Non-Stock Sales - Cost Value Issue

HI Experts,
Currently we implemented a Non-Stock Sales for a certain Sales Organization, however during the creation of the Invoice, the Cost of Material is calculated automatically. But the users doesn't want this. How can I change the configuration where the cost is not calculated for their Materials in the Sales Orders.
Thanks a lot!

Thanks for the answers. And it is now working. Cost is now not calculated in the displayed invocie for the Item Category as tested in QAS.
However, just one question. Even though the Cost Value is not initial as displayed in the Invoice, are the Materials Cost still valuated for this eventhough there are no Material Postings done (because of non-stock)? Is this considered as a non-valuated sales item? I can only confirm in COPA Report that COS has the cost value from the Invoice for non-stock sales. But I cannot see any document in the Sales History that includes the cost of the material.
Thanks again!

Similar Messages

Non Stock Item in Component MO to plan costs

Dear all,
Currently we have a problem regarding the display of plan costs in Maintenance Orders (MO).
We will be using the non stock item in the component part of the MO.
These non stock items will be maintained with standard setting.
The problem is that these non stock items costs are not shown in the display of costs in MO.
We have checked the plan costing variant for the MO, and nothing seems to be wrong.
One thing to note though, the actual costs when the PO is GR-ed are shown in the correct value category.
Please kindly suggest me on where to check on this matter.
Thank you very much in advance
Best Regards,
Erwin Hartono

Solved by our own team

Non Stock relevant variance in COPA

Hello Gurus,
In the std. Cost estimation we have both STOCK RELEVANT and NON STOCK RELEVANT cost components. The STOCK RELEVANT are connected to VPRS condition type and NON STOCK RELEVANT are having some custom defined condition types.
We linked the STOCK RELEVANT cost components to Value fields and NON STOCK RELEVANT SD condition types to VF. Is this correct?
At the time of billing, we get the values to both stock and non stock relevant value fields.
The stock relevant Variances are taken care by ML and my doubt is how to calculate the NON stock Relevant variance and take it to COPA?
Please advise.
Thanks
PM

Hi Praveen
I dont think you did the right thing... If the Non Stock relevant cost components were also calculated from CK11N, then what you did is not right
You should have simply mapped the Cost Comp Str for all the Cost Comp (STock relevant as well as Non Stock rel) to VF in KE4R...
At period end, you would execute CKMLCP, which would again calculate all the Cost Componnets.... You just need to execute KE27 to revaluate COGS in COPA...
I dont know why you used SD condion types to post the non stock relevant portions into COPA
BR,Ajay M

Subcontracting with external service / non-stock material

Hi,
I have a scenarion in subcontracting when i provided the components / raw materials to the in-house workshop (workshop treated as an internal vendor) and further more our workshop required some external services / non-stok material from third party... now how i will incured this service / non-stock material cost on finished product.
(PP moudule is not implemented on project)
Regards,
Ali

Hi,
Please refer the following links ..it may help you...
Subcontracting service to a FERT material.
http://books.google.co.in/books?id=LDyarcerUu0C&pg=PA571&lpg=PA571&dq=Subcontractingwithexternalservice/non-stockmaterialinsap+mm&source=bl&ots=vj5kUO9dto&sig=vrlCpSZ0-V0BseN96Qw9rTVhsQ0&hl=en&ei=cJKRTs5_0MmsB6rrgIsB&sa=X&oi=book_result&ct=result&resnum=10&ved=0CG4Q6AEwCQ#v=onepage&q&f=false
Regards,
Udaya

Adding Cost of Sales for Non-Stock articles to POS Inbound Pricing Schema

Hi guys
I'm working on a requirement to derive the Cost of Sales for non-stock items by pulling the current cost for the site and multiplying it by the billed quantity on VBRP. We could create a new condition type using purchase org, article and site in the condition table and manually enter condition records. However it would be more elegant to copy prices from the Purchasing list or deal prices into new condition types in the POS inbound pricing procedure. However SAP standard doesn't seem to allow condition copying from purchasing to sales.
Regards
Brett

Hi ,
As it happens you need to do this for Non-Stock Articles only.... then you need a routine to do this .
And then in IS -Retail do we not use NETPrice or Final Cost Price to derive the Sales Price ... In that case you get the Cost Price when the Billing doc is getting posted at line level...
Regards
Amitava

