Inventory management is not defined for the follow-up material

What causes this issue?

You have specified a follow-up material for whose material type
inventory management is not defined. This is not allowed.

System Response

The system issues an error message and will not allow you to continue with this transaction until the error is resolved.

How to fix this error?

Specify a follow-up material for whose material type inventory
management is defined.

Error message extract from SAP system. Copyright SAP SE.