MM INTERVIEW QUESTIONS: 31/3/2006

1. TELL ME ABOUT YOURSELF

ASAP:

2. EXPLAIN ASAP ROADMAP?

3. WHAT IS BUSINESS BLUE PRINT?
ASAP is a clearly defied implementation strategy that ensures customers a quick & predictable implementation, regardless of size or
complexity of environment.
The components that make up ASAP are
1. Methodology: The ASAP roadmap defined the phases of implementation process & supports these with a comprehensive project
plan.
2. Tools: Supported by a comprehensive set of both PC-based & R/3-resident tools.
3. Service: Hotline, Consulting, Training, Project reviews, SAPNet.
4. Project related knowledge like – Project Management, Change Management, Risk Analysis & Review programs.
The methodology consists of 5 phases
1. Project Preparation: Provides initial planning & preparation for R/3 project
2. Business Blueprint: Detailed documentation of the results gathered during requirements workshops. On this basis, you achieve a
common understanding of how the company intends to run their business within the R/3 system.
3.Realization: Implement all the business & process requirements based on business blueprint. You configure system in 2 work
packages, Baseline, & Final configuration.
4. Final preparation: Complete Testing, End user training, system Management, & cutover activities to finalize your readiness to go
live. After completion of this phase, you will be ready to run your business in your R/3 system.
5. Go live & Support: Transition from a project-oriented, pre-production environment to successful & live production operation.
6. Continuous Improvement: Provide on-going support & assistance for post go-live. It covers solutions for those activities which are
standard in a productive environment: Business changes, technology changes, or change in the user community.

