RM-IRON-01 · ROH (exists)
→
HALB-BILLET-01 · semi-finished
→
FERT-REBAR-01 · finished
MM01
🎯 Why produced materials are set up differently
PakSteel's chain: buy iron → melt & cast into billets → roll billets into rebar. The raw material is bought; the billet and rebar are made. That single difference flips three master-data settings — learn these three and material types stop being confusing:
| Setting (Accounting 1 / MRP 2) | RM-IRON-01 (bought) | HALB-BILLET-01 (made) | FERT-REBAR-01 (made) |
|---|---|---|---|
| Material type | ROH | HALB | FERT |
| Valuation class (→ OBYC G/L) | 3000 | 7900 | 7920 |
| Price control | V — moving avg | S — standard | S — standard |
| Procurement type | F — external | E — in-house | E — in-house |
Why S, not V, for made goods? A bought material's cost is whatever the vendor charged (it varies → V, moving average). A made material's cost is a planned standard you set once (S); when actual production costs differ, the gap posts as a variance — that's how SAP measures factory efficiency. So produced materials almost always use price control S.
⚠️ Before you start — small config these views demand
Produced materials need a few plant-level config keys on the MRP / Work-Scheduling views. Like "person responsible" on the work center, your plant PK01 may not have them yet — create each once (any value), then reuse forever. If a field rejects your entry, that's why.
When prompted for a Customizing Request while creating any of these, click Create Request → describe it → continue. (That records config locally; it is never transported — same as before.)
| Field (view) | Suggested value | Create it via |
|---|---|---|
| MRP Controller (MRP 1) | PK1 | OMD0 / SPRO → Production → MRP → Master Data → Define MRP Controllers |
| Schedule Margin Key (MRP 2) | 000 | OPPF / SPRO → MRP → Planning → Scheduling → Define Schedule Margin Key |
| Production Scheduler (Work Scheduling) | PK1 | OPJ9 / SPRO → Shop Floor Control → Master Data → Define Production Scheduler |
| Valuation class allowed for type | 7900 / 7920 | OMSK — usually already allowed in IDES; only touch if MM01 rejects it |
| Profit Center (Costing 1) | PSPK-PC | KE51 — you created this in the Controlling setup |
🟡 Material 1 — HALB-BILLET-01 (semi-finished steel billet)
On the first MM01 screen: Material HALB-BILLET-01 · Industry sector M (Mechanical Engineering) · Material type HALB.
Select views: Basic Data 1 · Basic Data 2 · MRP 1 · MRP 2 · MRP 3 · MRP 4 · Work Scheduling · General Plant/Storage 1 · Accounting 1 · Costing 1 · Costing 2.
(Skip Sales views — a billet is consumed internally, not sold. Skip Quality views unless you run QM.)
Org levels prompt: Plant
(Skip Sales views — a billet is consumed internally, not sold. Skip Quality views unless you run QM.)
Org levels prompt: Plant
PK01 · Storage Location WIPS (work-in-progress).
Field-by-field, every view. Fill? column: ✅ mandatory (can't save without) · ➕ set this · — leave blank (default is fine) · 🔧 needs a config key that may not exist yet for PK01 — create it once (see the prerequisites above). Anything not listed on a view: leave at default.
