Material Management Module

The Finance and Accounting module covers fundamental concepts such as financial statements, budgeting, forecasting, cost management, and analysis. It provides essential skills for managing finances and making data-driven decisions.

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Modules in SAP for Material Management

SAP MM
The SAP FI module is designed to manage an organization’s financial data, offering real-time insights into financial health and performance. It supports essential financial tasks, from daily accounting operations to strategic reporting and analysis.

Syllabus

  1. General Ledger (G/L) Accounting serves as the backbone of financial accounting, capturing and offering a comprehensive view of all financial transactions.
  2. Accounts Receivable (AR) oversees customer invoice payments, ensuring timely collections.
  3. Accounts Payable (AP) manages vendor payments, optimizing outgoing cash flow.
  4. Asset Accounting handles the complete lifecycle of fixed assets, from acquisition to depreciation and retirement.
  5. Bank Accounting integrates with banking systems, reconciling statements and managing cash balances.
  6. Additional sub-modules, including Funds Management, Travel Management, and Legal Consolidation, provide specialized functionalities.

Components of SAP accounting

  • SAP general ledger
  • SAP accounts payable and receivable
  • SAP bank accounting
  • SAP asset accounting
  • SAP funds management
  • SAP travel management
  • SAP legal content management

SAP Plant Maintenance (SAP PM) is a module within SAP ERP that focuses on managing the maintenance activities of an organization. It facilitates the planning, scheduling, and execution of preventive and corrective maintenance tasks. SAP PM helps streamline equipment management, reduce downtime, optimize maintenance costs, and ensure the smooth operation of assets, enhancing overall operational efficiency.

Syllabus

Here’s a general syllabus outline for SAP ECC (ERP Central Component), covering the key modules and topics:
1. Introduction to SAP ECC

  • Overview of SAP ERP
  • Understanding SAP ECC architecture
  • Navigation and user interface
  • Integration with other SAP modules
  • Basic SAP terminologies (Client, Company Code, Plant, etc.)

2. Financial Accounting (SAP FI)

  • General Ledger Accounting (G/L)
  • Accounts Payable (AP)
  • Accounts Receivable (AR)
  • Asset Accounting (AA)
  • Bank Accounting
  • Financial Reporting and Analysis

3. Controlling (SAP CO)

  • Cost Element Accounting
  • Cost Center and Profit
  • Center Accounting
  • Internal Orders
  • Product Costing
  • Profitability Analysis (COPA)
  • Budgeting and Variance Analysis

4. Sales and Distribution (SAP SD)

  • Master Data (Customer, Material)
  • Sales Order Processing
  • Pricing and Billing
  • Shipping and Delivery
  • Credit and Risk Management
  • Sales Reporting and Analysis

5. Materials Management (SAP MM)

  • Procurement Processes
  • Purchase Requisition and Purchase Orders
  • Goods Receipt and Invoice Verification
  • Inventory Management
  • Material Valuation and Account Determination
  • Vendor Evaluation

6. Production Planning (SAP PP)

  • Bill of Materials (BOM)
  • Work Center and Routing
  • Material Requirement Planning (MRP)
  • Production Order Processing
  • Capacity Planning
  • Demand Management

7. Human Capital Management (SAP HCM)

  • Organizational Management
  • Personnel Administration
  • Time Management
  • Payroll Processing
  • Employee Self-Service (ESS)
  • HR Reporting

8. Plant Maintenance (SAP PM)

  • Maintenance Planning
  • Work Order Management
  • Preventive Maintenance
  • Maintenance Notifications
  • Equipment and Technical Object Management

9. Quality Management (SAP QM)

  • Quality Inspection
  • Quality Planning
  • Quality Certificates
  • Quality Notifications
  • Integration with MM and PP

10. Warehouse Management (SAP WM)

  • Warehouse Structure Setup
  • Inventory Control
  • Stock Transfers
  • Storage Bin Management
  • Physical Inventory Management

11. Project System (SAP PS)

  • Project Structures (WBS, Networks)
  • Project Planning and Budgeting
  • Resource Allocation
  • Progress Tracking and Reporting
  • Integration with SAP MM, SD, and FI/CO

