SAP SAP MM Syllabus

SAP MM syllabus — full chapter and topic list

Expand any chapter to see its topics and sub-topics. This is the whole examinable outline for SAP MM in SAP, not a summary of it.

1. 1

   Introduction to SAP MM

   2 topics

   • Overview of SAP
     • What is SAP?
     • SAP Modules Overview
     • Introduction to SAP MM
   • SAP MM Architecture
     • SAP System Landscape
     • Client and Server Architecture
     • SAP MM Integration with Other Modules
2. 2

   Master Data in SAP MM

   4 topics

   • Material Master
     • Material Types
     • Material Master Views
     • Material Master Data Maintenance
   • Vendor Master
     • Vendor Account Groups
     • Vendor Master Data Maintenance
     • Vendor Partner Functions
   • Purchasing Info Records
     • Info Record Types
     • Creating and Maintaining Info Records
   • Source List and Quota Arrangement
     • Source List Maintenance
     • Quota Arrangement Maintenance
3. 3

   Procurement Process

   5 topics

   • Procurement Cycle
     • Procurement Types
     • Procurement Cycle Steps
   • Purchase Requisition
     • Creation of Purchase Requisition
     • Approval Process
   • Request for Quotation (RFQ) and Quotation
     • Creating RFQ
     • Maintaining Quotations
   • Purchase Order
     • Creating Purchase Orders
     • Purchase Order Types
     • Purchase Order Release Strategy
   • Outline Agreements
     • Contract
     • Scheduling Agreement
4. 4

   Inventory Management

   5 topics

   • Goods Receipt
     • Posting Goods Receipt
     • Goods Receipt against Purchase Order
     • Goods Receipt against Production Order
   • Goods Issue
     • Posting Goods Issue
     • Goods Issue for Production
     • Goods Issue for Sales Order
   • Stock Transfer and Transfer Posting
     • Stock Transfer between Storage Locations
     • Stock Transfer between Plants
     • Transfer Posting
   • Reservation
     • Creating Reservations
     • Managing Reservations
   • Physical Inventory
     • Physical Inventory Process
     • Cycle Counting
     • Inventory Document
5. 5

   Invoice Verification

   3 topics

   • Invoice Posting
     • Posting an Invoice
     • Invoice Verification against Purchase Order
     • Invoice Verification against Goods Receipt
   • Subsequent Debit/Credit
     • Posting Subsequent Debit
     • Posting Subsequent Credit
   • Automatic Settlements
     • Evaluated Receipt Settlement (ERS)
     • Consignment and Pipeline Settlement
6. 6

   Valuation and Account Determination

   2 topics

   • Material Valuation
     • Valuation Methods
     • Valuation Classes
   • Account Determination
     • Automatic Account Determination
     • Account Assignment Categories
7. 7

   Special Procurement Processes

   4 topics

   • Subcontracting
     • Subcontracting Process
     • Subcontracting Purchase Order
   • Consignment
     • Consignment Process
     • Consignment Settlement
   • Third-Party Processing
     • Third-Party Order Process
     • Third-Party Order Configuration
   • Stock Transport Order
     • Stock Transport Order Process
     • Stock Transport Order Configuration
8. 8

   Reporting and Analytics

   3 topics

   • Standard Reports
     • List of Standard Reports
     • Executing Standard Reports
   • Custom Reports
     • Creating Custom Reports
     • Using SAP Query
   • Analytics Tools
     • Using SAP BW
     • Using SAP HANA

SAP MM flashcards for SAP

18 of 50 cards from the SAP MM deck — real questions with worked answers.

1. What does SAP stand for, and what is SAP MM?

   SAP stands for Systems, Applications and Products in Data Processing. SAP MM (Materials Management) is the SAP ERP module that manages procurement and inventory functions, covering the entire procure-to-pay process, material and vendor master data, purchasing, goods movements, inventory management, and invoice verification.

2. What is an ERP system, and how does SAP MM fit into it?

   ERP (Enterprise Resource Planning) is integrated software that manages a company's core business processes in real time using a shared database. SAP MM is one functional module of SAP ERP that handles materials management and integrates tightly with modules such as SD (Sales), PP (Production Planning), FI (Finance), and CO (Controlling).

3. Name the key sub-modules/functional areas within SAP MM.

   Master data (material and vendor master), Purchasing, Inventory Management (IM), Valuation and Account Determination, Invoice Verification (Logistics Invoice Verification), Material Requirements Planning (MRP), and Physical Inventory.

