SAP MM Question and Answer

1. What are the Master Data in SAP MM?

ANSWER

Material Master

Vendor Master

Source List

Purchase Info Record

Quota Arrangement

Material Master Tables:

*Tables of Material:

MARA - General Information

MARC - Plant Data

MARD - Storage loc Data

MARM - UOM

MAKT - Material Description

MBEW - Material Evaluation

MAST - Material linked to BOM

MCHB - Batch Stocks

*Vendor Master Tables:

LFA1 - General Data

LFB1 – Company code Data

LFM1 - Pur org Data

LFM2 - Purchase Data

LFBK - Bank Details

*Source list Table:

EROD

*Purchase Info Record Table:

EINE & EINA

 2. What are special Procurements? Explain the Process?

Subcontracting

Defn:- It is the process where we issue the Raw materials (Child Parts) to the vendor with which it
Produces the end Parts or Vendor make finish or semi-finished products and supply back to us.

Process:

Step1: Create BOM for Child/raw materials - CS01

Step1: Create Purchase order for finished material with item category L

Step3: Transfer Posting Raw material with movement Type - 541 (Issue Subcomponents to
Subcontractor)

Step4: Goods receipt with respect to Subcontracting PO

Movement Types: In GR

+101 & -543

Accounting entries at goods receipt

Consider 2 subcomponents

Stock Account for finished material BSX (+)

Change in Subcontracting stock BSV (-)
GR/IR Clearing Account WRX (-)
Subcontracting Charges FRL (+)
Stock Account of Subcomponent BSX (-)
Consumption account of Subcomponent GBB-VBO (+)
Stock Account of Subcomponent BSX (-)
Consumption account of Subcomponent GBB-VBO (+)
Stock Account for Scrap Material BSX (+)

Pipe line Procurement

A pipeline material is a material that enters production process directly from pipeline via pipe, cable
etc (water, oil, electricity)

There is no PO and Goods receipt and stock these for materials

We record only consumption

Steps

1. Create pipeline material with material type PIPE-MM01

2. Create pipeline info record, maintain price and tax code are mandatory-ME11
3. Maintain output condition record for output type KON (MRM1)
4. Stock is directly consumed from pipe line via 201P/261P – MIGO

Accounting entries at GI

GBB-VBR (+)

KON (-)
 5. Pipeline settlement – MRKO

KBS (-)

KON (+)

Consignment Procurement

Prerequisites

1. Special Procurement type Consignment has to be given in materials master (Optional)-

MM01(MRP view)
2. Create consignment info record - ME11(Mandatory (Price and Tax)
3. Maintain output condition record for output type KON (Consignment account payable)-
MRM1

Steps

1. Create purchase order with item category K – ME21N (Condition tab will disappear)
2. Goods receipt against Consignment PO -MIGO
No Accounting Entries
MB54/MMBE (Stock Overview)
3. Transfer consignment stock to own stock-MIGO
Movement type 411 K
Accounting entries
BSX (+)
KON (-)
4. Invoice Settlement-MRKO

KBS (-)

KON (+)

Goods Issue from Consignment Stock – 201 K

Return Delivery from consignment stock – 122 K

GI to production Order – 261 K

3. What is Inventory Management?

Def: Managing material stock by maintaining proper record.

*What are the Stock types in inventory management

1. Unrestricted Stock Type

2. Blocked Stock - stock is blocked from any usages, expect transfer posting.

3. Quality Insp Stock type

4. Transfer stock type - trans stock from one org unit to another (Twostep process)

5. Stock in Transit

6. Vendor consignment stock

7. Customer Cong stock

8. On order stock

9. Project stock

4. List some of Movement types in Inventory Management?

 101 - Goods Receipt wrt PO
 102 - cancellation GR
 121 - Subsequent Adjustment
 122 - Return Delivery to VN wrt Material Doc
 123 - Cancellation Return Delivery to VN wrt Material Doc
 124 - Return from GR Block stock to VN
 161 - Return to VN wrt return PO
 322 – transfer posting stock from Unrestricted to Quality
 321 - transfer posting stock from Quality to Unrestricted

5. What is GR block Stock?

It is two step Goods receipt (103 & 105)

6. What is Release strategy , explain the configuration steps involved in it?

It is used to setup Approval procedurers for Purchase Documents

*Communication structure/Table for Purchasing Dcouments:

1. PR - CEBAN

2. PO - CEKKO (PO, SA, RFq)

3. Service Entry Sheet – CESSR

Process Steps:

Step1: Create Charachterstics - CT04

Step2: Create Class - CL02

St 3 - Assign Char to class

st 4 - Define Release Grp

st 5 - Def Release Code

St 6 - Set Rel Strategy (Assign Code , REL statuses, Simulate)

7. What is Automatic Account Determination and Explain the steps involved in it?

Automatic Account Determination is the process that automatically determines the General Ledger
(G/L) accounts for business transactions. The Automatic Account Determination process is triggered
when a goods movement or the invoice is posted. The system first determines the valuation class for
the material involved in the transaction.
The valuation class is a set of rules that define how the material is valued and how the G/L accounts
are determined.

