SAP S/4HANA MM Pricing Procedure: Configuration Overview and Key Steps

This PDF document provides an end-to-end view of configuring a custom pricing procedure in SAP S/4HANA Materials Management (MM) module. The pricing procedure is used to combine different charges like gross price, freight, discounts, surcharges, taxes etc.

Following list of pricing procedure steps are covered in the document:

  • Setting up the calculation schema
  • Defining condition types such as taxes
  • Defining schema groups for suppliers and purchasing organizations
  • Assigning schema groups to purchasing organizations
  • Determining calculation schema for standard purchase orders
  • Assigning condition types to calculation schema
  • Assigning schema group to business partner
  • Validating pricing procedure in purchase order
  • Maintaining condition tables
  • Defining access sequences
  • Assigning access sequence to condition types
  • Maintaining condition records

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Special Procurements for MRP in SAP MM: General Overview Guide

This document provides an overview of special procurement types in SAP MM, which are used for specific procurement scenarios that differ from standard procurement. The key sections covered are:

  • What is special procurement and the role of the special procurement type key ?
  • Different special procurement scenarios:
    • Direct procurement
    • Subcontracting
    • Vendor consignment
    • Pipeline procurement
    • Withdrawal from alternate plant
    • Stock transfer

For each special procurement type, the document explains the purpose, configuration settings, and steps involved such as creating purchase orders, goods receipts, consumption postings, and settlement. Key transactions, movement types, and accounting entries are also listed for the different scenarios. Understanding these special procurement types allows handling non-standard material requirements that come up in planning and production.

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SAP MM-SD and SD-FI Integration Points

The integration of SAP modules is essential for efficient business operations. This article explores the key touch points between Materials Management (MM), Sales and Distribution (SD), and Financial Accounting (FI).

Integration PointDescriptionKey Considerations for SAP Consultants
Sales OrderSD triggers the creation of a sales order, prompting MM to check material availability in stock or initiate procurement.Ensure consistent pricing and data across MM and SD.
DeliveryOnce a delivery is created in SD, MM ensures the correct goods are picked, packed, and shipped to customers.Automate delivery processes to minimize manual interventions and errors.
Stock UpdatesAfter goods issue in SD, MM updates inventory levels and triggers relevant accounting entries.Implement regular stock reconciliation to ensure accurate inventory records.
ReturnsWhen returns occur, MM and SD work together to manage reverse logistics and stock updates.Establish clear and efficient return procedures to ensure timely and accurate processing.
Revenue RecognitionSD provides data on sales transactions, enabling FI to recognize revenue and record relevant accounts receivable.Configure revenue recognition rules in FI to align with your accounting policies.
Customer InvoicingSD generates customer invoices, with FI managing accounts receivable and subsequent cash entries.Automate the invoicing process to ensure timely and accurate invoices are sent to customers.
Sales TaxSD calculates taxes like VAT, and FI ensures proper accounting and compliance with tax regulations.Configure tax codes and rates in FI to ensure accurate tax calculations and compliance.
Credit ManagementSD’s credit limits influence FI’s credit exposure and bad debt provisions.Implement robust credit management policies and procedures to minimize risk and bad debts.

Implications for SAP Consultants

SAP consultants can help businesses achieve seamless and efficient business processes by:

  • Maintaining consistent and accurate master data across MM, SD, and FI.
  • Thoroughly testing end-to-end processes to identify and resolve any integration issues.
  • Encouraging cross-functional training to foster better understanding and collaboration between MM, SD, and FI teams.
  • Continuously optimizing MM-SD and SD-FI processes to enhance efficiency, reduce manual interventions, and boost productivity.
  • Staying abreast of SAP updates and advancements.

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A Comprehensive Guide to Setting Up Business Partners in SAP

This document provides a comprehensive guide on setting up Business Partners in SAP.

What is a SAP Business Partner?

A SAP Business Partner is a central repository for data about an organization, person, or group with which a company has a business interest. Business Partners can be used for a variety of business transactions, such as sales, purchases, and payments. They can also be assigned multiple roles, such as sold-to party and ship-to party.

