Unit 5: Stock Material Compared with Consumable Material

Lesson 1 · Comparing Procurement Processes for Stock and Consumption

Key concepts

For a stock material, every subsequent goods movement automatically posts the right stock and consumption accounts. For a consumable, the purpose of consumption is known at purchase time and stated in the PO.

Options for consumable materials

For materials with a master record, the material type (with the plant) decides quantity/value updating. If value updating is off, the material can only be bought with account assignment. Conversely, a stock material can still be bought for direct consumption – e.g. trading goods ordered for a specific sales order.

Account assignment categories

The account assignment category in a requisition or PO item defines which object is charged and which fields must be filled on the account assignment screen.

Multiple account assignment

One item can be split over several account assignment objects. You must specify how the value is distributed – by quantity, percentage or amount – and how a partial invoice is spread: proportionally to the distribution ratio, or progressively (fill-up) in sequence, completing line 1 before line 2. The partial invoice indicator can be defaulted from the account assignment category.

Configuration (IMG)

(Transactions OME9 and OMS2.)

Lesson 2 · Creating a Purchase Requisition

Key concepts

A purchase requisition (PR) is an internal document asking purchasing to procure a quantity of a material or service by a certain date. It is not sent to suppliers and has no legal effect externally.

Data of the material master is copied into the PR; items can also be taken from a web-based catalog. A PR can be converted into an RFQ, a PO or an outline agreement.

Special features

• Account assignment category U (unknown): allowed in the PR when the requester does not know the object. When converting to a PO, a real account assignment must be entered – except for service and limit items.
• Valuation price: for valuated materials taken from the material master; for non-valuated materials or text items entered manually. It is used for the value-based release (approval) procedure, at item or overall level.
• Release strategy: if one applies, follow-on documents (RFQ, PO) can be created only after release.

Price proposal when converting to a PO

System steps

1. ME51N: enter document type (NB), material or short text, quantity, delivery date, plant, purchasing group; for consumption also account assignment category and data.
2. Check and save; display/change with ME53N/ME52N.
3. If a release strategy applies, the approver releases with ME54N (individual) or ME55 (collective).
4. List requisitions with ME5A.

Configuration (IMG)

Lesson 3 · Creating a Purchase Order with Reference to a Purchase Requisition

Key concepts

Before a PR can become a PO, the buyer needs a supplier and a price: the source of supply. Sources can be external (info records, outline agreement items) or internal (another plant of the company → stock transport order).

Outline agreements never contain concrete delivery dates for individual deliveries; those come from release orders or schedule lines.

Assigning sources and converting

• Enter a source directly in the PR item (fixed supplier, info record, agreement), or let source determination find one (source list, quota arrangement, outline agreements, info records – see Unit 7).
• A PR item with source can be converted manually or automatically (ME59N); the supplier is copied from the source.
• A PR item without source can still be referenced in ME21N; the supplier must then be entered manually.

System steps (Fiori: Process Purchase Requisitions)

1. Open Process Purchase Requisitions, set filters (plant, material, purchasing group) and start.
2. The list shows for each item whether sources are available; assign a source.
3. Select one or several items and choose Create Purchase Order; items with the same supplier are bundled into one PO.
4. If no source exists, use Edit to assign a supplier manually or start an RFQ.

SAP GUI equivalents: ME57 (assign and process requisitions), ME56 (assign source to requisitions), ME58 (ordering of assigned requisitions), document overview in ME21N.

Lesson 4 · Entering Valuated and Non-Valuated Goods Receipts

PO item requirements

Postings

System steps

1. Create the PO in ME21N – for consumables enter account assignment category (e.g. K) and check the Delivery/Invoice tab indicators.
2. Post GR with MIGO (101); in the document display, the FI documents button shows whether an accounting document was created.
3. Post the invoice with MIRO; simulate to see the accounts.
4. Analyse the PO history in ME23N; for cost centers check the actual costs, e.g. with KSB1.

Unit summary & exam focus

Stock materials need a master record and no account assignment; their value is managed in stock accounts. Consumables are charged to an account assignment object at GR (valuated) or IR (non-valuated). Requisitions express internal demand and are converted into POs once a source of supply is known.

T-codes in this unit

Self-check questions

1. Which entries are required in a PO item to replenish warehouse stock?
   Answer

   Material number and GR indicator; no account assignment category. The IR indicator is not strictly required.
2. Which field of the material master controls whether account assignment is mandatory?
   Answer

   The material type (value updating off → account assignment required).
3. What is the difference between NLAG and UNBW?
   Answer

   NLAG: no inventory management at all; UNBW: quantity-based but not value-based inventory management.
4. Can account assignment category U be used in a standard PO item?
   Answer

   No. It is allowed in PRs; in POs only with service or limit items.
5. A PR item has a material master and no source. Which price does the PO propose?
   Answer

   The info record price if one exists, otherwise the buyer enters it. The PR valuation price is not transferred.
6. Consumable PO item with only the IR indicator. Which accounts are posted at IR?
   Answer

   Consumption account (debit) and supplier account (credit); no GR/IR account.
7. Where does an invoice price variance go for a valuated consumable GR?
   Answer

   To the consumption account (and account assignment object).