Once the valuation class is determined, the system uses the following information to determine the
G/L accounts:

 The account determination group in the material master

 The posting key for the goods movement or invoice

 The valuation area for the material

 The company codes

 The chart of accounts

Backend Settings related to Automatic Account Determination: SPRSAP REF.IMMATERIAL

MASTERVALUATION & ACCOUNT ASSIGNMENTACCOUNT DETERMINATIONACCOUNT
DETERMINATION W/O WIZARD

Step1 – Define Valuation control

Here we active valuation grouping code

Stet2 – Group Together valuation Areas

Here valuation areas are grouped

Step3 – Define Valuation Class

>Account Category Reference (Newly created)

>valuation class – Assign Val Class to Account category reference

> Material/Account Category Reference - Here Material type & Account category reference will be
assigned

8. What is stock Transfer Order and Types of Stock Transfer Order?

Transfer of stock between the two plants Is called STO

Types of STO:

1.One Step – Transfer Posting (Movement Type 301)

Plant1 --------301-----------Plant2

2.Two Step

Plant1---------303-----------Stock Transfer--------305-----------Plant2

3.STO Without Delivery (MMSTO)

4. Intra STO – Transfer the material b/w two plants with in the same company code

5. Inter STO - Transfer the material b/w two plants with in the different company code
 9. What is split valuation and configuration steps?

It is used for a material valuation to be separated

For EX – Based on Origin, Based on A,B,C category of materials.

Process and Configuration Steps:

OLMW (Valuation and Account Assignment) Split Valuation

Step1: Activate split valuation

Here split valuation material should be Activated

Step2: Configure Split Valuation

A. Global Types
Here you can create valuation Types for Example: Two different like India & Japan

B. Global Categories
Here we will create valuation category which will be a one digit (ex: x/y/z) which we are going to
assign in material master in accounting view and also activating valuation type

C. Local Definitions
Here we will activate the plant which required split valuation.

After all the will extend the valuation type for materials after assigning valuation category for
material.

10. Difference between Intra and Inter STO?

Intra

1.Transfer the material b/w two plants with in the same company code
2. Doc Type - UB
3. Delivery Type – NL
4. Shipping - Supplying Plant
5. NO Billing
6. Mv Type – 641
7. MIRO
Inter
1.Transfer the material b/w two plants with in the diff company code
2. Doc Type - NB
3. Delivery Type – NLCC
4. Supplying Vendor
5. Billing
6. Mv Type – 643

11. Diff B/W ECC and SH HANA – Document Provided

12. What is Fiori and Types of Fiori - Document Provided

13. what is output determination and explain the configuration step?

Definition: Output message determination is the process of determining and assigning the
appropriate output message types to specific documents. It enables the system to generate and
distribute various types of output messages, such as printouts, emails, faxes, or EDI messages, to the
Vendors.

Steps to be followed in Output Determination: CONDTION TABLE ACCESS SEQUENCE MESSAGE

TYPES MESSAGE DETERMINTION SCHEMA CREATE PURCHASE ORDER

Configuration Steps:

SPRSAP.REF.IMMATERIALSMANAGEMENPURCHASIN MESSAGEOUTPUT CONTROL

Step1: Create condition Table

Def: The condition table is a representation of various parameters that are used to determine when
an output message should be generated

Def Condition Table for Purchase Order

Here we create 3-digit condition table and assign the required fields and generate the table

EX: 555/678

Step2: Access Sequence

Def: An Access sequence is a searching strategy in which the system evaluates condition records to
determine the appropriate output message type. It specifies the sequence in which the system
checks condition records based on specific criteria.

Def Access sequence for Purchase Order

After Creating the Access Sequence as EX: 0005, now assigning the Condition Table to Access
Sequence, so that the system will know which fields are there for this Condition table, while creating
the Purchase Order the system will find the condition record based on this combination.

Step3: Message Type

Def: A Message type, it is the medium of the output message. It determines how information is
presented and transmitted to recipients, such as vendors, customers, or internal departments.

Def Message Type for Purchase Order

Select the Standard Output Message Type NEU to create a customize Output Message Type by copy
as it, created a Customized Output Type YNEU by copying a standard Output type

Step4: MESSAGE DETERMINATION SCHEMA

Def: It defines the sequence in which the system evaluates conditions and selects the appropriate
output type.

