The standard material types include:

CONT: Kanban container

This material type is delivered by SAP for creating kanban containers. A kanban
container is used in a kanban container-based system, sometimes implemented at
a specific manufacturing plant for just-in-time (JIT) replenishment of parts on the
production line. A kanban container is used to transport the material from the
supply area to the manufacturing location. Materials used as kanban containers
only have the basic data view.
##DIEN: Services
Services are either internally or externally supplied by a vendor. Services can involve
activities such as consulting, garbage collection, or legal services. Service
material master records don’t have storage information.

ERSA: Spare parts

Spare parts are materials used for equipment maintenance in the plant. The material
is purchased and stored like any other purchased item, but a spare part isn’t
sold and therefore doesn’t contain sales information. If a maintenance item is
sold, then the material should use a different material type, such as material type
HAWA, for trading goods.

FERT: Finished goods

A finished good is a material that has been manufactured by some form of production
from items, such as raw materials. A finished good isn’t purchased and thus
doesn’t contain any purchasing information. However, a finished good is sold and
thus does contain sales information.

FHMI: Production resources/tools (PRTs)

Production resources/tools (PRTs) are purchased and used by the plant maintenance
department. This material type is assigned to items used in the maintenance
of plant equipment, such as test machines, drill bits, or calibrating tools. The material
type for PRTs doesn’t contain sales information because the PRTs aren’t purchased
to sell. In addition, PRTs are only managed on a quantity basis.

HALB: Semifinished goods

Semifinished products are often purchased or produced and then completed and
sold as finished goods. Semifinished products could come from another part of
your company or from a vendor. The semifinished material type allows for purchasing
and work scheduling but not sales. If a company also sells its semifinished
products, then sales views can be activated.

HAWA: Trading goods

Trading goods are generally materials that are purchased from vendors and sold.
This kind of material type only allows purchasing and sales information because
no internal operations are carried out on these materials. An example of a trading
good can be found at many computer manufacturers, who sell their own manufactured
goods (computers) but also may also sell printers and routers. These trading
goods aren’t manufactured by the company but bought from other manufacturers
and sold alongside their own manufactured computers.

HERS: Manufacturer parts

Manufacturer parts are materials that can be supplied by different vendors who
may use different part numbers to identify the material. This type of material can
be found in many retail stores. For example, a DIY retail store may sell a three-step
ladder for $20, but the ladder can be made by three different manufacturers, each
of which have a different part number. The store will then have three part numbers
for the ladder, but the consumer won’t be aware of this fact.

HIBE: Operating supplies

These materials are vendor-purchased operating supplies used in the production
process. This type of product includes lubricants, compressed air, or solder. The
HIBE material type can contain purchasing data but not sales information.

IBAU: Maintenance assembly

A maintenance assembly isn’t an individual object but a set of logical elements to
separate technical objects into clearly defined units for plant maintenance For
example, a car can be a technical object, and the engine, transmission, axles, and
so on are the maintenance assemblies. An IBAU material type contains basic data
and classification data.

KMAT: Configurable material

Configurable materials form the basis for variant configuration, and the KMAT
material type is used for all materials that are variant configuration materials. A
material of this type can have variables that are determined by the user during the
sales process. For example, automotive equipment produced by a manufacturer
may have variable attributes that each car manufacturer needs to be different for
each car, such as length of a chain or the height of a belt.

LEER: Empties

Empties are materials consisting of returnable transport packaging and can be
subject to a nominal deposit. Examples of empties include crates, drums, bottles,
or pallets. Empties can be made from several materials grouped together in a bill
of material (BOM) that is assigned to a finished material.

Empties Management
The empties management functionality is available in MM. This functionality allows
the use of sales BOMs in purchasing and sales, and empties can be added to full
product items in purchase orders (POs). You can also process these empties during
invoice verification.
This functionality allows separate valuations for full products versus related empties
and is compatible with other solutions that use BOMs (e.g., a free goods discount).

LEIH: Returnable packaging

Reusable packaging material is used to pack finished goods to send to the customer.
When the finished good is unpacked, the customer is obliged to return the
returnable packaging material to the vendor.

NLAG: Nonstock material

The nonstock material type is used for materials that aren’t held in stock and
aren’t inventoried. These materials can be called “consumables” and include items
such as maintenance gloves, safety glasses, or grease. Items in this material type
are usually purchased only when needed.

PIPE: Pipeline material

The pipeline material type is assigned to materials that are brought into the production
facility via pipelines. These materials aren’t usually planned because they
are always on hand. This type of material type is used, for example, for oil, water,
electricity, or natural gas.

ROH: Raw materials

Raw material is purchased material that is fed into the production process and
may result in a finished good. No sales data exists for a raw material because this
material type is not sold. To reclassify a raw material for sales, then the material
type would be changed to HAWA, for trading goods.

UNBW: Nonvaluated material

This nonvaluated material type is similar to the NLAG (nonstock material) except
that nonvaluated material is held by quantity and not by value. Examples of this
material type are often seen in plant maintenance, where materials are extremely
important to the plant’s equipment but of little or no other value. Therefore, the
plant maintenance department will monitor inventory to allow for planned purchases.

VERP: Packaging material

Unlike material type LEER (empties), the packaging material type is for materials
that are packaged but are free of charge to the customer in the delivery process.
Although free to the customer, the packaging material may still have value, and a
physical inventory is recorded.

WETT: Competitive products

The sales department uses material type WETT to monitor competitors’ goods.
This material type is used to identify competing products. Only basic data is held
for these materials.