1.  Tata Consultancy Services Production Planning PROCESSING MATERIAL MASTER

2.  Tata Consultancy Services Copyright

3.  Tata Consultancy Services Course Prerequisites SAP overview MATERIAL MASTER overview

4.  Tata Consultancy Services Target Group Audience: All DEPARTMENTS. Process owners Duration: 3 HOURS

5.  Tata Consultancy Services Introduction: Contents Course goals Course objectives Course content Main business scenario

6.  Tata Consultancy Services Course Goals To understand role of material master in production planning To create,change,display material master in SAP This course will enable you to:

7.  Tata Consultancy Services Course Objectives Use the R/3 system to create material master. Locate materials and its related information in SAP. Describe how to make changes to material master so as meet requirements. At the conclusion of this course, you will be able to:

8.  Tata Consultancy Services Contents Concept of Material master in SAP Material numbers Industry sector Material types User departments(views of material master Create material master in SAP Profiles, defaults and other data

9.  Tata Consultancy Services Contents (cont..) Deleting Material master records Retrieving existing information -Material list

10.  Tata Consultancy Services Contents 1. Concept of Material master in SAP 2. Material numbers 3. Industry sector 4. User departments(views of material master 5.Defaults 6.Create material master in SAP Exercises Solutions Appendices Preface

11.  Tata Consultancy Services Concept of Material Master in SAP. The material master contains information on all the materials that a company procures, produces, stores, and sells. The material master is used by all modules in the SAP. Different departments in a company work with the same material, so data in a material master record is subdivided in the form of user departments. Material description and base unit of measure appear in all user departments.

12.  Tata Consultancy Services Use of Material Master in SAP Logistics System Functions. Purchasing for ordering materials. In inventory management for goods movement postings and physical inventory In invoice verification for posting invoices In sales and distribution for sales order processing In production planning and control for material requirements planning, scheduling, and work scheduling

13.  Tata Consultancy Services Material Numbers Definition Number uniquely identifying a material master record, and thus a material. Use For every material that are used in a company, create a material master record in the material master. This record is uniquely identified by a material number. Material number can be generated Internally or Externally assigned.

14.  Tata Consultancy Services Industry sector It determines type of industry. Eg. mechanical industry,chemical industry,pharmaceutical etc. The industry sector you specify determines Which screens appear and in what sequence Which industry-specific fields appear on the individual screens

15.  Tata Consultancy Services Material Types Materials with the same basic attributes are grouped together and assigned to a material type. When creating a material master record, you must assign the material to a material type. The material type determines certain attributes of the material and has important control functions. Some of the standard material types are ROH: Raw materials which are bought from outside and goes into production. Halb :Semi-finished material which are bought externally and manufactured inside. They can be sold individually as well. FERT:Finished materials are final products of the company

16.  Tata Consultancy Services Material Types (cont..) KMAT:Configurable materials are materials that can have different variants. For example, Hydro electric web guiding system of E+L. PROD (product groups): Product groups aggregate materials which may be similar to each other in some way, or they may be finished products that were produced on the same machine. HIBE (operating supplies):Operating supplies are procured externally and required for the manufacture of other products.

17.  Tata Consultancy Services Material Types(cont..) FHMI (production resources/tools):Production resources/tools are procured externally and used in production or plant maintenance. It is managed on a quantity basis. Examples of production resources/tools include jigs and fixtures, and measuring and test equipment.

18.  Tata Consultancy Services Changing material type: System makes thorough check when a material type once assigned to a material is changed to other type.

19.  Tata Consultancy Services Configurable materials 1.Define the characteristics in the classification system 2.Create a variant class with class type 300 and assign the characteristics to it. 3.Create a configurable material in the material master. 4.Create a BOM AND routing with required object dependencies. 4.Create a configuration profile for the material and assign your material to the variant class above.

20.  Tata Consultancy Services User departments(views of material master) Different departments in a company work with the same material, but each department uses different information on the material. the data in a material master record is subdivided by user department. The following fields appear in each user department,because it is identical and mandatory for them: Material description Base unit of measure

21.  Tata Consultancy Services User departments(cont..)

22.  Tata Consultancy Services Views Basic data1 basic data2 classification sales purchasing MRP1 MRP2 MRP3 MRP4 FORECASTING WORK SCHEDULING,PRTs,accounting,costing.

23.  Tata Consultancy Services Basic data On this data screen, data that is also used by other user departments is entered. The Organizational Levels dialog box does not appear before you access this data screen,. Since basic data is valid for the whole company.

24.  Tata Consultancy Services Sales Material is assigned to sales organization and different distribution channels On the Sales: Sales Organization Data screen, sales prices of the material are entered. On the Sales: General/Plant Data screen, the unit of weight is a required field since it is copied to sales orders for the material.

25.  Tata Consultancy Services Purchasing Data maintained is : purchasing group batch management GR processing time purchase order text.

26.  Tata Consultancy Services Classification Materials with the same characteristics are grouped under a Class. A material can be assigned to one or more classes.