ENTERPRISES STRUCTURE:
3.5. EXPLAIN OVERALL SAP ENTERPRISE STRUCTURE?
CLIENT  COMPANY CODE  PLANT  SALES ORG  DIVISION  STORAGE LOC
4. EXPLAIN MM ENTERPRISE STRUCTURE ELEMENTS?
CLIENT  COMPANY CODE  PLANT SLOC  P. ORG.  P GROUP
5. WHAT ARE THE DIFFERENT TYPE OF PURCHASE ORGANIZATION?
Plant specific Purchase organization
Cross Plant Purchase organization
Cross Company Code Purchase organization
Standard Purchase Organization
Reference Purchase Organization
6. WHY WE MUST ASSIGN PLANT WITH COMPNAY CODE?
To maintain the valuation process and a plant is a site operating as a production facility or an individual/group of storage areas close
together for a company. A plant can only belong to only one company code.
7. WHAT IS REFERENCE PURCHASE ORGANIZATION?
A central PORG can exist side by side with local purchase organization, the local purchase department can use contracts or conditions
created by central purchase organization.
You can assign several purchasing organizations to one reference purchasing organization, but each individual purchasing organization
should be assigned to just one reference purchasing organization.
8. WHERE WE ASSIGN PURCHASING GROUP?
Nowhere – it is not an unit in the Organizational structure
9. WHAT LEVEL THE STORAGE LOCATION MAINTAINED?
Storage Location is maintained at Plant level.
 MATERIAL MASTER:
10. HOW TO CHANGE MATERIAL TYPE?
Using Tcode MMAM we can change material type
Cannot be changed if stock exists or PO, Reservation, PR, Contracts & If the accounting type differs.
Initially stock has to be cleared , by moving all the material to a special stock.
11. IS IT POSSIBLE TO CHANGE VALUATION CLASS? WHAT IS THE IMPACT?
Yes, If valuated stocks already exist, you can change the valuation class only as follows:
a) Post the stocks of the material to an interim account.
b) Change the valuation class in the material master record.
c) Post the stocks of the material back to their original account.
If open purchase orders already exist, you can only change the valuation class if you first flag the corresponding purchase order items for
deletion.
If production orders exist for which a goods movement has already taken place, you can only change the valuation class if you first set
the status of the production orders to Deleted.
12. IS IT POSSIBLE TO CHANGE PRICE CONTROL? WHAT IS THE IMPACT?
Changing the material valuation price does not involve material master, it is an accounting transaction in which the total stock of the
plant is revaluated.
In price control S, if the MAP which reflect the development of the delivered price, differs too greatly from the standard price.
In price control V, the system modifies the current valuation price to suit the delivered price, you only need to change the price
manually, if there is no movement of goods for a longer period of time.
MR21- CHANGE MATERIAL PRICE
13. TELL ABOUT PURCHASING VALUE KEYS?
Key that determines reminder intervals and tolerances. The reminder intervals are specified in days, the system automatically creates
the remainder or urging letters.
14. EXPLAIN CROSS PLANT SPECIFIC MATERIAL STATUS & PLANT SPECIFIC
MATERIAL STATUS?
The cross-plant material status restricts the usability of the material for all plants, that is, it defines whether a warning or error
message is displayed if you include the material in a particular function.
The material status is defined in the material master record and depends on the material concerned. The material status can be
assigned at client level at the individual plant level.
Plant Specific material status can be set at in Purchasing view & source list, if blocking indicator set, the material cannot be
procured externally.
14. WHAT ARE THE MATERIAL TYPES YOU WORKED?
DIEN – services, FERT – finished product, HALB – semi finished, HAWA – Trading goods, ROH – raw material,
UNBW – non valuated material, VERP – packaging, NLAG – non stock material, HIBE – Consumables \ Lab chemicals
16. WHAT ABOUT CONFIGURATION OF MATERIAL TYPES?
A material type is specified for each material. The material type is part of general data.
Material type determines the views, type of Inventory management (qty/value based) on a valuation area basic, specifies that can be
included in BOM or not, can configure price control as an optional value,
The system assigns the stock a/c and consumption a/c bases on the valuation class. Account Category Reference assigns the permitted
valuation classes to the material type.
17. WHAT ARE THE VIEWS YOU WORKED IN MATERIAL MASTER?
Basic Data, Classification, Purchasing, MRP, General Plant/Storage, Accounting
18. IS THERE ANY SALES VIEW FOR ROH? IS THERE ANY PURCHASE VIEW
FOR FERT? ITS NEEDED? WHAT IS ALTERNATIVE SOLUTION?
No, sales view for ROH, Yes, there is purchasing view or FERT, yes it is needful, sometimes we need to buy finished products, or the
end product of our company is a finished product.
19. WHAT ARE THE DIFFERENCE BETWEEN BY-PRODUCT & CO-PRODUCT?
WHERE WE MENTIONED THESE PRODUCTS?
BY-PRODUCT is like scrap which is a by product of a raw material when used for producing components,
CO-PRODUCT is two products as the same operation.
20. WHAT IS THE DIFF. BETWEEN VALUATED STOCK & NON VALUATED
STOCK?
21. WHAT ARE THE DIFFERENCE BETWEEN VALUATED STOCK AND NON
VALUATED STOCK?
 You manage low-value advertising or office materials in a warehouse, and can get an up-to-date report on stock levels at any time.
Stock records are kept on a quantity basis, but the value is posted to a consumption a/c at the time of GR. UNBW
You cannot post a GR of non-valuated material direct into consumption. You have to post the goods into the warehouse first and then
enter the goods issue. Also include Returnable transport packaging, which is maintained as a special stock.
Generally all the material are valuated with qty/value update. Except NLAG– non value/stock material, direct post to consumption a/c.
22. HOW TO CHANGE STOCK TO NON STOCK ITEM?
Based upon the material type
23.WHAT ARE THE ALTERNATIVE UOM IN MM?
The BUM may be each, but the purchase dept. procure material in pairs, then we have to have to maintain AUOM that is
1 PAIR = 2 Each
entered in Basic data view1, additional data.
24.WHAT LEVEL THE MATERIALS ARE MAINTAINED?
The material is maintained at client level.
25.WHAT ARE THE VIEWS & FIELDS AVAILABLE IN MATERIAL MASTER?
Basic Data 1: Text, Basic UOM, Material Group, Old Material No., X Plant Material status, Dimensions (weight, volume, size),
Packaging material data, Configuration Management.
Basic Data 2: Basic Material, Design Drawing ( No link indi, Doc, Doc type, page), CAD indicator
Classification: Class, std. Class indicator, status of class, characteristics & value
Purchasing : Basic UOM, Order Unit, P Group, M Group, Plant specific Material status, Purchase Value Key, Auto PO indi.,
Batch Management indi, GR processing time, Quota arrangement usage, JIT schedule indicator
Purchase Order text: Text
MRP1 : MRP group, MRP type, ABC indicator, Reorder point, MRP controller, Lot size, Min/Max lot size,
MRP2 : Procurement Type, Quota arrangement usage, JIT del. Schedule, GR processing time, Plnd delivery time, Schedule
Margin key, Safety stock, Min safety stock
MRP3 : Forecasting ( Period indi., Fiscal year variant), Planning data (strategy group, planning material, planning plant)
Availability check,
MRP4 : storage location MRP, BOM explosion, Repetitive manufacturing
Plant/sloc1 : Unit of issue, storage bin, batch management indi., shelf life data.
Plant/sloc2 : weight\volume
Accounting1: Valuation Category, Valuation class, Price control, Price unit, Previous period/year button, std cost esti button
Accounting2: Tax data, LIFO indicatior
26.CAN WE CHANGE THE INDUSTRY SECTOR?
NO
27.HAVE YOU CREATED MATERIAL TYPES?
NO.
28.HOW TO EXTEND MATERIAL MASTER TO ANOTHER PLANT?
MM01 Using this we can extend material master by typing the another plant and system will display the message that “material already
exist will be extended and MRP type & Valuation Class, price control, price
29. WHAT IS THE USAGE OF KMAT & VARIANT CONFIGURATION?
KMAT is a configurable material .
First create class & characteristics (eg. Window / windowless envelope with various sizes) and them create material in material master
basic data 2 view, material is configurable is selected, in purchase batch indicator is selected, and then create configuration profile.
Class type 300.
LESS-IMPORTANT IN MATERIAL MASTER:
30. CHANGING BASE UOM POSSIBLE?
YES, But if no stock and no PR or PO exists, no stock in current or previous periods, clear stock using 561 movement type.
31. WHAT ABOUT NUMBER RANGE FOR MATERIAL MASTER?
Number Range is based on Material Type, Material No. can be 18 characters
32. WHAT IS THE USAGE OF HERS?
HERS – Manufacturer Parts
33. WHY MATERIAL GROUPS NEEDED?
Group together of material with same characteristics
34. HOW TO CREATE STORAGE LOCATION AUTO?
Default data can be set for the organization level like plant, sloc
35. HOW TO DELETE THE MATERIAL?
MM06 FLAG MATERIAL FOR DELETION MM16 SCHEDULE FOR DELETION
36. TELL ME ABOUT PRODUCT HIERARCHY? WHERE WE ASSIGNED?
WETT – COMPETITIVE MATERIAL. It is used for analyses and price determination.
The product hierarchy on the Basic Data screen is used to depict the competitive materials of competitor 1 in relation to those of
competitor 2. Here, your own company and its materials are also regarded as a competitor and as competitive materials respectively. You
can use this representation as a basis for market analyses.

