JinJin48
JinJin48
SAP Consultant | BTP · S/4HANA · US Global Rollout
· 27 min read

SAP MM Material Master

The Material Master is the most fundamental and most critical master data object in SAP MM. Every procurement, inventory, production, sales, and accounting transaction traces back to this master. This article covers the Material Master’s structure, views, organizational levels, and integration points.


Part 1: Material Master — Core Concepts (All Modules)

1.1 What Is the Material Master?

The Material Master is the central repository that stores all information about every material (item/product) a company handles — raw materials, semi-finished goods, finished products, consumables, and everything else that flows through the enterprise.

AspectDetails
RoleSingle Source of Truth for all material attributes across the enterprise
Modules using itMM (Purchasing, Inventory), PP (Production Planning, MRP, BOM), SD (Sales, Shipping, ATP), WM/EWM (Warehouse Mgmt, Putaway/Pick), QM (Quality Inspection, CoA), FI (Inventory Valuation, Auto Posting), CO (Standard Cost, Variance Analysis), PM (Plant Maintenance, MRO Procurement), PS (Project Procurement, Material Allocation), CS (Customer Service, Spare Parts), EHS (Hazardous Material Mgmt, Environmental Compliance), GTS (Trade Compliance, HS Code, Export Control)
TransactionsMM01 (Create) / MM02 (Change) / MM03 (Display)
S/4HANA changeMaterial number length extended from 18 to 40 digits (MATNR field)

1.2 Three Defining Axes: Material Type × Industry Sector × Views

SAP Material Master — three defining axes: Material Type, Industry Sector, and Views

The structure of a Material Master record is determined by the combination of three axes:

AxisDescriptionExamples
Material TypeClassifies the material. Controls screen layout, number assignment, and valuation methodROH, FERT, HALB
Industry SectorIndustry branch. Controls which fields are displayed based on industry characteristicsM (Mechanical), C (Chemical), A (Automotive)
ViewsData sets organized by department. Only relevant views need to be extendedBasic Data, MRP, Accounting

Important: Once created, Material Type and Industry Sector cannot be changed as a general rule. Lock these in during design.


1.3 Key Material Types

SAP MM — 8 standard Material Types with stock management and valuation attributes

CodeNameUse CaseStock-ManagedQty / Value
ROHRaw MaterialInput materialsYesBoth
HALBSemi-FinishedInternally produced intermediatesYesBoth
FERTFinished ProductInternally produced / sold goodsYesBoth
HAWATrading GoodsBuy-and-sell merchandiseYesBoth
HIBEOperating SuppliesIndirect materials, consumablesYesBoth
DIENServiceService itemsNoValue only
NLAGNon-StockNo inventory managementNo—
UNBWNon-ValuatedQuantity tracking onlyYesQty only

1.4 View Structure

SAP Material Master — 30 Views grouped by owning module with org level

The Material Master is divided into department-specific Views. Only the views required by each department need to be extended. Approximately 30 standard views exist; the views to extend are selected based on Material Type and business requirements.

#ViewOwning DeptKey FieldsOrg Level
1Basic Data 1Cross-moduleMaterial description, Base UoM, Material group, Weight/VolumeClient
2Basic Data 2Cross-moduleDimensions, EAN/UPC, Old material number, DivisionClient
3ClassificationCross-moduleClass assignment, Characteristic valuesClient
4PurchasingPurchasing (MM)Purchasing group, Order unit, GR processing time, Source list required flagPlant
5Purchase Order TextPurchasing (MM)PO text, Text ID, LanguagePlant
6Foreign Trade: ImportPurchasing (MM) / GTSCountry of origin, HS code (import), CAS number, Import licensePlant
7MRP 1Purchasing / PP (MM/PP)MRP type, MRP controller, Lot size, Reorder pointPlant
8MRP 2Purchasing / PP (MM/PP)Procurement type, Special procurement, Planned delivery time, Safety stockPlant
9MRP 3Purchasing / PP (MM/PP)Strategy group, Consumption mode, Availability checkPlant
10MRP 4PP-orientedBOM selection, Individual/collective requirements, Discontinuation flagPlant
11ForecastingPurchasing / PP (MM/PP)Forecast model, Historical/forecast periods, Smoothing factorsPlant
12Work SchedulingProduction (PP)Production unit, Receiving storage location, In-house production timePlant
13Production Resources/ToolsProduction (PP)Production resource/tool dataPlant
14General Plant Data / Storage 1Inventory (MM) / EHSPlant-specific material status, Storage conditions, Hazardous material number, EHS hazard dataPlant
15General Plant Data / Storage 2Inventory (MM)Shelf life management, Minimum remaining shelf life, Temperature conditionsPlant
16Warehouse Management 1Warehouse (WM/EWM)Warehouse number, Storage type, Storage sectionWarehouse
17Warehouse Management 2Warehouse (WM/EWM)Picking type, WM unit of measureWarehouse
18Quality ManagementQuality (QM)QM procurement key, Inspection type, Certificate typePlant
19Accounting 1Finance (FI)Valuation class, Price control (S/V), Standard price / Moving average priceValuation Area
20Accounting 2Finance (FI)Tax-based valuation, Commercial valuation, Devaluation flagValuation Area
21Costing 1Controlling (CO)Costing lot size, With/without quantity structure, Variance keyPlant
22Costing 2Controlling (CO)Standard cost (Future/Current/Previous), Costing statusPlant
23Sales: Sales Org 1Sales (SD)Sales unit, Tax classification, Item category groupSales Org / DCh
24Sales: Sales Org 2Sales (SD)Material statistics group, Material group 1–5Sales Org / DCh
25Sales: General/PlantSales (SD)Delivering plant, Transportation group, Loading group, Profit centerPlant
26Sales TextSales (SD)Sales/shipping textsClient
27Foreign Trade: ExportTrade (SD/GTS)HS code (export), Export statistics group, Preference status, Export controlPlant
28Plant StockReference (display only)Plant stock quantity / value (read-only)Plant
29Storage Location StockReference (display only)Storage location-level stock (read-only)Storage Loc
30Environment (EHS)EHSHazardous substance regulations, Waste codePlant