12. Integration Across SAP Modules

  • SAP MM with SAP FI/CO (Procure-to-Pay)
  • SAP SD with SAP FI/CO (Order-to-Cash)
  • SAP PP with SAP MM (Plan-to-Produce)
  • Cross-module Reporting and Analysis

13. SAP ECC Customization and Configuration

  • Overview of SAP Configuration
  • Basic Customization in FI, CO, MM, and SD
  • Managing Master Data
  • Enhancements and User Exits

14. Reporting and Analytics in SAP ECC

  • Standard SAP Reports
  • Custom Report Creation
  • SAP Query and Report Painter
  • Integration with SAP BI (Business Intelligence)

15. SAP ECC Best Practices

  • Implementation Roadmap
  • Data Migration Strategies
  • User Roles and Authorization
  • System Performance Optimization
  • Security and Compliance

Syllabus

1. Introduction to SAP Production Planning (PP)

  • Overview of SAP PP module
  • Integration with other SAP modules (MM, SD, FI/CO)
  • Basic terminologies in production planning (BOM, Work Centers, Routing)

2. Master Data in SAP PP

  • Material Master
    • Material types, views, and settings
    • Production-relevant data in the material master
  • Bill of Materials (BOM):
    • Structure of BOM
    • Creation, modification, and management of BOMs
    • BOM explosion
  • Work Centers:
    • Work center creation and configuration
    • Work center capacity
    • Scheduling and costing in work centers
  • Routing:
    • Steps to create routing
    • Relationship between routing and work centers
    • Routing for production processes
    • Scheduling and costing in routing
  • Production Version:
    • Setting up production versions
    • Selection of production version in planning and execution

3. Production Planning Processes

  • Demand Management:
    • Planned Independent Requirements (PIR)
    • Customer requirements and sales orders
    • Strategies for make-to-stock and make-to-order production
  • Material Requirement Planning (MRP):
    • MRP process overview
    • MRP parameters (Planning horizon, Lot sizing, Lead times)
    • Running MRP (MRP Live, Classic MRP)
    • MRP Lists and reports
    • MRP evaluation and monitoring tools
  • Capacity Planning:
    • Capacity evaluation and leveling
    • Capacity requirement planning (CRP)
    • Capacity availability check and adjustments
    • Work center capacity utilization

4. Production Order Management

  • Production Order Creation:
    • Converting planned orders to production orders
    • Direct creation of production orders
    • Order types and number ranges
  • Order Release and Scheduling:
    • Order release process
    • Scheduling types (Backward, Forward, etc.)
    • Capacity checks during scheduling
  • Material Staging and Availability Check:
    • Components staging for production orders
    • Reservation and goods movement for orders
    • Checking material availability and batch determination
  • Production Order Execution:
    • Recording production activities (time, labor, and materials)
    • Confirmations (Partial and final confirmation)
    • Posting of goods movements (Goods Issue, Goods Receipt)
  • Order Settlement and Closing:
    • Order variance analysis
    • Order settlement (costing and finance integration)
    • Order closure and archiving

5. Repetitive Manufacturing

  • Overview of repetitive manufacturing (REM)
  • Master data for REM (Product Cost Collector, Rate Routing)
  • Planning and execution in REM
  • Periodic backflush and reporting

6. Discrete Manufacturing

  • Process overview of discrete manufacturing
  • Master data and order-based production
  • Handling of variant configurations
  • Batch management and lot traceability

7. Process Manufacturing

  • Process Orders vs. Production Orders
  • Recipe management and process instructions
  • Process control (Batch, Phase, and Resources)
  • Process integration with Quality Management (QM) and Batch Management

8. Integration with Other SAP Modules

  • SAP MM (Materials Management):
    • Integration for procurement of raw materials
    • Inventory management and goods movement
  • SAP SD (Sales and Distribution):
    • Make-to-order scenarios
    • Sales orders driving production planning
  • SAP QM (Quality Management):
    • Quality inspection during production
    • Integration of quality checks in the production process
  • SAP FI/CO (Finance and Controlling):
    • Production order costing and variance analysis
    • Production order settlements in FI/CO

9. Reporting and Analytics in SAP PP

  • Standard SAP PP Reports (Production orders, BOMs, Work centers)
  • Monitoring tools (Capacity Load, MRP List)
  • Custom reporting (SAP Queries, Report Painter)
  • Production performance analysis (KPIs, lead times, capacity utilization)