Non valuated sales order stock-help reqd

Dear Experts,
My client is into Pipe coating business who receives the pipe from the customers, coats it as per there requirements and dispatches it thereon. There is no concept of FG here as its only the service he is doing on it and also when he receives the pipe there is no raw material cost on it. Raw materials for him would be chemicals etc which he uses to coat the pipe.
This is the case of NON Valuated sales order stock.
1) non valuated GR will be done for customer stock -Only QTY update
2) sales order bom will be created with defined characteristic.
3) Plan cost of sales order will be updated based on Costing ID setting
4)Production order will be created based on Sales order.Good issue and Activity confirmation happen at Production order level but Good received only QTY but no value update.
5)Production order will be settled on sales order.Settlement profile of production order type must contain COST ELEMENT tick under settlement.
6)now my sales order contain actual cost of production.
7)No accounting document will be generated at PGI.
8)only accounting document will be generated at Billing.
9)Only COPA Document will be generated at Sales order settlement. I am going to create PA transfer structure in order to post COGM cost component wise.
Mi missing something?
Question
1) Whether all steps are correct
2) There will be no standard cost release and no variance calculation as well.
3)How can i use RA under non valuated sales order stock?.
4)HOw can i use customer stock under sales order bom with non valuated value?
5)How i will do Production order GR Only qty update?
regards
RK

Hi Raman
All steps are correct.. You seem to be an expert now!
THere wil be no Std cost release or variance calc
You can set up RA based on costs or Revenue... 1st of all check with your client whether they would like to have any WIP in this case
you can receive the customer supplied pipe using 501E movement as Non val
GR - Only Qty Update is controlled by Req Class... You need to leave Valuation field BLanlk in Req CLass and choose Acct Assn Catg E
br, Ajay M

MM Account determination with valuated/non valuated sales order stock!

Hi All,
I have been trying to set up MM account determination in our project for sales order assigned POs.What I have observed is that when I have a PO with sales order assignment and according to requirement class (coming through reqt type) in sales order it is valuated sales order stock then in the PO we get the stock account determined through BSX key. But when it is non valuated sales order stock we get a different account assigned through GBB-VKA key. In both the cases the account assignment category in the PO is "E".
Can someone please explain what is the connection between valuated/non valuated sales order stock and MM account determination and if what is happening is right from account determination point of view?
Regards,
V S

These are two different postings:
BSX: stock posting
GBB: Offsetting entry for stock posting
Stock posting (BSX)
This transaction is used for all postings to stock accounts. Such
postings are effected, for example:
-   In inventory management in the case of goods receipts to own
    stock and goods issues from own stock
-   In invoice verification, if price differences occur in
    connection with incoming invoices for materials valuated at
    moving average price and there is adequate stock coverage
-   In order settlement, if the order is assigned to a material with
    moving average price and the actual costs at the time of
    settlement vary from the actual costs at the time of goods
    receipt
Offsetting entry for stock posting (GBB)
Offsetting entries for stock postings are used in Inventory
Management. They are dependent on the account grouping to which each
movement type is assigned. The following account groupings are
defined in the standard system:
-   VKA:     for sales order account assignment
         (for example, for individual purchase order)

Sales BOM : Header item stock and cost

Hello gurus,
I'm very new for sales BOM and have one questions.
We have material A and B (purchased from vendor).
They will be assembled by 3PL company as C.
Then we will sell C to the our customer.
I want to set price/cost at the header item level.
because we will sell material B free of charge.
I've set C like below
1. Item category group. : ERLA
   Item category : TAQ
   Setting of A and B
    Item category group. : NORM
   Item category : TAE
2. Then make BOM in tcode CS01 with C
    Material : C
    Plant: XXXX
    BOM Usage :5
    subitem : A, B
    Item category : N(Non-stock item)
After then I tried to make a sales order
with material C.
I can get sub-items(A,B) successfully
however system said there is no atp stock for C.
How can I get stock of C from stock of A and B?
And How can I set the cost of C with value of A+B?
And How can I set the condition of C to calculate cost of C in header level?
or can I set like
price is determined in header level and cost is calculated in item level?
Or please recommend nicer solution.
Thank you very much.
J.K.

Hi Azam,
It seems to me that you want to use Delivery Group for Sales BOM where If Mat A = Mat B + Mat C and Mat B Availability date is 20/07/2014 (DD/MM/YYYY) and Mat C availability is 25/07/2014 then Main line item should be confirmed with 25/07/2014.
If any one sub Item is not available, then Any of the item from the Grouping should not be dispatched.
If this is the requirement then, In Item Category (VOV7) for main Item update Create Delivery Group field with X and your requirement will be fulfilled.
Do let us know the result after testing.
Regards,
MJ.

Non valuated sales order stock explanation

Dear All,
Can anybody explain me Non valuated Sales order stock briefly.
I know some of the basics about this scenario but i would like to know more about this scenario.
appreciate your explanation.
Regards,
kishore.