1.5 Organizational Levels and Data Hierarchy

SAP Material Master — organizational levels from Client down to Storage Location and Warehouse

Each view stores its data at a different organizational level. This is the core design challenge of the Material Master.

Client (300)
   │
   ├── Basic Data, Classification ← Client-level (one record for entire enterprise)
   │
   ├── Plant (1000, 2000, ...)
   │      │
   │      ├── MRP, Purchasing, Work Scheduling ← Plant-level
   │      │
   │      ├── Storage Location (0001, 0002, ...)
   │      │      └── Storage Data ← Storage Location-level
   │      │
   │      └── Warehouse Number (WH1, ...)
   │             └── WM Data ← Warehouse-level
   │
   ├── Valuation Area = Plant ← Accounting is typically at Plant level
   │      └── Valuation class, Standard cost
   │
   └── Sales Org × Distribution Channel
          └── Sales Data ← Sales Org-level
Org LevelPrimary UseRepresentative FieldsNotes
ClientEnterprise-wide common attributesMaterial description, Base UoM, ClassificationOne record shared across entire enterprise
Company CodeFinancial accounting unitAccounting View (valuation class, price control)When Valuation Area = Company Code
Controlling AreaManagement accounting unitCosting View (cost estimate, variance analysis)May span multiple Company Codes
Purchasing OrganizationPurchasing org unitPurchasing Info Record (price, conditions)Material Master itself is at Plant level; purchase conditions are at Purch. Org level
PlantFactory / site unitMRP, Purchasing, Work Scheduling, General Plant DataThe primary level with the most views
Purchasing GroupBuyer groupPurchasing View: Purchasing Group (EKGRP)Buyer group within a Plant; starting point for PO release strategy routing
Valuation AreaInventory valuation unitAccounting 1 (valuation class, standard price)Typically = Plant; Company Code-level valuation is also configurable
Storage LocationStorage area unitGeneral Plant Data / Storage (storage location stock)Warehouse / bin area within a Plant
Warehouse NumberWarehouse management unitWM View (storage type, picking strategy)Used in Plants with WM/EWM
Sales OrganizationSales org unitSales: Sales Org View (sales unit, tax classification)Keyed together with Distribution Channel
Distribution ChannelDistribution channel unitSales: Sales Org ViewExtended in combination with Sales Org
(GTS reference)Trade compliance managementForeign Trade View (HS code, country of origin, export control)No GTS-specific org level key in Material Master; GTS references the Foreign Trade View data

Part 2: MM-Specific View Details (MM Module)

2.0 All Views × MM Involvement

SAP Material Master — all 30 views with MM module involvement rating

The Material Master has approximately 30 standard views. The table below clarifies the scope MM consultants need to own.

