Inventory Planning and Monitoring

Revised January 27, 2011

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Inventory Planning and Monitoring .................................................................................... 1

Overview ......................................................................................................................... 3
Material Master ............................................................................................................... 3
MM03 Display Material ............................................................................................. 4
Purchasing Documents.................................................................................................. 13
ME53N Display Purchase Requisition ..................................................................... 14
ME23N Display Purchase Order .............................................................................. 16
Goods Movement ...................................................................................................... 17
MIGO Goods Receipt ............................................................................................... 17
MIGO Display Material Document .......................................................................... 19
MMBE Stock Overview: Company Code/Plant/Storage Location/Batch ............... 21
MB1A Good Issue .................................................................................................... 23
Scrapping .................................................................................................................. 26
Reports .......................................................................................................................... 30
MB51 Material Document List ................................................................................. 30
MB52 Display Warehouse Stocks of Material on Hand........................................... 31
MB5B Stock on Posing Date .................................................................................... 32
ZMM9 Material Stock by Storage Bin ..................................................................... 34
ZMM2 Material Buy List.......................................................................................... 38
MB03 Display Material Document ........................................................................... 42
ME5A List Display of Purchase Requisitions .......................................................... 43
ME2N Purchasing Documents by Purchasing Number ............................................ 44
Physical Inventory ........................................................................................................ 45
MI01 Create Physical Inventory Document ............................................................. 45
MI31 Selected Data for Phys, Inventory Documents w/o Special Stock ................. 49
MI21 Print Physical Inventory Document ................................................................ 55
MI04 Enter Inventory Count: Initial Screen ............................................................. 56
MI11 Enter Recount .................................................................................................. 57
MI20 List of Inventory Differences .......................................................................... 59
MI07 Post Inventory Differences........................................................................... 61
Financial Posting for Inventory Adjustments ........................................................... 63
MI06 Display Inventory Count .............................................................................. 63
MI22 Display Physical Inventory ............................................................................. 66
Troubleshooting ............................................................................................................ 69
MI31 .......................................................................................................................... 69
MIGO Goods Receipt ............................................................................................. 69
MM03- Display Material Master .............................................................................. 70
Glossary ........................................................................................................................ 71
Frequently Used Inventory Transactions ...................................................................... 73
Transaction Code ...................................................................................................... 73
Transaction Title ....................................................................................................... 73

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Overview
The Materials Management module includes two sub-modules; procurement and
inventory management.
Inventory management entails the planning and control of material stocks by
quantity and value. In AASIS, plants are either valuated plants tracking both
quantity and value or non-valuated plants which track quantity only. Most
business processes are the same for both types of plants with only minor
procedural differences. The primary difference is that goods movement for a
non-valuate plant do not create financial postings in AASIS.
It also includes the planning, data entry and documentation of all goods
movements to, from, and within the storage locations in the stock plant. Any
transaction that will cause a change of stock is entered in real time and the
resulting update of the stock takes place immediately. This provides the user
with an overview of the stock level of any material that is always current.
The objective of this document is to provide an overview of the business process
for the inventory cycle from the creation of a material master, procurement,
goods receipt, goods issue and the physical inventory process. Various reports
available to the user will also be discussed as well as the integration with other
modules throughout the inventory cycle.

Material Master
A Material Master or Material Master Record is a data record containing all the
basic information required to manage a material. The typical Material Master
record may have data that falls into three categories:

Data of a descriptive nature known as General Data. The material

number, the description, the base unit of measure and technical data are
all types of General Data. General Data is maintained at the Client
level and is applicable across all organizational units.

Data of a control nature. Purchasing data, MRP type data, or shelf life
data is used by the system to determine the way in which specific
processes are carried out within the system for the material. This data is
plant-specific, thus it will be maintained at the plant organizational level.
Valuation data, such as the price control and valuation price, is
maintained at plant level as well.

Data automatically updated by the system. Information such as stock

levels, moving average price and consumption values are updated based
upon goods movements.

The material master record is divided into what are known as views. Views may
also be looked at as user departmental information. There are separate views
for areas such as purchasing, accounting, materials planning, etc. Each contains

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information required to carry out specific transactions within those areas of

business.
The views to be used for materials that will be stocked in inventory will be:

Basic Data 1

Purchasing

Purchase Order Text

MRP1

MRP3

General Plant Data/Storage 1

Accounting 1

Plant Stock

The DFA Office of State Procurement (OSP) is responsible for creating material
masters. In the normal business process, OSP receives a request to create a
new material master via the OSP web site which includes a material master
request web form for completion by the requestor. All materials are created for
the reference plant 9999 and extended to the stock plants as requested. OSP
website link is:
http://www.dfa.arkansas.gov/offices/procurement/Documents/materialMasterReq
uest.pdf
In this document, a material master previously created and extended to the plant
is displayed here.

