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Org Structure in SAP MM

The document outlines the organizational structure in SAP MM, detailing the hierarchy from the Client level down to Purchasing Groups. It describes each level's role, including Company Code, Plant, Storage Location, Purchasing Organization, and Purchasing Group, emphasizing their importance in managing procurement and inventory processes. Additionally, it provides transaction codes (T-Codes) for creating and assigning these organizational units.

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36 views3 pages

Org Structure in SAP MM

The document outlines the organizational structure in SAP MM, detailing the hierarchy from the Client level down to Purchasing Groups. It describes each level's role, including Company Code, Plant, Storage Location, Purchasing Organization, and Purchasing Group, emphasizing their importance in managing procurement and inventory processes. Additionally, it provides transaction codes (T-Codes) for creating and assigning these organizational units.

Uploaded by

clla.onthego
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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ORGANIZATION STRUCTURE IN SAP MM

In SAP MM, the organizational structure is essential for managing


procurement and inventory processes. It consists of multiple levels
that define how materials are managed and tracked across an
organization.

L
1. Client

I
The highest organizational unit in SAP.

H
Represents an entire enterprise with multiple business units.

A
2. Company Code

S R
Represents a legal entity within the organization.

A
Each company code has its own financial accounting records.
3. Plant

W
A physical or logical location where goods are manufactured,

E
stored, or distributed.

B
Multiple plants can exist under one company code.

B
4. Storage Location

A
A subdivision of a plant used to store materials.

P
A plant can have multiple storage locations.
5. Purchasing Organization
Responsible for procurement activities in the company.
Can be assigned to one or multiple company codes or plants.
6. Purchasing Group
A team or an individual responsible for purchasing specific
materials.
Not tied to any company code or plant but used for reporting
purposes.

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ORGANIZATION STRUCTURE IN SAP MM

Client

Company Code Company Code

H IL
SA R
Plant (1) Plant (2)

WA
BBE
Storage Location (1) Storage Location (2)

PA Purchasing
Organization (1)
Purchasing
Organization (2)

Purchasing Purchasing
Group (1) Group (2)

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ORGANIZATION STRUCTURE IN SAP MM

Organizational
Description T-Code
Level

Created during SAP


Client N/A
installation

IL
Company Code Define Company Code OX02

A H
Assign Company Code to
OX16

S R
Company

A
Plant Create Plant OX10

E W
Assign Plant to Company
OX18

B
Code

A B
Storage Location Create Storage Location OX09

P
Purchasing Create Purchasing
OX08
Organization Organization

Assign Purchasing
Organization to Company OX01
Code

Assign Purchasing
OX17
Organization to Plant

Purchasing Group Create Purchasing Group OME4

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