Define Mail to Purchasing When Price Variances Occur

Hi all ;
I try to implement 'Define Mail to Purchasing When Price Variances Occur' standart process. But i have not got an e-mail. Is there anything else ?
Steps :
1- Configuration of process that it is activated for related company code.
2- Message determination maintanance. I maintain parameters in Nace.
It is maintained output condition type MLPP. However, configuration step like belowed.
Regards.
M.Ozgur Unal

Hi all ;
Problem is solved , buyer get an e-mail to his special mail address.
Details :
1- Processing routines --> 7 - simple mail
2- Partner function --> ME -->Buyer
3- NACE --> Condition record --> created a dummy receipent.
After that , go to communication --> add related mail groups to send others.
Regards.
M.Ozgur Unal

Similar Messages

Hard to believe: missing report on purchase order price variances ...

dear all-
Happy New Year to you all and all the best for this new 2008!
Traditionally the procurement to pay process is an area that really can benefit from automation. However more important than automation (efficiency), tools that support a process have to be effective first! And provide good understanding of business process at hand by providing information on essential key-figures of the process at hand.
That brings me to the topic of this post: purchase price variance. In my opinion the SAP functionality effectively handles PPV (purchase price variances): variance between purchase price and standard cost (let's call this one PPV1) and the variance between the invoice price and the purchase price (let's call this one PPV2). A good understanding of both PPV1 and PPV2 are useful for potential process improvements ... PPV1 relates more to the efforts of the purchasing deparment and/or determination of pricing in purchase orders while PPV2 brings in the efforts of the vendor.
Anyways, in order to obtain understanding of the variances mentioned, information is needed. E.g. a purchase price variance report or -analysis. I can't find such a report!
I did look on various forums and when I find something that relates to a PPV-report or -analysis, people are discussing ways to create an ABAP-report or query ... Much to my surprise: no clear answers. It looks that such a report even does not exist! That's what I find hard to believe!
Does anyone of you know about a report or analysis-tool on purchase price variances? Or is it really true that such a report is just not there!
thanks,
Ben

Hello Ben,
i have been checking the whole Forum and also asked around collegues and it seems that it is really still true there is no simple report that is showing PPV details (PO price, Invoice price, Standard price and the quantities and values)
I think the solution to get such a report is to programm it Starting point would be the line items on PPV account.
To get such a report with connection between Delivery and Invoice, GR based IV is helpful.
It is unbelivable that this never has been setup !
We are currently using FBL3N on the PPV accounts by current monthe with 2 variants subtotalling on matarial and sorting by high value
Let me know if anybody find a report
Cheers
Tim

How to calculate moving average price(MAP) when price variance in IV

Hi All,
My current stock for a material is 39 and MAP is 0.8 GBP.
A purchase order is created for the material for a quantity of 1 at price of 0.8 GBP per unit.
Invoice is posted for the above PO at price of 1.74 GBP.
What will be the new MAP for the material now??How to calculate MAP when there is a price variance in Invoice?
Please suggest ASAP.

Hi,
The Procedure for calculating MAP is :-
Case 1 :- PO at different price
If in Material Master your MAP is 0.8GBP & closing stock of 30Nos, value is 24GBP
In PO if the price is 0.9GBP & qty is 10nos, then after Goods Receipt Total Value of the GR i.e. Qty * Price + any other delivery cost will be added to the material stock value. Qty is also updated. New Total Value / New Stock Qty will be MAP.
In this case Qty received 10 & price is 0.9 that means value would be 9GBP.
Total Value becomes 24GBP (Present Stock) + 9GBP (Goods Receipt) = 33GBP
Total Qty becomes 30Nos + 10Nos (Goods Receipt) = 40Nos
MAP becomes = 33GBP / 44Nos = 0.75
Case 2 : Invoice Posting (MIRO) at different price than PO
While doing MIRO is we post at different price system will check whether sufficient stock posted in GR is available. In the above case it is 10Nos,
If it is there, then the above logic as in case 1 will take place
If not available, to the extent of stock availability system will post the different value & adjust MAP & remaining is posted to Price Difference Account.
In your case it would be like this :
1. MAP 0.8 for 30Nos (Value would be 24GBP)
2. Invoice Posting 1.74GBP for 1No. That means value would be 24GBP + 1.74GBP = 25.74GBP
Qty would be 30+1 = 40
MAP = 25.74 / 40 = 0.64GBP
Hope this clarifies your doubt
regards,
JP

Purchase order price variance(PPV) accounts.

