MM Config 01 (Create a New Plant)

SAP MM Config 01- Create a New Plant

IMG for SAP Plant Maintain

How to Configure a New Plant in SAP?

Plant 0001 is the SAP default provide for your reference.

OX14 - Define Valuation Area (Tick one only- Once your system go live, no more changes)
Most company take the SAP recommended choice - Value Material Stock at Plant level
Value Material Stock at Plant or Company Level

o If you valuate material stocks at plant level, the plant is the valuation area.
o If you valuate material stocks at company code level, the company code is the valuation area.
o The decision you make applies to the whole client.

OX10 - Create / Change / View Plants

OVXB - Create / Change / View Division

OX18 - Assign Plant to company code
e.g. 0001 - 0001 - All Plants
P01 - Plant P01
P02 - Plant P02
OX19 - Assignment of company code to the Controlling Area

OB38 - Assign company code to Credit Control Area

OMJ7 - Assign business area to Plant/Valuation area and division
e.g. Plant P01 - Business Area B01
Plant P02 - Business Area B02
Assign Valuation area to the Business Area
.e.g. Valuation area V01 - Business Area B01
Business Area B02

OMS0 - Assign Factory Calendar to the Plant and Business Area

The plant plays an important role in the following areas:

* Material Valuation - If the valuation level is the plant, the material stocks are valuated at plant level. Each plant can have its own material prices and account determination.
* Inventory Management - The material stocks are managed within a plant.
* MRP - Material requirements are planned for each plant. Each plant has its own MRP data. Analyses for materials planning can be made across plants.
* Production - Each plant having they own production/planning.
* Costing - In costing, valuation prices are defined only within a plant.
* Plant Maintenance - If a plant performs plant maintenance planning tasks, it is defined as a maintenance planning plant. A maintenance planning plant can also carry out planning tasks for other plants (maintenance plants).

If you want to use the application PP (production planning) or product costing and job-order costing, you must set valuation at plant level.

The valuation level that you choose affects

* the maintenance of material master records
* the G/L accounts in which material stocks are managed
* the G/L accounts to which transactions are posted in Materials Management

Effect on the maintenance of material master records:

Depending on the valuation level chosen,

* you maintain accounting data in the material master record for each plant or for each company code
* you define a valuation price for the material in each plant or in each company code

Effect on G/L accounts:

If material stocks are valuated at company code level, all plant stocks of a material are managed in a joint stock account for each company code.
If material stocks are valuated at plant level, you can manage the material stocks for each plant in different accounts. For each plant, you can define a separate determination.
If several plants are to use account determination, you can group these plants in "Valuation and Account Assignment" Customizing.