#ViewPrimary ModuleMM Involvement
1Basic Data 1Cross-module◎
2Basic Data 2Cross-module◎
3ClassificationCross-module○
4PurchasingMM◎ (Owner)
5Purchase Order TextMM◎ (Owner)
6Foreign Trade: ImportMM◎ (Owner)
7Foreign Trade: ExportSD / GTS△
8MRP 1MM / PP◎
9MRP 2MM / PP◎
10MRP 3MM / PP○ (SD also references)
11MRP 4PP-oriented△
12ForecastingMM / PP○
13Work SchedulingPP△
14Production Resources/ToolsPP×
15General Plant Data / Storage 1MM◎ (Owner)
16General Plant Data / Storage 2MM◎ (Owner)
17Warehouse Mgmt 1WM / EWM○
18Warehouse Mgmt 2WM / EWM○
19Quality ManagementQM△
20Accounting 1FI○ (closely linked via valuation)
21Accounting 2FI△
22Costing 1CO△
23Costing 2CO△
24Sales: Sales Org 1SD×
25Sales: Sales Org 2SD×
26Sales: General/PlantSD×
27Sales TextSD×
28Plant StockReference—
29Storage Location StockReference—
30Environment (EHS)EHS△ (via Hazmat number in General Plant Data)

Legend: ◎ = Owner / Critical, ○ = Direct involvement, △ = Reference / Integration, × = Other module owns, — = Display-only view

The following sections cover all views rated △ or above in MM involvement.


2.1 Basic Data View

The first view created for every material — shared across the enterprise. Defines the material’s core identity.

FieldDescriptionPractical Usage
Material (MATNR)Material numberDesign the number assignment method (internal/external) and digit length per Material Type. S/4HANA extended the field to 40 digits, so legacy interface, print form, and custom report impacts must be assessed. Japanese customers often retain the legacy 18-digit format.
Material DescriptionMaterial name (language-dependent)For Japanese global projects, maintaining both EN and JA language codes is standard. Mass translation loading via LSMW/BAPI at migration time.
Base Unit of Measure (MEINS)Base unitCannot be changed once stock exists — the single most critical field. Use SI units (KG, M, L) and handle trade units (BOX, CASE, etc.) via Alternative Units of Measure to prevent errors. This field gets the most design review time.
Material GroupGrouping for analysis and reportingUsed as a key axis in spend analysis, cost aggregation, and MM reports enterprise-wide. Design a 4–5 level hierarchy aligned with procurement, finance, and management perspectives.
Old Material NumberLegacy material numberEssential for migration projects. Store the old-to-new mapping here for cross-referencing via SE16 or custom reports. Frequently referenced during migration validation.
DivisionProduct lineTied to the SD org unit “Division.” Required for FERT/HAWA. Drives Profit Center determination and revenue aggregation — decide together with SD design.
Gross/Net Weight, UnitWeightUsed in delivery planning and freight cost estimation. For export projects, this is the source data for customs documents (Invoice/Packing List); align with shipping terms in the Sales View.
Volume, Volume UnitVolumeUsed for warehouse capacity planning (EWM) and container utilization. If blank during EWM implementation, the bin determination strategy will not function.
Size/DimensionsDimensionsIn manufacturing, directly linked to physical labels and bin data. Free text — define a naming convention to ensure data is reportable.
EAN/UPCInternational product codeMandatory for retail/consumer goods. Used for barcode picking in WM/EWM. Multiple EANs are registered as Additional EANs.

2.2 Purchasing View

Plant-level. Controls purchasing operation behavior.

FieldDescriptionPractical Usage
Purchasing Group (EKGRP)Responsible buyer groupA critical key that drives the PO release strategy (approval workflow). Design around org structure (direct/indirect materials, regional, or category-based). Standard is 3-digit codes with a naming convention by industry × region.
Order UnitPurchase order unitSet when the order unit differs from the Base Unit (e.g., stock in EA, order in BOX where 1 BOX = 12 EA). Missing conversion factor in Additional Units of Measure is a common source of quantity errors.
Variable Order UnitFlexible order unit flag1 = changeable at PO creation time; blank = fixed. Set to 1 for chemicals/raw materials where the order unit varies by lot.
Purchasing Value KeyReminder and tolerance setA key bundling reminder lead times and over/underdelivery tolerances. Standard keys like “100” are common industry defaults, but separating strategic materials from commodity items is best practice.
GR Processing TimeGoods receipt processing timeCalendar days from receipt to inspection completion and putaway. MRP adds this to delivery date calculations — overestimates inflate lead time; underestimates cause expediting. 3–5 days is realistic for QM-inspected materials.
Quota Arrangement UsageQuota activation key“4” (apply to PR/PO/MRP) is the most commonly used setting. Required for materials with automatic multi-source splitting (e.g., 60% to Vendor A, 40% to Vendor B). Without this, quotas created in MEQ1 are ignored by MRP.
Source ListSource list required flagWhen checked, PO creation is blocked for materials without a source in ME01. Effective as a rogue spend control, but blocks emergency purchases — implement together with master data governance rules.
JIT Schedule IndicatorJIT delivery call targetUsed in the automotive industry with Scheduling Agreements and JIT calls. Required for two-tier operation with Forecast Delivery Schedule (FRC) and JIT calls.
Automatic POAuto PO conversion (PR → PO)Enables inclusion in ME59N (automatic PO generation). Requires matching flag in Vendor Master. Commonly used for indirect/MRO materials.
Manufacturer Part Number ProfileMPN management profileSet when managing internal part numbers separately from manufacturer part numbers (MPN). Essential for electronics and EMS (contract manufacturing). Links to AML (Approved Manufacturer List) via MPN Profile.

