quantity – there are two tolerance levels maintained per item – The maximum percentage variance before a goods receipt postings is not allowed – A percent variance that generates a warning message but allows posting• Moving average price variance – the maximum allowable moving average price change allowed © SAP AG - University Alliances and TheJanuary 2008 Rushmore Group, LLC 2008. All rights 8 reserved.
  • Invoice Receipts Tolerances• Many tolerance limits that can be configured for invoice receipts: price, quantity, and blanket purchase orders These tolerances include: – Amount for item with or without order reference – Form small differences automatically – Percentage Over/Under Quantity Variance – Exceed amount: quantity variance – Blanket purchase order – value and time limit – Price variance © SAP AG - University Alliances and TheJanuary 2008 Rushmore Group, LLC 2008. All rights 9 reserved.
  • Automatic Account Assignment• Automatic account assignment is created to avoid manual postings of financial transactions which follow goods movements to reflect the values of transferred materials• Automatic account assignment is used across all modules to keep track of the values of materials that are being consumed (e.g., production), or transferred into other valuation areas of the company © SAP AG - University Alliances and TheJanuary 2008 Rushmore Group, LLC 2008. All rights 10 reserved.
  • Automatic Account Assignment (continued) • Automatic account assignment is a set of rules and master data which enable the financial tracking of logistics movement © SAP AG - University Alliances and TheJanuary 2008 Rushmore Group, LLC 2008. All rights 11 reserved.
  • Automatic Account Assignment Components• Components of Automatic Account Assignment – Chart of Accounts – Valuation Grouping Code – Transaction Key – Modifier for Transaction Key – Valuation Class © SAP AG - University Alliances and TheJanuary 2008 Rushmore Group, LLC 2008. All rights 12 reserved.
  • Automatic Account Assignment Valuation Grouping Code• Valuation grouping code - groups valuation areas together – Example: valuation area is plant, five plants exist in the company, all five plants use the same accounts. – Multiple valuation groups are possible © SAP AG - University Alliances and TheJanuary 2008 Rushmore Group, LLC 2008. All rights 13 reserved.
  • Automatic Account Assignment Valuation Grouping Code Grouping Code Grouping Code G001 G002 Plant – P001 Plant – P004 Plant – P002 Plant – P005 Plant – P003 © SAP AG - University Alliances and TheJanuary 2008 Rushmore Group, LLC 2008. All rights 14 reserved.
  • Automatic Account Assignment Transaction Keys• Transaction Keys – The transaction keys are used to determine accounts or posting keys for line items which are created automatically by the system. – The transaction keys are defined in the system. © SAP AG - University Alliances and TheJanuary 2008 Rushmore Group, LLC 2008. All rights 15 reserved.
  • Automatic Account Assignment Transaction Keys• Transaction Keys – Inventory Postings • BSX – Offsetting Entry for Inventory Postings • GBB – Materials Management Small Differences • DIF – Cost (price) differences (PPV) • PRD – Goods receipt / inv. receipt clearing acct • WRX © SAP AG - University Alliances and TheJanuary 2008 Rushmore Group, LLC 2008. All rights 16 reserved.
  • Automatic Account Assignment Modifier• Modifier – modifies the transaction key for various movement types – Blank – Goods receipt from purchase order with account assignment – VBR – Goods issue to consumption – VAX – Goods issue to sales – post to cost of goods sold – AUF – Goods receipt from a production order – post to production settlement – Etc. – Many others © SAP AG - University Alliances and TheJanuary 2008 Rushmore Group, LLC 2008. All rights 17 reserved.
  • Material Types & Valuation Classes• Account category reference: – Builds the link between material types and the valuation class(es)Material Type Account Category Reference Valuation ClassROH 0001 – Reference for Raw Materials 3000/3001/3002/3003HIBE 0002 – Reference for Operating Supplies 3030/3031HAWA 0005 – Reference for Trading Goods 3100FERT 0009 – Reference for Finished Products 7920 © SAP AG - University Alliances and TheJanuary 2008 Rushmore Group, LLC 2008. All rights 18 reserved.