Purpose is to add SAP inventory movement types to charge in inventory values,due to changing material numbers for purchased items,to the corresponding purchase price variance(PPV) accounts.
ensure correct accounting for valuation changes that currently are charged to G/L account for inventory adjustments.These movements are really reflective of varying quality specifications of purchased materials,which are generally similar to one another but do have specific differences that need to be captured as separate inventory items.some of these"common" items do have standard costs.
please give some hints to approach this.

Hi All ,
I am working on a report development where we need price change , value change and quantity change in purchase order in the report along with net value (ekpo-netwr)
Can anybody suggest me tables in ECC where the changes (price,quantity and total value ) are captured ??? and if there is any BI content datasource which can satisfy this requirement.

Purchase order price variance and quantity variance

Hi All ,
     I am working on a report development where we need price change , value change and quantity change in the report along with net value (ekpo-netwr) .
    Can anybody suggest me tables in ECC where the changes (price,quantity and total value ) are captured ??? and if there is any BI content datasource which can satisfy this requirement.

Hi All ,
     I am working on a report development where we need price change , value change and quantity change in purchase order in the report along with net value (ekpo-netwr)
    Can anybody suggest me tables in ECC where the changes (price,quantity and total value ) are captured ??? and if there is any BI content datasource which can satisfy this requirement.

Purchase price variance in subcontracting order

Our customer has the following scenario:
     Purchase account is posted with the value of stock subsequently purchase price variance is a legal account
     Material ledger is active
     Inventories are managed with standard price for each material code
     Latin method management of inventories post stock values on managerial account
In good receipt with a subcontracting order, in case of purchase price variance, legal account of purchase price variance is posted generating a wrong reconciliation between managerial and legal posting.
Example
The subcontractor is a co packer that assembles material A to produce material B
Material A has a standard price of   3
Material B has a standard price of     5
If Co packer fees have a value     of     2 no purchase price variance occurs during good receipt, as a matter of fact :
(Co packing fees) 2 + (Material A) 3 = (Material B) 5
Else if co packer fees have a value of 3 a purchase price variance of 1 occurs and itu2019s posted using transaction key u201CPRDu201D. On FI the following document is posted:
Legenda : L stands for legal account , M stands for managerial account
(L) Co packing Fees                                         3
(L) Invoice to receive                                     3
(L)Purchase price variance                            1
(M) Consumption Material A                           3
(M) Stock Material              A                            3
(M) Stock Material               B                            5
(M) Production Confirmation Material B       6
In this scenario Purchase price variance should be a managerial account, but transaction key is PRD and changing the account would affect every posting.

This is the answer from OSS
Dear Customer,
the system works as designed.
When Material Ledger is activated, price differences are always
generated under the circumstances you have described. The reason is
that when material ledger is activated, price differences must not be
included into the stock changes value, otherwise the system would
not be able to calculate an actual price.
When Material Ledger is activated, the customizing setting
for handling price differences in the subcontracting process has no
effect.
Best regards,
Santiago Lorite
AGS Primary Support, Business Suite & Technology u2013 Logistics

Price variance workflow for blocked invoices in MM purchasing

Hi Gurus,
We are implementing price variance workflow for blocked invoices. We built a custom workflow to
take care of the routing requirement of the customer.
We also did necessary customization defining the tolerance limits for price variance. Before testing the workflow wanted to check events in SWEL and its is found that system doesn't raise any event for price/ quantity block and hence the workflow is not triggered at all.
Event trace active flag is set in SWELS. I am not able to figure out what we are missing.The invoice gets created correctly with the price/quantity blocks and blocked invoices are available when we see in Tcode 'MRBR'.
Any suggestion will be highly appreciated.
Edited by: srinivas bejjanki on Jan 29, 2009 10:34 PM

