Show TOC

material type

Logistics Basic Data (LO-MD)

Groups together materials with the same basic attributes, for example, raw materials, semifinished products, or finished products.

When creating a material master record, you must assign the material to a material type. The material type you choose determines:

• Whether the material is intended for a specific purpose, for example, as a configurable material or process material

• Whether the material number can be assigned internally or externally

• The number range from which the material number is drawn

• Which screens appear and in what sequence

• Which user department data you may enter

• What procurement type the material has; that is, whether it is manufactured in-house or procured externally, or both

Together with the plant, the material type determines the material's inventory management requirement, that is:

• Whether changes in quantity are updated in the material master record

• Whether changes in value are also updated in the stock accounts in financial accounting