Organizational Structure In Material Management #2

1. What is a plant in MM?

A plant is an organizational unit where materials are produced or goods and services are provided. In SAP, a plant is represented by a unique four-digit alphanumeric number. A plant is allocated to one company code, and a company can have many plants. In the organizational unit, a plant can be at one of the following locations:

  • Corporate headquarters
  • Central delivery warehouse
  • Manufacturing facility
  • Regional sales office


2. How is a plant defined in MM?

You can define a plant in the MM by performing the following steps:

Select IMG -> Enterprise Structure -> Definition -> Logistic–General -> Define, Copy, Delete, Check Plant.

  • Click Execute. The Choose Activity dialog box appears.
  • Select Define Plant to create a plant. The change view Plants: Overview screen appears.
  • Click New Entries. The New Entries: Details of Added Entries screen appears.
  • Specify the plant code in the plant field.
  • Click the address icon to display the Edit Address field.
  • Specify the required values in the fields, such as Title, Name, and Search Term 1/2.
  • Click OK. The New Entries: Details of Added Entries screen appears again.
  • Click the Save icon to save the newly defined plant.


3. What are the prerequisites for creating a plant?

There are three prerequisites that are required in order to create a plant. They are as follows:

- Company calendar —Comprised of work days, public holidays, and company holidays. Every SAP system is provided with a company calendar that can be modified per the schedule of the company.

- Country key —Helps in defining a plant.

- Region key —Refers to a state or province that is associated with the country. It is required along with the country key.
 

4. How many company codes can be assigned to a plant?

You can assign only one company code to a plant.
 

5. Can a company code be assigned to many plants?

You can assign many plants to one company code.

 
6. What is the menu path to assign a plant to a company code?

You can assign a company code to a plant by navigating the following menu path: SAP Menu -> Tools -> Customizing -> IMG -> Execute Project -> Display IMG (SAP reference IMG) -> Enterprise Structure -> Assignment -> Logistics -> General -> Assign Company Code to Plant.
 

7. Define Storage location in SAP.

A storage location is defined by performing the following steps:

  • Select Tools -> Customizing -> SAP Reference IMG -> Edit Project.
  • Select Enterprise Structure -> Definition -> Materials Management -> Maintain Storage.
  • Click the clock icon  . The Determine Work Area: Entry dialog box appears.
  • Specify the value (P001) for the plant in the dialog box.
  • Click the check mark icon . The change view Storage Locations: Overview screen appears.
  • Click New Entries. The New Entries: Details of Added Entries screen appears.
  • Specify the value of the storage location and description fields.
  • Click the Save icon to save the storage location.
  • Click the Exit icon to create the storage location.


8. How will you define a storage location?

A storage location is defined by performing the following steps:

  • Select Tools -> Customizing -> SAP Reference IMG -> Edit Project.
  • Select Enterprise Structure -> Definition -> Materials Management -> Maintain Storage.
  • Click the clock icon . The Determine Work Area: Entry dialog box appears.
  • Specify the value (P001) for the plant in the dialog box.
  • Click the check mark icon. The change view Storage Locations: Overview screen appears.
  • Click New Entries. The New Entries: Details of Added Entries screen appears.
  • Specify the value of the storage location and description fields.
  • Click the Save icon to save the storage location.
  • Click the Exit icon to create the storage location.


9. How is a storage location assigned to a plant?

You can assign a storage location to a plant either by using the transaction code OX09 or by performing the following steps:

- Open the SAP Customizing Implementation guide.

- Select Enterprise Structure > Definition > Materials Management > Maintain Storage Location. The view cluster Maintenance: Initial Screen window appears with the Determine Work Area: Entry dialog box opened.

In the Determine Work Area: Entry dialog box, enter a plant number and click Continue. The change view Storage Locations: Overview screen appears where you can assign a storage location to the plant.
 

10. Can storage locations be created automatically? How can they be created automatically?

Storage locations can be created automatically when an inward goods movement for a material is performed. In order to create storage location automatically, open the SAP Implementation guide and click Materials Management -> Inventory Management and Physical Inventory -> Goods Receipt -> Create Storage Location Automatically.

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See also
Material Master Multiple Choice Questions Answers

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