VENDOR MASTER & PARTNER FUNCTIONS :

37. TELL ME ABOUT CONFIGURATION ABOUT VENDOR MASTER?

In accounting, the vendor is regarded as the company’s crediting business partner. The vendor master record is therefore maintained by
accounting & purchasing.
Each user department can maintain bother general data & Purchasing & Accounting-specific data centrally or decentrally. In addition,
Purchasing often maintains data at corporate group level.
38. CAN WE MAINTAIN VENDOR AT PLANT LEVEL?
NO
39. WHAT IS ONE TIME VENDOR?
You can use one-time master record to cover a number of vendors. You normally use one-time master records for “one-time” vendors.
40. EXPLAIN PARTNER FUNCTIONS?
The vendor can have various functions in its interaction with your company. For eg. During the procurement transaction the vendor is
the order recipient, then the supplier of goods, the invoicing party, and finally, the payee.
By maintaining partner roles in the vendor master record, you can distribute one or more of these roles among different vendor master
records.
41. WHAT ARE VIEWS & FIELDS IN VENDOR MASTER?
Views are General data, Purchasing data, Accounting data.
GENERAL DATA – Address,
Control – Tax information, reference data
Payment transactions – country, bank key, a/c, alternate payee
COMPANY CODE DATA – Accounting info – Rec. a/c, cash management group, Interest calculation, withholding tax
Payment transactions – Payment terms, Tole. group, chk double inv., payment methods, payment block
Correspondence – Dunning Procedure,
Withholding tax
PURCHASING ORGANIZATION DATA – Purchasing data – Order currency, terms of payment, inco terms, min, order value, vendor
schema group, Indicators for GR – based Inv. Verify, Auto PO,
Auto ERS, ABC indicator, P- group, Planned delivery time
Partner functions – like Ordering add, vendor, invoice presented by, employee responsible

42. WHAT LEVEL VENDOR MASTER MAINTAINED?

Company code level & Purchase organization level

LESS-IMPORTANT IN VENDOR MASTER:

43. WHAT IS THE DIFFERENCE BETWEEN MK01 & XK01?

MK01 – Vendor at Purchase Organization level, XK01 – Vendor centrally
44. WHAT IS CHECK DOUBLE INVOICE?
If you have set the Duplicate invoice check Indicator in a particular vendor master record, when you enter an invoice for this vendor
and there is an entry in the field reference, the R/3 system always checks if there is already an invoice containing the same data s that
just entered.
The following data is checked: COMPANY CODE, VENDOR, REFERRENCE, DOCU. DATE, AMOUNT & CURRENCY.
45. WHAT IS VSR?
Divided a total vendor product range according to a variety of criteria.
 The vendor sub-ranges to which you wish to assign a material in the info record must be already be stored in the vendor
master.
PURCHASE INFO RECORD:

46. EXPLAIN PIR? WHAT IS THE PROBLEM IF WE DON’T CREATE PIR ?

ME11 Serves as a source of Information for Purchasing. The PIR contains information on a specific material and a vendor supplying
the material.
The PIR quickly determines, which materials have been previously supplied by a specific vendor and which vendor supplied a specific
material.
The PIR contains price, conditions, no. of last purchase order, tolerance limits for over deliver or under-delivery, planned delivery time,
vendor evaluation data, an indicator showing whether regular vendor, the VSR to which to material belong, the availability period
during which the vendor can supply the material.

47. WHAT ARE THE DIFFERENT TYPES OF PIR?

Procurement types – standard, sub contracting, pipeline & consignment

48. WHAT ARE VIEWS & IMPORTANT FIELDS IN PIR?

General data – reminder days 1,2,3, sub range, order unit, regular vendor indi.,
Purchase Org data – plnd. Dely time, P group, std qty, min qty, rem. Shelf life, under/over delivery tolerance,
GR- based IV, NO ERS, Max qty, Net Price, Effective price, valid to , conversion, incoterms,
Texts -- Info record text, Purchase order text
49. WHAT LEVEL PIR MAINTAINED?
ORGANIZATIN LEVELS – P ORG – PLANT