Initial screen + Basic Data 1 / 2
| Field | Fill? | Value | Purpose |
|---|---|---|---|
| Material | ✅ | HALB-BILLET-01 | The unique code (you type it — external numbering) |
| Industry sector | ✅ | M | Controls which fields/screens appear; can't change later |
| Material type | ✅ | HALB | Semi-finished — sets allowed views, default valuation class, value/qty tracking |
| Description | ➕ | Steel Billet 100×100mm | Name shown on orders, stock lists, reports |
| Base Unit of Measure | ✅ | TO | Unit stock & value are kept in; very hard to change once stock exists |
| Material Group | ✅ | 001 (F4) | Reporting/purchasing grouping; must already exist |
| Old material number · Division · Gen. item cat. group | — | blank | Legacy cross-ref / SD fields — not needed |
| Gross & Net weight · Volume (+ units) | — | blank | Logistics/shipping data — optional |
| Basic Data 2 (all fields) | — | blank | Design drawings, EHS, extra descriptions — skip |
MRP 1 — how it's planned
| Field | Fill? | Value | Purpose |
|---|---|---|---|
| MRP Type | ✅ | PD | How SAP plans it. PD = full MRP. (VB = reorder point, ND = no planning) |
| MRP Controller | ✅ 🔧 | PK1 | The planner responsible. Create once via OMD0 if PK01 has none |
| Lot Size | ✅ | EX | How demand groups into orders. EX = lot-for-lot (make exactly what's needed) |
| Reorder Point | — | blank | Only used with reorder-point planning (MRP type VB) |
| Purchasing Group · MRP Group · ABC Indicator · Plng Time Fence | — | blank | Optional planning refinements — not needed for a basic make-to-stock part |
MRP 2 — procurement & timing
| Field | Fill? | Value | Purpose |
|---|---|---|---|
| Procurement Type | ✅ | E | In-house production — the key "made not bought" flag |
| Schedule Margin Key | ✅ 🔧 | 000 | Float (buffer) days around production. Create once via OPPF if missing |
| In-house Production Time | ➕ | 2 | Days to make a lot (lot-size independent) — drives scheduling. Or set it on Work Scheduling |
| GR Processing Time | — | blank | Days to inspect/put away after receipt — optional |
| Special Procurement | — | blank | For phantoms, subcontracting, stock transfer — not used here |
| Planned Delivery Time | — | blank | Only for externally-procured (F) materials |
| Safety Stock · Min/Max · Coverage profile | — | blank | Buffer-stock settings — optional |
MRP 3 — forecast & availability
| Field | Fill? | Value | Purpose |
|---|---|---|---|
| Availability Check | ✅ | 02 | How ATP promises stock. 02 = individual requirements |
| Period Indicator | ➕ | M | Planning bucket = monthly (defaults to M) |
| Strategy Group | — | blank | Planning strategy. Set 10 (make-to-stock) only if you want MRP to auto-plan; not needed for a manual CO01 |
| Consumption Mode · Fwd/Bwd Consumption Periods · Mixed MRP | — | blank | For consumption of forecast vs sales — not used |
| Planning Material / Plant / Conversion Factor | — | blank | Only for planning-material strategies |
| Fiscal Year Variant · Splitting Indicator · Total Repl. Lead Time · Cross-Project Mat. | — | blank | Optional — leave default |
MRP 4 — BOM explosion / dependent requirements
| Field | Fill? | Value | Purpose |
|---|---|---|---|
| Individual/Coll. Req. | ➕ | 1 | How dependent requirements are created. 1 = individual |
| Production Versions (button) | later | — | Don't click yet. A production version links a BOM + routing — which don't exist yet. Create it after CS01/CA01, via C223 (Step 17D) |
| Component Scrap % · Requirements Group · MRP-Relevant Dep. Req. | — | blank | Scrap allowance & grouping — optional |
| Discontinuation · Effective-Out Date · Follow-Up Material | — | blank | Only for phasing out a part |
| Repet. Manufacturing · REM Profile · Action Control | — | unticked | You use discrete production orders, not repetitive manufacturing |
Work Scheduling — the shop-floor view
| Field | Fill? | Value | Purpose |
|---|---|---|---|
| Prodn Supervisor (Production Scheduler) | ✅ 🔧 | PK1 | Who runs the shop floor for it. Create once via OPJ9 if missing |
| In-house Production Time (lot-size independent) | ➕ | 2 | Days to produce a lot (same value as MRP 2) |
| Production Storage Location | ➕ | WIPS | Where the production order's GR (101) puts the finished billet |
| Base Unit of Measure | display | TO | Carried from Basic Data |
| Production unit · Prod. Sched. Profile · Serial No. Profile · Unit of Issue | — | blank | Default to base unit / order settings — optional |
| P-S Mat. Status · Location · Mat. Grouping · Overall profile | — | blank | Status would block usage — leave empty |
| Batch mgmt · Batch entry · Critical Part · Insp. stock | — | unticked | No batch management for the billet |
| Underdel./Overdeliv. Tolerance · Unlimited | — | blank | Allowed over/under production — optional |
| Setup / Processing / Interoperation / Base quantity (lot-size dependent) | — | blank | Precise per-lot scheduling — skip; the lot-size-independent time above is enough |
General Plant/Storage 1 — warehousing
| Field | Fill? | Value | Purpose |
|---|---|---|---|
| Storage conditions · Temperature conditions · Container reqts | — | blank | Physical handling rules — optional for learning |
| Shelf-life / Min. remaining shelf life / SLED | — | blank | Only for expiry-managed stock |
Accounting 1 — the bridge to Finance (the important one)
| Field | Fill? | Value | Purpose |
|---|---|---|---|
| Valuation Class | ✅ | 7900 | Semi-finished products. Via OBYC it picks the G/L every stock posting hits. Press F4 — only allowed classes show |
| Price Control | ✅ | S | Standard price — made goods use a fixed plan price; differences post as variances |
| Standard Price | ✅ | 300000 | Planned cost of 1 TO (₨); required because price control = S |
| Price Unit | ➕ | 1 | The price is per 1 TO |
| Price Determination (ML) | display | 3 | Material ledger active in S/4 — defaults, don't change |
| Valuation Category · Moving Price | — | blank | Split valuation not used; moving price is informational with S |
Costing 1 / 2 — for the standard-cost estimate
| Field | Fill? | Value | Purpose |
|---|---|---|---|
| With Qty Structure | ➕ | ✔ tick | Lets SAP cost it automatically from its BOM + routing |
| Profit Center | ✅ | PSPK-PC | S/4 expects a profit center on the material |
| Material Origin · Variance Key · Overhead Group · Costing Lot Size | — | blank | Cost-controlling refinements — optional |
| Costing 2 (planned prices, std cost estimate) | — | blank | Filled later by a costing run (CK11N/CK24) — not at creation |
When all ✅ fields are filled, Save → "Material HALB-BILLET-01 created". (🔧 fields need a one-time config key — create it, attach to a request, return.)