10. Advanced Planning in SAP PP

  • Long-Term Planning (LTP):
    • LTP scenario creation
    • Simulation of planning scenarios
  • Production Planning and Detailed Scheduling (PP-DS):
    • Overview of PP-DS functionalities (Advanced planning & scheduling)
    • Heuristics for detailed scheduling
    • Optimization of production scheduling

11. SAP PP Configuration

  • Overview of PP module configuration
  • Basic settings for production planning
  • Configuring MRP parameters and planning strategies
  • Order types, scheduling parameters, and production variants

Syllabus

1. Introduction to SAP Sales and Distribution (SD)

  • Overview of SAP SD module
  • Integration with other SAP modules (MM, PP, FI/CO)
  • Key concepts and terminologies (Sales Area, Customer Master, Sales Document)

2. Master Data in SAP SD

  • Customer Master Data:
    • Customer account groups
    • Creation and maintenance of customer records
    • Roles in customer master (sold-to, ship-to, payer, bill-to)
  • Material Master Data:
    • Material types relevant for sales (finished goods, configurable materials)
    • Sales views in material master
  • Conditions and Pricing:
    • Condition types, access sequences, and condition records
    • Pricing procedures and determination
    • Discounts, surcharges, and taxes

3. Sales Processes in SAP SD

  • Sales Order Processing:
    • Types of sales documents (Standard Order, Cash Sale, Return Order)
    • Creating and managing sales orders
    • Order types and their significance
  • Availability Check:
    • Setting up availability checks in sales orders
    • Backorder processing and allocation
  • Delivery Processing:
    • Delivery creation from sales orders
    • Picking, packing, and shipping processes
    • Transfer orders and goods issue posting
  • Billing and Invoicing:
    • Invoice types and creation (Pro forma, Credit Memo)
    • Invoice verification and integration with FI

    • Output determination for invoices

4. Pricing and Conditions

  • Pricing Procedures:
    • Configuration of pricing procedures
    • Condition types and their application in pricing
    • Customizing access sequences and condition records
  • Discounts and Surcharges:
    • Implementing volume discounts, cash discounts
    • Tax calculations and handling in pricing

5. Credit Management

  • Overview of credit management in SAP SD
  • Setting up credit control areas and credit limits
  • Automatic credit checks during sales order processing
  • Managing customer credit exposure

6. Sales Returns and Rejections

  • Sales Returns Processing:
    • Return order creation and management
    • Credit memo processing for returns
  • Handling Rejected Goods:
    • Rejection process and documentation
    • Integration with inventory management

7. Shipping and Transportation

  • Overview of shipping processes in SAP SD
  • Shipping Point and Route Determination:
    • Configuration of shipping points
    • Route determination for deliveries
  • Transportation Management:
    • Integration with transportation planning
    • Freight processing and cost determination

8. Reporting in SAP SD

  • Standard sales reports (Sales Order, Delivery, Billing)
  • Custom reporting using SAP Queries and Report Painter
  • Key performance indicators (KPIs) for sales analysis

9. Integration with Other SAP Modules

  • Integration with SAP MM:
    • Sales order and procurement link
    • Inventory impact on sales processes
  • Integration with SAP PP:
    • Production orders linked to sales orders
    • Demand management in production planning
  • Integration with SAP FI/CO:
    • Billing and revenue recognition
    • Cost allocation and profitability analysis

10. Sales and Distribution Processes Customization

  • Configuration of sales document types and item categories
  • Setting up delivery document types and shipping conditions
  • Customizing output determination for sales documents

11. Advanced Topics in SAP SD

  • Sales Planning:
    • Sales forecasting and planning strategies
    • Integration with demand management
  • Sales Support:
    • Managing sales inquiries and quotations
    • Activities and campaign management
  • Contracts and Agreements:
    • Creating and managing sales contracts
    • Condition agreements and their implications

12. SAP SD Best Practices

  • Best practices for efficient sales processing
  • Implementation strategies for SAP SD
  • Managing user roles and authorizations in SD

Syllabus

1. Introduction to SAP Plant Maintenance (PM)

  • Overview of the SAP PM module
  • Importance of plant maintenance in an organization
  • Integration with other SAP modules (MM, SD, PP, QM)
  • Key concepts and terminology (Functional Location, Equipment, Maintenance Plan)