2.3 Purchase Order Text View

This view manages long-form text stored in the Material Master and auto-printed on purchase orders for supplier communication.

FieldDescriptionPractical Usage
Purchase Order TextBody text auto-copied to POCommon supplier instructions (e.g., “Attach inspection certificate on delivery,” “Rust-prevention packaging required”) stored here are auto-transferred at PO creation, eliminating repeated manual entry. Multiple texts can be managed by Text ID.
Text IDText category keyIn addition to the standard BEST (Purchase Order Text), additional texts for manufacturing specs, inspection requirements, and transport conditions can be maintained separately. Design the Text ID hierarchy in Customizing (SO10).
Language KeyText languageThe same material can hold PO texts in multiple languages. For global plants sharing a common material, registering texts in the supplier’s language is standard. Align with the language setting of the PO print form.
Text Editor ContentFree-text bodyCan hold dozens to hundreds of lines. Drawing references, specification numbers, and special conditions can be documented. No change history is retained — supplement with change management rules (e.g., Change Number) for audit trail.
Reference TextText reference from another material/vendorAllows linking to a common spec registered on a master material, so related materials can reference it. Significantly reduces maintenance effort when a product family shares the same delivery terms.
Inclusion IndicatorAuto-copy behavior at PO creationChecked = auto-copy at PO creation; blank = prompt each time. Priority when both Material Master and Vendor Master texts are flagged is controlled in Customizing (OMFS etc.). Duplicate printing occurs if both are checked — verify design.

2.4 MRP Views (Material Requirements Planning): Four Screens

The deepest area in MM-A02. MRP 1–4 together determine the bulk of the procurement logic.

MRP 1

FieldDescriptionPractical Usage
MRP TypeMRP planning methodThe foundation of MRP design. PD = Deterministic (requirements-based, standard for manufactured items), VB = Reorder Point Planning (triggers when stock drops below threshold, for consumables), ND = No Planning (for one-time purchases), VV = Forecast-Based Planning, V1 = Automatic reorder point. The choice between PD and VB reflects completely different planning philosophies.
MRP Controller (DISPO)Planning responsible personA 3-digit org key identifying “who owns planning responsibility for this material.” Used as a filter in MD04 (Stock/Requirements List) and MD06 (Exception Messages). Assign clear ownership rather than rotating — also defines the unit for weekly planning meetings.
Lot Size (DISLS)Lot-sizing procedureEX = Lot-for-Lot (net requirement, ideal for JIT), FX = Fixed Lot Size (for mass production), HB = Replenish to Maximum Stock Level, SP = Periodic Lot Size. Behavior is determined by the combination with MRP Type — review all combinations in a design matrix.
Minimum/Maximum Lot SizeMin/max order quantityReflects vendor MOQ (Minimum Order Quantity) or mold cavity count. Setting a Maximum causes split orders — balance against transportation efficiency.
Fixed Lot SizeFixed order quantityMandatory when Lot Size = FX. Set to standard pallet quantity, production batch size, etc. Communicate to business that orders are placed at this quantity even when demand is below it.
Rounding ValueRounding quantityRounds to multiples of 100 EA, 1 pallet, etc. Rounding Profiles allow stepped rounding (e.g., up to 100 → 100; up to 500 → 500). Directly impacts logistics efficiency.
Reorder PointReorder point quantityMandatory for MRP Type VB/V1/V2. Calculated as safety stock plus lead time consumption. Consider statistical calculation based on service level for high-demand-variability materials.

