Allocation vs assessment/distribution

Hi,
1 May I know what is the difference between allocation VS assessment/distribution?
I may think that allocation is ONLY from cost center to another cost center?
assessment/distribution is ONLY to another cost element?
2 what tcode to use for allocation and assessment/distribution?
Please advise.
thanks
rgds

Hi,
To me it is not general, I have to understand that before I can start doing.
I really hope I can get advice of the difference between
allocation VS assessment / distribution.
I would like to know if there is any difference of allocation against assessment or allocation against distribution.
hope can get advice.
thanks
rgds

Similar Messages

Assessment,Distribution-Control Message

Dear Gurus,
This is Ram chartered Accountant. I am newly joined as Sap Consultant.
I knew normal Costing Overhead allocation, assesment, distribution but i am unable to understand that one from sap point of view.
Can any body explain or provide material regarding assessment,distribution,allocation from the point of configuration with practical examples
Thanks in advance
Ram

Dear Vamsi,
Thanks for your information. But still i have some doubts regarding when we should we define statistical key figure and when we should define activities?
What is the difference between these two items?
Is there any situation we should use both statistical key figure and activity allocation?
What all screens required to configure before running assessment and distribution cycles.
I did one assesment cycle but its giving error. I will explain what assessment cycle i did
cost centre Assemble amount i want share between Machine1 and machine 2. For that i created Stastical key using no of employees
I created the cycle using statistical key i.,e no of employees
when i run the cycle it is showing the error
"Sender base in period 001 is 0; therefore, no allocation is possible
Sender base in period 002 is 0; therefore, no allocation is possible"
LIke this 12 messages are coming
Thank in advance

Assessment & Distribution

Hi,
What is the meaning and difference between Assessment & Distribution.
Its Urgent.
Thanks in Advance
Yours
S.VINAYA KUMAR

hi vinay,
3 Differences between Assessment & Distribution:-
a. Performance of System - Assessment takes lesser time.
b. Visibility of Sender - In assessment, visibility is lost.
c. Primary Cost Elements - Distribution is used only for Primary Cost Elements, whereas Assessment is used for Primary & Secondary Cost elements.
Activity Types & Statistical Key Figures can be related to as base in Assessment/Distribution between senders and receivers.
Assesment & Distribution
Bouth of them are used to transfer the cost form one cost center/object to another.
Assesment
Using of this you can transfer the cost form one cost center/object to another by Secondary Cost Element.
Steps
1. Goto KSU1
2. In the first step create cycle and date
3. in the second step give text
4. in third step give segment and way of assessment and assessment cost element under that give from which cost center and from which primary cost element you want to transfer the cost under give to which cost centers you want to transfer the cost.
5. mention your versa
6. in fourth step give amount are %
7. save all
8. now go to KSU5 and exquet it
Distribution
Using of this you can transfer the cost from one cost center/object to another by Primary Cost Element.
Steps
9. Goto KSV1
10. In the first step create cycle and date
11. in the second step give text
12. in third step give segment and way of assessment under that give from which cost center and from which primary cost element you want to transfer the cost under give to which cost centers you want to transfer the cost.
13. in fourth step give amount are %
14. save all
15. now go to KSV5 and exquit it
The Basic difference between an Assessment and Distribution is:
1.Assessment is done for Secondary Cost elements and Distribution is done for Primary Cost elements.
2.When you do a Assessment it creates a seperate Line Item, where as Distribution does not create a seperate Line Item. For Exp: when a Cost say salaries is transferred from X to y,when doing an Assessment, it creates a seperate Line Item in the salaries a/c of Y clearly showing the amount transferred from X, but in case of distribution, it just merges the expenses.
3.KSV5 is used for Cost Center Distribution and KSU5 for Assessment Cycle. 4KE2 is for Distribution Cycle for Profit Center and 3KE1 is for Assessment Cycle.
Hope this will give you a clear picture.
http://help.sap.com/saphelp_erp2005vp/helpdata/en/4c/dca9ed1c6611d2a5ad0000e839d005/frameset.htm
Re: What is Actual Overhead Assessment?
assign the points if helpful...
Ranjit

No of. assessment/distribution/reposting/Activity allocation in a month..?

