SAP MM ALL Concepts

SAP MM ALL Concepts
MM Concepts

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Planned and Unplanned service procurement/Physical inventory/NLAG & UNBW Material types


36.Question: Explain Planned and Unplanned service procurement:

Answer: Planned
Where we know the nature of service and budget allocated for that service then we can maintain service tabs and following with SES- ML81N

Unplanned- when we don’t the nature of service with only budget then we can maintain limits tab without maintain services tab.
ML81N -SES after creating PO with Limits tab, in background GR will gets posted automatically with 101 movement.

37.Question: Explain 3rd party process?
Answer: Pending

38.Question: Explain Physical inventory?

Answer: Physical inventory is a process of cross checking the system stock with the physical stock in warehouse, normally this would be done in yearly.
We have posting block and freeze book, where posting block will not allow any postings to the inventory for that plant, whereas for freeze it will allow the postings but it will show the count when we create PI- It will freeze the count when we create PI.
MI01- Create PI
MI02- Change
MI03- Display
MI04- Enter Count
MI05- Change Count
MI06- Display Count
MI07- Post Physical Inventory- Greater/Lower
Movement types:
701- Goods receipt/ When we have physical quantity more then system stock will take this movement type.
702- Goods Issue for warehouse stock, when system stock is more than physical stock.
703-Goods receipt -Quality Inspection
704-Goods Issue- Quality Inspection
707- Goods receipt- Blocked stock
708- Goods Issue- Blocked stock

39.Question: Difference between NLAG & UNBW Material types?

Answer: Not stock vs Non- Valuated material

NLAG- Non-Stock materials: It’s a type of material where its used by the company department, here material will not be managed by quantity or value basis, it’s just a consumable material.
It will be mainly used for reporting and purchasing purpose.
UNBW- Non valuated materials: materials are managed by quantity basis and there is no value where these are low expenses to the company and no accounting view required for this material type.

For the both the material types, accounting view is not mandatory where account assignment is mandatory for purchasing and respective GL accounts will be picked as per the configuration in OME9.

14 comments:

  1. "Thanks for explaining planned and unplanned service procurement! The SES-ML81N functionality in SAP is super helpful in tracking service entry."
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  2. "Interesting! I didn't realize unplanned procurement could be managed with a limits tab in SAP. Does this approach affect budgeting accuracy in any way?"
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  3. "Great breakdown on physical inventory processes. I didn't know that SAP could freeze stock counts! Does anyone have experience with this in large warehouses?"
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  4. "Can someone explain the difference in usage between movement types 701 and 702? How often do people find discrepancies between system stock and physical stock?"
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  5. "Thanks for the info on NLAG and UNBW materials. It makes sense that consumables don’t need valuation. But what’s the impact on inventory management overall?"
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  6. "For 3rd party processes, I’d love to see some more details. Does SAP handle this differently than internal procurement?"
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  7. "Very useful! I didn’t realize that non-valuated materials skip the accounting view. That’s a good tip for anyone new to managing SAP materials."
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  8. "Could someone share a practical example of unplanned service procurement? How often does this occur in industries like manufacturing?"
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  9. "Planned procurement is so much easier with the SES-ML81N feature! But do unplanned services make reporting challenging?"
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  10. "I didn’t realize SAP had specific movement types for quality inspection stock changes. Is quality inspection often separate from regular stock adjustments?"
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  11. "Freeze and posting block are great controls! Anyone using them regularly for year-end physical inventory?"
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  12. "NLAG and UNBW sound similar but serve different purposes. How does this distinction affect SAP reporting?"
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  13. "The automatic posting with 101 movement type for unplanned services is great! Does anyone know if this can be reversed if needed?"
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  14. "Does anyone know how to configure OME9 for non-valuated materials? I’m curious about its impact on purchase accounting."
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