MRP 2

FieldDescriptionPractical Usage
Procurement TypeProcurement typeE = In-house production, F = External procurement, X = Both. Use X only when both internal and external sourcing coexist across plants. Incorrectly setting E causes MRP to generate planned orders instead of PRs — a frequent error and the first checkpoint for PP/MM responsibility boundaries.
Special ProcurementSpecial procurement type30 = Plant-to-Plant STO (inter-plant replenishment), 40 = Subcontracting, 52 = Withdrawal from alternative plant, 10 = Production in another plant. In global projects, the design of 30 vs. 40 is the most frequently debated topic. Review alongside Customizing (OMD9).
Planned Delivery TimeStandard purchase lead timeCalendar days from supplier dispatch to GR at your plant. Material Master value takes priority over Vendor Master Planned Delivery Time. Also used as the benchmark for on-time delivery evaluation.
GR Processing TimeGoods receipt processing timeMRP references this field (same name as in Purchasing View, but MRP reads this one). Misalignment between the two fields is common during data loads — establish a rule for which is the master.
Planning CalendarPlanning calendarReflects factory working days and holidays. Combined with Lot Size = PS (Periodic) to control weekly/monthly order timing. Multi-plant projects require separate calendars per plant.
Schedule Margin KeyFloat before/after schedulingA bundled set of buffer days before start and after finish of an order. 000 = none; 001 = 1 day start buffer / 1 day finish buffer, etc. Used to hedge manufacturing lead time risk.
Safety StockSafety stockMRP plans to never let stock drop below this level. Ideally calculated statistically from demand and lead time variability, but in practice often set by experience or vendor reliability.
Safety TimeSafety time (days early)Pulls requirements forward by N days. Where safety stock is a quantity buffer, safety time is a time buffer. Useful for long lead time items (e.g., imported goods).
Service LevelFor automatic safety stock calculation95%, 98%, etc. Used with Coverage Profile to dynamically calculate safety stock. Requires clean consumption and lead time data.

MRP 3

FieldDescriptionPractical Usage
Strategy GroupPlanning strategy groupSelects the production model. 10 = MTS (Make-to-Stock), 20 = MTO (Make-to-Order), 40 = MTS with Forecast, 50 = Project-based. Japanese manufacturers predominantly use 10 and 40; Western EMS companies lean toward 20. Mixed Mode (multiple strategies) is also configurable — a common debate for export-sales subsidiaries.
Consumption ModeConsumption modeDirection for consuming independent requirements (Forecast/Sales Orders). 1 = Backward only, 2 = Forward only, 3 = Backward + Forward, 4 = Forward + Backward. Important for MTO/Make-to-Forecast where sales orders consume planned independent requirements.
Bwd/Fwd Consumption PeriodConsumption period (days)Set in conjunction with Consumption Mode. Example: 30 days backward + 30 days forward for sales order consumption. Too long consumes future demand; too short causes double-counting of independent requirements.
Availability CheckAvailability checking ruleRule referenced by SD ATP (Available-to-Promise). 02 = Individual/cumulative, 04 = Daily cumulative, etc. Which elements (stock, PO, planned orders, PR, reservations) are included is defined in OVZ9.
Period IndicatorPeriod unitUnit for viewing stock and demand. M = Month, W = Week, D = Day, P = Custom period. Reflected in MD04 and forecast buckets.

MRP 4

FieldDescriptionPractical Usage
Selection MethodBOM selection method1 = Production Version, 2 = BOM valid-from date, 3 = Lot size range. Set for Plants with PP implementation. Running via Production Version is the modern SAP standard.
Individual/Collective RequirementsIndividual vs. collective requirements1 = Individual (BOM explosion per sales order), 2 = Collective (aggregated BOM explosion). MTO projects use 1; common components of mass-production BOMs use 2 to reduce planning system load.
BOM Explosion NumberBOM freeze referenceLinks to a project/sales order to freeze the BOM (protecting the order from later design changes). Used in long-duration projects and aerospace.
Repetitive ManufacturingRepetitive manufacturing flagWhen checked, REM mode (backflush + cumulative GR for mass production) is enabled. Used on automotive/electronics mass-production lines. Design together with Production Version.
Production VersionProduction versionCombination of BOM × Routing × Production Line. Critical when the same material is produced on multiple lines or when old and new BOMs run in parallel during a design change. S/4HANA assumes Production Version-based operation.
Discontinuation IndicatorDiscontinuation flag1 = Automatic switchover to follow-up material. Combined with Follow-up Material, plans the successor once stock is depleted. Required for EOL (End-of-Life) material management.

2.5 Forecasting View

Used in combination with MRP Type = VV (Forecast-Based Planning). Projects future demand from historical consumption and feeds it into MRP requirements. Particularly effective for consumer goods, seasonal items, and high-demand-variability materials.

