Common SAP Acronyms: Quick Reference

Acronyms can mean different things across SAP modules and projects. This guide covers common meanings.

Business processes and documents

Acronym	Meaning	Plain-language explanation
PR	Purchase Requisition	Internal request to buy goods or services.
PO	Purchase Order	Formal order sent to a supplier.
GR	Goods Receipt	Recording goods received into the system.
GI	Goods Issue	Recording goods leaving stock, for example for production or delivery.
IR	Invoice Receipt	Recording a supplier invoice.
TR	Transfer Requirement	A request or instruction to move stock within warehouse processes.
HU	Handling Unit	A packed unit, such as a pallet or carton, tracked as one unit.
BOM	Bill of Materials	List of components needed to make a product.
PROD	Production	Often used as shorthand for production or the production environment; confirm the meaning in context.

Project and testing

Acronym	Meaning	Plain-language explanation
DEV	Development	Environment where changes are built or configured.
FS	Functional Specification	Describes what a solution should do from a business or functional perspective.
TS	Technical Specification	Describes how a technical solution will be built.
UT	Unit Testing	Tests an individual configuration item, development, or process step.
SIT	System Integration Testing	Tests processes across modules or connected systems.
UAT	User Acceptance Testing	Business users check that the solution meets their needs.
FUT	Project-specific; sometimes Functional Unit Testing	Not a universally standardized SAP acronym. Check the project glossary before using it.
Regression Testing	—	Checks that existing processes still work after a change.
E2E	End-to-End	Tests a complete process from start to finish.
OAT	Operational Acceptance Testing	Checks readiness for operations and support.
Cutover	—	Activities to move from the old solution to the new one.
Hypercare	—	Extra support immediately after go-live.

SAP functional and technical terms

Acronym	Meaning	Plain-language explanation
BP	Business Partner	Central record for parties such as customers and suppliers.
BAdI	Business Add-In	SAP enhancement option for adding custom logic.
BAPI	Business Application Programming Interface	Standard SAP interface for business operations and data.
ALV	ABAP List Viewer	SAP tool for displaying and working with reports and lists.
RFC	Remote Function Call	Technology for communication between SAP systems or programs.
ABAP	Advanced Business Application Programming	Programming language used in SAP applications.
T-code	Transaction Code	Shortcut to an SAP transaction or function.

SAP technology and data migration

Acronym	Meaning	Plain-language explanation
BTP	Business Technology Platform	SAP platform for integration, extensions, data, and application development.
CDS	Core Data Services	SAP data modeling technology.
CPI	Cloud Integration	SAP integration service; commonly associated with SAP Integration Suite.
LTMC	Legacy Transfer Migration Cockpit	Older SAP migration cockpit transaction; availability and use depend on the SAP release.
DMC	Data Migration Cockpit	Tools and applications for migrating data to SAP.
LSMW	Legacy System Migration Workbench	Legacy tool for data migration; use in newer SAP environments may be limited.

Data and integration

Acronym	Meaning	Plain-language explanation
XML	Extensible Markup Language	Text format for structuring and exchanging data.
API	Application Programming Interface	A way for applications or systems to communicate.
OData	Open Data Protocol	Protocol commonly used to expose and consume SAP services.
ETL	Extract, Transform, Load	Process for moving and reshaping data between systems.

SAP modules and business processes

Acronym	Meaning	Plain-language explanation
MM	Materials Management	Procurement and inventory processes.
SD	Sales and Distribution	Sales, delivery, and billing processes.
FI	Financial Accounting	External financial accounting and reporting.
CO	Controlling	Internal cost and management accounting.
PP	Production Planning	Production planning and execution.
QM	Quality Management	Quality planning, inspection, and control.
PM	Plant Maintenance	Maintenance of equipment and assets.
WM	Warehouse Management	Warehouse operations and stock movements.
EWM	Extended Warehouse Management	Advanced warehouse processes.
TM	Transportation Management	Transport planning and execution.
MDG	Master Data Governance	Managing and governing master data.

Common end-to-end processes

Acronym	Meaning	Plain-language explanation
P2P	Procure-to-Pay	From purchasing goods or services to paying the supplier.
O2C	Order-to-Cash	From receiving a customer order to collecting payment.
R2R	Record-to-Report	From recording transactions to producing financial reports.

Typical testing and deployment flow:
Build → Unit Testing → SIT → UAT → Regression Testing → Cutover → Go-Live → Hypercare

Some terms—especially FUT, PROD, TR, and tool names—can vary by project or SAP release. Confirm them in your project glossary or with the relevant SAP team.

SAP Testing Strategy: Unit → SIT → UAT → Regression → Cutover

A successful SAP go-live depends on more than correct configuration. Testing helps confirm that the system, end-to-end processes, and business results are ready.

The testing journey

1. Unit testing — Does each piece work?

Test individual configurations, developments, or process steps.

Usually done by: Functional and technical consultants.

2. SIT — Do the connected processes work?

System Integration Testing checks end-to-end processes across SAP modules and systems.

Examples:

• MM → FI
• SD → FI
• PP → MM

3. UAT — Does it meet business needs?

User Acceptance Testing lets business users run realistic scenarios and confirm the solution supports their requirements.

