Material Management function as an important SAP-Module which handles material/external service procurement process, inventory management, and vendors’ invoice verification in the entire organization.
SAP-MM begins with determination of organization’s requirements, and then follows by determination of source of supply, material procurement from external vendor or internal procurement, goods receipt in storage location and issue to production lines or costs objects including project; cost center; asset; order, and finally is finished through invoice verification.
Organizational efficiency is the goal of inventory management.
You want to eliminate waste in process, product, and work hours.
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In business environment, organization requires to complete business flow through proving material or service from external vendors or internal procurement.
The SAP-MM represents basic procurement and special procurement in such cases.