Hi,
Pls. let me know how many times we can do cost centre settlement in a month..
1. In case of assess
2. In case of Distribution
3. Incase of reposting
4. Incase of Activity allocation.
Generally I guess we can do it only once.
Thanks & Regds,
Kasi.

Hi Kasi Kancharla
There is no limit to do all these activities.
We can do as per our requirements.
Pl letme know any further information.
Ramana P

What is meant by assessment & distribution

Hi all SAP Experts,
can you explain this threads.
Thanks,
Tulsi.

Hi,
ASSESSMENT
A method of internal cost allocation by which the costs of a sender cost center are allocated to receiver CO objects (such as orders and other cost centers) using an assessment cost element and on the basis of the keys defined by the user.
The SAP system supports the following:
Hierarchical method (where the user determines the assessment sequence)
Iterative method (where the system determines the sequence of assessment using iteration).
DISTRIBUTION
A business transaction that allocates primary costs.
The original cost element is retained in the receiver cost center.
Information about the sender and the receiver is documented in the Controlling document
Mainly assessment is used for allocation of costs within the controlling and Distribution is used allocation of costs both within and outside the controlling i.e. in FI also.
Regards
*Pl assign points if useful

Assessment/Distribution/Order Settlement table details

I am looking for a report on how to take the following details from the system:
a. Sender - receiver relations and their details in Assessments, distribution
b. Orders per period with overhead rates
c. Order settlement- orders allocated per period.

Hi,
you may need to take helip of abaper for first report, a simple query report will cater this.
For second & third report you may use COOIS (prod Orders) or COOISPI (process orders). also check KOC4, would be helpful.
Br

PCA Assessment/ Distribution cycles data to FI-SL

Hi,
Can anyone advise if it is possible to transfer PCA data to FI-SL - Special Purpose Ledger?
Specifically I am looking for transferring PCA Assessment and Distribution cycles data to FI-SL and we are in 4.6C.
Thanks and regards,
Leelendra

I just got SAP note 155884 that gives information on the issue. Thanks.

Difference between Costing Sheet and Assessment & Distribution Cycle.

Hello Co Experts
I need to understand the exact difference bewteen Costing sheet and Assessment dictribution cycles and their use for applying overhead cost to cost object especially Project WBS. Kind request to illustrate the preference of these two functionalityover each other with respect to business scenarios.
Best Regards
Adwait A Deshpande
help.sap.com

Hi Deshpande,
The purpose of both are completely different.
Assessment or Distribution cycles are used to transfer cost from the service/utility cost centers to the Production cost centers.
Where as Costing sheet is a tool where you configure how system should calculate Production, Material ,Administration & Selling&Distribution in Product costing.
Hope this helps.
Thanks & Regards,
Ravi Kumar

Allocation Structure, Assessment in Controlling

What is the need of Assessment and Allocation in Controlling
Srinivas

To add, assessment uses secondary cost elements for posting, so that they can be distinguished in reports. 'Allocation structure' is created to map different primary cost elements to different assessment cost elements. When the allocation structure is used, the postings in these primary cost elements are moved out using the assessment cost element mapped to them in the structure. Hope this helps.

