SAP MM7 topics · study guide

Procurement lifecycle & source determination

Follow a requirement from its origin through sourcing, ordering and monitoring — with every document link kept visible.

ScopeCovers stock and consumable procurement for materials. Services, subcontracting and consignment are in Special procurement.
01

Determination of requirements

Requirements reach purchasing from MRP (planned orders converted to requisitions or requisitions created directly), from manual requisitions, or from other components such as PM/PS orders, sales orders (third-party) and SAP Ariba or central procurement.

  • Planning-driven requirements carry the MRP controller and a delivery date derived from planned delivery time and GR processing time.
  • Requisitions from PM/PS orders are account assigned to the order or WBS element.
  • Self-service requisitioning (Fiori 'Create Purchase Requisition' / My Purchase Requisitions) feeds the same EBAN table.
T-codes & apps
ME51NME52NME53NME5AMD04
02

Purchase requisitions & conversion to purchase orders

A purchase requisition (PR) is an internal request. Buyers convert it to an RFQ, a PO or a scheduling-agreement release — manually, with the assignment list, or automatically.

  • ME57 assigns sources and groups PR items into POs per supplier.
  • ME59N creates POs automatically when the PR has a fixed source and both material and supplier allow automatic PO.
  • The PR stays linked: PO history shows 'Purchase requisition' in the item and EBAN-STATU reflects the follow-on document.
T-codes & apps
ME57ME58ME59NME21NFiori: Manage Purchase Requisitions
From the field: For automatic POs, three switches must agree: 'Automatic PO' on the supplier (purchasing data), on the material (purchasing view) and a unique source on the requisition.
03

Source determination

SAP proposes a source in a fixed order: quota arrangement → source list (fixed entries) → outline agreements → info records. When more than one valid source exists without a rule, the buyer must choose.

  • Regular vendor flag (in the info record) is an alternative to a source list for single-source cases.
  • Fiori 'Manage Sources of Supply' consolidates source list, contracts and info records in S/4HANA.
  • Central procurement can determine sources across connected back-end systems.
T-codes & apps
ME01MEQ1ME56ME57
04

RFQ, quotations & supplier selection

A request for quotation (RFQ) invites suppliers to bid; the supplier's reply is entered as a quotation on the same document. The price comparison list ranks bids and the winning quotation can update the info record and become the PO reference.

  • Classic RFQ/quotation: ME41 → ME47 → ME49 price comparison.
  • In SAP S/4HANA, Fiori apps 'Manage RFQs' and 'Manage Supplier Quotations' (and SAP Ariba Sourcing) replace much of the classic flow.
  • Rejected quotations can trigger a rejection letter through output control.
T-codes & apps
ME41ME47ME49ME48ME4M
05

Quota arrangements

A quota arrangement splits demand among several sources by quota. SAP calculates a quota rating = (allocated quantity + quota base quantity) / quota and assigns the source with the lowest rating.

  • Material master Purchasing view needs the quota arrangement usage key (e.g. relevant for PO, PR, MRP).
  • Minimum and maximum quantities and 'once-only' splitting rules are supported.
  • Use the quota base quantity to bring a new supplier in without them taking 100% of the next demand.
T-codes & apps
MEQ1MEQ3MEQ6MEQM
06

Purchase order types & configuration

The document type (NB standard, UB stock transport, FO framework order, plus custom Z-types) controls number ranges, allowed item categories, field selection and link rules (which PR document types may be referenced).

  • Screen layout at document level (field selection keys such as NBF) controls required and hidden fields.
  • Tolerances for price variance (PE) and Release creation profiles are configured per document type.
  • PO item 'Confirmation control key' (e.g. 0001, 0004) defines expected supplier confirmations.
T-codes & apps
ME21NME22NME23N
Configuration
IMG › Materials Management › Purchasing › Purchase Order › Define Document Types
07

Purchase order monitoring & document history

Every PO item maintains a PO history (table EKBE) of goods receipts, invoices, down payments and service entry sheets. Monitoring reports let buyers chase overdue deliveries and open invoices.

  • ME2N/ME2L/ME2M list POs by number, supplier or material with selection parameters such as WE101 (open GR) or RE101 (open invoice).
  • ME80FN is the flexible general analysis across purchasing documents.
  • ME91F sends urging/reminder messages based on reminder days.
T-codes & apps
ME2NME2LME2MME80FNME91FFiori: Monitor Purchase Order Items
From the field: Teach users the 'Selection parameters' field in ME2N — WE101 and RE101 answer 80% of 'what is still open?' questions.
Put it into practice

Why didn't this requisition become a PO overnight?

A daily ME59N job runs for plant 1000. One requisition for a raw material remains open. List, in order, every master-data and configuration check you would perform before escalating.

Check yourself

Interview-style questions

What is the sequence of source determination?

Quota arrangement, source list (fixed source), outline agreements, then info records. Without a unique valid source, the buyer has to assign one.

How is a quota rating calculated?

(Quota-allocated quantity + quota base quantity) ÷ quota. The source with the lowest rating is selected.

Where do you see all GRs and invoices for a PO item?

The PO history tab in ME23N (table EKBE), or reports such as ME2N with the relevant selection parameters.