SOURCE LIST:
50. EXPLAIN SOURCE LIST? WHAT IS THE PROBLEM IF WE DON’T CREATE
SOURCE LIST ?
The source list contains the allowed, preferred and/or blocked sources of supply for a material in a plant that are valied wihin a certain
period. Each source is defined in the source list by a source record.
Sources are administered using source lists and quota arrangements.
Source list records and quota arrangements are used in source determination
Buyers are not allowed to buy from the blocked sources.
The MRP indicator in the source list stipulates how the source defined in a source list record is taken into account in materials planning.
The purpose of source determination is to make it possible for a purchase requisition to be assigned to a source automatically.
If a source list requirement exists, a material may not be procured from other sources other than those included in the source list.
Can be maintained manually, from Outline agreement, from PIR, Automatic generation
51. WHAT ARE VIEWS & IMPORTANT FIELDS IN SOURCE LIST?
Material, Plant, Valid from, To, Vendor, Porg, Order Unit, Agreement, Fix indicatior, Blk indicator
52. WHAT LEVEL SOURCE LIST MAINTAINED?
Plant level

QUOTA ARRANGEMENT:
53. EXPLAIN ABOUT Q/A?
If a certain material is to be procured alternately from different sources of supply, these individual sources can be assigned quotas. The
quota indicate the percentages of a total requirement that are to be procured from each of the various sources over a period.
Quota arrangement usage indicator must be set in the material master record.
In planning run we can choose to allocate entire qty of quota to a single source, or split among the sources and for this splitting quota
indicator has to be set.
54. WHAT IS THE FORMULA FOR Q/A?
Quota rating = (quota allocated qty + quota base qty)/quota
You can instruct the system to calculate the quota base qty for a new source within the existing quota arrangement.
55. WHAT LEVEL Q/A MAINTAINED?
Pant level
 57. WHY SYSTEM FINDS VENDOR WITH LOW QUOTA RATING?
The source with the lowest quota rating represents the effective source, even in the case of a quota rating of zero. If more that on source
has a quota rating of zero, the one with the highest quota is the effective source.

OUTLINE AGREEMENTS:
58. EXPLAIN ABOUT OUTLINE AGREEMENT & SUB DIVISIONS?
Outline agreement is a longer term purchase agreement with a vendor concerning the supply of materials or the performance of services
according to predetermined conditions. These are valid for a certain period of time and cover a predefined total purchase quantity or
value.
An outline agreement can be a contract or a scheduling agreement.
There are two types of contracts: Qty contract and Value contract
The items of a contract can relate to a single plant or all the plants covered by a purchasing organization ( centrally agreed contract )
Distributed contracts are centrally agreed contacts that are made available to other R/3 systems for the purpose of issuing release orders
against them.
Can create with reference to PR, RFQ or another O/A
59. WHAT LEVEL O/A MAINTAINED?
Purchase Organization
60. WHAT ARE THE DIFFERENCE BETWEEN CONTRACT & S/AGREEMENT?
CONTRACT SCHEDULING AGREEMENT
Only contains overall qty or value contains specific qty & delivery date
There is no contract for STO STO S/A is available (ME37)
We cant create by referring S/A Can create by refereeing centrally agreed contract
There is distributed or centrally agreed contract Not available
Can create for Material Unknown Not available
No item categories available Item categories available
It has contract release order We generate S/A release
ME31K, to release ME35K ME31L,ME37 STO S/A, ME38- Maintain delivery schedule, ME35L - Release

CONTRACT:
61. EXPLAIN ABOUT CONTRACTS & TYPES?
A contract is a longer term agreement with a vendor to supply material for a certain period of time.
Individual delivery qty & dates are specified subsequently in contract release order issued against the contract.
Two types: Qty contract : MK, Value contract: WK
If there is a source list requirement for the plant first we create contract & then source list, otherwise we cant create contact release ordr.
62. WHAT ARE THE IMPORTANT FIELDS IN CONTRACTS?
Vendor, Agreement type, Porg, P group, Item category, a/c assignment category, validity start & end date, terms of delivery & payment,
Material, short text, Target qty, net price
63. WHAT LEVEL CONTRACT MAINTAINED?
Purchase Organization
SHEDULING AGREEMENT:
63. EXPLAIN ABOUT S/A?
Contracts only contains overall target qty or overall value. But in S/A contains specific order qtys & delivery dates.
64. WHAT ARE THE IMPORTANT FIELDS IN S/A?
Initial screen -- Vendor, agreement type, (LPA, LU), P-org, P-group, plant
Item overview screen – Material no, plant, target qty, net price, conditions.
65. WHAT LEVEL S/A MAINTAINED?
Purchase Organization level.
To create delivery schedule – ME38
Initial screen enter S/A no. and select item and select delivery schedule button, now enter delivery date, scheduled qty and save it.
Then generate the S/A release using ME84
We send to the vendor S/A release in the form of forecast delivery schedule based on previous S/A
Then the vendor send material to us.
 PURCHASING:

66. EXPLAIN PURCHASING PROCESS?

Organization levels : CLIENT  COMPANY CODE  PLANT  SLOC  PORG-PGROUP
PROCESS : Determination or requirements, Source determination, Vendor selection, PO processing, PO Monitoring, Goods receipt,
Invoice verification, Payment Processing.
Two types of purchasing documents – External –RFQ, PO, Quotation, Contract, SA
Internal – PR
Account assignment only possible for PR, PO, outline agreement, not for RFQ
67. HOW TO PRINT PO?
ME9F – TO PRINT PO or using print immediate option.
69. WHAT ARE DIFFERENT ITEM CATEGORIES & ACCOUNT ASSINMENT
CATEGORIES IN PURCHASING?
ITEM CATEGORIES: 10 : Standard, B-Limit, K-Consignment, L-Sub contract, S-Third-party, T-Text, U-Stock-transport,
D-Services, M- Material Unknown, W- Material Group
AA CATEGORIES : 18: A-Asset, K-Cost center, F-Order, P-Project, U-Unknown
70. WHAT IS AUTO PO & TYPES?
You can have PO generated automatically from PR to which a source has been assigned.
Auto PO indicator has to be ser for the material and vendor.
You cannot generate RFQ’s or SA’s delivery schedules using this function.