Allocation of cost to different cost center

Hi Techies,
I have to allocate cost from one cost center to different cost center according to percentage (%). Company wants to show same cost on sender and then breakdown according to % on receiver cost center.
Example: Company wants to allocate cost from CCenter A to Ccenter B1, B2, B3.... according to % like 74.1% to B1, 14.8% to B2. Now which allocation functionality (Assessment, Distribution) I should use to solve this problem. I would really appreciate if you have method or process step to perform this process.
Thank You,
Kenny

Use transaction KSU2 to call the Assessment Cycle.
Click on "First Segment" and in the segment header, under Sender Values, select Posted Amounts and key in 100% (since you wish to assess all the costs). Under Receiver Tracing Factor, select Fixed Percentages.
Click on the "Senders/Receivers" tab. Now under "Senders", do an F4 (dropdown list) in the Cost Centres field and select your Cost Centres (or groups).
Similarly click on the Cost Elements and dropdown to select your Cost Elements or groups.
Now under Receivers, in the Cost Centre field, key in the Cost Centres you wish to post costs to.
Click the next tab Sender Values
Here, enter Share in % as 100% (default) and under version, enter 0.
Now click on the Receiver Tracing Factor tab. You should see all the Cost Centres you entered under Receivers in the Sender/Receiver tab. Enter the %s you wish to apportion to each Cost Centre.
Save this cycle and run this for the period in question. Before you run this, make sure you post some costs to the Sender Cost Centres. Else the system will find nothing to assess and come back with the same error.
Hope this helps.
Cheers.

Cost questions

Dear SDN !
I am a newbie learning how to support CO in R/3.
I hope you can help me.
1. Cost Element vs WBS element vs Internal Orders.
My understanding is Cost element is a GL account, WBS element is related to a project and Internal orders is also can be related to a project. First, could you help clarify the difference between internal orders and WBS element. and
secondly, how Cost element differ from WBS element. Is WBS element also GL account?
regards
markus

Hi Markus,
No, they are not mutually exclusive.
Under Cost Element, this can be divided into 2, namely: Primary Cost Element and Secondary Cost Element. Secondary Cost Element is the one that act as Internal Order. That is, a temporary holding place for cost to be distribtued at the end of the month when Month-End Processing takes place. Most cost posted to Primary Cost Element don't get redistributed. They are P&L items used for reporting.
In a similar manner, WBS element act as either a Primary cost element or a Secondary cost element. If costs posted into a WBS element are not to be redistributed, then, it would be acting as a Primary cost Element. However, if the costs are to be redistributed, then it would be acting as an internal order.
You can use Cost Allocation (Assessment/Distribution) to redistribute costs accummulated in any cost object, be it cost element, WBS element or Cost Centre. Mutual exclusivity does not apply here. They are just various cost capturing objects available within an SAP system. Cost Element & Cost Centre in CO(Controlling) and WBS element in PS(Project System).
I hope the above helps to clarigy the grey area.
Do not forget to award the points please.
Regards,
Jacob
Message was edited by:
Jacob Taiwo

Difference between Assesment,Distribution and allocation

HI,
What is the difference between Assesment, Distribution and allocation.
Thanks in Advance,
Regards,
Chandu

Hi,
1) Allocations: Allocations enable you to periodically allocate amounts and quantities from sender objects to receiver objects. The two main types of allocations are assessment and distribution. You can allocate both plan and actual data. You perform the allocation using the allocation cycle function. You use allocation rules to determine how amounts and quantities should be allocated from sender object to receiver object.
To effect the allocation, you have to make various settings in Customizing. You make the settings in Customizing under Financial Accounting (New) -> General Ledger Accounting (New) -> Periodic Processing -> Allocation.
2) Assessment: A business activity used to allocate quantities and amounts (actual and plan values) from one sender object to one or more receiver objects.
The assessment process posts the sender amounts to an assessment account. The SAP system then allocates the amounts from the assessment account to the receiver(s) - not directly from the original sender account.
The assessment works in the same way as the distribution. However, with the assessment, the debit and credit postings do not occur under the original account or the original cost element but under an assessment account or an assessment cost element. The information of the original account/original cost element are lost.
3) Distribution: A business activity used to allocate quantities and amounts (actual and plan values) from one sender object to one or more receiver objects.
The distribution process distributes the balance(s) from the original sender(s) to the receivers. The original sender account is credited and the original receiver account is debited by the distribution. The debit and credit postings for the distribution occur under the original account/original cost element with which the amounts and quantities are posted at the sender. The information of the original account/original cost element remains intact.
I hope it will help.
If helpful, please assign points.
Regards,
Manju

