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SAP SD Vs. MM

kahlil_31
Participant
0 Kudos

Hi Ma'am / Sir!

Good Day!

I'm a new member of SAP Consultants. Can anyone help me regarding the difference of MM and SD Modules in layman's term?

Thank you in advanced! 🙂

3 REPLIES 3

Abinathsiva
Active Contributor

Hi,

SAP MM is Material Management is one of the modules of SAP that deals with material management and inventory management.

SAP Sales and Distribution is one key components of SAP ERP system and is used to manage shipping, billing, selling and transportation of products followed by that SD is a part of SAP Logistics module that manages customer relationship starting from raising a quotation to sales order and billing of the product or service. This module is closely integrated with other modules like SAP Material Management and PP.

follow this link for further details.

SAP MM and SAP SD

Lakshmipathi
Active Contributor

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sanilbhandari
Product and Topic Expert
Product and Topic Expert

Hello kahlil_31

SAP MM (Materials Management) comprises inventory management (stock storage, stock transfers, physical inventory), purchasing (vendor selection, quotation, purchase agreements, stock transports), and invoice verification. MM purely deals with procurement although it has basic MRP functionality for forecasting. This forms the P2P (Procure to Pay) scenario.

SAP SD (Sales and Distribution) handles customer quotation, sales orders, goods delivery, invoices. This forms the OTC (Order to Cash) scenario.

Thanks & regards

Sanil Bhandari

Sanil Bhandari