CONSIGNMENT:
71. EXPLAIN CONSIGNMENT PROCESS?
Consignment stock is stored in company, but it is the property of vendor. Consignment stock is managed under the same no. of
company stock. KONS -
The consignment stock is valuated only when the material is withdrawn. Consignment stock is allocated to one of 3 types.
1. Unrestricted use stock 2. QI stock 3. Blocked stock
Withdraw of material from consignment stock is only possible to allocate unrestricted use (ready for use)

We can make transfer posting between the 3 stock types after GR.
In Material Master MRp2 view there is field special procurement, we have to enter 10 for consignmnet
72. WHAT IS THE FINAL PROCESS IN CONSIGNMENT?
The final step in consignment is settling consignment liabilities in - MRKO
73. WHAT ARE A/C DOC. CREATED IN CONSIGNMENT?
Consignment a/c Dr. to Liabilities from consignment store Cr. For 201K

When settling consignment liabilities the a/c docs created are

Liabilities from Consignment Stores a/c Dr. To vendor a/c Cr.
74. WHEN CONSIGNMENT STOCK VALUATED?AT GR VALUATED?
Consignment stock is valuated at GI

SUB-CONTRACTING:
75. EXPLAIN SUB-CONTRACTING PROCESS?
In Sub-contracting process the vendor receives the material from the company & they produces the end products
76. HOW TO MONITORING THE S/C?
ME20 - REPORT TO MONITOR MATERIALS PROVIDED TO VENDOR
The report contains the components in the sub-contract order and listed sub-contract PO NO., the Qty of component required at certain
data.
77. HOW SCRAP HANDLED IN S/C?
Any waste generated during Sub-contract can be maintained as component with Negative qty in BOM
For scrapping 553 MT is used.
78. WHAT ARE A/C DOC. CREATED IN S/C?
79. WHAT IS S/C SUBSEQUENT ADJUSTMENT?
MB04 – SUBCONTRACT SUBSEQUENT ADJUSTMENT
If vendor informs to company after GR a greater or smaller qty actually consumed than planned
If more qty consumed enter positive qty else Negative qty (for 543, 545 Manual input not allowed)

If a component is entered for by product, we can use Movement Type 545 for GR from by-products from sub contract.
80. HOW TO RETURN MATL. TO VENDOR IF REJECTED?
122 – return delivery to vendor

RELEASE PROCEDURE:
81. EXPLAIN RELEASE PROCEDURE PR PR OR PO?
Release procedure defines the approval process for PR & other External Purchasing documents.
The objective is to use an online approval system.
82. EXPLAIN PR WITHOUT CLASSIFICATION IN R/P?
Item level only possible.
83. HOW MANY RELEASE CODES ARE POSSIBLE?
Max of 8 release codes possible.
84. CAN WE CHANGE VALUE OF R/P & WHAT EFFECTS AFTER CHANGED?
WHERE WE CAN SET?
Yes, we change in SPRO, further documents subject to release strategy will be get affected by new values.
84. WHY PR WITHOUT CLASSIFICATION AVAILABLE?
PR is an internal document, In a single PR we can have many vendors and materials, and with without classification we can release at
item level as well as header level.
86. CONVERT TO WITH CLASS. TO WITHOUT CLASS. & REVESAL POSSIBLE?
HOW?
External Documents are subject to release with classification only, PR we can create without classification or with classification and in
release group we can select the overall release and if future we can alter these.
87. TELL ME ABOUT WORK FLOW USED IN R/P?
Work flow is used to assign users or departments to the release code
88. WHAT IS COMMUNICATION STRUCTURE IN R/P?
Communication Structures are tables used to create the classes with characteristics in Release Procedures, we can
CEKKO for PO, RFQ, Contract, SA, CEBAN for PR (fields like Plant-WERKS, Net order value –GNETW)
89. CAN WE APPLY WITHOUT CLASSIFICATION TO PO?
NO

PRICING PROCEDURE:
90. EXPLAIN PROCESS OF PRICING PROCEDURE?
Pricing procedure determines how the system calculates the effective price in a purchase order
It is also used in PR/RFQ, Contract, SA
91. WHAT IS CONDITION TABLE ? CAN WE CREATE THESE TABLES?
A condition table consists of condition keys & data part. The data part contains a no. that references a record in another table.
In SAP std. System TABLE 017 has condition keys, vendor, Material.
92. TELL ME THE STRUCTURE PRICING PROCEDURE?
Condition Type -- it represents the price factors in the system. The various condition types are discount, % on disc. Custom duty.
In condition type we specify that the price factor is calculated as absolute or % on qty.
Condition Table -- A condition table consists of condition keys & data part. The data part contains a no. that references a record in
Another table.
Access Sequence -- It is a search strategy by means the system searches for valid records in various condition tables.
It consists of one or more accesses.
Some conditions have no condition tables and no access sequence eg. Header disc. Entered manually 7
supplement
Calculation Schema -- It groups together all condition types, that is used to calculate the price
 We can define variety of calculation schemas for P.Org or vendors
RM0000 – To determine the purchase price in Pur. Doc.