Hello,
So you are absolutely sure the event trace is on. If you try SWUE with some other event, you see the entry in SWEL, dated a few minutes ago, correct?
When you try SWUE with BUS2081.BlockedPrice does it give any message?
Does SWUE work with any other BUS2081 event?
regards
Rick Bakker
Hanabi Technology

Set Tolerance Limits for Price Variance when PO-based Purch.Requisition

We must garanty that Price from Purch.Requisition will be the same at PO.
IF some variance occur a error messag must be sent to user and PO could not be saved.
I found at customzing under SPRO > Materials Management > Purchasing > Purch.requisition > Set Tolerance Limits for Price Variance .
Reading the help of customizing it mean the system consists what we need..
I have created tolerance limit NB, and set limits for all checks as 0,01.
When I will activate messages as recommended on help no messages 601 and 602 have the text that guide us to correctly setting.
The help mention that after create tolerance limit we must set this tolerance by document type..but I didnt find this field at customzing
Does anyone can help me ?
See the help on customizing below
Set Tolerance Limits for Price Variance
In this step, you can define percentage-based and value-based (absolute) tolerance limits for price variances between purchase orders and purchase requisitions. Variance types are mapped out in the SAP system by tolerance keys.
You define the tolerance limits for each tolerance key and assign your tolerance key to the document types for purchase requisitions. The tolerance limit then applies for all documents of this document type.
When processing a purchase order, the system checks whether the unit price of a purchase order item differs from the unit price of a purchase requisition item. If you have configured, activated and defined tolerance limits in document types, variances are permitted in the tolerance limits. If the variance exceeds the tolerance limit, the system issues a warning. If you have defined a percentage-based and a value-based absolute tolerance limit, the strictest of the two variances will apply for this check.
Note
You can determine whether the system messages (601 and 602) appear as warnings or error messages in step "Define Attributes of System Messages".
To do this, go to the Materials Management IMG and choose Purchasing -> Environment Data -> Define Attributes of System Messages.
Requirements
The tolerance key must be defined in step Define Tolerance Key.
Activities
1. Define tolerance limits for each tolerance key.
2. Define the tolerance key in step Define Document Types.
Thx and best regards,
Ale

HI
SET TOLERANCE LIMITS FOR PURCHASE REQUISITION UNDER THE DEFINE DOCUMENTS FOR PR
AFTER SETTING TOLERANCE LIMITS WHILE CREATING PURCHASE U WILL GET BASED ON TOLERANCE LIMITS THERE FOUR WAYS TO SET TOLERANCE LITS
1
ABSOLUTE VALUE
2
PERCANTAGE
3
TOTAL PO VALUE
4
QUANITY BASED PRICE PER UNIT
OK BYE

CST amount is debit in the purchase price variance

Hi
We are maintaining std in the materials master
and price procedure as taxinj
While doing migo, the CST amount is debit in the purchase price variance and credit in the GR/IR RM,
We need to debit the CST amount in the in the Raw material account
what are the settings i need to carry out Plz give suitable suggestions.
in tax code we are not maintining any G/L account for the CST
Edited by: K. Raghuram on May 19, 2009 12:48 PM
Edited by: K. Raghuram on May 19, 2009 1:02 PM

Hi Raghuram,
I think,the only possiblity for this to happen is due to the standard Price in the Mterial Mater you are using.
Means in the Material Master ,the Price key is a standard pricing.
So ,when ever you do a GRN ,the PO value will go and hit the Material account upto to the Standard price maintained in the material Master.
if the amount is more than it ,then amount difference will hit the Price variance account.
so in your case ,the CST is inventorised one ,i believe.. so that is the reason it is behaving so.
if there is somethig else required.provide a clear insight of the Problem.
Regards
Anjanna

Purchase price variance

Hi
I want to to drill down the purchase price variance.Say I have PPV of 10K. I want to drill down to details of 10k.How to proceed.What is the transaction code for that?
Thanks in advance.
SN