The Use of Business Partners in SAP

The main uses of Business Partners in SAP are:

  • Improved data accuracy and consistency: By storing all business partner data in a single location, SAP Business Partners can help to improve data accuracy and consistency across all applications.
  • Reduced data redundancy: SAP Business Partners can help to reduce data redundancy by allowing the addition of roles to an existing partner instead of creating new data entries.
  • Improved process efficiency: SAP Business Partners can help to improve process efficiency by providing a single point of reference for all business partner data. This can help to reduce the time and effort required to complete business transactions.
  • Enhanced compliance: SAP Business Partners can help to enhance compliance by providing a central repository for data that is required for regulatory reporting.

How to Set Up SAP Business Partners (Customization-Configuration Guide)

The guide provides a step-by-step approach to setting up SAP Business Partners. The following are some of the key steps involved:

  1. Select relevant roles for Business Partners.
  2. Assign number ranges for Business Partners.
  3. Integrate customers and vendors with Business Partners.
  4. Configure field settings for Business Partners.
  5. Customize Customer Vendor Integration (CVI).

Other Key Notes from Document:

The key takeaways from this document are:

  • The Business Partner functionality is recommended for new SAP implementations.
  • The guide provides a structured approach to setting up Business Partners.
  • The document touches upon the importance of number ranges and their synchronization between Business Partners, customers, and vendors.
  • The document provides a step-by-step approach with screenshots, making it a valuable resource for SAP consultants and users.

Overall, this document is a valuable resource for anyone who wants to learn more about SAP Business Partners or how to set them up in SAP. It is well-written and informative, and it provides a step-by-step approach that can be easily followed.

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Automatic Account Determination Process in SAP MM-FI (ECC / S4HANA)

This document is a detailed guide on the Automatic Account Determination Process in SAP MM-FI (ECC / S4HANA). Here’s a summary of the key points from the document:

  1. Integration with SAP MM and FI Module: The FI Module is linked with the MM Module because operations like Goods Receipt and Invoice Receipt directly impact the financial operation of the organization. Inventory postings update the G/L Accounts online in the background.
  2. Roles of Automatic Account Determination: In SAP MM, the procurement process involves costs that need to be paid to the vendor. Some configuration for account determination is done so that the system will automatically determine the correct G/L account that needs to be posted.
  3. Customizing: This involves several steps including:
    • Assigning the Company Code to Chart of Accounts
    • Setting the Valuation level (T-code OX14)
    • Grouping Together Valuation Areas
    • Defining Material type (T-code OMS2) and Valuation class
    • Defining Account Grouping for Movements Types
    • Configuring Automatic Postings
  4. Managing Message number no M8147 Account determination: This issue means that the system cannot update a G/L account for a transaction. You cannot post the transaction. This issue can occur in MIGO (goods receipt) and MI07 (when you post inventory difference in physical inventory). The solution is to use the OBYC t-code and go to the GR/IR clearing account (WRX).
  5. Table (T030) to get the details of OBYC: If you want to know transaction keys based on G/L Account or the G/L Accounts based on Transaction keys / valuation grouping code /Account modifier / chart of accounts, you can use two t-codes: SE11 (to display the structure of the tables (T030)) and SE16N (to see the content of table (T030)).

The document also provides several examples and simulations to illustrate the concepts and steps involved in the Automatic Account Determination Process.

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Configuration of Automatic Batch Determination in SAP MM-IM

The pdf document Inventory Management Process in SAP is a continuation of the guide on how to manage inventory in the MM module of SAP, focusing on automatic batch determination (general overview and configuration steps). Here’s the summary of the sections covered:

