SAP MM Interviews Series – Part 8

Do checkout this commonly asked SAP MM Interview Series and prepare for your interviews easily. This is Part 8 of 10 Part Series.

SAP MM Interviews Questions Series

1. How to process inventory management in SAP MM?

Ans: Inventory management in SAP MM belongs to the processes which helps in handling the movement & storing of the materials within the same organization. Key processes for inventory management includes:

GR – Goods Receipt is posted when all the materials are being received from the vendor.
GI – Goods Issues is when the materials are issued to a customer or for the production.
When the stock type of the materials is changed or the stocks are being transferred between different locations within the same plant, then its transfer posting.
When the stocks are being moved between various different plants, then its stock transfer.

Counting of physical stocks is physical inventory & when it got compared with the system stock. Each process is very crucial in inventory management as it helps in accurately managing the inventory levels & ensuring smooth operations within the organization’s supply chain.

2. Is there a difference between goods receipt & post goods receipt?

Ans: Goods receipt and post goods receipt are closely related processes but are different in explanation. Goods receipt is when the goods are being received to the inventory, then this process is known as goods receipt. GR is being written against the production order or any purchase order. GR helps in quality inspection, inventory level updation, and recording of the financial transactions.

Post goods receipt is a specific action or sub part of the goods receipt process where the system updates all the inventory records & the associated financial transactions are being posted. This is the final step where the system confirms that they had receipt the goods. Both ensures accurate inventory records, though.

3. How is quota rating checked in SAP MM?

Ans: Quota rating is checked in the quota arrangement and it helps in determining how the procurement quantities are being allocated among the various suppliers. It make sure that the procurement is being distributed as per the predefined quotas for each of the vendor. Steps to check the quota rating includes: MEQ1 Tcode is being accessed. Then enter material and plant information.

After that, we will display the quota arrangement & then view quota arrangement details including vendor, quota, allocated quantity, base quantity, rating etc. The quota rating is being calculated with the given formula: (Quota allocated quantity+Quota base quantity)/Quota MEQ1 is the tcode where material number needs to be out & we can view quota arrangement details. Quota rating helps in maintaining the balance of the procurement process in SAP MM.

4. Is there a way to check stock requirement list in SAP MM?

Ans: The stock requirement can be checked in tcode MD04 tcode. This tcode provides the overview about the current stock availability which includes inventory levels, planned requirements etc. This way one can easily manage the materials effectively. Steps to check the stock quality are: Go to tcode MD04 -> Enter all the materials and plants information. Once tcode is executed, we can view the stock requirements. This way marked & informed decisions are being taken about organizations purchasing, production & inventory management skills.

5. What are different stock transfer types in SAP MM?

Ans: Different stock transfer types includes: Plant to plant transfer – to move the stocks to move between different plants within the same company code. Company to company transfer – to move the stocks between different company codes. Stock transfer with STO – used to planned stock transfer Returnable transport packaging – stocks that are meant to be returned to the suppliers Consignment to own stock transfer – when the material is transferred from vendor owned to company location Transfer posting – to change the stock type of materials within same location or plant.

Hope you like SAP MM Interviews Series PART – 8

Please check other SAP MM Interview Parts:

Check Out :

𝐃𝐨 𝐜𝐡𝐞𝐜𝐤𝐨𝐮𝐭 𝐭𝐡𝐞 𝐪𝐮𝐞𝐬𝐭𝐢𝐨𝐧𝐬 𝐟𝐨𝐫 𝐪𝐮𝐢𝐜𝐤 𝐫𝐞𝐯𝐢𝐬𝐢𝐨𝐧𝐬 & 𝐇𝐚𝐩𝐩𝐲 𝐋𝐞𝐚𝐫𝐧𝐢𝐧𝐠𝐬.

𝑨𝒍𝒔𝒐, 𝒇𝒐𝒓 𝑺𝑨𝑷 𝑩𝑾/𝑯𝑨𝑵𝑨 𝑸𝒖𝒊𝒄𝒌 𝑹𝒆𝒗𝒊𝒔𝒊𝒐𝒏 𝑸𝑨’𝑺, 𝒄𝒉𝒆𝒄𝒌𝒐𝒖𝒕
𝑨𝒍𝒔𝒐, 𝒇𝒐𝒓 𝑺𝑨𝑷 𝑺𝑬𝑪𝑼𝑹𝑰𝑻𝒀 𝑸𝒖𝒊𝒄𝒌 𝑹𝒆𝒗𝒊𝒔𝒊𝒐𝒏 𝑸𝑨’𝑺, 𝒄𝒉𝒆𝒄𝒌𝒐𝒖𝒕
𝑨𝒍𝒔𝒐, 𝒇𝒐𝒓 𝑺𝑨𝑷 𝑩𝑨𝑺𝑰𝑺 𝑸𝒖𝒊𝒄𝒌 𝑹𝒆𝒗𝒊𝒔𝒊𝒐𝒏 𝑸𝑨’𝑺, 𝒄𝒉𝒆𝒄𝒌𝒐𝒖𝒕

Do follow my profile on linkedin for more content: https://www.linkedin.com/in/vartika-gupta24/