Def Message Schema for Purchase Order

After Selecting the Define Message Schema for Purchase Order, Select the Maintain Message
Determination Schema: Purchase order to define a new Message Determination Schema.
Select the Standard Message Determination Schema RMBEF1 to define a new determination schema
by copy as it.

After copying it, Give the Naming Convention for it as EX: YRMBEF

Then select Assign schema to purchase order, Assign the Determination schema to the Application.

14. What is outline Agreements and explain the types?

Def: It is a long-term purchasing Agreement with the Vendor, for supplying materials & performance
of service according to the predefined conditions.

Types of outline Agreement:

1. Scheduling Agreement - Validity periods /Total qty condition

2. Contracts - Quantity contract & Value contract

Scheduling Agreements:

Def: - It is a long-term purchasing Agreement with the Vendor, for supplying materials &
performance of service according to the predefined conditions.

Two Types Doc Type (Scheduling Agreement)

1. LP - without release Doc

2, LPA - With Rel Doc

LP - The Schedule lines are immediately transmitted to the vendor by the movement you save
Schedule Lines.

LPA - with REL Doc

Two Types of Delivery Schedules

1. JIT - Just in Time

2. FRC - forecast

*JIT can be used to create or inform to VN for a short term/near future requirement (Daily/Hourly)

*FRC can be used to create or inform to VN for a medium term based on forecast demand

Contracts:

Def: Contracts are based on the target qty or Value with validity periods as per agreed terms and
conations.

Types of contracts:

1. Quantity (MK)

2. Value (WK)

3. Distributed - Centrally agreed contract.

Contracts will be created with ref to PR & RFQ

 Projects questions and Answers
1.What Is ASAP Methodology and Explain the Phases involved in it?
The ASAP (Accelerated SAP) methodology provides the roadmap for optimizing and continuous
implementation of SAP systems in Business Process.

There are mainly 5 phases involved in this process:

1. Project preparation
2. Business Blueprint
3. Realization
4. Final preparation
5. Go-Live & Support

1. Project Preparation: During this phase the team goes through initial planning and preparation for
SAP project. • Modules, Team size, Duration, Budget etc.,

2. Business Blueprint: In this phase team will create the business blueprint, which is detailed
documentation of results gathered during requirement workshops.

• System Landscape, Implementation Date, Completed and signed off Process Design etc.

AS-IS process: - Gathering the information of the client current process and implementing same in
SAP Process

TO-BE Process: - creating different types of process for ex: creating new Documents Types,
material types, number ranges.

After Sign off Blueprint from client will start configuration in next steps

3. Realization: In this phase you will implement all the business and process requirements based on
Business Blueprint.

• Configuration/Customization, Developments, Integration Test, User Acceptance etc.,

RICEFW’s in SAP projects and role of functional consultant

RICEFW means Reports (R), Interface (I), Conversion (C), Enhancements (E), Forms (F) and Workflow
(W).

Reports: A SAP report is an executable program that reads data from the database and generates
output based on the filter criteria selected by the end user. It is like display of data based on some
selection. Execution of an SAP report almost never leads to an update of the database

The various categories of reports are —

1. Standard SAP reports — ex. COOIS, MD04 etc.
2. Custom reports – developed by organization
3. Ad hoc queries

Interfaces: In some organizations some of the business processes like Planning, Quality Management
functions are executed or maintained in external systems (non-SAP systems). For example, for
Planning they use third party systems like M2, ADS and for Quality they use LIME. We need to send
the data from SAP to those Non-SAP systems and receive the data from them back to SAP system.
Normally IDocs are used for this data transfers.
Conversion: A Conversion means data that is converted from one format to another format and
from one system to another. So, when you first implement SAP, you are actually replacing some of
your legacy systems, but you are not completely trashing the data. You still need some of that data
from the systems that are being replaced. So, you pull the data out of your legacy systems and put
them on some files. You then want to load that data into your new SAP system. That is when you
write some programs which will read that data and load it into SAP. So, during go live, you want to
transfer the Production orders from from your legacy system to SAP. Now a Production order in your
legacy system may not have the same fields as a Production Order in SAP. So, you convert the data.
Ex: BDC, LSMW Functional consultant needs to co-ordinate between business team and ABAP team
for this. He has to prepare upload file format for this, based on the tool or program developed by the
ABAP team then they have to collect the data from business team which is filled in to the files then
later on upload the data in to SAP system…a typical BOM upload files looks as below….