  1. Automatic Batch Determination: This section explains the purpose of automatic batch determination in the logistics process, which is used for all types of goods movements from the warehouse to find batches that meet defined specifications.
  2. Configuration of Automatic Batch Determination in SAP:The document provides a detailed guide on how to configure SAP for automatic batch determination. Here are the steps:
    • Define Condition Tables (T-code: OMJJ): This process explains how to define condition tables in SAP, which consist of a number of fields. Among those fields, particular fields are selected and assigned to the condition table.
    • Access Sequences (T-code: OMCX): This process explains how to define access sequences in SAP. For each strategy type, there is a batch determination access sequence. The main function of the access sequence is to allow the strategy type to access the condition tables in a sequential manner.
    • Batch Strategy Types (T-code: OMCW): This process explains how to define batch strategy types in SAP. It is the procedure to select what type of criteria to be used during the batch determination process.
    • Batch Search Procedure (T-code: OMCY): This process explains how to define the batch search procedure in SAP. The batch search procedure defines how the search procedure is defined for the batches.
    • Batch Search Procedure Activation (T-code: OMCG): This process explains how to activate the batch search procedure in SAP. In this step, you can assign the search procedure for the particular Movement Type.
    • Import Standard SAP Characteristics (T-code: BMSM): This process explains how to import all the important standard SAP characteristics by copying them from the client 000. These characteristics are hard-coded in the ABAP functions.
    • Creation of a Class: This process explains how to create a class named as Z-CLASS1 of Class type “Batch (023)” and assign a standard SAP Characteristics “LOBM_VFDAT – Expiration date, shelf life” and LOBM_LWEDT- Date of Last Goods Receipt to this class.
    • Material Master Settings (T-code: MM01): This process explains how to add the class to it in the classification view, activate batch management in the purchasing view, and give data for remaining shelf life and total shelf life in the Plant storage1 view.
    • Create Sort Sequence in CU70: This process explains how to create a sort sequence in CU70 and assign your characteristic value to it. This step is repeated for both FEFO and FIFO methods.
    • Create Batch Search Strategy (T-code: MBC1): This process explains how to create a batch search strategy in SAP. This step involves entering the Strategy type ME01, Movement Type 201, a plant, and the material number, and adding Classification and Sort Rule.
  3. Test Functionality: This section provides examples of how to test the functionality of automatic batch determination in SAP, covering three methods: First Expired, First Out (FEFO), First In, First Out (FIFO), and Last In, First Out (LIFO). For each method, it explains the concept, the steps to perform a goods receipt (GR) and goods issue (GI) in SAP, and how the system determines the batch based on the method used.

The document concludes by providing screenshots of the SAP system for each step of the configuration and testing process.

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SAP MM Inventory Management Guide: Goods Issue, Transfer Postings, Stock Transfers

The pdf document of Inventory Management Process SAP is a continuation of the guide on how to manage inventory in the MM module of SAP. Here’s the summary of the sections covered:

  1. Goods Issue (T-code: MIGO): This section explains the concept of goods issue, which means moving a stock out of inventory due to several reasons like withdrawing of material for sampling or returning the goods back to the vendor. It covers goods issue for scrapping (Movement type – 551), goods issue for cost center (Movement type – 201), and goods issue with reference to a reservation.
  2. Transfer Postings (T-code: MIGO): This section discusses various types of transfer postings, including transfer stock from Quality Inspection to Unrestricted Use (Movement type – 321), Material-to-Material Transfer (Movement type – 309), and Consignment to Warehouse (Movement type – 411k).
  3. Stock Transfer (T-code: MIGO, MMBE): This section explains the process of stock transfer, including one-step procedures between storage locations (Movement type – 311), two-step procedures between storage locations (Movement type – 313, 315), one-step procedure between plants (Movement type – 301), and two-step procedure between plants (Movement type – 303, 305).
  4. Stock Transport Order Without Delivery (T-code: ME21N, MIGO, MB5T): This section explains the process of stock transport order without delivery, which involves not only Inventory Management but also Purchasing in the receiving plant. The goods issue posting in Inventory Management is carried out without the involvement of Sales (SD).
  5. Stock Transport Order with Delivery (SD) (T-code: ME21N, VL10B, MIGO): This section explains the process of stock transport order with delivery, which involves the receiving plant entering a stock transport order with order type UB and item category U. The stock transport order is used to plan the movement.

