Material types in SAP define how a material behaves in procurement, production, and inventory management. ROH – Raw Material Basic materials procured externally and used in production. Example: Steel, chemicals, Chips, wires HALB – Semi-Finished Product Partially processed materials used in further production or sales. Example: Engine block, Mother board FERT – Finished Product Final goods ready for sale, produced internally. Example: Mobile phone, laptop HIBE – Operating Supplies Indirect materials used for daily operations. Example: Lubricants, cleaning chemicals VERP – Packaging Material Materials used for packing finished goods. Example: Boxes, pallets ERSA – Spare Parts Materials used for maintenance and repairs. Example: Spare motors, screws KMAT – Configurable Material Materials with multiple variants, configured at sales order. Example: Custom-built laptop NLAG – Non-Stock Material Materials not stored in inventory and consumed directly. Example: Stationery UNBW – Non-Valu...