SAP MM KB

SAP MM Integration with Other Modules

SAP Material Management (MM) is a core logistics module that plays a pivotal role in the entire supply chain. Its effectiveness is greatly enhanced by its seamless integration with other SAP modules. This integration ensures a smooth flow of data, eliminates redundancies, and provides a holistic view of business processes.

Key Integration Points:

SAP FI (Financial Accounting)

Purpose:

To record financial transactions resulting from procurement and inventory activities.

Integration Points:

  • Goods Receipt (GR): When goods are received (MIGO), an accounting document is generated, impacting inventory accounts (asset) and GR/IR clearing accounts (liability).
  • Invoice Verification (IV): When an invoice is verified (MIRO), an accounting document is generated, impacting vendor accounts (liability) and GR/IR clearing accounts.
  • Material Valuation: Material master data (valuation class) determines how materials are valued and which G/L accounts are hit during goods movements.
  • Vendor Payments: Vendor invoices processed in MM are paid through FI.

Key Transactions/Configuration:

  • OBYC: Automatic Account Determination
  • OMWD: Valuation Area Assignment
  • MM01/MM02: Material Master (Accounting Views)
SAP SD (Sales and Distribution)

Purpose:

To ensure materials are available for sales orders and to manage returns from customers.

Integration Points:

  • Availability Check: Sales orders in SD trigger an availability check against current stock levels managed in MM.
  • Goods Issue for Delivery: When goods are delivered to a customer (PGI in SD), a goods issue is posted in MM, reducing inventory.
  • Returns: Customer returns processed in SD result in goods receipts in MM, increasing inventory.
  • Intercompany Sales: Stock transfers between company codes often involve both MM (stock movement) and SD (intercompany billing).

Key Transactions/Configuration:

  • OVZ9: Availability Check Control
  • VL01N: Create Outbound Delivery
  • MMBE: Stock Overview
SAP PP (Production Planning)

Purpose:

To provide raw materials and components for production orders and manage finished goods inventory.

Integration Points:

  • Material Requirements Planning (MRP): MRP in PP generates purchase requisitions (PRs) for raw materials and components based on production needs, which are then converted to POs in MM.
  • Goods Issue to Production Order: Raw materials are issued from MM inventory to production orders in PP.
  • Goods Receipt from Production Order: Finished or semi-finished goods are received into MM inventory from production orders.
  • Bill of Material (BOM): BOMs in PP define the components required, which are managed in MM.

Key Transactions/Configuration:

  • MD04: Stock/Requirements List
  • MIGO: Goods Issue/Receipt
  • CS01: Create BOM
SAP QM (Quality Management)

Purpose:

To ensure the quality of incoming materials and outgoing products.

Integration Points:

  • Goods Receipt (GR) with Inspection Lot: When materials are received, an inspection lot can be automatically created in QM, placing the material in "quality inspection" stock in MM.
  • Usage Decision: After inspection, a usage decision in QM determines if the material is accepted (moved to unrestricted use stock in MM) or rejected (moved to blocked stock or returned).
  • Source Inspection: Quality inspections can be performed at the vendor's site before goods are shipped, influencing procurement decisions in MM.

Key Transactions/Configuration:

  • MIGO: Goods Receipt
  • QA32: Change Data for Inspection Lot
  • MM01/MM02: Material Master (Quality Management View)
SAP WM (Warehouse Management)

Purpose:

To manage stock at the bin level within a warehouse, optimizing storage and movement.

Integration Points:

  • Goods Receipt (GR): After GR in MM, a transfer requirement is created in WM to move the material from the interim storage area to a specific bin.
  • Goods Issue (GI): When materials are issued from MM, a transfer order is created in WM to pick the material from its bin.
  • Stock Transfers: Movements between storage locations in MM can trigger corresponding transfer orders in WM.
  • Physical Inventory: Inventory counts can be performed at the bin level in WM and then reconciled with MM stock.

Key Transactions/Configuration:

  • MIGO: Goods Receipt/Issue
  • LT03: Create Transfer Order for Delivery
  • LS24: Stock per Material in WM

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