Introduction To SAP MM: Benefits Of Using It

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SAP MM stands for Material Management and it is one of the modules of the SAP ERP. It focuses on dealing with material management and inventory management. In addition, it supports various processes of material management and material planning. It has various significant uses in industries and therefore, many companies are shifting towards it. Moreover, there are many SAP MM Training Institute in Gurgaon that provide courses in it.

Sub- Modules Of SAP MM

Given below are the modules of SAP MM.

  • Master Data- Master data is used as a base for transactions in SAP MM. Every process such as producing, transferring stock, selling, purchasing. Etc requires the maintenance of Master Data. Material master data, customer master data, and Vendor master data are some of its examples.

  • Inventory Management- As its name suggests, Inventory management is beneficial in maintaining the goods in the inventory. It functions on several factors such as the Definition of movement types, Reservations, Goods issue, Goods receipt.

  • Pricing Procedure- Pricing Procedure is the process of determining prices in purchasing documents. In addition, it allows a user to assign different types of calculations for different needs.

  • Purchasing- Purchasing is the component of SAP MM and it helps in the external procurement of materials and services. In addition, it also supports monitoring and payment of deliveries.

Benefits Of SAP MM

SAP MM ensures that there should not be any gap or shortage of materials in the supply of a company. In addition, it results in enhancing the material management activities thus resulting in the smooth functioning of a business along with ensuring cost efficiency. Moreover, along with speeding the productivity, it also helps in reducing costs. Changes are very common in a business environment and SAP MM makes a business capable of adjusting on the basis of these changes. To further learn about its functionalities, one can enroll in SAP MM Training in Delhi. Above all, this module of SAP is useful in dealing with procurement Processes, Master Data, Inventory Management, Invoice verification. Etc. Given below are some of the features of this module.

  • Helps in reducing material costs by avoiding stocking of unnecessary or obsolete materials

  • Helps In minimizing Inventory losses 

  • It reduces the direct labor costs and labor can be used efficiently

  • It reduces the Manufacturing cycle times and can control them effectively

  • Ensures effective inventory management & reduces expenditure on unwanted material storage

  • Also improves delivery time and increases transparency in an organization

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