93. WHAT IS ALTERNATIVE ACCESS SEQUENCE?

94. WHAT IS TIME DEPENDENT & TIME INDEPENDENT CONDITIONS?
3 kinds of price
1. Gross Price – without any discount & surcharges into a/c
2. Net Price - With any discount & surcharges into a/c
3. Effective price – After deduction of tax, discounts, delivery cost, Miscellaneous provisions

There are 2 kinds of condiditons

Time dependent Conditions – Validity period & scales are specified in these conditions. No sub-totals ( Net price, Effective price) are
created. Conditions in Info record & contract are always time-dependent.
Supplementary conditions are time-dependent.
SAP recommends time dependent conditions.
For Quotations & S/A using doc. Type we can maintain

Time independent Conditions – No validity period & scales. The conditions in PO are always time independent.
Sub-totals are created in Time-independent conditions.
95. HOW PO PICKS UP PRICING?
Based on the condition type the system searches the condition table as thru access sequence it finds the sequence and calculates price
using the defined calculation schema.
96. WHAT ARE HEADER LEVEL & ITEL LEVEL CONDITIONS?
Header level conditions are applicable for items, and item level conditions are applicable for that particular item.

LESS-IMPORTANT IN PRICING PROCEDURE:

97. WHAT IS ACCRUALS & NUETRALS?

98. WHAT IS CONDITION GROUP?
99. WHAT IS TAX PROCEDURE VS PRICING PROCEDURE?

AUOMATIC ACCOUNT DETERMINATION:

100. EXPLAIN THE PROCESS OF AAD?

The system should automatically determine the relevant G/L a/c for each transaction in MM
BSX – Inventory Posting
WRX – GR/IR clearing a/c
PRD – Price difference
We can configure automatic posting to the MM areas such as Inventory Management & Invoice Verification

Influencing factors of Automatic postings

1. Organization level ie. Chart of a/c & Val grouping code
2. Chart of a/c
3. Material type & Valuation Class
4. Based on Movement type
5. AG Account Grouping or Account Modifier

Posting Keys are Independent from chart of a/c.

We must assign chart of a/c to each company code

We must configure AAD for each chart of a/c
Valuation grouping code is maintained at chart of a/c level.

First activate Valuation Grouping code (valuation modifier)

Define valuation level
 Valuation class is a key for a/c determination. It determines the G/L a/c for material types.
A material type may have several valuation classes & vice versa.
The link between material type & valuation class is Account category reference
If material subject to split valuation R/3 determines valuation class for the valuation type

Valuation String contains Transaction / Event keys. We cant assign them in R/3
First value string triggered based on Material Type, transaction, PO type, Special Stock, a/c assignment category for Movement type.

Account Grouping / a/c modifier / General Modifier

We assign a/c grouping to each movement type in OMWN
We can change a/c grouping depends on Movement type & special stock indicator in IM
We cant change for Invoice verification.

Based on the a/c assignment category, the systems proposes the a/c using transaction key GBB & a/c grouping.

EXPLAIN SIMULATION BASED ON MATERIAL, PLANT, TRANSACTION

Valuation level must be plant level.
A/c category reference – used to simplify the assignment of Valuation class to Material type
It is a bridge between Material type & Valuation class
Valuation Class – Determines the G/L a/c for Material type based on transaction
PRD has both dr. and cr. G/L a/c’s
WRX has one a/c no.

EXPLAIN A/C GROUPING WITH MOVEMENT TYPE 201

A/c assignment category : K cost center
Item category in PO: std
Value string determines the Transaction event keys possible for given Movement type.
System finds G/L a/c based on
1. Chart of a./c
2. Valuation grouping code
3. Transaction event key
4. Account Modifier (a/c grouping code)
5. Valuation class - is a group of material with same a/c determination

101. EXPLAIN AAD WITH GR & WHAT ARE A/C DOCUMENTS CREATED
WHEN GR &IV?
300000 - Inventory Raw Material a/c Dr.
191100 - Goods receipt/Invoice receipt a/c Cr.

191100 - GR/IR a/c Dr.

- Vendor a/c Cr.
101. WHAT IS ACCOUNT MODIFIER?
Key which has a different meaning depending on the procedure. It is used to differentiate account determination.
The key’s meaning is predefined in the SAP system and cannot be changed.
Each movement is assigned a account grouping OMWN
102. WHAT IS MANUAL A/C ASSIGNMENT?
For each item to be posted to a consumption account, you need the account assignment category and the account
assignment date (for example, the number of the cost center to be charged)

If no material master exist you need a material desc., material group & account assignment
If material exist and it refers a particular dept. you need manual a/c assignment.
103. WHAT IS VALUATION LEVEL?
Valuation level can be Company code or Plant, SAP recommends Plant level valuation

SPLIT VALUATION:

104. EXPLAIN THE PROCESS OF SPLIT VALUATION?

 If a material is subject to split valuation, you can valuate partial stock of this material at different prices and manage them using separate
accounts.
If a material is split valuated, you can mention in PO, which valuation type you can enter for a material is determined by valuation
category
The valuation category is defined in the Material master of a material. It determines whether the material is subject o split valuation .
The specified material type also should be maintained in the material master.