4. In the SAP organizational structure, define Client, Company Code, Plant, Storage Location, and Purchasing Organization.

   Client: highest independent unit with its own data. Company Code: smallest unit for which a complete legal set of accounts (balance sheet, P&L) can be drawn. Plant: operating/manufacturing/procurement location where materials are produced or stored. Storage Location: subdivision of a plant where stock is physically kept. Purchasing Organization: unit responsible for procuring materials/services and negotiating with vendors.

5. How are Purchasing Organization and Purchasing Group different in SAP MM?

   A Purchasing Organization is an organizational unit responsible for procurement, negotiating prices/terms with vendors, and it is assigned to company codes/plants. A Purchasing Group is a buyer or group of buyers responsible for day-to-day purchasing activities; it is not an org unit assigned to company code but serves as a reference/contact for procurement.

6. What is the Material Master in SAP MM?

   The Material Master is the central repository of all information about a material used by a company. It is organized into views (Basic Data, Purchasing, MRP, Accounting, Sales, Storage, etc.) and is shared across all logistics modules, avoiding data redundancy.

7. At which organizational levels is Material Master data maintained?

   Material Master data is maintained at three levels: Client level (general data valid for the whole company, e.g., material number, description, base unit), Plant level (e.g., purchasing, MRP data), and Storage Location level (e.g., stock quantities).

8. List several important views of the Material Master.

   Basic Data 1/2, Classification, Sales views, Purchasing, Foreign Trade, MRP 1-4, Forecasting, Work Scheduling, Plant Data/Storage, Warehouse Management, Quality Management, Accounting 1/2, and Costing views.

9. What is a Material Type in SAP, and give examples.

   A Material Type groups materials with similar attributes and controls fields, screens, number ranges, procurement type, and account determination. Examples: ROH (raw material), HALB (semi-finished), FERT (finished product), HAWA (trading goods), DIEN (services), NLAG (non-stock), VERP (packaging).

10. What is the Vendor Master in SAP MM, and what data segments does it contain?

    The Vendor Master holds all data on a company's suppliers. It has three segments: General data (client level: name, address, communication), Company Code data (accounting: reconciliation account, payment terms), and Purchasing Organization data (purchasing: order currency, terms, partner functions).

11. What is a reconciliation account in the vendor master, and why is it required?

    A reconciliation account is a General Ledger account (in the Company Code segment) that links the vendor sub-ledger to the G/L. Every posting to the vendor account automatically updates this G/L account, keeping the sub-ledger and G/L in balance in real time.

12. What are Partner Functions in the vendor master? Name common ones.

    Partner functions define roles a vendor plays in a business transaction. Common ones: VN (Vendor/ordering address), OA (Ordering Address), GS (Goods Supplier), PI (Invoicing Party/Invoice Presented By), and PY (Alternative Payee).

13. What is a Purchasing Info Record (PIR)?

    A Purchasing Info Record is master data that stores the relationship between a specific material and a specific vendor, including the vendor's price, delivery time, purchasing terms, and conditions. It enables default data to be pulled into purchase orders.

14. What are the four categories of Purchasing Info Records?

    Standard, Subcontracting, Pipeline, and Consignment.

15. Can a Purchasing Info Record be created without a material master number?

    Yes. An info record can be created for a material without a master record by using a material group and a short text (info record without material master), commonly for services or one-off materials.

16. What is a Source List in SAP MM?

    A Source List specifies the allowed (and blocked) sources of supply for a material in a plant over a defined validity period. It can fix a vendor as the preferred source and can be made mandatory so procurement uses only listed sources.

17. What is a Quota Arrangement, and how is the quota computed?

    A Quota Arrangement divides the total requirement of a material among several sources of supply over a period. Each source gets a quota, and SAP selects the source with the lowest quota rating, calculated as $$\text{Quota Rating} = \frac{\text{Quota-Allocated Quantity} + \text{Quota Base Quantity}}{\text{Quota}}.$$

18. What is the standard Procurement Cycle (Procure-to-Pay) in SAP MM? List its main steps.

    1) Determination of requirements, 2) Source determination, 3) Vendor selection, 4) Purchase order processing, 5) Purchase order monitoring/follow-up, 6) Goods receipt, 7) Invoice verification, and 8) Payment processing.

See more SAP MM flashcards →

Planning SAP MM for SAP

SAP MM (SAP) FAQ