Distribution rules issue

Hi,
Could anybody explain what is distribution rule and where it comes into picture. Your help is highly appreciated.
rgds
srikanth rvs

Hi
Periodic repostings, assessment, distribution, and indirect activity allocation are defined using cycles. In a cycle you define the sender-receiver relationships and the corresponding distribution rules.
During periodic repostings, assessment, distribution, and indirect activity allocation, all sender-/receiver relationships defined in a cycle are processed together iteratively. If you want to process hierarchies separately, you must define a cycle for each level of the hierarchy. You then process the cycles in succession.
Use
Distribution:
Reposting of primary costs
Sender cost centers are credited with a primary cost element
Receiver cost centers are debited with a primary cost element
Information on senders and receivers contained in the document
List of origins not maintained in the CO document
See TCodes S_ALR_87005903 - Define Distribution
Cheers
Srinivas

EC-PCA: Different assessment rules by materials

One of objective of our PCA implementation is to split values by brands. It is possible with the use of profit center (PC) assignment in material master. But... We have some materials which can't be unambiguously assigned to PC. I.e. when one material used for different brands (for example: Packs). The possible solution here is to have "central" PC, which periodically should be settled to brand PCs using some allocation rules.
The question here: how can I setup different rules depending on material? I mean that different materials should have different settlement rules (for example: Material A should be settled 50/50%, Material B should be settled 20/20/60%). How it can be reached without creation of separate PCs for each material?

> In case you want different % for each material, you need to
> write different segments in the same cycle, where you
> differentiate material based on the cost element/gl account.
You're right. We want different % for each material. But we can't differentiate material based on the cost element/gl account. G/L under material movement transaction usually means type of operation. So, if we, for example, write-off raws to manufacturing usually the same G/Ls/Cost Elements are updated. But we still need different split for different raw materials as they used in differenet proportions in brands. Unfortunately on Assessment/Distribution maintainance screen we don't have material field for Sender selection. So, the question is, how can we differentiate these materials in other way?

Profit center assessment - 3ke5

Hi Experts,
Need your help, I have defined the profit center assessment in the segment header under the receiving tracing factior selected actual quantities as var.portion type, senders and receivers i have given sender profit center and receiver profit centes, in the receiver tracing factor i have given the SKF, the SKF is created for sales qty, means the cost should be distributed based on sales qty of each business unit, after defining the actual assessment cycles when i try to run the cycle I am getting warning message " The segment contains no receivers ", please let me know is there any pending customisation.
This is the message i am getting
The segment contains no receivers
Message no. GA733
Diagnosis
No receivers were found for segment ADMN.
System Response
Further processing of this segment is not possible.
Procedure
Check the segment definition in the maintenance transaction for EC-PCA: Actual Assessment.
Possible errors are:
1. You have set the selection criteria for the receivers so that no valid receivers could be found.
2. The selection criteria for the tracing factor (tracing factor "Variable amounts") are not suitable for the field group selected. Example: "Actual statistical key figures" was selected as a field group, but no key figure was stored in the associated field.
3. The system cannot find any receivers due to the inheritance logic for allocations. This problem only occurs in FI-SL totals tables for which the "Inherit from sender based on the receiver" indicator is activated in the "Partner object update" screen (T811U-INHERSRC). These are tables that were installed before Release 4.6A.
To check this, use transaction GCA8 and see the section on:
Inheritance Logic for Allocations
and correct the affected cycle, if required.
Regards,
Zain

Hi Guys,
We are running in the same issue as Zain above (error message GA733). Unfortunately he did not indicate what fixed his issue
we have ECC6, the SKF on receiving profit centers are indeed populated
We run across this note: SAP Note 114014 - Stat. key figures in assessment /
distribution that may be of interest (but we are on ECC6 ...)
Any idea ?
Thanks for your time
Loïc

Allocation vs assessment/distribution

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