MM03 Display Material

1. Type MM03 in the Transaction Command Field

2. <ENTER>
The Display Material (Initial Screen) screen appears. Use this screen to enter
the material number.

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3. <Material >

4. <Select viewsF5>
5. <HIGHLIGHT> Select the views to be displayed by clicking the small square
to the left of the view name. Views to highlight include: Basic Data 1,
Purchasing, Purchase Order Text, MRP1, MRP3, General Plant/Storage 1,
Accounting 1, Plant Stock.

6. <Organizational levels>

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7. Enter the plant number

or use the search icon

to display a list of plants.

In this example, plant 1300 is used.

8. <ENTER>
9. <Basic data 1>

The general data section of the basic data 1 tab provides information such as the
material description, base unit of measure and material group. The base unit of
measure is the lowest unit of measure in which the stocks are managed. The
system converts all the quantities entered in other units of measure (alternate
units of measure) to the base unit of measure.

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10. <Purchasing>

The purchasing tab provides information necessary for the procurement of the
material. Notice that some information is repeated here that appeared on the
Basic Data 1 tab such as description, base unit of measure and material group.
Order unit is an alternate unit of measure which allows the material to be
purchased in a measurement unit other than the base unit of measure. The
conversion of the order unit to the base unit of measure must be maintained in
the material master to allow the use of the order unit measure.

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11. <Purchase Order Text>

Purchase order text allows for additional information or instruction concerning the
requirements for the material. This may include additional description and/or size
specification for clarification.

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12. <MRP 1>

The MRP 1 tab provides information necessary for the materials requirement
planning to be carried. In this example, the MRP Type is VB, Manual reorder
point planning. The lot size value is HB, Replenish to maximum stock level.
When the MRP is carried out of this material, if the material is at or below the
reorder point, the system will propose a planned order for a quantity necessary to
bring the stock level back up to the specified maximum stock level, in this case,
300. Reminder, this is in base units of measure or 300 ZR5 (ream, 500 sheets).

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13. <MRP 3>

MRP3 tab defines the availability check level for MRP. In this case the
availability is set at 01 for daily requirements. The Availability check specifies
whether and how the system checks availability and generates requirements for
materials planning. The value, 01, for materials planning is a default value which
defines which MRP elements (for example, purchase orders, reservations) the
system includes in the availability check.
14. <Plant data/stor.1>

Plant data/stor.1 tab provides for listing a unit of issue unit of measure if the plant
will be issuing the material in a unit other than the base unit of measure. Also,
materials that are managed by shelf life are defined here.

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15. <Accounting 1>

The Accounting 1 tab list the valuation class to which the material is assigned.
The valuation class proposes the general ledger account to which the materials
are posted upon issue from the plant. This tab also provides the moving average
price for the material. The system calculates the moving average price
automatically by dividing the material value in the stock account by the total of all
storage location stocks in the plant concerned for the particular material. It
changes the price with each valuation-relevant movement. The valuation of
stocks at moving average price or periodic unit price means that the price of the
material is adapted to the continual fluctuations in the procurement price.

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16. <Plant stock>

The Plant Stock tab provides summary information concerning the on-hand
balances of the stock levels for the material. This information is also available in
various reports.

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17. <Additional Data>

As indicated earlier, all units of measure associated with a material must be
defined in the material master. These conversions may be viewed by going to
Additional data.

18. < Units of Measure >

This tab displays all the units of measure that have been defined for this material
and their conversion factors.

Purchasing Documents
The procedures for completing the purchase requisition and purchase order
transactions are discussed in the AASIS class on procurement. For this reason,
only a brief overview will be made concerning the display of these documents as
related to the plants purchasing needs.
When creating purchasing documents for a stock plant, the account assignment
category must be blank. The system is able to derive the fund, functional area,
funds center and commitment item from the plant number. When a purchase
order is created referencing a purchase requisition for the valuated plant, this
account assignment information is pulled into the purchase order. At that point
the budget commitment on the purchase requisition is relieved and placed on the
purchase order.

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ME53N Display Purchase Requisition

1. Type ME53N in the Transaction Command field.

2. <ENTER>
3. <Other requisitionShift+F5>
4 Purchase requisition: <10 characters>

5. <Other document>
6. Note: the account assignment category field is blank in the requisition.

7. <Status>

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The Status tab in the Item section provides the purchase order number and
indicates that a goods receipt has been completed. The user may click on the
purchase order number to drilldown and display the purchase order.

