Archive for the 'MM' Category

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Purchase order pricing date

Published on November 26, 2008 in MM. 0 Comments Tags: MM, Pricing.

Standard purchase order pricing is based on date of purchase order creation. Some vendors let their sales prices be determined by the date on which they deliver the goods (i.e. delivery date). SAP offers standard configuration for this through Pricing date category.

Pricing date categories

The two most relevant pricing date alternatives probably are delivery date and goods receipt (GR) date. You can set this category on different locations:

Vendor Master – Purchasing tab (MK01)
Contracts – Item: Additional data tab (ME31K)
Inforecords – Purchasing Org Data 1 tab (ME11)

Since pricing date is usually determined per vendor, setting the pricing date category on vendor level is often sufficient as the value is copied at time of inforecord/contract creation.

Kowboyz BV / CC BY-ND 3.0

Consumption-based planning and MRP

Published on November 23, 2008 in MM. 3 Comments Tags: MM, MRP.

MRP and Consumption-based planning are two fundamental SAP planning types that can be used to determine a product’s requirements. To avoid any confusion on the subject: I am not talking about the MRP run that is executed through MD01 and MD02. I’m talking about planning types that are set in the Material Master’s MRP1 tab. The MRP type is used in the MRP run to determine HOW procurement and/or production quantities are calculated.

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Dead stock report – MC50

Published on November 20, 2008 in MM. 5 Comments Tags: MM, reporting.

The dead stock report often leads to misinterpretations. Hence a little guidance on the dead stock report.

The dead stock report analyses what part of stock is never touched in a defined period of time. If you look at the below graph you will see stock level through time.

Stock level through time

In analyzing stock movement between period 1 and 5, stock never drops below 30. 30 is your dead stock. It’s the part of stock that was never touched. Now what does this tell you? That’s not easy to say:

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MRP processing keys

Published on November 19, 2008 in MM and PP. 5 Comments Tags: MM, MRP, PP.

NETCH, NETPL and NEUPL are three fundamentally different ways to schedule your MRP run:

NETCH – Net Change Planning
NETPL – Net Change Planning within Planning Horizon
NEUPL – Regenerative Planning

MRP Processing Keys

I will elaborate on these three options and their workings:

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Different planning views

Published on November 16, 2008 in MM, PP, Process and SD. 4 Comments Tags: MM, MRP, PP.

End-users can get confused about the difference between MD04 – Stock/requirement List and MD05 – MRP List. This post will give you the answer on when to use what report and why:

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Price differences info record

Published on October 28, 2008 in MM. 2 Comments Tags: MM.

The price in the info record (EINE-NETPR) does not always agree with the price that is taken from the info record when creating a purchase order. The most common cause is that the condition was updated by condition maintenance. This will not translate into a direct update of the net price in ME13 (display info record). If you want the net price to show exactly as the info record condition, then schedule report/program RM06INP0 (SM36). This will do an update routine and synchronize prices.

Block storage location

Published on October 28, 2008 in MM. 0 Comments Tags: MM.

To block storage location postings the easiest way to achieve this is to use MI01 create inventory document. This is normally used for inventory count. In creating an inventory document (which is used as a counting document) you can select the option to block postings on the location. The storage location block can be undone by deleting or posting the inventory document. In case you do not actually execute a inventory count you wish to delete the document using MI02.

MI01 Block st.loc. through inventory count

Note: In case you are using batch managed materials you will not be able to use this method, since the inventory document will only block existing material/batch combinations. New batches can still be received.

Goods receipt status delivery not updated

Published on October 28, 2008 in MM. 0 Comments Tags: SD.

According to SAP when inbound deliveries are used and your delivery item category is set up for mvt type 101, these should be received with transaction VL32N. If you use MIGO/MB0A instead, the GR status in the delivery will not be updated. If you then report on open deliveries you’ll notice that nothing is received in the course of time. Amazing. Now if you set up the delivery item category without the movement type your inbound will not even be GR relevant. Just one of these things that’s nice hugely critical to be aware of.

Copy price from purchase requisition to purchase order

Published on October 26, 2008 in MM. 3 Comments Tags: MM, price.

SAP does not standard copy the price from Purchase Requisition to the Purchase Order. It is either the price from contract (if referenced), material master, Inforecord or a previously created PO. To enable SAP to take the price from the PR you should create a function authorization profile in customizing:

1) in SPRO go to Material Management > Purchasing > Authorization Management > Define Function Authorizations for Buyers. Then select Function Authorizations : Purchase Order. Here you can define/restrict what a buyer can do in a PO. Make sure that “Order price adoption” is selected.

Order Price Adoption

2) Also you have to assign the Function Authorization you created to a user. Enter the key as a parameter under the parameter ID EFB in the user master (SU3).

User Profile Parameters

3) Now you are set to go. These settings allow the buyer to select in the PR that the price is taken over in the PO. This is a selection in the valuation tab on item level in ME51N. It is not defaulted!

ME51N - PO Price

Inventory Information System

Published on October 26, 2008 in MM. 0 Comments Tags: LIS, reporting.

I bet that if half the SAP end-users knew what wealth of stock information is stored in the inventory information system in SAP tons of money could be saved on custom reports (either R/3 or BW). You can find some cool KPIs in there: a.o. stock turnover, dead stock analysis, slow movers, ABC-analysis. Some fundamental data to actually control your stock levels and improve your bottom line by turning stock into (investment) cash. The information system can be accessed from the main menu with transaction code MCC1. Somehow it’s not accessible when in a transaction using \n. On a critical note: it is worth checking the correctness of some reports, especially time-phased stock reports may show some funny data. At some point in time “die Leute” at SAP thought they could build a business model around providing a separate information system like BW and don’t spend too much effort on the R/3 info system.