Course Price$ 499.00
· Business Process
· How MM Module work in R/3
· Implementation Training
· Integration with other Modules
· Real-time Training with End to End Implementation Process.
Introduction to ERP
- What is ERP?
- Why we need ERP?
- Use of ERP business world
- Advantages of ERP
- Major ERP Packages
Introduction to SAP & R/3 Architecture
- What is SAP?
- History & Features of SAP
- Advantages of SAP over other ERP packages
- SAP R/2 Architecture (Limitations of R/2 Architecture)
- SAP R/3 Architecture (Types of work processes)
- SAP Screens
- Features of SAP Navigations
- Organization Data
- Master Data
- Integration with other modules
- Creation of Plant
- Storage Location
- Purchase Organization
- Standard Purchase Organization
- Reference Purchase Organization
- Purchase Groups and Assignment
- Material Types
- Assignment of Number Ranges to Material Types
- Creation of Materials Master
- Material Groups
- Change and display of Material Master etc
- Vendor Account Group
- Number Ranges
- Assignment of Number Ranges to Vendor Account Groups
- Creation of Vendor Master
- One Time Vendor
- Partner Functions
PURCHASE INFO RECORD
- Number Range for Info Record
- Creation of Info Record with and without Plant etc.
- Change and Display of Info Record etc.
- Number Range for PR
- Define New Document type
- Requisition or Tracking No.
- Source Determination
- Assignment of Source
REQUEST FOR QUOTATION
- Number Range for RFQs
- Define New Document type
- Create/Change/Display RFQ
- Print/Transmit RFQ
- Maintaining Quotations
- Rejection of Quotation
PRICE COMPARISON OF QUOTATIONS
- Comparison of Quotations with Mean Price
- Maximum Price and Minimum Price
- Use of Collective Number for Comparison
- Number Range for Purchase Order
- Create/Change/Display PO
- PO with Reference to PR/Quotation/Contract
- PO w/o Material Master
- Number Range for Contracts
- Value Contract
- Quantity Contract
- Centrally Agreed Contract
- Contract Release Order
- Contracts with Reference purchase Organization
- Number Range for Scheduling Agreements
- Creation of Scheduling Agreements
- Delivery Schedule
- Difference between Contract and Scheduling Agreement
- Domestic/Import Pricing Procedure
- STO Pricing Procedure
Release Strategies for Purchase Documents
- Release Procedure for PR
- Release Procedure for External Purchasing Documents
- Number range for Material Documents
- Movement Types
- GR W.R.T Orders/Deliveries/Others
- Different stock types for GR
- Reversal of GR
- Cancellation of GR
- Accounting Documents etc.
- GI W.R.T Order/BOM/Others
- A/C Document
- Plant to Plant/Store to Store
- One Step Procedure
- Two Step Procedure
- Quality Stock to U/R Stock
- U/R Stock to Blocked Stock
- Blocked Stock to Quality Stock
- Manual Physical Inventory
- Cycle Counting
LOGISTIC INVOICE VERIFICATION
- Invoice verification
- Subsequent Credits
- Subsequent Debits and Credit Memos
- Parking of Invoices
- Blocking and Release of Invoices
- ERS etc.
SPECIAL PROCUREMENT PROCESS
- Pipeline Materials
- Sub Contracting Process
- Returnable Transport Packaging etc
- Third Party
- Intra and Inter Company Stock Transfer
- Service Master Record
- PO for Service
- Service Entry Sheet
- Invoice Verification for Service
SAP MM & FI Integration
VALUATION AND ACCOUNT DETERMINATION
- A/c Determination with Wizard
- A/c Determination w/o Wizard
- Split Valuation
SAP MM & PP Integration
- BATCH MANAGEMENT
SAP MM & SD Integration
- STO’s (Stock Transfer Orders)
Third Party Procurement
Interview Questions & Answer
1) Explain what is SAP MM?
SAP MM (Material Management) is a functional module in SAP which deals with procurement handling and material management. This sap MM module contains master data, system configuration and transactions to complete the procure to pay process.
2) What are the uses of SAP Material Management Module?
SAP Materials Management module belongs to the logistics aspect of ERP. It mainly manages the procurement activities of an organization.
It supports all material aspects of management like planning, controlling and so on.
It also incorporates key modules like Sales, Distribution, Plant Maintenance, Production Planning, Project and Warehouse Management.
3) What does the Procurement Process in ERP comprise of?
All activities involved in buying of materials and procuring services from various dealers and vendors comprises the Procurement Process.
4) Explain the Procurement Lifecycle.
Information and requirements gathering
Collecting information about a product and its quantity is the foremost step of Procurement. Then the suppliers for that particular product who can cater to the requirements must be then tracked down.
Once the suitable suppliers are chosen, they must be contacted for a quotation request.
The suppliers history, quality of his previous products, terms of warranty, service and maintenance must be investigated. Some samples may also be investigated if needed.
Negotiation and Contract
Negotiations regarding price, delivery schedule and availability are done. Then, the contract is signed that becomes a legally binding document between the supplier and the company.