8. <Account assignment>
The fund, functional area, commitment item and fund center are derived from the
plant number.

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ME23N Display Purchase Order

1. Type ME23N in the Transaction Command field.

2. <ENTER>
3. <Other purchase orderShift +F5>
4. Select Document box. <Pur.order (Purchase order)> <10digit purchase order
number>

5. <Other document>
6. <Purchase order history>
The purchase order history tab in the Item section provides information
concerning any goods receipts and invoice receipts. In this example, a goods
receipt was entered on 09/05/2007. No invoices have been entered. The good
receipt material document number is provided in the detail section. It is possible
to drilldown to the material document for review if needed.

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7. <Account assignment>

The account assignment information from the purchase requisition is pulled into
the purchase order.
Goods Movement
Once materials have been ordered, the next step is the delivery of the ordered
materials to the plant. The goods receipt of the materials is the beginning of
goods movement cycle in the system. When a goods movement is entered, a
chain of events occurs within the system:

A material document is generated, which is used as proof of the

movement and as a source of information.

Accounting documents are generated.

The stock quantities of the material are updated.

The stock values in the material master record are updated, as are the
stock and consumption accounts.

The goods movement is defined by the movement type. The movement type has
important control functions in Inventory Management such updating quantity
fields, updating of stock and consumption accounts, determining which fields are
displayed during entry of a document in the system.
MIGO Goods Receipt
With the MIGO transaction, the user is able to post several different goods
movements. The user may post a goods receipt, a goods reversal, or display a
material document. When the transaction is initially displayed, the last action
automatically defaults as an aid to the user in the action field.

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1. Type MIGO in the Transaction Command field.

2. <ENTER>
3. <Goods Receipt>
Select the goods receipt option from the drop-down box. The system will
automatically display the label Purchase Order in the reference document field.
4. <Purchase order number>

5. <ENTER>
6. Place a check for the received items. If the quantity needs to be adjusted, the
correct value may be entered in the Qty in UnE field.

7. <POST>

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When all entries have been made, the document can be posted. A material
document number is assigned in the system for the goods receipt.
If the item detail section of the MIGO transaction is displayed, the OK box in the
overview section is grayed out. The OK may be selected at the bottom of the
MIGO screen.

MIGO Display Material Document

Material documents can be view by using the MIGO transaction. When Display
is selected in the action field, the system will display the most recent material
document completed or viewed. Note: the movement type for a goods receipt on
a purchase order is 101.

To examine the financial documents created for the material document

1. <Doc.Info (Document Information)>
2. <FI Documents>

.
3. Highlight a line by clicking on the line.

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4. <Choose>
The accounting document is displayed.

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MMBE Stock Overview: Company Code/Plant/Storage Location/Batch

The stock overview transaction displays the on-hand balances of materials in the
plant. The results of the goods receipt posted in the preceding example are seen
here.
1. Type MMBE in the transaction field.
2. <ENTER>
The Stock Overview: Company Code/Plant/Storage Location/Batch screen
appears.

Enter the selection criteria and execute the report.

3. <Material Number> <##########>.
4. <Plant> <####>
5. <Storage location> <####>

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6. <ENTER>
The Stock Overview display providing the following information:
Material (number along with description)
Material type
Unit of Measure
Base unit of measure
Company Code
Plant
Storage location
Unrestricted Use
Qual. (Quality) Inspection
Reserved

The quantity in storage location 0200 is 100 ZR5 in the unrestricted use stock.
There is no stock in either quality inspection or reserved stock.

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MB1A Good Issue

Transaction MB1A is used to issue materials from the plants stock to a user.

1. Type MB1A in the transaction field.

2. <ENTER>
The Enter Goods Issue: Initial Screen is appears.

Enter the goods movement criteria and execute the transaction.

3. Movement type: <###>
The movement type enables the system to find predefined posting rules
determining how the accounts of the financial accounting system (stock and
consumption accounts) are to be posted and how the stock fields in the material
master record are to be updated. The movement type also controls the account
assignment information required for the transaction. The movement types used
for goods issue are:
Movement Type
201
221
261
551

Description
Consumption for cost center from warehouse
Consumption for project (WBS element) from warehouse
Consumption for order (Internal Order) from warehouse
Withdrawal for scrapping

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4. Plant: <####>
5. Storage Location: <####>

Hit the green check

appears.

icon and the Enter Goods Issue: New Items screen

Enter the account assignment information, material numbers and quantities.

6. Cost Center: <######>
7. Business Area: <####>
8. Order: <########>
9. Recipient (optional): <############>
10. Material: <########>

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11. Quantitiy: <####>

12. <POST>

The display is returned to the initial screen and the document number just
created is displayed at the bottom of the screen.
The financial postings may be viewed by using the MIGO transaction to display
the material document just created. The accounting document is displayed here.

