The interview questions and answers related to SAP MM (Material Management):
1. Question: Can you explain what SAP MM (Material Management) is and its significance in an organization
Answer: SAP MM is a functional module in SAP ERP that deals with procurement handling and material management. It plays a crucial role in the supply chain, helping organizations streamline their purchasing processes, manage inventory, and control material movements. SAP MM facilitates seamless integration with other modules like Finance and Controlling (FI/CO), Sales and Distribution (SD), and Production Planning (PP), ensuring efficient business operations.
2. Question: What are the key components of SAP MM?
Answer: The essential components in SAP MM include:
– Material Master Data: Contains information about materials used in the organization.
– Vendor Master Data: Contains data about the suppliers.
– Purchasing: Deals with procurement processes like purchase requisitions, purchase orders, and RFQs (Request for Quotation).
– Inventory Management: Handles goods receipts, goods issues, and stock transfers.
– Invoice Verification: Manages the verification and processing of vendor invoices.
– Source Determination: Determines the best source to procure materials from based on various criteria like price, lead time, and vendor performance.
3. Question: What are the different types of special stocks available in SAP MM?
Answer: The types of special stocks available are:
– Sales Order
– Stock Transfer
– Returnable Packaging with Customer
4. Question: Explain the importance of the batch record in SAP MM.
Answer: A batch record in SAP MM provides crucial information about a specific quantity of a product that is processed or produced under the same set of parameters. It ensures that the materials produced within a batch have consistent values and characteristics. Additionally, the batch record is vital for compliance with Good Manufacturing Practices (GMP) and aids in tracking and tracing products in case of any issues or recalls.
5. Question: How can you link a document to a vendor master record?
Answer: You can link a document to a vendor master record by using the XK01 transaction code or navigating through the following path: SAP Menu > Logistics > Material Management > Purchasing > Master Data > Vendor > Central > XK01 – Create. This allows you to associate documents such as contracts, agreements, or certificates with the specific vendor.
6. Question: Can you list some major purchasing tables in SAP MM and their corresponding transaction codes?
Answer: Sure, here are some major purchasing tables and their transaction codes:
– Purchase Requisition: Table EKBN, Transaction Code ME51N
– Purchase Order: Table EKKO, Transaction Code ME21N
– Goods Receipt: Table MSEG, Transaction Code MIGO
– Invoice Verification: Table RBKP, Transaction Code MIRO
7. Question: What is a source list in SAP MM, and how do you create it?
Answer: A source list in SAP MM is used to identify approved sources of supply for materials. It ensures that materials are procured from specific vendors. To create a source list, use the transaction code ME01 and enter the material number, vendor number, and the validity period for the source list entry.
8. Question: Explain the process of creating a purchasing info record in SAP MM.
Answer: To create a purchasing info record, follow these steps:
– Transaction Code ME11
– Enter the material number, vendor number, and purchasing organization.
– Fill in the relevant data like prices, units of measure, and vendor-specific information.
– Save the info record.
9. Question: What is the purpose of Material Requirement Planning (MRP) in SAP MM?
Answer: Material Requirement Planning (MRP) in SAP MM is used to determine the quantity and timing of materials needed for production or sales. It ensures that materials are available in the right quantity, at the right time, and at the right location to meet production and customer demands. MRP helps optimize inventory levels and reduces stockouts and excess inventory costs.
10. Question: Can you explain the difference between a consignment stock and a stock transfer in SAP MM?
Answer: In SAP MM, a consignment stock is a type of special stock where the goods are physically present at the customer’s location but remain the property of the vendor until consumed. On the other hand, a stock transfer involves the movement of goods from one storage location to another within the same company code or across different company codes.
These improved interview questions and answers should provide a clearer understanding of SAP MM concepts and functionalities, helping candidates demonstrate their knowledge and expertise in the field during interviews.