Enhancements: Enhancements are the means by which we add our own/ modify existing
functionality to SAP’s standard business applications. Some requirements from the client cannot be
met with Standard SAP. That time we need to go for enhancements. Normally enhancements are
done through user exits, customer exits, BADI’s and enhancement frameworks…. one example we
can take here is during production order execution if do not complete goods issue for a production
order still system allow to do goods receipt for that particular production order. Now business asks
to restrict this or they want control for this. Now we need to give the logic to the ABAP team to put
control for this so that goods receipt of the order is only allowed after the completion of goods issue
of that production order. ABAP team finally implement these enhancements based on the logic
provided by the functional consultant… Forms: Forms are nothing but printouts taken from SAP. like
Process order print, Inspection lot Certificate of analysis (COA). Standard SAP comes with pre-
configured layout and design of the forms. but these standard forms will not meet customer
requirements. during this time, we need to develop custom forms in coordination with ABAP team…

Workflow: Workflow, as the name suggests, means of flow of work, may be from one person to
another person. It is in fact a sequence of connected activities resulting in exchange of information…
examples like when the production order is released mail to be triggered to production manager or
when UD is rejected for particular inspection lot then mail has to be triggered to quality manager….
For this functional consultant coordinate with ABAP team and will provide the details like what data
has to be sent, under which condition this workflow to be triggered…

4. Final Preparation: In this phase testing is completed. Team will complete testing to finalize your
readiness to go live. Serves you to resolve all critical open issues, upon successful completion of this
phase.

• Data Converted, Unit test, Cut-Over Plan, End-Users Trained etc.,

Cutover Activity - Here we will upload Material master by using LSMW., Class, characteristics and
Number Ranges.

5. Go live and Support: In this phase all development objects move from a project-oriented,
preproduction environment to live production operation.
Land Scape in Realization Phase

Development Server Quality Server Production Server

120
100

FUT
200

110 SIT

UAT

100 – Configuration Client 120 – Testing

110 – Testing Client

FUT – Functional unit Test (where we execute scenario testing and other customized testing)
SIT – System Integrated Testing (where we will do cross Module Testing)
UAT – User Acceptance Test (where we will test the business process in quality system to get user
acceptance.

2. Have you worked on FDD, TSD, FSD?

Answer: Yes, I have worked on FDD (Functional Design Documents) in Business blue print phase,
where we show the Business process steps as per the business requirements.

TSD: Yes, I have worked on TSD for developing Report for providing logic.

FSD: Yes, I have worked on one small enhancement in PO to make storage loc field to make Greyed
Out

3. Experience in handling Team?

NO, I am working as a part of Team from MM side

4. Experience in Creating BPP Document Creation?

BPP – (Business Process Procedure), Yes, I have created BPP for all the Business Process step by step
execution for training Users.

5. What is cutover Activity?

This we will do before moving changes to Production below are the Example:

1.Upload Open PO’s, PIR, source list

2. Upload Materials/vendor through LTMC in S4 HANA & LSMW in ECC
3. Create Class, Characteristics and Number ranges in Production System
4. Custom code Validation
5. What is reporting tool your Using?

Answer: Solution Manager

Def: SAP Solution Manager (SolMan) is a module of SAP that provides functionalities like integrated
content, methodologies, tools etc. to implement, operate, monitor and support an enterprise’s SAP
solution. SAP solution manager manages the SAP and Non-SAP solutions in the IT landscapes of an
organization. It supports the underlying IT infrastructure and business processes

SAP solution manager provides you the tool, content, and gateway to create, manage, operate and
monitor your solutions over time.

Process Flow: 1. The roadmaps contain all the information about project phases and implementation
of the project.
2. You start to use the SAP solution manager towards the end of the evaluation phase. Define your
project in the SAP solution manager.
3. Set the project scope in the project definition.
4. Define the system landscape required for the implementation of business process.
5. It defines a Business Blueprint by documenting the organizational unit, master data, and business
scenarios etc, required for the implementation of a business process.
6. Configure business scenarios in the development system.
7. Check the test cases delivered and assign further test cases to processes and process steps.
8. Check the consistency of the customizing of your business processes.
9. Organize test and can reuse the test cases selected during configuration.

Benefits of SAP Solution Manager: 1. Lowering Cost: SAP Solution Manager helps you make the
most of SAP’s support services-significantly lowering your total cost of ownership.
2. Automated Alerts: There is no need to search out system error manually; the team will be
instantly notified of any issues or errors automatically.
3. Improved patch and upgrade management: Just one system will manage crosssystem patch
updates and synchronization.
4. Automated configuration tracking: A fully maintained knowledge repository enables users to keep
track of all configuration changes.
5. Centralized Management: It acts as a central point of control for the entire solution landscape and
centralized management for the multi-component projects.
6. Reduces Administration Effort: It does real time monitoring of systems, interfaces and business
process which reduces administration effort.
7. Easy Integration: Integrates with IT landscapes that include both SAP and non-SAP applications. 8.
Faster ROI: It accelerates implementation and continuous improvement. Availability of
implementation roadmaps, best practice documents and SAP solution management services speed
learning and accelerate project