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Scrapping
Sometimes materials may be damaged in the storage location and cannot be
issued to users. These materials can removed from the inventory stock balances
by scrapping.

1. Type MB1A in the transaction field.

2. <ENTER>
Enter Goods Issue: Initial Screen is appears.

Enter the goods movement criteria and execute the transaction.

3. Movement type: <###> (551 - Withdrawal for scrapping)

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4. Plant: <####>
5. Storage Location: <####>

Hit the green check

appears.

icon and the Enter Goods Issue: New Items screen

Enter the account assignment information, material number and quantity.

6. Cost Center: <######> For scrapping, the plants cost center is used.
7. Business Area: <####>

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8. Recipient (optional): <############>

10. Material: <########>
11. Quantitiy: <####>
12. <ENTER>

13. Reason for Mvmt (movement): <####> Use the matchcode search to display
possible entries.

12. <POST>

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By displaying the material document, the financial documents created by the

goods movement can be displayed. The accounting document for this
transaction shows that inventory account has been credited (reduced)

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Reports
In addition to the MMBE Stock Overview transaction, there are several other
transactions which can provide useful information for managing inventory stock.
MB51 Material Document List
This report creates a list of all material documents which meet specified search
criteria. Among the most common criteria are: plant, material, movement type,
and posting date. In this example the material number and plant number are the
only selection criteria entered. Hint: It is a good idea to limit searches by using
date parameters when possible.

The output shows three material documents. The middle document with
movement type 101 is the goods receipt for the purchase order. The other two
documents are goods issues from the plant. It is possible to drilldown on a
material document for further examination.

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MB52 Display Warehouse Stocks of Material on Hand

This transaction provides a list of the on-hand balances of materials. In this
example, all materials in storage location 0200 which do not have a zero balance
will be shown in the resulting report.

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The output results may be exported to an Excel spreadsheet.

MB5B Stock on Posing Date
This transaction can be executed for the entire plant, a storage location or a list
of materials.

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The output provides the balance at the beginning of the selected date range, the
receipts/issues during the time frame and the ending balance. It also provides a
list of the material documents creating during the selection period.

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ZMM9 Material Stock by Storage Bin

The storage bin field has been added to the material master to allow inventory plants the
option to further distinguish storage areas within their plants. This field is updated by the
State Procurement Master Record Specialist role in transaction MM01 Create Material
Master or in transaction MM02-Change Material Master.
The storage bin field appears on the Plant data/Stor.1 tab as shown below. It is a10
character, alpha-numeric field. There are no edits on this field so any entry is accepted.
Accurate and consistent data entry is critical.

Storage bin has limited reporting capabilities. The field appears in the Stock Overview
transaction, MMBE, which displays materials individually. To expand the utility of this
field, a report (ZMM9 Material Stock by Storage Bin) has been developed for the plants
which includes storage bin in the output along with the current stock level.
ZMM9
Pre-requisite
The material master must be updated to include the storage bin information for the
plant/storage location.

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Transaction : ZMM9
Enter the transaction code in the command field.

Click enter icon,

Specify the plant and storage location number

Execute,

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Results of selection by plant and storage location

Field
Plant
SLoc
Bin
Material
Material Description
Unrestricted
BUn
Del Flag

Description
Plant number as specified in the selection
criteria
Storage Location
Storage Bin
Material number
Long text description for the material as
given in the material master.
Unrestricted stock on hand which is
available for immediate issue.
Base unit of measure
Deletion Flag. Indicates whether a material
has been flagged for deletion.

The first three materials are assigned to Bin 1411. The remaining materials in storage
location 0100 may be updated for with a storage bin designation using transaction
MM02- Change Material Master where such an entry is applicable.
Notice that material 10000000 is flagged for deletion. The material may be flagged for
deletion at the storage location level, plant level or client level.
Selection criteria by Bin

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Results of selection by storage bin

This search displays all materials assigned to storage bin 1411.

Selection criteria by material number

Results of selection by material number

This search displays all plants/storage locations to which the material, 10004979, has
been extended. Note that the bin information has been updated for only two locations.

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There are two display variants created for ZMM9. The desired variant may be selected
by clicking on the small white area as shown here,

. Select choose layout,

The default display lists all materials including those that have been flagged for deletion.
If a user prefers not to have these materials displayed, the user can select the standard
display.

