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Answer Posted / vamsi
Material Types:
Materials with the same basic attributes are grouped
together and assigned to a material type. This allows you
to manage different materials in a uniform manner in
accordance with your company's requirements.
The material type for a material would be the same across
the organization.
Features
When we create a material master record, the material type
you choose determines:
• Whether the material is intended for a specific
purpose, for example, as a consumption material or service
material
• Whether the material number can be assigned
internally or externally
• The number range from which the material number.
• Which screens (Views) appear and in what sequence
• Which departmental 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
• Automatic account determination for postings
• Authorizations at material type if required
• Stock reports
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