27.  Tata Consultancy Services Forecasting Data related to forecasting of material is maintained here. consumption values and forecast values as a basis for the initial calculations are mainatained on this screen. individual forecast for a material can be directly executed. Starting from the maintained forecast parameters, the forecast can be simulated in several dialog steps. The forecast values are updated only when the material master record is saved.

28.  Tata Consultancy Services Material Requirements Planning (MRP). The following Data relating to MRP is maintained: planning lot size procurement scheduling time(lead time etc.). The above data is maintained in Four screen MRP1,MRP2,MRP3,MRP4.

29.  Tata Consultancy Services Work Scheduling The following data is maintained on this screen : setup time, interoperation time, and processing time for the material production scheduler,production scheduler profile. the base quantity to which the processing time relates, under Lot size dependent in-house production time. in-house production time ( this being the sum of setup time, interoperation time, and processing time) under Lot size independent in-house production time.

30.  Tata Consultancy Services Production Resources/Tools (PRTs) Production resources/tools (PRTs) are mobile operating facilities used in production or plant maintenance.   Materials  They are assigned  Task lists (including standard networks and recipes),  Production orders and maintenance orders,  Networks.

31.  Tata Consultancy Services Storage You need specify a unit of issue only if the unit in which the material is issued from the storage differs from the base unit of measure. You can specify data on the shelf life expiration date check performed by the system upon goods receipt..

32.  Tata Consultancy Services Accounting By assigning a material to several valuation types, you can valuate them differently. In SAP a material type can be assigned to one or more valuation classes. Each valuation class will be assigned to one and only one purchasing account and consumption account.

33.  Tata Consultancy Services Costing

34.  Tata Consultancy Services CREATING MATERIAL MASTER IN SAP Create a material master record in the following cases: If no material master record exists for a particular material.In this case, create the material master record. If a material master record exists for a particular material, but the master data for your user department is missing.In this case, extend the material master record. If a material master record exists for a particular material and the master data for your user department has been entered, but not at the appropriate organizational level (for example, if it has been entered for a different plant).In this case, you extend the material master record.

35.  Tata Consultancy Services Defaults Using defaults Certain fields are automatically preset with the same values each time you create a material master record. Field values which are repeatedly entered are made as defaults The following are entered as defaults Industrial sector selection of views(user departments). Organizational levels.

36.  Tata Consultancy Services Profile A profile is a collection of information used to configure certain objects. standard information that is needed repeatedly in almost identical combinations when maintaining different objects is stored. Thus, a profile simplifies the entry and management of data. The following profiles profiles are supported in SAP: MRP profile Forecast profile

37.  Tata Consultancy Services Profile(cont..) In a profile, you specify the following information: Fields in which values are entered when entering data on an object Values that these fields contain Whether the values copied from the profile to the respective MRP or Forecasting screen in the material master can be overwritten (default values) or not (fixed values) When creating a material master record, a profile is assigned in the Organizational Levels dialog box. The values are written to the material master record when you save it.

38.  Tata Consultancy Services Units of Measure Base unit of measure This is the unit of measure in which the stocks of a material are managed. The system converts all quantities entered in other units to the base unit of measure. Alternative units of measure Individual departments may have their own units of measure. For example, Purchasing may use a different unit than Sales All units of measure other than the base unit of measure are grouped together under the generic term "alternative unit of measure." The R/3 System supports the following alternative units of measure: Order unit,Sales unit,Unit of issue.

39.  Tata Consultancy Services Administrative Data The administrative data for a material master record provides the following information: Material type and industry sector of the material Person who created and/or last changed the departmental data, at which organizational level(s), and when Person who flagged the material master record for deletion, and when.

40.  Tata Consultancy Services Deleting Material master records A material master record must be flagged for deletion to delete it by the archive and delete program Deletion flags can set at different organizational levels, for example, at plant level or at sales organization level. The material master record is then deleted at this level and at all lower levels.

41.  Tata Consultancy Services Retrieving existing information -Material list. Materials list function allows us to list materials according to one or more of the following selection criteria: Material number Plant Material type Material group Person who created the material The materials list also contains other useful data such as the material description, base unit of measure, price control indicator, price unit, and valuation price.

42.  Tata Consultancy Services CREATING MATERIAL MASTER IN SAP From logistics screen click Logistics  Production  master data  material master, to bring up material master screen.(Shown in next slide). Click material  create(general)  immediately

43.  Tata Consultancy Services Creating defaults and profiles MRP PROFILE: From material master screen(LO  Production  master data), click profile  MRP profile  create. FORECAST PROFILE: From material master screen(LO  Production  master data), click profile  Forecast profile  create Defaults: From create material screen, click defaults  industry sector.. defaults  views. defaults  org.levels.

44.  Tata Consultancy Services Main Business Scenario New materials have to be Created or extended. Existing materials have to be modified.

45.  Tata Consultancy Services Exercise

46.  Tata Consultancy Services SOLUTIONS