SAP Material Management is known as SAP MM, it is an integral part of logistics area of any organization, and it heavily supports every aspect of Material management, i.e., Planning, controlling, procurement, etc. The Material Management module makes sure that there is a smooth flow of materials, and there is no shortage in it. SAP MM also increases the material management activities and improves the overall cost efficiency of the organization.
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Introduction to SAP MM
SAP materials management is a module of the central ERP SAP component (ECC), which offers companies functions for inventory, inventory, and warehouse management. The main objective of SAP MM is to ensure that materials are always kept in reasonable quantities and without errors or gaps in the company’s supply chain. It also helps supply chain experts and other SAP users complete the purchase of goods quickly and economically while addressing daily changes in these processes. SAP ERP Materials Management is part of the functionality of SAP Logistics. The SAP logistics function integrates several areas, which together support the transport of material from the producer to the consumer. Logistics is the management of commercial operations, including procurement, storage, transport, and delivery of goods along the entire supply chain. Item management includes many aspects of SAP functionality, including purchasing, goods receipt, item storage, inventory, and billing.
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SAP MM Characteristics :
- SAP MM is one of the SAP modules that deal with article management and inventory management.
- Managing materials as a process ensures that there are no materials or gaps in the organization’s supply chain process.
- SAP MM accelerates the procurement and management of materials, allowing the company to run smoothly with full time and profitability.
- He deals with the management of materials (products and/or services) and resources of an organization in order to accelerate productivity and reduce costs.
- At the same time, SAP MM is versatile enough to adapt to frequent changes in any business environment.
- It deals with the supply process, basic data (a sheet of articles and suppliers), determination and evaluation of the accounts of the articles, inventory management, verification of the invoice.
Functions of SAP MM in a business process are:
- A business process in SAP is called a “form.”
- SAP MM is part of the logistics functions and helps manage the purchasing activities of an organization.
- He takes care of all aspects of materials management (planning, control, etc.).
- It is the backbone of logistics that integrates modules such as sales, production planning, factory maintenance, project systems, and warehouse management.
