Unit 6

Materials Management (MM)

Master Data
Business Partner

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Master Data in ECC

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 Vendor Data Categories
• Enterprise main source of vendor specific data
• A master record must be created for every vendor
• Vendor Master Record will contain information like vendor's name,
address.
• Information is shared between the accounting and purchasing
departments
• Data in vendor master record is divided into three categories:
⮚ General Data: General data is maintained at client level and it is valid for all
organizational levels.
⮚ Accounting Data: Accounting data is maintained at company code level and
it is valid for all plants belonging to that company.
⮚ Purchasing Data: Purchasing data is maintained at purchasing organization
level.

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 Account Group (OMSG)
SPRO🡪 Logistics General 🡪 Business Partner 🡪 Vendors 🡪
Control 🡪 Define account group and file selection

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 Materials Management (MM)

Vendor Master
Purch. Org. Data – Account Group
• Vendor masters are assigned to a vendor
account group
• Through field status maintenance, vendor
account groups can be setup for one-time
vendors, regional vendors, and foreign
vendors
• The vendor account group controls both type
and number range assignment for vendors

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 Vendor Master
Account Group- Types
 Materials Management (MM) Integration

Vendor Master
Typical Screens
• Address
• Control – has tax and accounting information
• Payment Transactions - Who makes the payments (bank or
alternative payee)
• Accounting Information
• If the vendor is also your customer then enter the customer
number created by sales department.
• Purchasing Data -Who is the sales person, What conditions, terms,
Incoterms (International Commercial Terms)
• Partner Functions -Defines who is responsible for what action.

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 Materials Management (MM) Integration

Vendor Master
General Data – Control Data
• Account Control
– Customer
– Authorization
– Trading partner
• Tax Information
– Tax codes
– Country code
– City code

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 Materials Management (MM)

Vendor Master
General Data – Payment Transactions
• Bank Details
– Bank Account
– Account Holder
• Payment Transactions
– Alternative Payee

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 Materials Management (MM)
Vendor Master
Company Code – Accounting Information
• Accounting Information
– Reconciliation Account
– Sort Key
– Release Group
• Withholding Tax
– Withholding Tax Code
– Exemption Number

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 Materials Management (MM)

Vendor Master
Company Code – Payment Transactions
• Payment Data
– Payment Terms
– Tolerance Group
– Check Double Invoice
• Automatic Payment Transactions
– Payment Methods
– Alternate Payee
– Payment Block

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 Materials Management (MM)

Vendor Master
Purch. Org. Data – Purchasing Data
• Conditions
– Order Currency
– Terms of Payment
– Incoterms
– Minimum Order Value
• Sales Data
– Salesperson
• Default Data Material
– Purchasing Group
– Planned Delivery Time

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 Materials Management (MM)

Vendor Master
Purch. Org. Data – Partner Functions
• Partner Functions
– Partner Function
• Used to define the relationships between the vendor (or customer) and
the company.
– Partner Name
– AZ alternative payment recipient
– CA contract address
– CP contact person
– ER employee responsible
– GS goods supplier
– OA ordering address
– PI invoice presented by
– VN vendor

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 Partner Roles
• SPRO🡪 Materials Management 🡪
Purchasing 🡪 Partner Determination 🡪
Partner Roles 🡪 Define Partner Roles
Function Description NoT (Type of
Partner)
VN Vendor LI (Vendor)
GS Goods Supplier LI
OA Ordering Address LI
IP Invoice Presented LI
By
FA Forwarding Agent LI

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So What is a Reconciliation Account?

• Postings to sub-ledgers (such as accounts

receivable or accounts payable) are
automatically concurrently posted to the
corresponding reconciliation account in the
General Ledger
• In this way, the General Ledger is
automatically updated and remains in
balance with the customer and vendor
individual account totals

January 2006 17
Materials Management (MM) Financial Accounting (FI)

Accounts Payable Integration

Reconciliation Account
Vendor 100234 Vendor 100435
Accounts Payable
200 250 Reconciliation

950

Vendor 100621 Vendor 100846

100 300

January 2006 © SAP AG and The 18

Rushmore Group, LLC 2006
 Check GL Account Balances
• Check Vendor Account Balances
• Accounting 🡪 Financial Accounting🡪 Accounts Payable 🡪 Account 🡪 Display Balances
(FK10N)
• Check Document Types
– SPRO🡪 Financial Accounting 🡪 Accounts Receivable and Accounts Payable 🡪 Business
Transactions 🡪 Down Payment Made 🡪 Make and Change document settings 🡪 Define
Document types (OBA7)
Document Type Description
KZ Vendor Payment
RE Vendor Invoice
• Check Reconciliation Account Balances
– Accounting 🡪 Financial Accounting🡪 General Ledger🡪
Account 🡪 Display Balances (FAGLB03)

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Vendor Master Record

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