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SAP PS Material Master
SAP PS Material Master
The Material Master is the foundation of project procurement and material reservation in SAP PS. Every component reserved for a network activity, every material purchased to a WBS element, and every stock transfer to a project traces back to this master. This article covers the Material Master’s structure, views, organizational levels, and the field-level detail PS consultants must own.
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.
| Aspect | Details |
|---|---|
| Role | Single Source of Truth for all material attributes across the enterprise |
| Modules using it | MM (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) |
| Transactions | MM01 (Create) / MM02 (Change) / MM03 (Display) |
| S/4HANA change | Material number length extended from 18 to 40 digits (MATNR field) |
1.2 Three Defining Axes: Material Type × Industry Sector × Views
The structure of a Material Master record is determined by the combination of three axes:
| Axis | Description | Examples |
|---|---|---|
| Material Type | Classifies the material. Controls screen layout, number assignment, and valuation method | ROH, FERT, HALB |
| Industry Sector | Industry branch. Controls which fields are displayed based on industry characteristics | M (Mechanical), C (Chemical), A (Automotive) |
| Views | Data sets organized by department. Only relevant views need to be extended | Basic 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
| Code | Name | Use Case | Stock-Managed | Qty / Value |
|---|---|---|---|---|
| ROH | Raw Material | Input materials | Yes | Both |
| HALB | Semi-Finished | Internally produced intermediates | Yes | Both |
| FERT | Finished Product | Internally produced / sold goods | Yes | Both |
| HAWA | Trading Goods | Buy-and-sell merchandise | Yes | Both |
| HIBE | Operating Supplies | Indirect materials, consumables | Yes | Both |
| DIEN | Service | Service items | No | Value only |
| NLAG | Non-Stock | No inventory management | No | — |
| UNBW | Non-Valuated | Quantity tracking only | Yes | Qty only |
1.4 View Structure
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.
| # | View | Owning Dept | Key Fields | Org Level |
|---|---|---|---|---|
| 1 | Basic Data 1 | Cross-module | Material description, Base UoM, Material group, Weight/Volume | Client |
| 2 | Basic Data 2 | Cross-module | Dimensions, EAN/UPC, Old material number, Division | Client |
| 3 | Classification | Cross-module | Class assignment, Characteristic values | Client |
| 4 | Purchasing | Purchasing (MM) | Purchasing group, Order unit, GR processing time, Source list required flag | Plant |
| 5 | Purchase Order Text | Purchasing (MM) | PO text, Text ID, Language | Plant |
| 6 | Foreign Trade: Import | Purchasing (MM) / GTS | Country of origin, HS code (import), CAS number, Import license | Plant |
| 7 | MRP 1 | Purchasing / PP (MM/PP) | MRP type, MRP controller, Lot size, Reorder point | Plant |
| 8 | MRP 2 | Purchasing / PP (MM/PP) | Procurement type, Special procurement, Planned delivery time, Safety stock | Plant |
| 9 | MRP 3 | Purchasing / PP (MM/PP) | Strategy group, Consumption mode, Availability check | Plant |
| 10 | MRP 4 | PP-oriented | BOM selection, Individual/collective requirements, Discontinuation flag | Plant |
| 11 | Forecasting | Purchasing / PP (MM/PP) | Forecast model, Historical/forecast periods, Smoothing factors | Plant |
| 12 | Work Scheduling | Production (PP) | Production unit, Receiving storage location, In-house production time | Plant |
| 13 | Production Resources/Tools | Production (PP) | Production resource/tool data | Plant |
| 14 | General Plant Data / Storage 1 | Inventory (MM) / EHS | Plant-specific material status, Storage conditions, Hazardous material number, EHS hazard data | Plant |
| 15 | General Plant Data / Storage 2 | Inventory (MM) | Shelf life management, Minimum remaining shelf life, Temperature conditions | Plant |
| 16 | Warehouse Management 1 | Warehouse (WM/EWM) | Warehouse number, Storage type, Storage section | Warehouse |
| 17 | Warehouse Management 2 | Warehouse (WM/EWM) | Picking type, WM unit of measure | Warehouse |
| 18 | Quality Management | Quality (QM) | QM procurement key, Inspection type, Certificate type | Plant |
| 19 | Accounting 1 | Finance (FI) | Valuation class, Price control (S/V), Standard price / Moving average price | Valuation Area |
| 20 | Accounting 2 | Finance (FI) | Tax-based valuation, Commercial valuation, Devaluation flag | Valuation Area |
| 21 | Costing 1 | Controlling (CO) | Costing lot size, With/without quantity structure, Variance key | Plant |
| 22 | Costing 2 | Controlling (CO) | Standard cost (Future/Current/Previous), Costing status | Plant |
| 23 | Sales: Sales Org 1 | Sales (SD) | Sales unit, Tax classification, Item category group | Sales Org / DCh |
| 24 | Sales: Sales Org 2 | Sales (SD) | Material statistics group, Material group 1–5 | Sales Org / DCh |
| 25 | Sales: General/Plant | Sales (SD) | Delivering plant, Transportation group, Loading group, Profit center | Plant |
| 26 | Sales Text | Sales (SD) | Sales/shipping texts | Client |