2. Master Data in SAP PM

  • Equipment Master Data:
    • Creation and maintenance of equipment master records
    • Types of equipment and their classifications
  • Functional Location:
    • Definition and significance of functional locations
    • Creating and maintaining functional location records
  • Bill of Materials (BOM):
    • Usage of BOMs in maintenance
    • Creation and management of BOMs for maintenance tasks
  • Work Center:
    • Setting up work centers for maintenance activities
    • Defining capacity and scheduling parameters

3. Maintenance Planning and Control

  • Maintenance Strategies:
    • Overview of preventive, corrective, and predictive maintenance
    • Developing maintenance plans and scheduling
  • Maintenance Planning:
    • Creating maintenance plans (time-based, performance-based)
    • Task lists for maintenance activities
    • Integration with SAP PM scheduling
  • Work Orders:
    • Creating and managing maintenance work orders
    • Work order types (planned, unplanned, preventive)
    • Order release, execution, and completion processes

4. Execution of Maintenance Activities

  • Performing Maintenance:
    • Processing maintenance work orders
    • Recording work performed and materials used
    • Time confirmation and labor reporting
  • Goods Movement:
    • Handling goods movements for maintenance
    • Material reservations and inventory management
  • Notification Management:
    • Creating and managing maintenance notifications
    • Types of notifications (fault, service request, etc.)
    • Integrating notifications with work orders

5. Reporting and Analysis in SAP PM

  • Standard reports for maintenance management (work order, equipment, notification reports)
  • Analyzing maintenance costs and performance indicators (MTTR, MTBF)
  • Custom reporting using SAP Query and Report Painter

6. Integration with Other SAP Modules

  • Integration with SAP MM (Materials Management):
    • Procurement of materials for maintenance
    • Inventory management and stock visibility
  • Integration with SAP SD (Sales and Distribution):
    • Service order processing and customer service
  • Integration with SAP QM (Quality Management):
    • Quality checks during maintenance processes
  • Integration with SAP FI/CO (Finance and Controlling):
    • Maintenance costs and financial reporting

7. Condition-Based Maintenance

  • Overview of condition monitoring techniques
  • Creating and managing condition-based maintenance plans
  • Integration with sensors and IoT for predictive maintenance

8. Maintenance History and Analysis

  • Tracking maintenance history for equipment and functional locations
  • Analyzing historical data for continuous improvement
  • Managing documentation and regulatory compliance

9. SAP PM Customization

  • Configuring master data (equipment, functional locations)
  • Setting up maintenance planning parameters and strategies
  • Customizing notifications and work order types

10. Best Practices in SAP PM

  • Best practices for efficient plant maintenance operations
  • Implementation strategies for SAP PM
  • User roles and authorizations management

11. Advanced Topics in SAP PM

  • Mobile solutions for maintenance management (SAP Fiori, mobile apps)
  • Integrating SAP PM with Industry 4.0 concepts
  • Implementing maintenance analytics and dashboards

Syllabus

1.Introduction to SAP Quality Management (QM)

  • Overview of the SAP QM module
  • Importance of quality management in business processes
  • Integration of SAP QM with other SAP modules (MM, SD, PP)
  • Key concepts and terminology (Quality Inspection, Quality Plan, Inspection Lot)

2. Master Data in SAP QM

  • Material Master Data:
    • Quality management views in the material master
    • Setting quality control indicators for materials
  • Inspection Plan:
    • Creating and maintaining inspection plans
    • Defining inspection characteristics and sampling procedures
  • Quality Info Record:
    • Setting up quality info records for vendors
    • Managing quality agreements and specifications

3. Quality Planning

  • Quality Inspection Planning:
    • Overview of quality planning processes
    • Creating inspection plans and linking them to materials
  • Characteristics:
    • Defining inspection characteristics (qualitative and quantitative)
    • Managing characteristic types and their usage
  • Sampling Procedures:
    • Creating and managing sampling procedures
    • Application of sampling in inspections