With non-valued sales order stock you must also enable the sales order as a cost collector. All costs and revenues can then be assigned to the sales order. Goods movements for the finished good are performed and quantities tracked, however, the goods movement have no value and no financial impact.
For example, you manufacture a product and all the cost to manufacture the product are assigned to a production order. You do a goods receipt to record the produced quantity and the inventory quantity of the sale order stock is increased. In a valuated sales order environment, this transaction would debit inventory and credit expense. In the non-valued sales order environment, no financial posting is made and the costs remain on the production order.
When the goods are later sold, the quantity is removed from sales order stock, but again no finacial posting is made to account for the inventory since it is non-valued. The only financial posting would be to charge the revenue amount to the sales order with an offset to A/R. So at the end of these transactions all the cost and revenue are residing on the production and sales orders. You do have the option of settling those amounts to COPA.
thanks,

Valuated/Non valuated SAles Order Stock

Hi,
Can anyone explain the difference between Valuated & Non valuated Sales order Stock
Thx & Regards

Hi,
If the sales order stock is valuated, you have immediate access to its value in Financial Accounting. The assigned accounts are debited and credited as a result of the valuated goods movements. From the viewpoint of MRP, the sales order stock is available for the sales order only.
If the sales order stock is not valuated, it is managed via a cost collector. The system does not carry out invoice verification postings for goods movements, and you cannot obtain an overview of how the stock is valuated until the end of the settlement period in Controlling.
Valuated sales order stocks have the following advantages:
The full costs are available at each manufacturing level.
All goods movements are immediately reflected in Financial Accounting
Assign points if helpful
Regards,
Saurabh

Non Valuated - Sales order costing

Hello All,
We are planning to use Non Valuated - Sales order costing for our client. My understanding is as follows :-
1. Production order is automatically created from Sales order created (for ex item 010 - Material X) : Production order 1
2. Sub- production order is also created if there is material Y , in the BoM of Material X & needs production : Production order 2 (linked to Production order 1).
3. When GR is done on any on these production orders - no FI entry is posted.
4. On settlement value of Production order 2 is settled in Production order 1.
5. Further Production order 1 value is flow to Sales order line item 010
6. Revenue is generated from Sales order for this item, when Invoice is posted. Still not COGS for delivery.
7. And only on settlement of this Sales order : FI posting is done for COGS.
Please let me know whether my understanding is correct point wise. Thanks
Now I have few questions to clarify, in above example :-
1. Generally these are new product (Material X) hence no standard cost is available for them. When does the cost estimate happens in such scenario. Is it when the first GR of material will happen ? When do I start see this cost estimate in Sales order.
2. Till the time Production order 2 & 1 are not settled ... Do we see WIP at the production order level when we run WIP calcualtion for production orders ?
3. What about the variances ? I have read variance calculation is not possible. Can you please elaborate why & what is avilable other than that ?
Thanks in advance for reading a long query

Hi Rajeshwari
1. If you use ABC - Then COGS split wont be available
2. Main diff between Valuated and Non val stock - Is once you produce and till you sell, the stock will appear in your balance sheet....
Non Val shud be chosen whe you make a material completely customized to the needs of a customer and the time lag between mfg and sale is very less....
If above two are not the case, then stock must be non valuated
3. Implementing the same template or introducing Val Sales order stock depends on the business needs.... The criteria to decide shud be based on (2) above
Also, if the new business where you are implementing now is the same as the existing business which is using non valuated stock, then you shud stick to the same template
4. Sales order cost estimate gets created during creation of SO, using the costing variant specified in req class... Not created during GR
5. Sales order costing does not make sense during Non Val Stock.... Unit Costing or prel costing you use during val Stock
Unit costing means you dont want to maintain a BOM... And you specify the components during sales order costing
6. I dont think you can settle prod order 2 to SDI.. You can try to change the settlement rule... In my opinion, you can not do it
Regards
Ajay M

Costing of a non-stocked item in a BOM

Hi Guru's
We are on ECC 5.0. I am having issues when costing assemblies that consume materials created with Item category 'N - Non-stocked items' in BOM.
As an example, Material A is an assembly that consumes a raw material B that is purchased from a vendor. I don't stock raw material B but as and when required to make material A, I will purchase it from the vendor. So I created the BOM for material A with material B in it as a item category 'N'. I am costing material A and it does not pull all the cost components (i.e raw material costs on material B, freight charge from purchasing material B). All it does is shows up a value with out cost component splits.
But on the flip side, if I create the BOM for material A with material B as a stocked item (Item category L), costing of material A is showing all cost components perfectly.
Is there any configuration that I need to do to retrieve cost components when costing assemblies that contain non-stocked items.
Any input is really helpful.
Thanks,
MG

I think this will be a clear example:
Material B - Purchased and non stocked. Has a PIR and a vendor. Material cost is $10 and Freight is $1 - Total cost is $11.
Material A (ZSFG) - Consumes Material B. Material B setup as item category N in BOM for material A.
Costing of material A - costs with a price of $11. This $11 is shown in cost component for semifinished which it should not. Instead, it should split $11 to cost components Raw material - $10 and Freight - $1.