FieldDescriptionPractical Usage
Forecast ModelForecasting modelD = Constant, T = Trend, S = Seasonal, X = Automatic selection. X is convenient initially but model selection fluctuates with data quality — switch to a fixed model once demand patterns become clear.
Historical PeriodsNumber of historical periodsAt least 24 periods (2 years) for seasonal patterns; around 12 for constant. New products have no history — design a process to borrow data from similar materials.
Forecast PeriodsNumber of forecast periodsReflects the planning horizon. Align with Planning Time Fence in MRP 3.
Initialization PeriodsInitialization periodLearning period for model startup.
Alpha/Beta/Gamma/Delta FactorSmoothing factorsExponential smoothing parameters. 0.1–0.3 is standard. Higher values make the forecast more reactive to recent data; lower values are more stable but slower to capture trend changes.
MRP TypeForecast-linked MRPMeaningful only when MRP Type = VV is selected.

2.6 Work Scheduling View

Primarily used for in-house produced materials (FERT/HALB).

FieldDescriptionPractical Usage
Production Scheduler ProfileProduction scheduler profileScheduler group key. Used for MD04 filtering and workflow responsibility assignment. How to split responsibility between MRP Controller and Production Scheduler is a key design question.
Production UnitProduction unitSet when different from Base Unit. Example: stock in EA, production in KG (chemicals).
Production Storage LocationReceiving storage locationDefault GR destination after production completion. Critical in Plants with multiple warehouses — incorrect setup causes stock not found at picking.
In-house Production TimeIn-house production lead timeFixed lead time independent of lot size. Used in simplified MRP; detailed calculation uses Routing.
Setup/Processing/Teardown TimeSetup, processing, teardown timeBreakdown of In-house Production Time. Input values for lot-size-dependent detailed scheduling.
Underdelivery/Overdelivery ToleranceQuantity toleranceAbsorbs yield variance and fractional quantities in production orders. Required in industries with unpredictable yield such as chemicals and food.

2.7 General Plant Data / Storage View

Defines plant-level inventory management and storage conditions. This is the starting point for storage environment (temperature, hazardous materials), material status, and shelf life management. A mandatory design area for food, pharmaceutical, and chemical projects.

FieldDescriptionPractical Usage
Plant-Specific Material StatusPlant-level usage statusExample: 02 = Stop for sales, 03 = Block for procurement. Used during design changes or quality holds. Stored in MARC-MMSTA; triggers warnings or errors in PR/PO/SO/MIGO.
Storage ConditionsStorage conditionsTemperature zone, humidity, explosion-proof area, etc. Used as input for EWM Putaway Strategy determination.
Temperature ConditionsTemperature zoneRequired for food and pharma. Starting point for cold chain management.
Container RequirementsContainer requirementsFor materials requiring dedicated containers or fixtures.
Hazardous Material NumberHazardous material numberRequired for EHS (Environmental, Health & Safety) integration. Used for auto-printing on transport documents and storage area restrictions.
Shelf Life Expiration Date RequiredShelf life management flagWhen checked, entry of expiration date is required at GR. Required for food, pharmaceutical, and chemical materials.
Minimum Remaining Shelf LifeMinimum remaining shelf lifeRejects incoming lots with remaining shelf life below this threshold. Used for customer-specified shelf life SLA requirements.
Total Shelf LifeTotal shelf lifeTotal valid days from production date.
Period Indicator for SLEDShelf life unitDay / Month / Year for shelf life.

2.8 Warehouse Management Views (WM/EWM)

In EWM environments, managed via /SCWM/MAT1 (Decentralized) or /SCWM/MAT_* for integrated setups. For classic WM only, data is maintained directly in the Material Master.

FieldDescriptionPractical Usage
Warehouse NumberWarehouse number3-digit code. Plant-to-Warehouse is usually 1:1, but large logistics hubs may have multiple warehouses under one Plant.
Storage Type IndicatorStorage type determination keyUsed in Putaway strategy to determine the target storage type (high-rack, floor, small-parts area).
Storage Section IndicatorABC classificationZones fast-moving A items near output gates. Key for WM/EWM flow-path optimization.
Storage BinDefault storage binUsed for fixed bin storage. Blank for dynamic bin determination.
Picking Storage TypeSource storage type for pickingFirst storage type referenced in outbound delivery.
WM UnitWM unit of measurePallet, case, etc. Key when different from Base Unit.
Putaway/Removal StrategyPutaway/removal strategyStrategies defined in EWM Customizing; Material Master provides the determination inputs.

2.9 Quality Management View

Controls goods receipt inspection, goods issue inspection, and re-inspection during storage in integration with the QM module. When QM Procurement Active is enabled, an Inspection Lot is automatically generated at goods receipt.