Then the order is shipped and delivered to the concerned party and supplier is paid accordingly. Any training for installation and use is undertaken.
Once the product is in use, continuous evaluation and feedback are given.
5) What are Consignment Stocks?
Consignment stocks are those materials that are in the store premises but still belong to the vendor. If company use material from this stock, they have to pay to the vendor.
6) What is the code used for extension of the view of material?
The code used for the transaction of the material view is MM50.
7) What is the code for deleting a particular batch?
The code for deleting a batch is MSC2N. Alternatively, if one flags the batch of the master record then the batch record can be deleted completely.
8) What Are the Organizational Levels of The Enterprise Structure In R/3?
The top level of the organizational plan is the Client, followed by Company Code, which represents a unit with its own accounting, balance, P&L, and possibly identity (subsidiary). The next level down is Plant, an operational unit within a company (HQ, Assembly Plant, Call Center, etc.). The Purchasing Organization is the legally responsibly group for external transactions. This group is further subdivided into Purchasing Groups.
9) What is Goods Receipt in SAP system?
After processing of purchase order by vendor, material is delivered to ordering party and this process is called as goods receipt. So, goods receipt is the phase in which the material is received by the ordering party and the verification of condition and quality is done by the party. Once material is verified against quality then goods receipt is posted.
10) What is Data Archiving in Material Management?
Data archiving removes mass data which is no longer required by the system (but that still should be available for reporting) from the database. The SAP data archiving concept is typically based on the archiving objects of the Archive Development Kit (ADK).
11) What is a material master and why are they used?
The material master stores all of the information that allows the management of the different materials within the organization, which is sorted on different criteria. Materials are stored as a single database object within the system to ensure that all redundancy and duplication of data can be avoided. As a single database object, all other departments have access to that data and the departments can share the same data. Departments such as inventory department, the purchasing department and materials planning, all of them use the same single database object for materials.
12) Name some of the industry sectors defined in the material master data?
The various Industry sectors defined in the material master data are the beverage industry, the chemical industry, the aerospace and defence industry, the pharmaceutical industry, the food and related products industry, the plant engineering industry, the construction industry, services industry, and the retail industry.
13) How Do We Create a Vendor Number Range?
When you create a number range, it is important to remember that vendor numbers, such as material numbers, can be assigned externally or internally. You can create vendor number ranges by selecting the following navigation path: IMG > Financial Accounting > Vendor Accounts > Master Data > Preparations for Creating Vendor Master Data > Create Number Ranges for Vendor Accounts.
For configuring the vendor number range, one should enter a unique number for the range, which is a two character field, and then specify the limit for the number range. The current number field is used to define the current number. The Ext. field specifies whether the number range is defined externally by the user.
14) What are the Categories of Purchasing Information Records?
The categories of purchasing information records are as follows:
- Standard— it Contains information for the standard purchase order. In this type of purchasing info record, you can create info records for materials and services that do not have master records.
- Subcontracting— it Contains ordering information for subcontract orders.
- Pipeline—it Contains information on commodities which are sent through a pipeline, such as oil or water.
- Consignment— it Contains information on materials that are in the vendor's possession and are kept by the vendor at some other premises at his own cost.
15) Can a Purchasing Info Record Be Created without a Material Number?
Yes, one can create a purchasing info record without a material number. If the material does not have a material number, one will need the following information to create the purchasing info record:
- Material short text
- Order unit
- Material group
- Short term key
16) How do you perform an Invoice Verification?
If the Invoice refers to an existing document (PO, etc.), then the system pulls up all of the relevant information such as Vendor, Material, Quantity, Terms of Delivery, and Payment Terms etc. When the Invoice is entered, the system will find the relevant account. Automatic posting for Sales Tax, Cash Discount, Corrections etc. When the Invoice is posted, certain data such as Average Price of Material and Price History are updated. Use Transaction MIRO.
17) What is subcontracting cycle.
When the material is sent for subcontracting i.e. some value addition, it is converted into a different material. It needs a BOM to define the components of the finished item being received.
18) How is scrap accounted in subcontracting?
The scrap or the process loss can be adjusted while doing a quality inspection of the material received after subcontracting.
19) What is the difference between a Purchase Requisition and a Purchase Order?
A PR is an internal document that sends notification to purchase department when some material or service is required. PR can be generated by department that needs any material or service.
A PO is a document sent to vendor by purchaser which is an official request of mentioned material or services. POs are generally binding on purchaser, although it depends on terms and conditions mentioned in PO.
20) What is the difference between Contracts and Scheduling Agreements?
A contract is a pre-determined long term agreement to supply material or service for a certain period of time. Specific delivery dates are not mentioned in the contracts. Contracts can be of two types: Value Contract or Quantity contract
In Scheduling agreements, we can enter scheduling lines which gives details of quantity that should be delivered on specific date. Plant must be entered in Scheduling agreements so, that materials can be delivered at plant. These are generally used for those materials whose requirements are predictable.