🟢 Material 2 — FERT-REBAR-01 (finished TMT rebar)
Same flow, two differences: material type FERT, valuation class 7920, finished-goods storage location FNGD. First MM01 screen: Material FERT-REBAR-01 · Industry M · Type FERT.
📌 Every field works the same as the billet — use the per-view tables above (MRP 1–4, Work Scheduling, Costing). Only the rows below differ.
Select views: Basic Data 1/2 · MRP 1–4 · Work Scheduling · General Plant/Storage 1 · Accounting 1 · Costing 1/2.
Sales views (Sales Org 1/2, Sales: General/Plant) — only if you'll sell rebar through SD. Skip for now; you can extend later.
Org levels prompt: Plant
Sales views (Sales Org 1/2, Sales: General/Plant) — only if you'll sell rebar through SD. Skip for now; you can extend later.
Org levels prompt: Plant
PK01 · Storage Location FNGD (finished goods).
| View | Field | Value | Why / difference vs billet |
|---|---|---|---|
| Basic Data 1 | Description | TMT Rebar 12mm | The sellable product |
| Base Unit of Measure * | TO | Same UoM | |
| Material Group * | (F4 → any, e.g. 001) | Must exist | |
| MRP 1 | MRP Type / Controller / Lot Size * | PD / PK1 / EX | Same as billet |
| MRP 2 | Procurement Type * | E | In-house (you make rebar too) |
| MRP 2 | Schedule Margin Key * | 000 | Same |
| MRP 3 | Availability Check * | 02 | Same |
| MRP 4 | Selection Method | 2 | Via production version |
| Work Scheduling | Production Scheduler * | PK1 | Same |
| Work Scheduling | Production Storage Location | FNGD | Finished goods store (not WIPS) |
| Accounting 1 | Valuation Class * | 7920 | Finished products (billet was 7900) |
| Price Control * | S | Standard (made good) | |
| Standard Price * | 350000 | Planned cost per TO (₨) — rebar > billet > iron | |
| Costing 1 | With Qty Structure / Profit Center * | ✔ / PSPK-PC | Same as billet |
Save → "Material FERT-REBAR-01 created". Your value chain now reads RM-IRON-01 ₨250,000 → HALB-BILLET-01 ₨300,000 → FERT-REBAR-01 ₨350,000 per TO.
🚨 Common errors & fixes
| Message | Cause | Fix |
|---|---|---|
| "Valuation class 7900/7920 not allowed…" | Type↔class link missing | OMSK → allow 7900 for HALB / 7920 for FERT (rare in IDES) |
| "Enter MRP controller / production scheduler / schedule margin key" | That config key doesn't exist for PK01 | Create it once (see the prerequisites table) → return to MM01 |
| "Standard price must be greater than 0" / costing error | Price control S needs a value | Type a standard price (300000 / 350000) on Accounting 1 |
| "Profit center … does not exist" | PSPK-PC not created/assigned | Create in KE51, or use the dummy profit center |
✅ Verify
- MM03 → open each material → the selected views are filled (Accounting 1 shows 7900/S and 7920/S).
- SE16N →
MARA(1 row per material),MARC(plant PK01),MBEW(valuation: class + price control S + standard price),MARD(storage WIPS / FNGD).
▶ What's next
With the materials in place you can build the recipe and run a production order: Setup Step 17 — PP Setup for Production (work center → BOM → routing → production version → order), then post the goods issue in Scenario 3.2 (mvt 261).