FieldDescriptionPractical Usage
QM Material AuthorizationQM usage authorizationFlag indicating whether QM module is active for this material. Explicitly enabled per Plant where QM is deployed.
QM Procurement ActiveQuality management at procurementWhen checked, automatically creates a Quality Inspection Lot at GR. Links to QM Info Record.
QM Control KeyQM control keyA bundle enabling GR inspection, GI inspection, and storage inspection. Each Control Key defines certificate requirement, auto Inspection Lot creation, and GR quality hold behavior.
Inspection SetupInspection type settings01 = GR inspection, 04 = GI inspection, 10 = Periodic re-inspection, 09 = In-process inspection. Each type links to an Inspection Plan (set of inspection characteristics).
Certificate TypeCertificate typeAuto-printed certificate type at shipment (Certificate of Analysis, Mill Sheet, etc.).
Recurring InspectionPeriodic re-inspection flagTriggers periodic re-inspection of long-stored materials. Used in pharmaceutical and chemical industries.

2.10 Accounting Views 1/2 (Finance)

The most critical view in terms of financial posting impact.

Accounting 1

FieldDescriptionPractical Usage
Valuation Class (BKLAS)Valuation classThe heart of the MM→FI integration. OBYC (automatic account determination) uses the combination of Valuation Class × Transaction Key (BSX, WRX, GBB, PRD, etc.) to determine G/L accounts. Permissible valuation classes per Material Type are defined in OMS2. A mandatory three-dimensional matrix (Material Type × Valuation Class × G/L Account) must be agreed with FI during design.
Price ControlPrice control methodS = Standard Price (for manufactured goods), V = Moving Average Price (for purchased goods). This choice defines the cost management philosophy. Standard Price provides clear variance visibility; Moving Average Price tracks actual costs. Enabling Material Ledger allows parallel valuation under both methods.
Standard PriceStandard priceValuation unit price when Price Control = S. Updated from the standard cost released via CK40N (Cost Estimate). Mid-year changes via MR21.
Moving Average PriceMoving average priceValuation unit price when Price Control = V. Automatically recalculated at each GR. Can produce extreme price swings with negative stock or very low stock quantities — requires period-end monitoring.
Price UnitPrice unitThe quantity basis for the unit price. Example: for a material priced at 0.01 JPY per unit, set Price Unit = 1000 to express as “10 JPY per 1000 units” — prevents decimal overflow.
Total Stock / Total ValueTotal stock / valueSystem-calculated results. Continuously verified via MB5B, MB5L, etc.
Valuation CategoryValuation categoryEnables batch valuation, country-of-origin valuation, or status-based valuation. Batch valuation is used in chemical/food when lot-level cost management is required. High design cost — verify business requirements strictly.

Accounting 2

FieldDescriptionPractical Usage
Tax Price 1/2/3Tax-based valuation priceIn Japan, may feed deferred tax accounting calculations. Maintained for corporate/local tax purposes.
Commercial Price 1/2/3Commercial valuation priceFor commercial law accounting (lower-of-cost-or-market). Used for period-end inventory write-downs.
LIFO/FIFO ValuationLIFO/FIFO valuation methodActivated for US GAAP LIFO usage. FIFO or weighted average is standard in Japan.
Devaluation IndicatorDevaluation flagUsed with slow-moving/obsolescence write-down programs (MRN0, etc.) for aged or obsolete inventory.

2.11 Costing Views 1/2 (Controlling)

Controls standard cost rollup, release, and variance analysis in integration with the CO module. Particularly important for in-house produced materials (FERT/HALB). Holds the prerequisite settings for cost estimates run from BOM × Routing (CK40N).

FieldDescriptionPractical Usage
Costing Lot SizeCosting lot sizeBase quantity for allocating setup costs and fixed costs. Should be close to the actual production lot size — deviation distorts unit cost. Use the average production lot size over the product lifecycle as a practical approach.
With Qty StructureBOM/Routing cost rollup flagWhen checked, standard cost for manufactured materials is automatically rolled up from BOM × Routing. Check for FERT/HALB; leave blank for ROH/HAWA.
Material OriginSource display in product costWhen checked, shows cost by individual material in the cost breakdown. Enable for key raw materials and key components where cost analysis granularity is important.
Variance KeyVariance analysis keyReference set for production order variance analysis. Standard uses 000; split as needed by requirement.
Production Version (Costing)Default production version for costingWhen multiple Production Versions exist, this specifies the default. Locks in “which manufacturing method’s cost” at cost estimate time.
Standard Cost Estimate (Future/Current/Previous)Three generations of standard costVersion management via CK40N mark and release. Typical operation: release at fiscal year start. Mid-year mark is performed for budget revisions or standard cost updates.
Costing StatusCost mark/release statusKA = Marked, FR = Released, etc. Used to visualize the cost release approval workflow.

2.12 Sales Views (SD)

Owned by the SD module but maintained in the Material Master.

