Chapter 2 -Material Management

Question 1

What are the organizational levels in Material Management?

Answer 1

Client, Company Code, Plant, Storage Location, Purchasing Organization, Purchasing group

Question 2

What is the highest organizational level in SAP ERP?

Answer 2

Client

Question 3

Central organizational element in Financial Accounting

Answer 3

Company Code

Question 4

A facility which many functions are performed, products and services are created, materials are stored and used for distribution.

Answer 4

Plant

Question 5

How many Company Codes can a plant be assigned to

Answer 5

Only one

Question 6

How many plants can a company code have

Answer 6

Many plants

Question 7

A place within a plant, where materials are stored

Answer 7

Storage Location

Question 8

How many storage location must a plant have?

Answer 8

at least one

Question 9

It identifies and select vendors, Negotiate general conditions of purchase and determine pricing conditions.

Answer 9

Purchasing organization

Question 10

A model for purchasing organization, also known as cross company code

Answer 10

Enterprise-level

Question 11

A model for purchasing organization, Also known as cross plant model

Answer 11

Company level

Question 12

A model for purchasing organization, Also known as Plant-specific model

Answer 12

Plant-level

Question 13

A buyer or group of buyers responsible for certain materials or groups

Answer 13

purchasing group

Question 14

An organizational unit allowing the differentiation of materials stocks within a plant

Answer 14

Storage Location

Question 15

An alphanumeric key defining a complex warehousing system consisting of different organizational and technical units

Answer 15

Warehouse Number

Question 16

A Physical or logical storage area that can be defined for a warehouse in the WMS

Answer 16

Storage type

Question 17

Data that is used in numerous processes

Answer 17

Material Master

Question 18

Transaction data related to vendors

Answer 18

Vendor Master

Question 19

Data in a Purchasing Master Data

Answer 19

Purchasing Info record, Source List and Quota Arrangement

Question 20

A record establishes link between material and vendor

Answer 20

Purchasing Info record

Question 21

Specifies possible sources of supply for material

Answer 21

source list

Question 22

Specifies the portion requirement of a material over a certain period to be assigned to particular vendors

Answer 22

Quota Arrangements

Question 23

What are the different types of data/info contained in material master?

Answer 23

Basic, Sales, FI, CO, Purchasing, MRP, Warehouse Management Data, Plant / Storage Data

Question 24

Purchased, not sold, used in production

Answer 24

Raw Materials (ROH)

Question 25

Produced using other materials

Answer 25

Semi-finished Goods (HALB)

Question 26

Sold to customers, produced using ROH and HALB

Answer 26

Finished Goods (FERT)

Question 27

Purchased goods that are resold without additional processing

Answer 27

Trading Goods (HAWA)

Question 28

Unit of measure which the stocks of materials are managed

Answer 28

Base unit of measure

Question 29

Individual departments may have their own unit of measure

Answer 29

Alternative unit of measure

Question 30

A request or an instruction to purchasing to procure a certain quantity of a material or a service

Answer 30

Purchase requisition (internal)

Question 31

a commercial document and first official order issued by a buyer to a seller

Answer 31

Purchase order (external)

Question 32

Materials requirements are identified either in the user departments or via material planning and control.

Answer 32

Determination of Requirements

Question 33

Purchasing components that helps you identify potential sources of supply based in past orders and existing longer-term requirement

Answer 33

Source Determination

Question 34

capable if simulating pricing scenarios, allowing you to compare a number of different quotations.

Answer 34

Vendor Selection and Comparison of Quotations