fi-mm integration
TRANSCRIPT
MATERIALS MANAGEMENT
MM-FI Integration
Materials Management
Topics:
Materials Planning Purchasing
Materials Planning
Materials planning
Plant Maintenance Order
MRP RunNon-Stock Item/Service
Independent Requirements
Purchasing (External Procurement)
Purchasing Procurement Cycle
Types of Procurement External Procurement (Purchasing) Procurement of raw materials, operating supplies, trading
goods/merchandise or services from an external supplier for the organizational units within a firm that need such items.
Internal Procurement (In-house Production) The product is produced in this location. The product is not procured via
purchase requisition or inbound delivery.
External Procurement for stock
Material
Purchasingdocument(s)
Item:no accountassignmentcategory
Vendor
Goods receipt
Goods issue
Warehouse
Production
Production
External Procurement for consumption
Material
Purchasingdocument(s)
Item:with accountassignmentcategory
Vendor
Goods receipt
SR
Purchasing documents
RFQ
Purchase order
Purch.order
Quotation
Quotation
AQuotation
B?
Purchase requisition
Purchaserequisition
Release order
ContractSchedulingagreement
31. 1.
RFQ
?
Structure of a purchasing document
Item 1
General dataConditionsTextsSchedule line
Additional data for item 1
Purchaseorder history
. . .
Item 2
. . .
Additionaldata for item 2
. . .
Purchasing document ocument
General datastatisticsMessagesConditions
Document header
Item categoryPurchasingdocument
Itemcategory
Account assign.category
A B C
Account assignment typePurchasingdocument
Itemtype
Acct.assign.type
A B C
Purchase requisition
Department
Requisition Requisition
Purchasing
Materials Requirement Planning (MRP)
Purchase requisition processing
RFQ
?Release
order
o.k.
MRP Direct entry
Purchase requisition
Determine source of supply
Vendor
Release
Allocate and process
Purchaseorder
Request for quotation/ quotation
RFQ 1
Quotation 1 Quotation 2
Purchaseorder Rejection
RFQ 2
?
Price comparison list
Vendor 1 Vendor 2
Requirements known.Procure from whichsource?
Entering an RFQ
Inquiry 2
?
Vendor 1
Vendor 2
Inquiry 1
?
Item list
11 22
Processing Quotations: ExampleEnter price and pricing conditions11
Vendor BQuotation forRFQ 2Item 10Gross price: 400/tSurcharge: 50%
Vendor C, B - Rejection-Thank you for your offer. Unfortunately,we cannot place anorder at this time .....
Vendor AQuotation forRFQ 1Item 10Gross price: 400/tDiscount: $50
Vendor CQuotation forRFQ 3Item 10Gross price: 400/tFixed costs: $40
Vendor A- Order -
Mat. Qty Price
Steel 2t 350/t
Create info record or reject quotation33
Steel 2 t
Price
350/t 480/t 520/t 450/t
Quotation 1 Quotation 2 Quotation 3 Mean valuequotation
Compare quotations using price comparison list22
Processing Purchase Orders
Purchaserequisition
RFQ
??Reference document
Contract
Pcs % Conditions
SRInfo record
Order history
Purchase order
Vendor
One-time vendor
MM-FI Integration
Valuation Classes
Click on valuation class
OBYC CONFIGURATION
Few MM transactions and its accounting integration:-Movement type for goods receipt against purchase order
is 101The accounting entry posted is as follows:- Inventory of Raw Material Debit
GR/IR (Goods Receipt/Invoice Receipt) Credit
For Inventory of Raw material account You need to update the BSX transaction key with the GL code Inventory of Raw material account
For the GR/IR account you need to update the WRX transaction key with the GL code GR/IR account.
When Raw material is issued to the production orderMovement type used for posting the above transaction
is 261 – Goods issue to orderThe accounting entry generated in the system is:- Raw material consumption Debit Inventory of Raw Material CreditThe transaction Key GBB needs to be updated. GBB key
is used for various offsetting posting entries. Within GBB transaction there are various account grouping (general modification)
In this case you need to update general modification VBR with the Raw Material consumption account
When Initial stock is uploaded for Raw MaterialMovement type used for posting – 561 (Init ial stock
upload)Accounting entry generated is as follows:-
Inventory of Raw Material Debit
Stock data takeover account Credit
The transaction key GBB needs to be updated. General modification Key
BSA needs to be updated with the GL code Stock data takeover account
If you noticed lot of account modifiers in transaction key GBB are used in
various movement type. It is difficult to remember the standard account
modifiers. In that case we can also use the Simulation mode. This helps us
in identifying what are the general modification (account modifiers) used in
GBB:-Use the following path:-IMG Materials Management Valuation and Account
AssignmentAccount Determination Account Determination Without
WizardConfigure Automatic Postings or Transaction code: OMWB