Sales: Sales Org 1/2

FieldDescriptionPractical Usage
Sales UnitSales unitAligning the three tiers — Base Unit / Order Unit / Sales Unit — is the central challenge of master data design. Cases where the Sales Unit follows industry convention and differs from the others (e.g., stock in EA, sales in BOX × dozen) are common.
Delivering PlantDefault delivering plantAutomatically determines the shipping origin at sales order entry. In multi-plant projects, design often varies by Sales Org × Material.
Material Statistics GroupStatistics groupingKey for SD sales statistics (SIS) and CO-PA integration. Confirm the management reporting axis during design.
Tax ClassificationTax classificationDetermines tax rate by shipping country × destination country combination. For global projects, building the country-level tax classification master is a large-scale effort.
Material Group 1–5Free classification fieldsAdditional axes for SD reporting. Used for sales channel analysis, regional analysis, etc.
Item Category GroupItem category groupNORM (standard), ERLA (configuration), LUMF (component-level), DIEN (service), etc. The starting point for order line item category determination. Controls BOM explosion behavior.
Pricing Reference MaterialPricing reference materialFor shared pricing, references the price conditions of another material. Used when a product family shares the same pricing structure.

Sales: General/Plant

FieldDescriptionPractical Usage
Transportation GroupTransportation groupKey for route and carrier determination. Split by frozen/ambient, hazardous goods, etc.
Loading GroupLoading groupInput for automatic Shipping Point determination (Plant × Loading Group × Shipping Condition).
Availability CheckAvailability checking ruleSame field as in MRP 3. Used in SD ATP (Available-to-Promise). Typically set in MRP 3 and referenced by Sales.
Batch ManagementBatch management flagWhen checked, batch confirmation is mandatory at goods issue. Cannot be deactivated once stock movements have occurred — finalize during design.
Profit CenterProfit centerAxis for CO-PA integration and P&L reporting. Mass maintenance is required in projects where the Profit Center hierarchy changes due to org restructuring.

2.13 Classification View

Assigns Classes and Characteristics to materials. Forms the foundation for material search, batch management, and Variant Configuration. Class Type determines whether Material (001), Batch (023), or VC (200) is used.

FieldDescriptionPractical Usage
Class TypeClass type001 = Material Class, 023 = Batch Class, 200 = Variant Configuration, etc. Strict separation by purpose is essential. Mixing Material search class 001 with batch attribute management class 023 leads to operational breakdown.
ClassAssigned classMultiple classes can be assigned to one material. A hierarchical design such as “Mechanical Parts” → “Bearings” → “Deep Groove Ball Bearings” is common.
CharacteristicCharacteristicExamples: dimensions, material composition, surface treatment, manufacturer. In Variant Configuration, used as configurable design parameters.
Characteristic ValueCharacteristic valueTypes include discrete values (master selection), numeric ranges, dates, and free text. Prioritize discrete value type when aggregation in reports is required.

2.14 Foreign Trade Views

Manages customs, country of origin, and tariff classification data for import and export. Starting point for auto-generation of export documents, FTA preferential tariff determination, and hazardous goods regulations (EHS integration). A mandatory design area for global projects.

FieldDescriptionPractical Usage
Country of OriginCountry of originAuto-printed on export documents (Invoice/Packing List/COO). Starting point for certificate of origin (FTA application).
Region of OriginRegion/state of originRequired in US, EU, etc. where state/region-level management is needed.
Commodity Code (HS Code)Customs tariff classification codeDifferent HS codes per country can be maintained. Misclassification carries customs penalty risk — mandatory sign-off with the trade compliance team.
Export/Import GroupExport/import groupUsed for export statistics reporting and license management.
CAS NumberChemical substance numberManagement key for chemical export regulations (REACH, TSCA, etc.).
Preference StatusPreference statusFlag for FTA/EPA preferential tariff eligibility. Updated by origin calculation programs (GTS integration, etc.).

L1) Big Picture

IDCategoryTitle
mm-001OverviewWhat is SAP MM?

L2-A) Master Data

IDCategoryTitle
mm-a01OverviewSAP MM Master Data: Overview, Hierarchy & Relationships
mm-a02-01Master DataSAP MM Material Master 📍
mm-a04-01Master DataSAP MM Class
mm-a04-02Master DataSAP MM Characteristic
mm-a06-01Master DataSAP MM Purchasing Info Record
mm-a05-01Master DataSAP MM Batch Master
mm-a06-02Master DataSAP MM Source List
mm-a06-03Master DataSAP MM Quota Arrangement
mm-a06-04Master DataSAP MM Price Condition

L2-B) Transaction

IDCategoryTitle
mm-b01OverviewSAP MM Transactions: Process Flow, Hierarchy & Module Integration