SAP MM Quota Arrangement - SAP MM

What is SAP MM Quota Arrangement?

A selected material may be procured from different providers depending upon the requirement. So, total requirement of a material is sent to different dealer’s i.e. quota is assigned to each source of supply. that is called quota arrangement. the key points about quota arrangement are as follows:

  • Quota arrangement divides the full requirement of material among positive resources of supply i.e. providers and then assigns quota to every supply.
  • This specific quota specifies the portion of material that is to be procured from assigned seller or supply.
  • Quota rating is used to determine the amount of material that is to be assigned to specific source or seller. The supply with lowest quota rating represents the valid source.
  • Quota rating can be calculated by using following method:

Quota rating = (Quota allocated quantity + Quota Base quantity)/Quota
where Quota allotted quantity is total quantity from all orders that is procured from a selected source. Quota Base quantity is amount from new supply of supply. Quota is general requirement of material that is given to a selected supply of supply.

  • The required setting before creating quota is information record and source list need to be maintained for the specific material. Also in material master, source list and quota arrangement usage check field must be checked. This placing may be made in material master through going to TCode MM03. In purchasing view test the quota arrangement utilization and source list. setting is now maintained for quota arrangement.

SAP MM - Quota Arrangement

Create Quota Arrangement

Quota arrangement divides the entire requirement of a material amongst sure sources of supply i.e. providers. Quota arrangement may be created through following the below steps.

Path to create Quota arrangement:

Logistics => materials control => purchasing => master data => Quota arrangement => maintain

TCode: MEQ1

On Sap Menu screen choose preserve execute icon by using following the above step.

SAP MM - Quota Arrangement

Enter the material number and plant for which quota arrangement needs to be maintained.

SAP MM - Quota Arrangement

Provide the dates like valid from and valid to and also quantity split.

SAP MM - Quota Arrangement

Enter the name of dealer’s and assigned allocated quantity to them. click on save. Quota arrangement is now maintained for the unique material.

SAP MM - Quota Arrangement

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