  • Material Types & Valuation Classes Valuation Class 3000 (Steel) Valuation Class Material Type Acct Cat. Ref 3001 ROH (Raw Material) 0001 – Raw Materials (Paper) Valuation Class 3003 (Plastics) © SAP AG - University Alliances and TheJanuary 2008 Rushmore Group, LLC 2008. All rights 19 reserved.
  • Automatic Account Assignment Plant P001 Plant P002 Plant P003 Valuation Class Valuation Class Valuation Class 3100 (Trading Good) 3100 (Trading Good) 3100 (Trading Good) Grouping Code Grouping Code Grouping Code G000 G000 G001 Goods Movement Goods Movement Goods Movement GBB (Goods Issue) GBB (Goods Issue) GBB (Goods Issue) Account Modifier Account Modifier Account Modifier VBR (Iss. To Cons.) VBR (Iss. To Cons.) VBR (Iss. To Cons.) Account Account 790000 © SAP AG - University Alliances and The 790001January 2008 Rushmore Group, LLC 2008. All rights 20 reserved.
  • Automatic Account Assignment Where Value is What: Where Valued: Why 1: Why 2: recorded: Goods Additional Chart of Material Valuation Area Movement Information Accounts Valuation Transaction AccountRepresented By: Valuation Class Grouping Code Event Key Modifier G/L AccountPoints To: Material Type Plant Where Value is What: Where Valued: Why 1: Why 2: recorded: Issued to Chart of BPEN000 Plant – P001 Good Issue Consumption Accounts -C000Represented By: 3100 G000 GBB VBR 790000Points To: HAWA Plant – P001 © SAP AG - University Alliances and TheJanuary 2008 Rushmore Group, LLC 2008. All rights 21 reserved.
  • Goods Receipt• Materials can be received as stock items or non-stock items• Receipt is possible from external or internal sources• Individually / collectively• Tolerance limits can be set for goods receipt• Special movement type for initial inventory load © SAP AG - University Alliances and TheJanuary 2008 Rushmore Group, LLC 2008. All rights 22 reserved.
  • Goods Receipt – (continued)• Stock items can be received into restricted or unrestricted stock• Non-stock items are received into orders, projects, cost centers• Materials that are usually received into inventory can also be received into orders, projects, cost centers © SAP AG - University Alliances and TheJanuary 2008 Rushmore Group, LLC 2008. All rights 23 reserved.
  • Invoice Verification• Set parameters for invoice verification – Quantity, price, receiving date, P/O quantity – Updates material master if moving average price – Automatic account assignment for price differences - if allowed• Verify actual versus target © SAP AG - University Alliances and TheJanuary 2008 Rushmore Group, LLC 2008. All rights 24 reserved.
  • 3-Way Match Purchase order - Target quantity - - Target price - Invoice receipt Goods receipt - Actual price - - Actual quantity - © SAP AG - University Alliances and TheJanuary 2008 Rushmore Group, LLC 2008. All rights 25 reserved.
  • Accounts Payable Settlement Purchase Order Payment Program Invoice Debit Credit Receipt Verification Goods Receipt © SAP AG - University Alliances and TheJanuary 2008 Rushmore Group, LLC 2008. All rights 26 reserved.
  • Unit 11, Group 1 – Exercises 89. Set Default Values for Inventory Management Reservations 90. Maintain Purchasing Tolerance Limits 91. Maintain Goods Receipt Tolerances 92. Maintain Invoice Receipt Tolerances 93. Set (Review) Valuation Control 94. Assign Valuation Area Grouping 95. Define (Review) Valuation Classes © SAP AG - University Alliances and TheJanuary 2008 Rushmore Group, LLC 2008. All rights 27 reserved.
  • Unit 11, Group 2 – Exercises 96. Configure Automatic Postings for Goods Movement 97. Configure Automatic Postings for Taxes 98. Set Parameters for Invoice Verification 99. Create Default Values for Invoice Verification © SAP AG - University Alliances and TheJanuary 2008 Rushmore Group, LLC 2008. All rights 28 reserved.