4. Quality Inspection Process

  • Creating Inspection Lots:
    • Inspection lot creation during goods receipt and production
    • Manual and automatic creation of inspection lots
  • Quality Inspection Execution:
    • Performing inspections (goods receipt, in-process, final inspection)
    • Recording inspection results and managing defects
  • Usage Decision:
    • Making usage decisions for inspection lots
    • Handling stock posting based on inspection results (accepted, rejected, re-inspection)

5. Quality Control and Quality Assurance

  • Quality Control Processes:
    • Techniques for managing quality control in production
    • Monitoring and controlling quality in the supply chain
  • Quality Assurance:
    • Defining quality assurance processes and methodologies
    • Implementing preventive and corrective actions
  • Quality Audits:
    • Planning and executing quality audits
    • Managing audit findings and follow-up actions

6. Integration with Other SAP Modules

  • Integration with SAP MM (Materials Management):
    • Quality checks during procurement and inventory management
    • Impact of quality management on inventory valuation
  • Integration with SAP SD (Sales and Distribution):
    • Quality checks during outbound deliveries and returns
    • Managing customer complaints and quality issues
  • Integration with SAP PP (Production Planning):
    • Quality inspections in production processes
    • Monitoring quality during manufacturing operations

7. Quality Reporting and Analysis

  • Standard Reports:
    • Accessing standard quality reports (inspection results, usage decisions)
    • Analyzing quality metrics and KPIs
  • Quality Analytics:
    • Implementing dashboards for quality performance analysis
    • Data analysis tools and techniques for quality management

8. Non-Conformance Management

  • Managing Defects and Non-Conformances:
    • Recording and tracking non-conformance issues
    • Root cause analysis and corrective action management
  • Handling Quality Notifications:
    • Creating and processing quality notifications
    • Managing complaints and service requests

9. SAP QM Customization

  • Configuring master data settings for QM
  • Setting up inspection types and criteria

  • Customizing quality management processes and reports

10. Best Practices in SAP QM

  • Best practices for implementing quality management processes
  • Continuous improvement strategies in quality management
  • User roles and authorizations management in SAP QM

11. Advanced Topics in SAP QM

  • Integration with Industry 4.0:
    • Utilizing IoT and data analytics in quality management
  • Mobile Quality Management:
    • Implementing mobile solutions for quality inspections
  • Regulatory Compliance:
    • Managing quality processes to comply with industry standards and regulations

Syllabus

  • SAP HANA, SAP
  • S/4HANA, & SAP Fiori
  • SAP HANA FI – Enterprise Structure
  • SAP HANA FI – Company Code Global Parameters
  • SAP HANA FI – Financial Accounting Global Settings
  • SAP S4Hana FI – Tolerance Groups
  • SAP HANA FI – General Ledger Accounting
  • SAP Hana FI – Currency
  • SAP HANA FI – Documents Posting
  • SAP HANA FI – Accounts Payable
  • SAP Hana FI – Accounts Receivable
  • SAP Hana FI – Business Partners
  • SAP HANA FI – Bank Accounting
  • SAP HANA FI – Tax
  • SAP HANA FI – Asset Accounting

Syllabus

1. Introduction to SAP Human Capital Management (HCM)

  • Overview of the SAP HCM module
  • Importance of Human Capital Management in organizations
  • Key concepts and terminology (Employee Master Data, Personnel Actions, Infotypes)
  • Integration with other SAP modules (FI, CO, SD)

2. Organizational Management (OM)

  • Organizational Structures:
    • Creating and maintaining organizational units
    • Managing job roles and positions
  • Position Management:
    • Defining positions and their relationships
    • Integration of positions with employee data
  • Reporting Structures:
    • Creating reporting structures within the organization
    • Managing workflows related to organizational changes

3. Personnel Administration (PA)

  • Employee Master Data:
    • Creating and managing employee records
    • Understanding infotypes and their uses
  • Personnel Actions:
    • Performing personnel actions (hire, transfer, promotion, termination)
    • Managing employee life cycle events
  • Data Management:
    • Maintaining employee information and updates
    • Handling personal, address, and employment data

4. Time Management

  • Time Evaluation:
    • Overview of time management processes
    • Configuring work schedules and rules
  • Leave Management:
    • Managing leave types and quotas
    • Creating and processing leave requests
  • Attendance and Absence Recording:
    • Recording employee attendance and absence
    • Managing overtime and shift planning

