Hello friends today we are very feeling very glad to share here about Physical Inventory process in SAP MM and how to manage stock quantities in various settings. In this post we provide what is physicial inventory document, important tcodes for physical inventory, movement types for physical inventory Document and many more FAQs of Job Interview for our SAP MM Material Management module aspirants.
Easy}}** Physical Inventory Process in SAP MM with FAQs
What is physical inventory?
Physical Inventory is the method for keeping an accurate count of material. This entails physically counting the amount of merchandise at the storage facility.
1.HP maintains an inventory of 200 laptops. Suppose a customer ordered 200 from HP company, but some 50 laptops are taken, thus the system (booked quantity) shows 200 Laptop, but in fact (physical quantity) 150.If the physical quantity and system quantity do not match, the complete quantity cannot be delivered due to excess inventory in the system. So, in this situation, system quantity (booked quantity) is high and the actual quantity (physical quantity) is lower, hence it records 702 movement type.
2. The vendor required items anytime, and the corporation planned the availability of the goods for the consumer for internal use and manufacture. Suppose the booked quantity is 150, and the actual quantity is 250, then planning may go awry. Planning may end up with fewer inventory than actual and the booked quantity should match. As in this scenario, the booked quantity is less physical quantity is high, hence the movement type is 701.
3.Suppose the stock available has a quantity of 500 in Stock type 2, which is quality inspection.However, the booked quantity from the vendor is actually 450.Improper planning can result in less inventory, thus quality inspection and booked quantity should be performed to match. In this scenario, the 703 movement type is utilized to raise the inventory quantity by post a Goods Receipt for the difference in Quality Inspection Stock.
4. Assume the stock available has a quantity of 450 in the Stock type 2 (quality inspection).However, the booked amount from the vendor is actually 500. Then they will be unable to deliver the sum quantity because the Quality inspection quantity and booked quantity do not match excessive inventory in system.The 704 Movement Type reduces inventoryory by posting a Goods problem for the discrepancy in Quality Inspection stock.
T-CODES For Physical Inventory Process in SAP MM
✓ MI01 : Create the Physical Inventory Document
✓ MI02 : Change the Physical Inventory Document
✓ MI03 : Display the Physical Inventory Document
✓ MI04 : Enter Physical Inventory Document Count
✓ MI05 : To Change the Physical Inventory Document Count
✓ MI06 : To Display the Physical Inventory Document Count
✓ MI07 : Post Inventory Difference / Physical Inventory Document
✓ MI20 : Difference Report
✓ MI21 : Print Physical Inventory Document
✓ MI24 : Generate Physical Inventory Report
✓ MI31 : Create Physical Inventory Document with Respective of Plants
Important Movement Types for Physical Inventory Process
Also Read: LSMW process in SAP MM with FAQs
Full step by step procedures of Physical Inventory process in SAP Material Management download in PDF
Note: You can mail us for above PDF File or follow our whatsapp / telegram channel links are available on About Us Page Below..
Thanks for reading our article based on Physical Inventory process in SAP MM Module. So just stay tuned with us for more upcoming amazing contents on SAP Material Management Module.
Join our Social Networking Sites for regular updates ☺️.