ZMM2 Material Buy List

A material buy-list has been created to facilitate the stock replenishment process for
inventory plants in AASIS. The purpose of this transaction is to generate a list of
inventory materials that have reached a specified reorder point and provide a suggested
order quantity to replenish the stock back to the plants specified maximum stock level
for the material.
The material buy list may be generated for the plant, storage location or material number.
Prerequisite

Material replenishment information must be maintained in the material master-MRP 1

tab.
Transaction:ZMM2

Enter the transaction code, ZMM2, in the command field.

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Click enter icon,

Selectioncriteriabyplantandstoragelocation

Enter plant number

Enter storage location number

Click execute icon,

Results of selection by plant and storage location

Plant

Plant number as specified in the selection criteria

SLoc

Storage Location number as specified in the selection critera

Material

Material number for each material having reached the re-order point

Material
Description

Long text description for the material as given in the material master.

UoI

Unit of Issue. If the unit of issue is different from the base unit of
measure, the unit of measure for issues is specified here.

Unrestricted

Unrestricted stock on hand which is available for immediate issue.

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BUn

Base unit of measure

Max.Level

Maximum quantity to be stock as specified in the material master.

BUn

Base unit of measure

Reorder Point

If the stock falls below the quantity specified in the material master, the material
will be included on the material buy list.

BUn

Base unit of measure

Reorder Quantity

The quantity proposed by the system for re-stocking. The reorder

quantity is the amount for replenishment which will bring the stock
level back up to the maximum level indicated in the material master.

BUn

Base unit of measure

Del Flag

Deletion Flag. Indicates whether a material has been flagged for

deletion.

Selectioncriteriabystoragelocation

Enter storage location

Click execute icon,

Results of selection by storage location

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Selectioncriteriabymaterialnumber

Enter a material number

Click execute icon,

Results of selection by material number

Notice that this material is stocked in three different plants.

Variants

Two variants have been created for the Material Buy List.

The /STANDARD variant includes only those materials with a reorder quantity greater
than zero and have not been flagged for deletion. This is the default display.
The other variant includes all materials extended to the storage location regardless of
whether the material has reached the re

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MB03 Display Material Document

This is another transaction for material document display. This transaction
provides the same basic information as the material document display in MIGO.

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ME5A List Display of Purchase Requisitions

Enter desired selection critera.

Purchase requisitions which meet this criteria are displayed.

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ME2N Purchasing Documents by Purchasing Number

The field labeled Selection Parameters allows for further refinement of the
selection process and display results.

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Using the selection parameter, WE101 Open goods receipts, created the list
above. There have been no goods receipts for this purchase order. The
selection parameters are useful tools when monitoring the status of purchase
orders.

Physical Inventory
A physical inventory count is normally done on an annual basis. In AASIS each
plant will conduct their annual inventory in June before the end of the fiscal year.
For these annual counts, the physical inventory count sheets will be generated
for the entire storage location. The count will be entered and the warehouse
manager will post the differences in the physical count, which will either increase
or decrease the inventory balances.
Sometimes it is necessary to conduct a physical inventory count for a particular
material or group of materials in addition to the normal fiscal year end count. For
these periodic counts the warehouse supervisor can generate a physical
inventory document in AASIS to begin the physical count process. The following
is intended to provide information regarding the steps involved in counting and
posting a physical inventory.

MI01 Create Physical Inventory Document

1. Type MI01 in the Transaction command field.

2. <ENTER>

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The Create physical inventory document: Initial Screen appears.

Enter the physical inventory selection criteria and execute the transaction.
3. Document Date: < ##/##/####> Current date defaults
4. Planned count date: <##/##/####>Current date defaults. Enter date on
which you intend to count.
5. Plant: <####>
6. Storage Location: <####>.
7. Posting Block: Click to select. By selecting Posting Block, no goods
movements involving the material listed in the physical inventory document can
be posted for the duration of a physical inventory count.
8. Batches w del Flags: <De-select>

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9. <ENTER>
The Create physical inventory document: New Items screen appears.

Enter all material numbers to be included on the count sheet.

10. Material:<1#######>

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After entering the material numbers, click the green check

icon to proceed.

The physical inventory document number appears at the bottom of the screen.
Use Mi01 when only a few items are to be counted. If all items in a storage
location are to be counted, use MI31.

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MI31 Selected Data for Phys, Inventory Documents w/o Special Stock
By using transaction code MI31, the warehouse manager may create physical
inventory count sheets for each storage location in the plant without having to
enter each material number individually.
1. Type MI31 in the Transaction command field.

2. <ENTER>
The display below shows the initial screen without selection criteria.