106. WHAT IS THE DIFF. BETWEEN BATCH MANAGEMNT & USING VALUATION
CATEGORY ‘X’?
Reason for Batch Management – 1. Defect tracking, Call back activities used for hazardous materials, chemicals & pharma.
Batch levels – 1. Plant 2. Material 3. Client SAP recommends plant level in SPRO
We can use split valuation for batches if value based IM, The Batch No. is Valuation type.

Valuation category ‘x’ is used for Batch Management, and The Batch No. itself is the Valuation type.
107. WHY MAP USED IN SPLIT VALUATION?
Moving Average Price is used because, is a material is created using split valuation, it indicates that the procurement is subject to change
often and the stock should be valuated accordingly.

INVENTORY MANAGEMENT:

108. WHAT ARE SPECIAL STOCKS IN IM?

Stock type in IM
1. Unrestricted Use stock
2. Quality Inspection
3. Blocked stock
4. GR blocked stock
Special stock is IM
1. K – Consignment
2. U – Sub contracting stock
3. E – Sales Order stock
4. Q – Project stock
5. M - RTP
109. WHAT ARE MOVEMENT TYPES YOU KNOW ?
When we enter goods movement in the system, we must enter MT to differentiate various goods movement. It is a 3 digit key.
Movement type controls a/c determination, field selection.

110. HAVE YOU CREATED ANY MOVEMENT TYPE?

NO
111. WHAT ARE THE A/C DOC WHEN WE USE 101,561,501?
101 – Good Receipt Inventory Raw Material & GR/IR clearing a/c
561 - Receipt per Initial entry of stock balances into Unrestricted use. – Inventory Raw Material & Inventory taking
501 – GR without PO - Inventory Raw material & Raw material consumed a/c
112. EXPLAIN IN DEPTH ABOUT TRANSFER POSTING & STOCK TRANSFER
WITHIN PLANT AND STORAGE LOCATIONS?
STO between plants and storage location by 1 step & 2 step
1 step movement type 301
2 step movement type 303 & 305

Reservation only possible with 1 step.

Transfer Posting with SD - GI with MT 351 -- transfer posting to stock in transit from Unrestricted use.
113. WHAT IS GR/IR DOCUMENT TYPES?
By what means goods is received 1. PO, Others, Reservation, Inbound delivery, Outbound delivery

If you plan pick, pack, Transport , you can post goods movement via. Shipping application component, The system takes into account
all the points that are involved in shipping. To create a delivery via shipping VL01N to create Outbound delivery for a PO
 Inbound delivery

PHYSICAL INVENTORY:
114. HOW PHYSICAL INVENTORY CARRIED OUT IN COMPANIES?
Physical Inventory is carried out by means of comparing the actual physical stock with that of the system stock.
115. EXPLAIN THE PROCESS OF PI?
Regardless of the Physical inventory method, the process of physical inventory can be divided into 3 phases:
1. Physical Inventory Preparation
- Create a physical inventory document. MI01
- Block Materials for Posting
- Print and distribute the physical inventory document,

2. Physical Inventory Count

- Counting Stocks MI04
- Entering the result of the count on the physical inventory document print out

3. Physical Inventory Analysis

- Entering the result of the count into the system MI07
- Initiating a recount, if necessary MI11

116. WHAT ARE THE 4 PI PROCEDURES?

Periodic, Continuous, Sampling, Cycle counting
117. WHAT ARE MOVEMENT TYPES INVOLVED IN PI?
701 - Inventory differences in Unrestricted stock
703 - Inventory differences in QI stock
707 - Inventory differences in Blocked stock
118. WHAT ARE THE A/C DOC CREATED WHEN WE USE PI?
If counted qty < system balance
Expenses from PI a/c dr.
Stock a/c cr.
If counted qty > system quantity
Stock a/c Dr.
Income from PI a/c cr.

119. HOW TO BLOCK MATL. FOR POSTING IN PI?

The blocking of material is carried out by selecting block check box in MI01
The block is automatically cancelled when difference is posted.

STOCK TRANSPORT ORDER:

120. EXPLAIN THE PROCESS IN STO?
In the company stock transfer between plants using 2 step procedure
However, within plant using 1 step procedure, because the slocs are located within the same building.
121. WHAT IS THE DIFF. BETWEEN NB & UB?
NB for standard purchasing documents and UB only for stock transport order, no vendor and no IV only supply & receiving plant.
122. WHAT ARE THE MOVEMENT TYPES INVOLVED & WHEN WE ENTERED?
1 step MT 301
2 step MT 303, 305 any damage post using 305 and scrap using MT551 - MB1S
STO without SD delivery create doc. With ME27/ME21N and post PI with 351 and GR with 101
STO with SD single step MT 641 , MT 647
123. WHAT ARE THE A/C DOC CREATED IN STO?
Accounting document creates only for 301, 303 and not for 305
A/c created in 301 are Inventory raw material dr. & cr.
 INVOICE VERIFICATION:
124. WHAT ARE THE DIFFERENCE BETWEEN LOGICAL IV & CONVENTIONAL
IV?
The invoice data is based on the Purchase Orders for stock or Non-stock materials requested and shipped to your company. You want to
review the information sent by the vendor
The main task of IV procedure is to complete the procedure of Material Procurement by posting vendor Invoices and to pass on
information concerning the invoice to FA and subsequent application.