Hi Satya,
Variances are based around the standard values that are set up in the Material Master file. These standard values represent what it "should" cost to produce (or purchase) a unit of the product. Variances are calculated automatically when settlement jobs are ran in SAP
purchase price variances are caused by a difference between the standard cost in the MM file and the actual price on the purchase order.
The entries will b something like this
Debit Inventory XXXXX
Credit Accounts Payable XXXXX
Credit Price Variance XXXXX
Regards
Genie

Purchase Price Variance (Standard Costing) with Intercompany

We are missing Intercompany transactions in Purchase price variance report. Is there a setup which let's us include these transactions to be captured by PPV report
We do have standard costing in all Organizations

Finally got this answered from Oracle Support below is what they said. Does not make sense but atleast we have an answer
In principle the internal requisition hits the interorg variance account which is defined at the shipping network and is different from purchase price variance(PPV) account of the organization. So this is not included in PPV report. PPV report is only meant for purchase orders.
Best practice would be to define different account for PPV and interorg variance. Use PPV report to match PPV account with GL and use material distribution account detail report for Interorg variance.
If the customer defines PPV and Interorg variance account as the same then the workarounds would be :
1) Use material distribution account detail report.
Or
2) In R12 use SLA account balance reports

Purchase Price Variance Report completes with error status

Dear Members,
I am using R12.1.3 Vision Instance.
When I ran the report Purchase Price Variance Report, it completed with an error.
The error message is :-
Enter Password:
REP-1212: Object 'F_h_report_date' is not fully enclosed by its enclosing object 'Body'.
REP-0069: Internal error
REP-57054: In-process job terminated:Terminated with error:
REP-1212: Object 'F_h_report_date' is not fully enclosed by its enclosing object 'Body'.
Can any one please guide me in resolving this issue?
Many thanks in advance.
Regards.

HI,
Check the below references, it would address your issue
Purchase Price Variance (Xml) Post Process Failed [ID 1341213.1]
Report Error Rep-1212: Object 'F_report_date' [ID 567886.1]
Regards,
Ivruksha

Accrual generates a purchase price variance

When receiving an invoice for a material that requires the accrual of use tax, the accrual generates a purchase price variance, rather than generating an expense related to the material. Is it standard for SAP?

Purchase price variance is always created for the price ordered with the vendor and the standard price of the material in its master.
For example the material price is $ 12 ($ 10 base price + $ 2 for freight ) (Freight accrual is maintained through MEK1 transaction)
We place an order with vendor $11.
The entry will be
Material Dr. 12
PPV Dr. 1
GR/IR Cr 11
Freight Accrual Cr 2.

Material purchase price variance and different cuurrency in IR

we have a requirement to split price variance and freight purchase price variance in goods receipt stage, but the problem is condition type can not be assigned COPC original group. so what are the tables I can use to split the two ppvariance using customized report?
also in GR, accrued freight now is using month end rate, but we want it to be planned rate(another exchange rate type), is it possible to configure?
during invoice recept, standard can't maintain different currency from PO currency, is it possible to reconfigure the system to use another currency for invoice recept?

This is the answer from OSS
Dear Customer,
the system works as designed.
When Material Ledger is activated, price differences are always
generated under the circumstances you have described. The reason is
that when material ledger is activated, price differences must not be
included into the stock changes value, otherwise the system would
not be able to calculate an actual price.
When Material Ledger is activated, the customizing setting
for handling price differences in the subcontracting process has no
effect.
Best regards,
Santiago Lorite
AGS Primary Support, Business Suite & Technology u2013 Logistics

PPV Purchase Price Variance - PeopleSoft

What is the minimum that a purchase price variance will update an item?
We have several items that are priced in the 10th and 100th of a penny for large volume items.

Hi Satya,
Variances are based around the standard values that are set up in the Material Master file. These standard values represent what it "should" cost to produce (or purchase) a unit of the product. Variances are calculated automatically when settlement jobs are ran in SAP
purchase price variances are caused by a difference between the standard cost in the MM file and the actual price on the purchase order.
The entries will b something like this
Debit Inventory XXXXX
Credit Accounts Payable XXXXX
Credit Price Variance XXXXX
Regards
Genie

Define Mail to Purchasing When Price Variances Occur

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