I am adding a new category to my SAP column. SAP Materials Management is a very comprehensive module which takes care of management of inventories. To start with I am discussing the concepts of material types and movement in SAP MM.

Material Types - Each material or item of inventory that you have is allocated to a material type in SAP. Material type helps in determining the properties the material will take during its valuation. This will inculde criteria such as material quantity, material value, material price, and the valuation class of the material.

Movement Types - Movement Types in SAP R/3 represent the mapping of the movement of a material. In the first palce movement type govern whether a material type can support quantity and value adjustments. Next, movement types determine the the material is relevant for FIFO / LIFO valuation or not.

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Materials Requisition Planning , Material Master Records , Available to Promise