In conventional invoice verification 1. Parking Invoices & 2. Posting directly to material or G/L a/c is possible
In LIV 1.Distributed systems, 2.unlimited multiple selection 3.posting in background 4.invoice reduction 5.Invoices for BPO
6.Installment conditions 7.Cross company code posting are possible.
125. WHAT ARE THE A/C DOC CREATED IN IV?
GR/IR clearing a/c Dr. To Vendor a/c Cr.
126. WHAT ARE THE DIFFERENCE BETWEEN CREDIT MEMO & INVOICE?
You usually receive credit memos from vendor if you were overcharged.
A credit memo can be entered with reference to a PO or GR
You must post the credit memo as a subsequent debit/credit.
The total quantity invoiced for PO item remains the same, the total value invoiced is reduced.
The system posts credit memo to the same a/c, but with +,- signs.
127. WHAT WE HAVE TO DO IF GR QTY & IV QTY MISSMATCHED OR
REVERSAL & WHAT ARE THE A/C DOC CREATED IN GR/IR CLEARING?
We can post invoice only to the GR qty
The system credits/debits the stock a/c as a result of your clearing the GR/IR a/c. For a material with MAP the system cr/dt the stock a/c
only if there is sufficient stock coverage otherwise, it makes the posting to a price difference a.c
** you cannot reverse this documents.
127. WHAT ARE THE DIFF. TYPE OF VARIANCES IN IV?
Quantity variances – Delivered qty - already invoiced with inv. Qty
Price variance – Compares PO price with the Invoice price
PO Qty Price variances: - GR before IR,
Date variance - Compares pladned delivery date to the Invoice entry date. [schedule variance)
MM TABLES:
128. TELL ME ABOUT SOME OF MM TABLES & FIELDS?
MARA – General material data
MATNR – Material No MTART – Material Type MATKL – Material group MEINS – Base UOM

MARC – Plant data for material

WERKS – Plant MATNR – Material No. MMSTA – Plant specific Material status EKGRP – P group

MARD – Storage location data for material

MATNR – Material NO. WERKS – Plant LGORT – storage location LABST – Unrestricted use qty
INSME – quality inspection stock SPEME – Blcoked stock qty

LFB1 – Vendor Master company code data

LIFNR – Vendor No. BURKS – Company code ZTERM – Terms of payment

CEBAN – PR Release Strategy CEKKO – PO Release strategy

EKGRP - Purchasing group LIFNR - Vendor No.
MATNR - Material No. EKORG - Purchase Organization
WERKS - Plant EKGRP - Purchasing group
MATKL - Material group WERKS - Plant
EKORG - P Organization MATKL - Material Group
GWSRT - Total value of item GNETW- Total net order value
 SYSTEM LANDSCAPE:

130. EXPLAIN SYSTEM LANDSCAPE OF YOUR COMPANY?

131. WHERE YOU CREATE NUMBER RANGE & REL. PROCEDURE?
132. HOW TO TRANSPORT THE DATA?
132. CAN WE USE THE REQUEST NO FROM QI SERVER TO PRODUCTION
SERVER THAT ALREADY USED?

BUSINESS PROCESS:

133. EXPLAIN THE BUSINESS PROCESS?

CIN :
134. EXPLAIN ABOUT CIN ,CENVAT,VAT & ETC…?
CIN is an add-on component for SAP
It features India specific requirements
1.Excise 2.CENVAT 3.sales tax 4.OCTROI 5.TAX-TDS
CIN integrated with FI, MM, SD

In MM we can post
1. The vendors excise invoice
2. Special procedures for subcontract
3. Creation of excise registers
4. Material valuated based on vendors excise invoice

Process
PO-ME27N  Excise Invoice capture JLIEX_C  MIGO  Verify & post Excise Invoice J1IEX_P  MIRO (with excise & S Tax)

BATCH MANAGEMENT:
135. EXPLAIN BATCH MANAGEMENT?
The reason for Batch Management are 1.Defect tracking, 2.Call back activities used for hazardous materials, chemicals & pharma.

Batch levels : 1.Plant 2.Material 3.Client

SAP recommends plant level in SPRO

We have to set characteristics ie. Properties class type: -022 at plant level, -023 at client level

We can use split valuation for batches if the value based IM.
The Batch No. is valuation type

To indicate whether a batch is usable or not

In customizing we can activate batch status management
Level AUTO  client (or) Material
MANUAL  Plant (selected)
Status Unrestricted can be used & Restricted cannot be used.

SLED = Total shelf life + Production Date in GR

If no data in Material Master we have to enter at GR.
NON IMPORTANT IN MM:

VENDOR EVALUATION:

136. EXPLAIN ABOUT VENDOR EVALUATION PROCESS?

EXTERNAL SEVICE MASTER

137. EXPLAIN ABOUT EXTERNAL SEVICE MASTER?