Material Management
Presented by:
Syed Muhammad Kashif Zaidi
Prepared by:
M Adnan Rafiq
Introduction
Enterprise Resource Planning (ERP)
• Most widely used business software
• Refers to business strategies as well as software
Implementation
improved performance of organizations for
• Resource Planning
• Managing Controls
• Operational Controls
Introduction
ERP – SAP
SAP is an enterprise-wide information system
Coordinate resources, information, and activities
High level of integration
Consistency of data
Real time information
Efficiency in system
Decision making process
Introduction
MM – Base Concept of ERP
Manage end-to-end procurement
Logistics business processes
MM-Overview
Procurement
Inventory Management
Reporting and Analysis
SAP ERP
Procurement and Inventory Management
SAP MM Inventory
Purchase Report
Requisitions
and RFQs
Instant
Reporting
Purchase Order
Streamlining
Post Inventory Store
Requisitions etc
and Issuance
Invoicing of Goods
Enterprise Structure
Client
Company
Code
Purchasing
org.
Plant 1
Purchasing Store 1 Store 2
Grp.
Master Data
Vendor Material
Master Master
• Account Group • Material Type
• Calculation • Accounting
Schema Controls
Service
Master
• Service
Category
Procurement
Purchase Requisition
Requirement Determination Release Strategy
RFQ’s
Sending Receiving Price Comparison
Purchase Orders
Source Determination Release Strategy
Inventory Management
Reservation
Goods Receipts
Goods Issuance
Transfers
Core Module
Core Module and Integration
PM
DM PS
MM
Fi.Co PP
SD
Legacy- at a Glance
Manual and Inconsistent
process
No integration
Separate Reporting
Data Redundancy
Existing system
Real Time Information
Tracking and Reporting
Online Business Process
Analytical Ground
System Enhancements
Implementation of SAP in Sub-Stores of Distribution &
Transmission
Initialization of Batch Management and Serialization of Material
Implementation of SAP for Civil Works Procurement Process
Release Strategy of Purchase Requisition
Reporting Requirements
Special Processes
• Split Valuation
• Scrap Material Management
• Used Material Management
• Automated Emailing workflows
• Procurement
• Plants
Next
IT Asset Management
Re-engineering of General
Procurement Process
Implementation of SAP in KESC
Meter Department
Special Processes
• Faulty Meters Handling
• Processes of Health Management System
Way Forward
Paperless Environment
Online Workflows
Integration with BI
MRP
• Material Planning Tools
• Automated process
• Option to Integrate with Suppliers and Vendors