MATERIAL MANAGEMENT

Course contents

The grouping of management functions supporting the complete cycle of material flow, from the purchase and internal control of production materials to the planning and control of work in process to the warehousing, shipping, and distribution of the finished product.

Introduction to ERP – SAP R/3 system 

  • Working with System.
  • IMG (Implementation Guide)
  • Project implementation.
  • MM overview.
  1. Material Master Organizational Levels
  • Material type and Industrial Sector.
  • Number assignment for material.
  • Valuation classes.
  • Views, editing material master.
  1. Service Master
  • Maintaining the service master
  • Vendor master
  • Organization levels
  • Account group
  • Partner functions / Roles views
  • Editing vendor master
  1. Materials planning and forecasting.
  • MRP rates in material, Master MRP profiles.
  • Planning methods. Net requirements, calculations, scheduling procedures, Lot size procedures.
  • Processing planning run, planning file, Planning level, storage location MRP.
  • Fixing and rescheduling check, planning horizon.
  • MRP list and current requirements / stock list, elements of MRP list and current requirement / stock list, exception message.
  1. Purchasing generals.
  • Item category.
  • Account assignment category, procurement for stock / consumption, procurement for external, account assignment.
  • Release procedure.
  • Fundamental structure of purchasing documents
  1. Purchase requisitions.
  • MRP sources.
  • General structure.
  • Overall release of purchase requisitions.
  1. Request for Quotation.
  • Business process integration.
  • Fundamental structure.
  • Price compassion list.
  1. Purchase order.
  • Fundamental structure, sources / references.
  • Purchase order history.
  1. Lean process for procurement of consumables and services.
  • Blanket purchase order.
  • Invoicing plan.
  • Outline agreement.
  • Quality / value contracts, scheduling agreements
  • Release order history.
  • Automatic generation of delivery schedule lines / automatic delivery schedule update.
  • Aggregation of schedule lines.
  1. Supply source determination and optimized purchasing
  • Purchasing information record, source list, quota arrangements.
  • Assigning and editing purchase requisition, automatic purchase order generation
  • Optimization of the procurement process.
  • Pricing and message printing.
  • Output medium.

    10. Reports

  • Purchase order and contract monitoring, purchase reports.
  • Logistics Information Systems (LIST)
  1. Inventor Management Goods Movements, Stocks.
  • Movement types.
  • Goods receipts (referencing purchase orders, referencing production orders / reservations, other GR)
  • Inventory management levels, stock types, special stocks, quality inspection.
  • lanned / Unplanned movements, reservations.
  • Goods issue.
  • Transfer postings and stock transfers.
  • Reverse postings (Reverse posting movement, document reversals), return deliveries.
  • Integration, effects of inventory management postings, quality / value, control data (Eg. Field control, Inspection indicator, Tolerances)
  • Message determination.
  • Analysis / Inventory controlling.
  1. Special processing forms.
  • Negative stocks.
  • Stocks under split valuation.
  • Subcontracting (Purchase and Inventory management)
  • Vendor consignment, zero value stocks, non valued GR,
  • Quantity / value.
  1. Simplification of procurement stock.
  • Consignment (Info record for consignment)
  • Automatic generation of purchase order for goods receipt.
  • One step procedure for stock transport orders.
  1. Physical Inventory.
  • Physical inventory methods.
  • Physical inventory procedures.
  1. Invoice verification.
  • Procedure and forms of invoice verification.
  • Referencing on purchase order or goods receipt / delivery note.
  • Purchase orders with account assignment, valuated / non-valuated goods receipt.
  • Gross and net posting, Cash discount.
  • Planned and unplanned delivery cost.
  • Taxes
  • Variances blocking reasons.
  • Preliminary posting.
  • Posting transactions, value, and price control.
  1. Release procedure.
  • Blocking reasons.
  • Individual and collective release.
  • Automatic release.
  1. Special processing forms.
  • Credit memos and cancellations.
  • Subsequent debits / credits.
  • Invoices in foreign currency.
  • Invoices in consignment stock.
  • Invoices without reference. (Posting to material or G/L account)
  • Evaluated receipt settlement (ERS)
  • GR/IR account maintenance.
  • Posting transactions, value, and price control.
  1. Enhancements in Invoice verification Account determination.
  • Account determination controlling, needed dates and customizing settings valuation grouping. Account grouping, General reconciliation account / value string, posting keys.
  • Account determination for stock movements and invoice verification.
  • Automatic postings.
  1. Valuation in the Fiscal year.
  • Price control and effects for valuation / account determination.
  • Valuation of goods receipt and invoice verification.
  • Valuation levels, quality / value, split valuation.
  • Zero – value stocks, Non – valuated gross receipt.
  • Revaluation.
  • Integration, posting transactions / postings keys, field control, control / reconciliation account, cost element.
  1. Classification / Batch management.
  • Basics in classification.
  • Batch management.

21. Integration

  • Cross company procurement.
  • MM processes with modules FI, SD, PP.
  • Basis in integration (Project experience or participation in case study)