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Enter the selection information and execute the transaction.3. Plant number: <####>
4. Storage location<####>
5. Material Type:<####>
6. Materials marked for Deletion: <Deselect checkbox>
7. Generate Batch Input: <Accept default setting>
8. Name of Session:

<Change to Plant #-Storage Location #>

(Example: 1350-0100)
9. Hold Processed session: click to select check box.
10. Issue Log: <Accept default setting>
11. Max no of Items/Doc: <15> Fifteen is the maximum number of items that
can be printed on a count sheet page. Each page will have a specific physical
count document number.

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12. Acc to Stck: <select to expand>

13. Unrestricted Use box: <select>

14. Planned count Date: <##/##/####>
REMEMBER: All counts must be entered and posted before close of business on
06/30/20##.
15.Set posting block: <optional>
16. Freeze book inv. (inventory) bal.: <optional>

17. Select the preferred sorting.

18. Plant-sloc.-Material: <accept default selection>

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19. <ENTER>
The following screen is presented. This screen displays a list of the items to be
included on the physical inventory count sheets. The screen also gives a total
number of items to be included on physical count sheets.

20. <Process session>

The following screen is presented.

21. Highlight the desired session and click on Process

The Process Session dialog box appears

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22.<BACKGROUND>
23.<PROCESS>
The user may click the enter icon
to refresh the screen. The small clock
with the green checkmark indicates that the job is being processed.

After refreshing the screen again, the small clock is replaced by a green check
indicating that the job is complete.

If the user failed to select the Hold processed sessions check box on the initial
, the finished job will not
screen,
be listed here. However, the count sheets will have been created and a listing
can be found in transaction MI22 using the plant, storage location and planned
count date as selection criteria.

24. <LOG>

. A log of the jobs just completed will be displayed.

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25.<Highlight job>

26. <DISPLAY>
A listing of the physical inventory count sheet numbers just created is given.

In this session the first count sheet is number 13881, the last count sheet is
number 13923. The batch log may be printed if desired

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MI21 Print Physical Inventory Document

1. Type MI21 in the Transaction Command field.

2. <ENTER>
The Print physical inventory document screen appears. Information from the
most recent physical inventory document is defaulted on the screen.

Enter the desired information and execute the transaction.

3. Physical Inventory Document: <#####>
4. Plant: <####>
5. Storage Location: <####>
6. Output Device: <####>
7. <EXECUTE>
The print preview displays shows what the count sheet will look like.

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The printed count sheet may be used as a tool on which plant personnel can
write the counted quantities for each item. This count sheet contains the material
number, description, plant and storage location information along with a space to
write the count quantity. The sheet does not display the systems on-hand
amounts.

MI04 Enter Inventory Count: Initial Screen

1. Type MI04 in the Transaction Command field.

2. <ENTER>
The Enter inventory count: Initial screen is displayed below.

Enter the selection criteria and execute the transaction.

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3. Phys. Inventory doc.: <#####>

4. Count Date: <##/##/####> Enter date if count date is different from current
date.
5. <ENTER>
The following screen is displayed.

Enter the
count here

If the count is zero, enter zero

in the qty field and check the
ZC box.

Be sure to
observe the
units of
measure and
convert the
qty as
needed.

6. Quantity: <###>
7. <POST>
The message at the bottom of the screen states, Count entered for physical
inventory document XX.
MI11 Enter Recount
Sometimes it is necessary to perform a recount for a material or group of
materials after the original count has been entered

1. Type MI11 in the Transaction Command field.

2. <ENTER>

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The Enter recount: initial screen is displayed.

3. Phys. Inventory doc.: <#####>

4. Planned count date:<##/##/####> Enter date if different from current date.
5. Document Date: <##/##/####> Enter date if different from current date.
6. <ENTER>
The Enter recount: Selection list is displayed.

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All items are initially selected on this screen as indicated by the check mark to
the left of the item number. The user may deselect those items that do not
require a recount by clicking the selection box to the left of the material.

7. <POST>
The screen will return to the initial screen and a new physical inventory count
number will be displayed at the bottom of the screen.
The designated materials should be recounted and this value should be entered
into the system using transaction code MI04 as explained above.
MI20 List of Inventory Differences
Any differences between the entered count and the system balances must be
reconciled. These differences create financial postings which increase or
decrease the inventory stock balances.
The List of Inventory Differences provides management a means to examine
differences for a single count sheet or several count sheets at one time.
Depending upon the agencys policy and procedures, the plant management may
decide to recount some items due to wide variances while posting the differences
of other items which have only a small difference. Although material differences
may be posted from this transaction, it is recommended that differences will be
posted using transaction MI07.

1. Type MI20 in the Transaction Command field.

2. <ENTER>

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The List of Inventory Differences screen appears

Enter the selection criteria and execute the transaction.

