Unit 2 - Master Data

Vendor Master Record

Material Master Record

What is master data

Master data comprises data records that are stored in the database for a long period of time. These data records are stored centrally, and are used and processed on a cross-application basis. In this way, the multiple storage (redundancy) of data is avoided. Imp. Master data: Material, Vendor and record master data.

Vendor Master Data

The vendor master record contains information on an enterprise's vendors. This information is stored in individual vendor master records. In addition to the vendor's name and address, a vendor master record contains data such as the Currency, Payment Terms, contact person. vendor master record also contains accounting data such as the reconciliation account from the general ledger. Data in the vendor master record is subdivided into the following categories

 General data : This data is valid for the whole client. It includes the vendor.s address and bank details. Accounting data: This is maintained at company code level. It comprises data such as the number of the reconciliation account and the payment methods for automatic payment transactions. Purchasing data : This data is maintained for each purchasing organization. It includes the purchase order currency, Incoterms, and various control data pertaining to the vendor. You can also maintain different data for specific plants or for vendor sub ranges.

You can decide whether vendor master records are to be maintained centrally (that is, all data is maintained together), or on a decentralized basis (that is, the relevant departments each maintain their own data) In other words: Maintenance of data centrally (XK01) or separately (MK01) possible.

Account Group of a vendor

When creating a vendor master record, you must decide which account group you are going to assign to this vendor. Account group has control functions as below:-

The type of number assignment (internal or external) and the number area from which the account number that the system uses to identify the vendor is to be assigned. The field selection - which fields are ready for user input, which fields must be maintained, and which fields are hidden. Which partner schemas are valid. The status - whether the vendor is a one-time vendor.
Customizing for Logistics - General under Business Partner Vendor Control Define Account Groups and Field Selection (Vendor)

Rec. Account When you create a vendor master record, you need a unique number for the vendor (creditor). This is assigned either automatically by the system, or manually by the clerk, depending on the account group. The vendor (creditor) number is also used as the subsidiary ledger number in financial accounting. In subledger accounting, the total liabilities are continually updated for each vendor.

Partner Roles : The business partner vendor can assume various roles in dealings with your enterprise. For example, during a procurement transaction, the vendor is first the order recipient, then the supplier of goods, and finally the invoicing party (invoice presenter).

Blocking Vendors
In certain cases, you may wish to stop the procurement of goods from a certain vendor. This may be because the vendor has supplied you with products of inferior quality. In such a case, you have the option of blocking the vendor in the vendor master record. Once you have set the blocking indicator, purchase orders can no longer be placed with this vendor. The block applies until you deselect the indicator. T Code: XK05 (Master Data Vendor Purchasing Block)

Material Master Record (MM01,MM02,MM03)

The material master record is an enterprise's main source of material-specific data. It is used by all areas of logistics. The integration of all material data in a single database object eliminates the problem of data redundancy. All areas, such as purchasing, inventory management, materials planning, and invoice verification, can jointly use the data stored.

The data stored in the material master record is required for many purposes, including the following: Purchasing data is required for ordering purposes Inventory management data is needed to post goods movements and carry out physical inventories Accounting data is required for material valuation Materials planning data is needed for material requirements planning.

Since different user departments within an enterprise work with one material, and each department enters different information relating to it, the data in a material master record is subdivided according to area of use. Each user department thus has its own view of a material master record and is responsible for maintaining the data covered by this view. The data screens used to process material master records can be subdivided into the following types: Main data :basic data, materials planning, and so on. Additional data :alternative units of measure, material short descriptions, and consumption values.
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Org. level used in material master:Client: General material data ( Basic data 1 Basic data 2) Plant level: MRP data (MRP1,MRP2,MRP3,MRP4) Storage location level: All data that is valid for a particular storage location is stored at storage location level.

Display Material Master Record ( MM03 or Choose Logistics Materials Management Material Master Material Display Display Current )
Creating a new material master record (MM01) : you must choose a material type and an industry sector to which the material is to be assigned.

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The type of number assignment (internal or external) The permissible number range intervals Which screens appear and in which order Which user-department-specific data is suggested for entry (in views) Which procurement type is allowed for a material (that is, whether the Material is produced in-house, procured externally, or both) Furthermore, the material type determines which accounts are posted when a receipt of a material into the warehouse is booked.

Like the material type, the industry sector also has a control function. When you create a material master record, the industry sector determines: Which screens appear and in which order Which industry-specific fields appear on each screen

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Most data in the material master record can be maintained directly by the user. But some information is automatically updated by the system. When you enter goods movements, for example, the system updates the stock and consumption data. Extend Material Master Record : You can extend material master view with same transaction code as we do for create i.e MM01. Change Material Master:- You can only change data that has already been created vie T- code MM02, here it is not possbile to add any additional view.

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