Check not only that the steps work, but also that the outcomes are right—for example, financial postings, inventory balances, procurement and sales results, controls, and reports.

Key outcome: Business acceptance or sign-off.

4. Regression testing — Did a change break anything?

After a fix, configuration change, or new development, retest important existing processes to check that they still work as expected.

5. Cutover testing — Are we ready to go live?

Validate the activities needed to move into production. This may include:

• Data migration
• Master data and open transactions
• Period-end or closing activities
• Mock cutover or dress rehearsal

Easy way to remember

• Unit: Does each component work?
• SIT: Does the end-to-end process work?
• UAT: Does the solution meet business needs?
• Regression: Did our changes affect existing processes?
• Cutover: Are we ready for go-live?

The goal: The system works, the business process works, and the business results are accurate. ✅

Testing stages and responsibilities may vary by project; align the approach with the project team and business stakeholders.

Subcontracting vs. Consignment in SAP MM

 Both processes involve a supplier, but the key difference is who owns the stock and when the supplier is paid.

	🔵 Subcontracting	🟠 Consignment
What happens?	You provide components; the supplier processes them and returns a finished product.	The supplier keeps stock at your site; you pay only when you use it or transfer it to your own stock.
Who owns the stock?	Your company owns the components sent to the subcontractor.	The supplier owns the consignment stock until it is consumed or transferred.
PO item category	L – Subcontracting	K – Consignment
BOM required?	Usually needed to propose the components in the PO.	No
How is the supplier paid?	Invoice for the processing charge, typically via MIRO.	Settlement for consumed or transferred quantities via MRKO.

🔵 Subcontracting: supplier processes your components

1. Prepare master data
   Create or check the material and supplier (Business Partner) records.

2. Create a BOM
   Use CS01 to define the components needed to make the finished product. A purchasing info record may be used, but is optional in the standard process.

3. Create the subcontracting PO
   Use ME21N and select item category L – Subcontracting. Check the Components tab to review the components proposed from the BOM.

4. Send components to the subcontractor
   Post the transfer using movement type 541. The components remain company-owned, but are shown as stock provided to the subcontractor.

5. Receive the finished product
   Post the goods receipt, typically with movement type 101. Component consumption is generally posted automatically with movement type 543.

6. Pay the subcontractor
   The PO price is for the supplier’s processing service—not the value of the components. Post the supplier invoice in MIRO. Whether invoice verification is goods-receipt-based depends on the PO and business setup.

🟠 Consignment: supplier-owned stock is held at your site

1. Prepare master data
   Create or check the material and supplier (Business Partner) records.

2. Create a consignment purchasing info record
   In the standard process, this holds the price used for settlement.

3. Create the consignment PO
   Use ME21N and select item category K – Consignment. A BOM is not required.

4. Receive the consignment stock
   Post the goods receipt, typically with movement type 101 and special stock indicator K. The stock is recorded as supplier-owned; the receipt itself normally does not create a stock-value accounting posting.

5. Use or take ownership of the stock
   Examples include:

   • 201 K – Issue to a cost center
   • 261 K – Issue to a production order
   • 411 K – Transfer consignment stock to your own stock

6. Settle with the supplier
   Use MRKO to settle the quantities consumed or transferred to company-owned stock. Consignment settlement is not normally processed as a standard invoice through MIRO.

Note:

• Subcontracting: We provide components; the supplier returns a processed product.
  541 → 101 / 543 → MIRO
• Consignment: The supplier owns the stock until we use it or take ownership.
  101 K → consumption or transfer → MRKO

Essential SAP Transaction Codes for Production Support and Critical Issue Analysis

T-code	Purpose
SU01D	Display a user’s account details, assigned roles, and user status.
SUIM	Search and report on users, roles, profiles, and authorizations.
SE10	Manage transport requests and tasks, including reviewing and releasing them.
SM37	Monitor background jobs: status, schedule, job log, and spool output.
SE37	Display and test function modules, including RFC-enabled modules.
SA38	Execute an ABAP report by entering its program name.
SE16H	Browse and analyze table data, with filtering and additional analysis features.
SE16N	Display table contents with selection filters. Use carefully; access to sensitive data may be  restricted.
SE11	Display or maintain ABAP Dictionary objects such as tables, views, data elements, and structures.
ST22	Review ABAP runtime errors (short dumps) and their technical details.
SM21	Review system log entries, such as system events and errors.
SLG1	Display application logs for business processes and programs.
SM13	Monitor update requests and investigate failed updates.
SM58	Check transactional RFC (tRFC) calls that are waiting or have failed.
SMQ1	Monitor outbound queued RFC (qRFC) queues.
SMQ2	Monitor inbound qRFC queues.
WE02	Display and analyze IDocs, including status, segments, and errors.
SU53	Show the last failed authorization check for the current user.
SM12	Display and manage SAP lock entries. Don’t delete locks without confirming they’re stale and safe to remove.
SM50	Monitor work processes on the current application server.
ST05	Trace performance activity, such as SQL statements and RFC calls, for troubleshooting.

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