| 27 | Foreign Trade: Export | Trade (SD/GTS) | HS code (export), Export statistics group, Preference status, Export control | Plant |
| 28 | Plant Stock | Reference (display only) | Plant stock quantity / value (read-only) | Plant |
| 29 | Storage Location Stock | Reference (display only) | Storage location-level stock (read-only) | Storage Loc |
| 30 | Environment (EHS) | EHS | Hazardous substance regulations, Waste code | Plant |
1.5 Organizational Levels and Data Hierarchy
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 Level | Primary Use | Representative Fields | Notes |
|---|---|---|---|
| Client | Enterprise-wide common attributes | Material description, Base UoM, Classification | One record shared across entire enterprise |
| Company Code | Financial accounting unit | Accounting View (valuation class, price control) | When Valuation Area = Company Code |
| Controlling Area | Management accounting unit | Costing View (cost estimate, variance analysis) | May span multiple Company Codes |
| Purchasing Organization | Purchasing org unit | Purchasing Info Record (price, conditions) | Material Master itself is at Plant level; purchase conditions are at Purch. Org level |
| Plant | Factory / site unit | MRP, Purchasing, Work Scheduling, General Plant Data | The primary level with the most views |
| Purchasing Group | Buyer group | Purchasing View: Purchasing Group (EKGRP) | Buyer group within a Plant; starting point for PO release strategy routing |
| Valuation Area | Inventory valuation unit | Accounting 1 (valuation class, standard price) | Typically = Plant; Company Code-level valuation is also configurable |
| Storage Location | Storage area unit | General Plant Data / Storage (storage location stock) | Warehouse / bin area within a Plant |
| Warehouse Number | Warehouse management unit | WM View (storage type, picking strategy) | Used in Plants with WM/EWM |
| Sales Organization | Sales org unit | Sales: Sales Org View (sales unit, tax classification) | Keyed together with Distribution Channel |
| Distribution Channel | Distribution channel unit | Sales: Sales Org View | Extended in combination with Sales Org |
| (GTS reference) | Trade compliance management | Foreign 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: PS-Specific View Details (Project System)
2.0 All Views × PS Involvement
| # | View | Primary Module | PS Involvement |
|---|---|---|---|
| 1 | Basic Data 1 | Cross-module | ◎ (material description, base UoM) |
| 2 | Basic Data 2 | Cross-module | △ |
| 3 | Classification | Cross-module | △ |
| 4 | Purchasing | MM | ◎ (project procurement settings) |
| 5 | Purchase Order Text | MM | ○ (project-specific delivery instructions) |
| 6 | Foreign Trade: Import | MM | △ |
| 7 | MRP 1 | MM / PP | ◎ (project stock MRP settings) |
| 8 | MRP 2 | MM / PP | ◎ (procurement type for project components) |
| 9 | MRP 3 | MM / PP | ○ (individual requirements for MTO projects) |
| 10 | MRP 4 | PP | △ |
| 11 | Forecasting | MM / PP | × |
| 12 | Work Scheduling | PP | × |
| 13 | Production Resources/Tools | PP | × |
| 14 | General Plant Data / Storage 1 | MM | ○ |
| 15 | General Plant Data / Storage 2 | MM | △ |
| 16 | Warehouse Management 1 | WM / EWM | △ |
| 17 | Warehouse Management 2 | WM / EWM | △ |
| 18 | Quality Management | QM | △ |
| 19 | Accounting 1 | FI | ◎ (valuation class for project stock) |
| 20 | Accounting 2 | FI | △ |
| 21 | Costing 1 | CO | ○ |
| 22 | Costing 2 | CO | △ |
| 23 | Sales: Sales Org 1 | SD | △ (customer project billing) |
| 24 | Sales: Sales Org 2 | SD | × |
| 25 | Sales: General/Plant | SD | △ (profit center) |
| 26 | Sales Text | SD | × |
| 27 | Foreign Trade: Export | SD / GTS | △ |
| 28 | Plant Stock | Reference | — |
| 29 | Storage Location Stock | Reference | — |
| 30 | Environment (EHS) | EHS | △ |
Legend: ◎ = Owner / Critical, ○ = Direct involvement, △ = Reference / Integration, × = Other module owns, — = Display-only view
2.1 Basic Data 1 — PS-Critical Fields
| Field | Description | Practical Usage |
|---|---|---|
| Material Description | Component description | In PS projects, materials are referenced in network activities and WBS element reservations. The description must be unambiguous enough for project engineers to identify the correct component — especially in long-duration projects where personnel change. Use structured naming: Equipment Type + Component + Specification. |
| Base Unit of Measure | Stock management unit | For project materials: EA (equipment units), M (pipe/cable by meter), KG (bulk materials). For customer projects that deliver assembled equipment, the base unit of the finished material drives the billing quantity — align with the customer contract unit. |
| Material Group | Project cost category | Used in project cost analysis reports to group material costs by category (e.g., Mechanical Equipment, Electrical, Instrumentation, Civil Materials). Design the Material Group hierarchy together with the PS cost report structure. |
2.2 Purchasing View — PS-Critical Fields
| Field | Description | Practical Usage |
|---|---|---|