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SAP MM Inventory Management Guide: Movement Types, Goods Receipt and Reservation

This pdf document of Inventory Management Process In SAP is a guide on how to manage inventory in the MM module of SAP. Here’s the summary of the sections covered:

  1. Movement Types (T-code: OMJJ): This section explains the role of movement types in SAP, how to customize them, and provides examples of movement types.
  2. Goods Receipt (T-code: MIGO, ME23N): This section provides a guide on how to manage goods receipt in SAP, including receipt into unrestricted stock, quality inspection stock, and blocked stock. It also covers automatic creation of purchase orders during goods receipt, return delivery for goods receipt, entering a subsequent delivery, goods receipt without a purchase order or production order, and checking and calculating the Shelf Life Expiration Date (SLED) in SAP.
  3. Units of Measure in Inventory Management (T-code: MM02): This section discusses how you can purchase raw material with one unit of measure (e.g., kg) but maintain the same goods in your inventory management with another unit of measure (e.g., pc).
  4. Cancellation in MIGO (T-code: MIGO): This section provides an example of how to cancel a transaction in MIGO if a mistake was made during the entry of stock.
  5. Reservation (T-code: MIGO, MMBE): This section explains the concept of reservation in SAP, which is the process of blocking stock in advance so that it can be available at a particular point in time. It also covers goods issue with reference to a reservation.

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SAP S/4HANA MM Guide – Flexible Workflow for Purchase Requisitions

The flexible workflow allows you to define condition-based workflows for approval processes. It supports both overall release (header-level approval) and release of purchase requisition items (item-level approval). Notifications about new work items can be sent to approvers via the SAP Fiori launchpad or email.

This pdf document is a 9-step guide on how to set up and use the flexible workflow for purchase requisitions in SAP S4HANA MM. Here’s a summary:

  1. Check Automatic Workflow Customizing: This step ensures that the automatic Customizing is active for the workflow functionality. It can be done in transaction SWU3 or in Customizing for SAP NetWeaver.
  2. Activate Flexible Workflows Scenario: This involves activating the workflow scenarios for a type of business document, such as a purchase requisition. It’s done in Customizing for SAP NetWeaver.
  3. Define Step Names and Decision Options in My Inbox: This step involves checking step names and decision options to be used in the app My Inbox. It’s done in Customizing for SAP NetWeaver.
  4. Define Visualization Metadata for My Inbox: This step ensures that the app My Inbox is available and set up for your approvers. It involves entering data in Customizing for Materials Management.
  5. Deactivate Event Type Linkages for SAP Business Workflows: This step involves deactivating workflows based on old workflow scenarios. It’s done in transaction Event Type Linkages (SWETYPV).
  6. Generalize Tasks and Activate Event Type Linkages for Flexible Workflow: This step ensures that the system events are linked to your workflow scenarios, and defines the potential agents of workflow tasks to clearly define the organizational responsibility for processing work items.
  7. Register Gateway Service for Value Helps: This step involves registering an OData service to enable the value help in the flexible workflow. It’s done in transaction Activate and Maintain Services /IWFND/MAINT_SERVICE.
  8. Adapt Flexible Workflow Settings: This step involves adapting the default settings, if required. By default, the flexible workflow is active for the document types NB (standard purchase requisition) and NBS.
  9. Adapt the Conditions under Which the Flexible Workflow is Restarted: This step involves selecting or deselecting the fields that exist in purchase requisitions. Whenever the values of these fields are updated in a purchase requisition, the system triggers a restart of the approval process.

The document provides detailed instructions and screenshots for each step. It’s intended for users who are setting up or managing the flexible workflow for purchase requisitions in SAP S4HANA MM.

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Master Data in SAP MM: Sample Guide for Healthcare Industry

The purpose of this manual is to provide a comprehensive guide for end-users on Material Master Management in SAP MM specifically tailored for the healthcare industry. Material Master Management plays a crucial role in managing the procurement, inventory, and supply chain processes for healthcare organizations. This manual is designed to help end-users understand the key steps for the maintenance of Material Master Management in SAP MM, and how they can effectively use it to streamline their day-to-day operations and control over their materials and inventory.
In this document you will also find specific material types created for healthcare industry which can be a reference if you are involved in SAP project implementation team.

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