5. Payroll Processing

  • Payroll Structure:
    • Understanding payroll components and elements
    • Configuring payroll schemas and rules
  • Payroll Calculation:
    • Processing payroll runs and evaluations
    • Handling retroactive calculations and adjustments
  • Payroll Reporting:
    • Generating standard payroll reports
    • Analyzing payroll results and discrepancies

6. Recruitment Management

  • Recruitment Process:
    • Defining recruitment processes and workflows
    • Creating job requisitions and managing candidates
  • Applicant Management:
    • Tracking and evaluating applicants
    • Managing the selection process and hiring decisions
  • Onboarding:
    • Implementing onboarding processes for new hires
    • Integrating onboarding with employee master data

7. Performance Management

  • Goal Setting and Appraisals:
    • Creating and managing performance goals
    • Implementing appraisal processes and evaluations
  • Competency Management:
    • Defining competencies and skills for positions
    • Managing employee development and training needs

8. Learning and Development

  • Training Management:
    • Creating and managing training courses and programs
    • Tracking employee training and development
  • Talent Management:
    • Identifying high-potential employees and succession planning
    • Managing career development and advancement opportunities

9. Employee Self-Service (ESS) and Manager Self-Service (MSS)

  • ESS Functions:
    • Enabling employees to manage their personal information
    • Facilitating leave requests and time management via ESS
  • MSS Functions:
    • Providing managers with tools for team management
    • Approving leave requests and monitoring performance

10. Compensation Management

  • Compensation Structures:
    • Defining salary structures and pay scales
    • Managing bonus and incentive plans
  • Compensation Planning:
    • Implementing compensation review processes
    • Integrating with performance management for merit increases

11. Reporting and Analytics in SAP HCM

  • Standard Reports:
    • Accessing standard HR reports (employee data, payroll, time)
    • Custom reporting using SAP Queries and Report Painter
  • HR Analytics:
    • Implementing dashboards for HR metrics and KPIs
    • Data analysis techniques for workforce planning

12. SAP HCM Customization

  • Configuring organizational structures and personnel administration
  • Setting up payroll and time management parameters
  • Customizing employee self-service and manager self-service functionalities

13. Best Practices in SAP HCM

  • Best practices for implementing HCM processes
  • Continuous improvement strategies in human resource management
  • User roles and authorizations management in SAP HCM

14. Advanced Topics in SAP HCM

  • Integration with Industry 4.0:
    • Utilizing data analytics and AI in HR management
  • Mobile Solutions:
    • Implementing mobile applications for HCM processes
  • Compliance and Regulatory Requirements:
    • Managing HR processes to comply with labor laws and regulations

Frequently Asked Question for SAP Finance and Accounting

1. What is SAP FI (Financial Accounting) module?
SAP FI is a core module in SAP ERP that helps manage an organization’s financial data. It covers processes like general ledger, accounts payable, accounts receivable, and asset accounting to provide real-time financial reporting.
The key components include General Ledger (G/L) Accounting, Accounts Receivable (AR), Accounts Payable (AP), Asset Accounting, and Bank Accounting.
SAP FI integrates with other modules like SAP Controlling (CO), Materials Management (MM), and Sales and Distribution (SD) to ensure seamless financial and operational data flow across the organization.
G/L Accounting is the core of financial accounting in SAP. It records all business transactions and provides a complete financial view of the organization by maintaining a chart of accounts.
Accounts Receivable (AR) manages customer payments and tracks outstanding invoices, while Accounts Payable (AP) oversees vendor payments and ensures timely payment processing.
Asset Accounting in SAP FI manages fixed assets, including acquisition, depreciation, revaluation, and retirement, helping organizations maintain accurate asset data.
Bank Accounting deals with managing bank transactions, cash balances, and bank reconciliations. It integrates with banking systems for accurate financial reporting.
SAP FI focuses on external financial reporting, such as balance sheets and income statements, while SAP CO (Controlling) is used for internal management reporting, including cost analysis and budgeting.
SAP FI provides various reporting tools like financial statements, balance sheets, profit and loss statements, and cash flow reports, offering real-time insights into the financial performance of the organization.
SAP FI offers real-time financial data, improves accuracy in reporting, ensures compliance with legal regulations, and provides detailed insights to aid decision-making.
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