Steps to Create New Movement Types in SAP MM

Introduction

Creating new movement types in SAP MM (Materials Management) allows businesses to differentiate inventory transactions for better tracking and reporting. Companies may request customized movement types to suit their specific needs, such as segregating internal and external scrap movements.In this guide, we'll walk you through the steps to create a new movement type in SAP MM using transaction OMJJ, along with recommendations on when to implement new movement types.

Why Create a New Movement Type in SAP MM?

A new movement type is typically created when a business requires specific tracking of inventory movements beyond SAP's standard movement types. For example:
  • Standard Movement Type 551 – Used for scrap material postings.
  • Custom Movement Type Z51 – Can be created to differentiate internal scrap from external scrap, providing more precise data tracking.

Steps to Create a New Movement Type in SAP MM

1. Access Transaction OMJJ

The transaction OMJJ is used for copying, modifying, and creating movement types in SAP MM.

2. Copy an Existing Movement Type

Follow these steps to create a new movement type (e.g., Z01 based on 201 - Goods Issue to Cost Center):
  1. Open transaction OMJJ in SAP.
  2. Select the standard movement type 201 (or another relevant type).
  3. Click Copy, then replace 201 with your new movement type, e.g., Z01.
  4. Press Enter, then select Copy All to duplicate all configurations.

3. Configure the New Movement Type

Once the new movement type is created, select Z01 and update its configurations:
  • Navigate to the left-hand column and select Reversal/Follow-on Movement.
  • Define the Reversal Movement Type (e.g., 202 for reversing 201).

4. Adjust Additional Settings (If Required)

Depending on business requirements, you may modify additional options such as:
  • Account Determination – Assign different G/L accounts.
  • Update Control – Define how the movement affects stock valuation.
  • Screen Layout – Adjust the fields visible during postings.

5. Save and Test the New Movement Type

  • Click Save to confirm changes.
  • Perform a test posting in MIGO, or another relevant transaction to verify the new movement type functions correctly.

When Should You Create a New Movement Type?

You should create a new movement type in the following cases:
  • Need for Better Reporting – Differentiating internal vs. external transactions.
  • Custom Accounting Requirements – Assigning unique G/L accounts.
  • Process Optimization – Automating specific inventory movements.
  • Regulatory Compliance – Ensuring legal or tax requirements are met.

Conclusion

Creating a new movement type in SAP MM is a straightforward process using OMJJ. By carefully selecting and configuring the new movement type, companies can enhance inventory tracking, improve reporting, and meet specific operational needs. Always test the new movement type before deploying it in a live environment to avoid unexpected errors.

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