SAP MM (Materials Management) is one of the core modules of the SAP ERP (Enterprise Resource Planning) software. It is used to manage procurement activities and inventory management within an organization. SAP MM module includes all aspects of material management, from purchasing to inventory management to material requirements planning (MRP).
Here are some of the key features of the SAP MM module:
- Purchasing Management: The purchasing management function in SAP MM module manages the procurement of goods and services from vendors, including creating purchase orders and managing vendor relationships.
- Inventory Management: The inventory management function in SAP MM module manages the stock levels of materials and goods within an organization, including inventory tracking and stock valuation.
- Material Requirements Planning (MRP): The MRP function in SAP MM module helps organizations plan and manage their production processes by determining the materials and resources required for production.
- Vendor Management: The vendor management function in SAP MM module includes managing vendor contracts, evaluating vendor performance, and negotiating pricing and payment terms.
- Invoice Verification: The invoice verification function in SAP MM module verifies the accuracy of invoices received from vendors and ensures that payments are made in a timely and accurate manner.
- Logistics Integration: SAP MM module is integrated with other SAP modules, such as SAP SD (Sales and Distribution) and SAP PP (Production Planning), to provide end-to-end supply chain management capabilities.
Overall, the SAP MM module is an important component of the SAP ERP system and plays a critical role in managing procurement activities and inventory management within an organization.