3. Physical Inventory document: <#####>
4. <EXECUTE>

For the first material, the book quantity is 358 ZR5 vs a counted quantity of 753
ZR5 which produces a difference in amounts of $1,034.84. Differences are also
shown for the second item.

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MI07 Post Inventory Differences

The MI07 posts the inventory difference for the material and indicates a reason
for the discrepancy.

1. Type MI07 in the Transaction Command field.

2. <ENTER>
The Post Inv. Differences: Initial screen appears.

3. Phys. Inventory Doc.: <#####>

4. <ENTER>
The Post Inv. Differences #####:Selection Screen displays.

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A reason for any discrepancy must be indicated in the Reas. (Reason) field of the
MI07 transaction. The movement types associated with inventory adjustments
are 701 and 702. Movement 701 indicates an increase in the book value of the
inventory balances. Movement 702 indicates a decrease in the book value of the
inventory balances. Use the match code search box to determine the
appropriate reason
5. <SELECT Reas field Search>
The Reason for Inventory Diff. screen appears.

Enter the most appropriate reason and execute the transaction.

6. Reas.: <####>
7. <POST>
Once the physical inventory count document has been posted, the screen will
return to the MI07 initial screen which displays the physical inventory count sheet
number just accessed. A material document number will be displayed at the
bottom of the screen.

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Financial Posting for Inventory Adjustments

As with all goods movements, when the physical inventory count is posted
indicating a change in the quantity on hand, a material document is created to
record the updated information. Pursuant to the material document, financial
documents are also created. In the example below, an increase in the on-hand
quantity creates an increase in the inventory account with the off-set entry to the
Inventory <Over>/Short account.

MI06 Display Inventory Count

AASIS provides several transaction codes, which display the physical inventory
count status. Transaction code MI06 is one of these displays, which allows the
user to search for a particular physical inventory count sheet or several count
sheets along with the notation of which ones are active. Many of these search
screen criteria are very similar.
The initial screen for MI06 is displayed below. The user may enter the physical
inventory count sheet in the field provided or by clicking the drop-down arrow the
user may search for a count sheet.

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The materials on the count sheet are listed on the screen as shown below.

By clicking the Header

icon additional information regarding the status of the
document are displayed as shown below.

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The count status can reflect three different possible status indicators: Blank, X,
or A. A Count status that is blank indicates that no count has been entered for
any of the materials on the count sheet. A status A means that a count has
been entered for some of the items and a status of X means that a count has
been entered for all of the materials. The example shown in the screen print has
a status of X.
The Adjustment status field indicates that differences have been posted for this
physical inventory count document. The Count status A means that inventory
differences have been posted for some of the items of the physical inventory
document. For these items, the physical inventory has been completed. Count
status X means that differences have been posted for all items of the physical
inventory document.
The Delete status is blank indicating that none of the materials have been
deleted from this document. Status A means that some of the items have been
deleted and a status of X means that all items have been deleted.

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MI22 Display Physical Inventory

It may be helpful to simply enter the plant and storage location number to review
physical inventory documents to see which count sheets are still active. After
entering the desired criteria, select the execute icon.

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In this example of Mi22, a list of count sheet numbers is listed for each material.
Note that on the right side of the screen, the Status doc indicates which
documents are active. In other words, a count sheet for this item has not yet
been posted. By clicking a document number twice, the document itself will be
displayed.

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One of the most common errors encountered when performing a physical

inventory count is the message that a physical inventory document is already
active. The message will be displayed at the bottom of the screen when the user
is trying to create a physical inventory count sheet or when entering a count
quantity. If this message is displayed, use the search screens shown with
transaction code MI06 or MI22 to determine the active document number and
enter the count for that document number or delete the document.
To delete the document, use transaction MI02.
Enter the physical inventory document number and click on the trash can
icon. A prompt will be displayed asking the user if the document should be
deleted.

By clicking on the green check

icon, the document will be deleted.

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Troubleshooting
MI31

Error: Accounting view is missing means that when the material was extended
to plant 1300, the accounting view was not opened (displayed).
Solution: Contact OSP. OSP will need run transaction MM01 for the material
and open the accounting view for the plant.

MIGO Goods Receipt

Error: GR-- Document 45xxxxxxxx does not contain any selectable items
Solution: All items on this purchase order have been received. Check the
purchase order number. Review the purchase order via ME23N.
Error:
Solution: Check the purchase order number entered. Review the purchase
order via ME23N.
Error: Fund is blank
Solution: Check the moving average price in the material master>accounting 1
tab. The MAP must be greater than zero.

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MM03- Display Material Master

Error: Material 1xxxxxxx does not exist in plant 1350

Solution: Contact OSP. The material must be extended to the plant before it
can be used.