| Purchasing Group | Project buyer group | For large capital projects, assign a dedicated project procurement group (separate from operational MRO or production purchasing). Enables project-specific release strategies — e.g., project manager approval required for items above a cost threshold. |
| Planned Delivery Time | Procurement lead time | In PS scheduling, the planned delivery time of a material feeds backward scheduling to determine the PR creation date (need date minus planned delivery time). For long-lead items (custom equipment, imported machinery), the accuracy of this field directly determines whether the project timeline is achievable. |
| GR Processing Time | Receipt processing time | For project materials requiring acceptance testing, add inspection/acceptance time here. This time is added to the delivery lead time in PS scheduling — a common omission that causes materials to be “on site” in the schedule but still in testing. |
2.3 MRP 2 View — PS-Critical Fields
| Field | Description | Practical Usage |
|---|---|---|
| Procurement Type (E/F/X) | In-house vs. external | For project-specific components, F = External procurement is the standard. E = In-house production is used when the project requires manufactured subassemblies. Setting E on a component that must be purchased blocks PR generation — a critical error in project execution that can delay the entire project. |
| Special Procurement | Project stock handling | For materials to be managed as project stock (dedicated to a specific project WBS element), the Special Procurement Key for project stock must be set. This ensures that when MRP generates a PR from a project reservation, the goods receipt is posted to project stock rather than plant stock — critical for multi-project environments where component allocation must be project-specific. |
| Planned Delivery Time | Lead time | Same field as in Purchasing View but referenced by MRP for PS-driven procurement. For project materials, verify this is set at the project execution plant level — especially in multi-plant projects where the executing plant differs from the home plant. |
2.4 MRP 3 View — PS-Critical Fields
| Field | Description | Practical Usage |
|---|---|---|
| Individual Requirements | Individual requirements flag | For MTO/project scenarios, set to “1” (Individual requirements). This creates project-specific planned orders and purchase requisitions — material procured for Project A cannot be consumed by Project B, even if both have the same material number. This is the key control that enforces project cost segregation in the Material Master. |
| Availability Check | ATP rule | For project materials, the availability check at network activity component assignment determines whether stock is available for reservation. Configure the availability check rule to include project stock and unrestricted stock separately — projects should not automatically consume stock reserved for other projects. |
2.5 Accounting 1 — PS-Critical Fields
| Field | Description | Practical Usage |
|---|---|---|
| Valuation Class | Project material G/L account | For investment projects (capital expenditure), materials purchased to a WBS element and placed in project stock are valued in a separate inventory account (AuC — Asset Under Construction). Assign a Valuation Class that maps to the AuC balance sheet account via OBYC. When the project is capitalized, the AuC balance transfers to the fixed asset. |
| Price Control (V — Moving Average) | PS material valuation | Moving Average Price is standard for project materials since each procurement order may have a different unit price. For long-duration capital projects, the MAP fluctuates as procurement conditions change — monitor via MB5L to detect abnormal price movements. |
2.6 Sales: General/Plant View — PS-Critical Fields
| Field | Description | Practical Usage |
|---|---|---|
| Profit Center | Project profit center | For customer projects, the Profit Center on the Material Master is the default for project-related revenue and cost postings. In multi-project organizations, assign a project-specific Profit Center to enable project P&L reporting. The Profit Center must be aligned with the WBS element’s Profit Center assignment — misalignment causes profit center reconciliation differences in CO-PA. |
What to Read Next
L1) Big Picture
| ID | Category | Title |
|---|---|---|
| ps-001 | Overview | What is SAP PS? |
L2-A) Master Data
| ID | Category | Title |
|---|---|---|
| ps-a01 | Overview | SAP PS Master Data: Overview, Hierarchy & Relationships |
| ps-a02-01 | Master Data | SAP PS Material Master 📍 |
| ps-a03-01 | Master Data | SAP PS Project Profile |
| ps-a03-02 | Master Data | SAP PS Network Profile |
| ps-a03-03 | Master Data | SAP PS Milestone Group |
| ps-a04-01 | Master Data | SAP PS Project Definition |
| ps-a04-02 | Master Data | SAP PS WBS Element |
| ps-a04-03 | Master Data | SAP PS WBS Element (AuC) |
| ps-a04-04 | Master Data | SAP PS WBS Hierarchy |
| ps-a05-01 | Master Data | SAP PS Network |
| ps-a05-02 | Master Data | SAP PS Activity |
| ps-a05-03 | Master Data | SAP PS Activity Element |
| ps-a05-04 | Master Data | SAP PS Milestone |
L2-B) Transaction
| ID | Category | Title |
|---|---|---|
| ps-b01 | Overview | SAP PS Transactions: Process Flow, Hierarchy & Relationships |