Difference between Valuated and Non valuated Sale order stock

Hi All,
Can anybody tell me the difference between the above said subject with the steps involved in each scenario.
That is valuated sale order stock and Non valuated sale order stock in Product cost by Sale Order.
With Journal entries at each step and whether any WIP or variances at Production order level and sale order level and all the financial entries related to them
Thanks in Advance,
Ravi Kumar

Hi Shail,
Thans for your inputs,
But I wanted to know it in more detail. In what scenarios they are used with financial entries in both the cases.
I will give you my scenario. It goes like this,
My client is in pipe coating business, who receives pipes from customers and does only coating work(which is considered as service) and despatches it to the customer. this process is carried on the basis of work order(Sale order).
Now Production order is created and work is done on that with reference to Sale order for that particular customer.
So the pipe which my client receives should be non valuated stock as it will not be a raw material to them and the cost incurred on it is booked on production order like chemicals as raw material consumption, activity cost etc.
now in this scenario just tell me how and at which stage FI entries get generated at Production order and Sale order level, and also at wat level Standard cost estimate should be created i,e at production order level or sale order level(sale order cost estimate).
Will there be any entries at goods isssue and GR against production order. If no then how the COGM account will get hit.
Please tell me this scenario in both cases Valuated sale order stock and Non valuated sale order stock with financial entries in Sale order costing.
Thanks & Regards,
Ravi Kumar

Sales order line for Non Stock items progressed to Closed status, need to be Cancelled.

Hi,
First time posting to this community, I hope someone can help.
Currently we have a setup where non stock items are being added to sales order lines (charges, etc.).
These lines are being progressed through to Closed status automatically.
Users are reporting that they have entered the line in error and would like to change the status of the line to Cancelled.
We are unable to return the material (RMA) as it is non stockable/transactable etc.
Current workaround is to adjust the stock and make finance aware so that the line does not get invoiced.
However, the system still shows that the line is closed (i.e. provided to customer) which is not correct.
Is there any way of getting the line to a status of cancelled?
Your help is very much appreciated.
Regards
Tim

Hi Arif,
Many thanks for the warm welcome.
I'm thinking the only course of action I have for future, is to make the items stockable/transactable/returnable such that an RMA can be performed if added in error.
We can put a large qty into stock at zero value.
Thanks for your help in any case.
Tim

Make-to-order: COPS for KMAT materials (Non-valuated sales stock)

Hello,
We are working with KMAT configurable material (i.e. non valuated sales order stock).
The client is requiring that inventory of these KMAT material should be shown in the financial accounting;however as we work with KMAT, this seems not possible.
The whole process is:
- taking of the sales order with the configuration
- MRP and Production order Execution
- Settlement of the PO to the sales order
- Settlement of the Sales orden to a given account in FI (just like "stock for customer order") - inventory.
The problem we are facing now is how to make the compensation of this account once the product is delivered.
It seems the sales order's default settlement receiver is only the PSG. can we have to use the result analysis key to calculate the cost of sales, and which valuation method can we use if I only want to settle the actual cost that settled from the production order.
By the way, I have search for the notes:Note 26459 it seems we have to run the sales cost estimate first for the KMAT.
Summary
Symptom
It is not possible to perform results analysis on sales order items with materials of material type KMAT.
Additional key words
Transactions KKA3, KKAK
Cause and prerequisites
In make-to-order production, the inventory and the cost of sales are not posted through goods movements because the materials are managed in a non-valuated sales order stock. The only way to create postings in FI is to use results analysis (see Note 26456). If the sales order item consists of a material of material type KMAT, results analysis is not possible because no cost estimate exists for this material.
Solution
Results analysis must be performed with a valuation method that uses profit basis C. With this profit basis, the system uses the planned costs of the production orders for the sales order instead of a cost estimate for the KMAT material.
In Release 2.2 a modification is needed for this which is described in Note 25772. In Release 3.0 this function is provided as standard.
From 3.0C onwards the planned costs of the sales order can also be calculated in a product cost estimate for the sales order. You should use profit basis E in this case.
However, if you are using assembly processing with production orders, you can only use profit basis C.
Hope the scenario is clear. Perhaps you have a different approach to work with KMAT materials.
Regards

Hi Friends,
Can you please provide the solution for my problem and its slight urgent.
Regards
Goutham

Non-Stock Sales - Cost Value Issue

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