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Glossary
Account Assignment
Category

The account assignment category determines which account assignment data (such as
cost center, account number and so on) is necessary for the item.

Alternate Units of
Measure

Unit of measure in which quantities can be entered alternatively to the base unit of
measure/stock keeping unit. Alternate units of measure must be defined in the material
master.

Base Unit of Measure

Unit of measure in which stocks of the material are managed. The system
converts all the quantities you enter in other units of measure (alternative units
of measure) to the base unit of measure. The base unit of measure,
alternative units of measure, and their conversion factors are defined in the
material master record

Client

The organizational unit which groups or combines all legal, business and/or
administrative units with a common purpose. The State of Arkansas is the
only client with AASIS.

Company Code

The level which represents an independent accounting unit within a Client.

The State of Arkansas is the only Company Code within AASIS.

Cost Center

A unit within a company code distinguished by areas of responsibility, location,

or accounting method.

Goods Issue

A reduction in warehouse stock due to a withdrawal of stock for consumption

or scrap.

Goods Movement

Physical or logical movement of materials leading to a change in stock levels

or resulting in the direct consumption of the material.

Goods Receipt

A physical inward movement of goods or materials.

Internal Order

Internal orders are normally used to plan, collect, and settle the costs of
internal jobs and tasks.

Material

Term for all objects processed in materials management. A material master

record is created for each material in AASIS and each material is assigned a
material number.

Material Document

A document that represents proof of materials movements and is a source

document for other applications such as Controlling, Financial Accounting and
Funds Management.

Material Groups

Grouping together of several materials with the same characteristics.

Material Master

A data record containing all the basic information required to

purchase/manage a material.

Material Type
Materials Management

Includes two modules; procurement and inventory control

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Moving Average Price

The system calculates the moving average price automatically by dividing the material
value in the stock account by the total of all storage location stocks in the plant
concerned. It changes the price with each valuation-relevant movement. The valuation
of stocks at moving average price or periodic unit price means that the price of the
material is adapted to the continual fluctuations in the procurement price.

MRP

Material Requirements Planning

MRP Area

An organizational unit for which Material Requirements Planning can be

carried out separately. An MRP area can include one or several storage
locations of a plant

Order Unit

Unit of measure that permits a material to be ordered (by purchasing) in a unit

that differs from the base unit defined for the material. The Unit of Issue is an
example of an Alternative Unit of Measure.

Planned Orders
Plant

The organizational level where materials, goods, or services are provided. In

AASIS, plants represent agency warehouses with inventoried stock.
Additionally, plant 9999 is the reference plant used for all non-inventory
purchases.

Storage Location

The organizational units representing physical or logical locations within a

plant and are used for ease of segregation between the various stocks of a
material for inventory purposes. Plants may have one or many storage
locations.

Unit of Issue

Unit of measure that expresses the quantity of materials issued from the plant.
The unit of issue allows the user to record material usage or consumption,
stock transfers and physical inventories in a unit of measure other than the
stock-keeping unit. The Unit of Issue is an example of an Alternative Unit of
Measure.

Units of Measure

Unit that allows the user to determine the dimension or quantity of a material.

Valuation Area

Organizational level on which stocks of a material are managed based on

value. The valuation area is either a plant, several plants in a company code,
or all plants in a company code. In AASIS, materials are valued at the plant
level.

WBS Element

The work breakdown structure (WBS) is a model of the project that organizes
project tasks into a hierarchy. It is the functional basis for further planning
steps in a project, for example, for process planning, cost planning,
scheduling, capacity planning or costing, as well as project control.

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Frequently Used Inventory Transactions

Transaction
Code

Transaction Title

MB03

Display Material Document

MB1A

Enter Goods Issue

MB1B

Enter Transfer Posting (use movement type 301 for transfers between
plants; use movement type 311 for transfers between storage locations
within the same plant)

MB51

Material Document List

MB52

Display Warehouse Stocks of Material on Hand

MB5B

Stock on Posting Date

ME23N

Display Purchase Order

ME2N

List Purchase Orders by PO number

ME53N

Display Purchase Requisition

MI01

Create Physical Inventory document

MI04

Enter Inventory Count

MI07

Post Inventory Differences

MI11

Enter Recount

MI20

List of Inventory Differences

MI21

Print Physical Inventory Document

MI22

Display Physical Inventory Documents for Material

MI31

Selected Data for Physical Inventory Documents without Special Stock

MIGO

Goods Receipt - Purchase Order

MMBE

Stock Overview

ZMM2

Material Buy List

ZMM9

Material stock by Storage Bin

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