Profit center assignment for Raw Materials and Store and spares

Hi All,
We have an issue with org structure while defining Profit Centre.
Presently we have 25 depots and 5 Manufacturing Plants and 10 type of Divisions.
Plant and Depots are mapped with Business area
10 type of Finished Goods and we have defined Divisions for the same in SD module.
For the same we have defined 10 Profit Centre in order to get division wise profitability.
10 Profit center will be used in FG materials and we will be able to get the postings and profitability with product wise.
But for Raw materials and Stores material which profit center need to be assigned.
Kindly help me in this regard.
Regards,
Sahil K

Hi,
profit centre basically used for the collection of cost and revenue which are incurred and generated in an organization , so if your organization has created any profit centre which are assigned to the cost centre of manufaturing or production , those cost cost centre u can assigned to the raw materials.
To assign profit centre to raw materials - at the time of creation of Material master(mm01) for raw materials you can choose costing view at organizational level and can assign the cost PCTR which your assigning to cost centre.
To assign division- you can choose the division according to the finished good wise if your divisions are segregated according to finished goods wise.(assignment of division to the material master -according to the raw materials or spare and parts used to produce particular finished goods).
Hopefully the above explanation clarify your doubt.
Regards
Binapani.

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Profit center determination for vendor materials with outsourcing

Hello,
We maintained a material with a profit center. This material is bought from a supplier, but in order to do so we deliver him the raw materials. For both materials we have the same profit center. Everything goes wel in the masterdata and PO. After posting the MIGO the profit center of the to the suppl;ier delivered material changes automatically to 999.
See attached print screen.

Hi,
What is 999? if it a dummy PC or a Non Dummy PC?
I believe, your MIGO is posting to a CO object (Account assigned P.O.)
where in either the PC 999 is assigned OR No PC is assigned (999 being dummy PC)
Regards,
SAPFICO

Profit Center Assignment for Component of Sub Contracting PO

Hello all!
I apologize in advance if this is not the correct forum to post this question in. Additionally, I am an ABAPer with a focus in SD and MM, so much of FI is foreign to me.
To the problem...
Currently when a MIGO 101 is processed for a Sub Contracting PO Line item, a consumption transaction (543) is generated for the component materials on the PO Line. These consumption transactions are "tied", this is how my finance co-worker described it, to a Cost Center dedicated to Sub Contracting.
We would like to change the configuration as follows:
When the consumption transaction posts, it "ties" to the Profit Center (and thus cost center) of the Parent SKU (actual material received on PO Line) of the transaction.
Is this possible?
Thank you,
Steven Coolbaugh

Hi Steven:
Not sure if I understood correctly your requirement but let me try to explain:
For consumption items (Account assignment category K in PO line), it is consumed immediately on GR and consumption is posted to a cost center attached to PO line. And that is what happening in your exising process also, right?
Now when you said "TO Be" change as consumption ties to the profit center (and then to cost center) of parent SKU??
It is other way round. A cost center is linked to one profit center (whereas as a profit center can have many cost centers attached to it). Also since profit center is not a TRUE cost object (it is a statistical object), PO line would need a true cost object like cost center. So based on the information you provided in your post, it is not technically possible to book consumption at profit center (And then to cost center).
Are they two separate cost centers (one for sub contracing and one for Parent SKU)? If yes, can you attach parent SKU cost center to PO line (from business point of view) so that consumption posts directly to parent SKU and then to the attached profit center?
Hope it helps.
Thanks.
Rahul

Profit center assignment for Tax Component value in MIRO

Dear SAP Gurus,
As per our clents requirement the Tax component has to be posted to a Profit Center while doing MIRO.
How to deal with this.
Profit center default assign during MM transaction
Account Assigned PO:
1.     The Cost center/Asset and GL is assigning in PO for each line item
2.     Conditions for each line item
3.     Tax code for each line item
Goods Receipt:
1.     GR/IR clearing Account as per PO (Account Assignment as per Default GL and as per PO -CC & PC)
2.     The Conditions Account assigned as per PO (Account Assignment as per Default GL and as per PO -CC & PC)
3.     Tax code value: Account Assigned as per PO (Default GL as per Assignment, but without PC Assignment)
Invoice Posting:
1.        GR/IR clearing Account as per PO (Account Assignment as per Default                  GL and as per PO -CC & PC)
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3.     Tax code Value: Account Assigned as per PO (Default GL as per Assignment, but without PC Assignment)
pl help in solving the above problem.
thanks in advance
APPA RAO K.

Hi,
Try SAP Note 105024, 409520. That might be of help.
Thanks
Krishna.

Subcontract PO - profit center assignment

Hi,
Does anyone know how to check on profit center assignment for a subcontract PO ?
We're currently have the FI posting on the Goods Receipt but it is assigned to the wrong profit center.

Hi,
Check OKB9 Settings as well as FAGL3KEH settings in the system to identify cost centers and profit centers attached to cost elements, GL Accounts.
Thanks,
padmaja

Profit center Assignment and work flow

Hi,
Can anyone explain me how to Assign the Individual profit to the PC group which comes under PC hierarchy. And to Assign the Individual PCs when we post and revenue entry.
When i try to pull that while posting an revene account F-02 the error as below
"Position Cursor Correctly"
Thanks

Hi,
profit centre basically used for the collection of cost and revenue which are incurred and generated in an organization , so if your organization has created any profit centre which are assigned to the cost centre of manufaturing or production , those cost cost centre u can assigned to the raw materials.
To assign profit centre to raw materials - at the time of creation of Material master(mm01) for raw materials you can choose costing view at organizational level and can assign the cost PCTR which your assigning to cost centre.
To assign division- you can choose the division according to the finished good wise if your divisions are segregated according to finished goods wise.(assignment of division to the material master -according to the raw materials or spare and parts used to produce particular finished goods).
Hopefully the above explanation clarify your doubt.
Regards
Binapani.

Materials management small differences - DIF - Profit Center assignment.

Hi,
We have created one G/L for posting the u201CMaterials management small differencesu201D at the time of generating MIRO document via transaction u201CDIFu201D in Tcode - OBYC.
For e.g. if the GR amount is 90 and IR (Invoice received from party) is of Rs. 91/- or vice-versa then for posting the difference of Rs. 1/- we have made the above assignment.
System is generating the line item for the u201CSmall Diff -Invoice Verificationu201D but posting automatically to a "Dummy Profit Center u201C in the absence of any other data.
Our point is that we want to change the profit center to the related Business area, which is there in the line item of u201CSmall Diff -Invoice Verificationu201D account.
We tried the FI substitution (Tcode u2013 GGB1/ OBBH) for the Profit Center derivation on the basis of Business Area but that is working with the FI documents (Manual FI entry) only and not with the automatic line generation like MIRO in the above case.
Later on I tried Tcode u2013 OKB9, but in that case after giving business area wise cost center substitution, system is correctly showing the entry (in simulation mode of MIRO transaction) in the required Cost Center & on that basis in the Profit Center, but still system requires u201CCO-Objectu201D
Initially we tried other way of creating a Cost Element under the category of u201C11 u2013 Revenueu201D to maintain Business Area u2013 Profit Center link but still in that case also it requires co-object hence turned to changing the Cost Element Category to u201C1 u2013 Primary Costu201D for capturing Profit center on the basis of Business Area u2013 Cost Center link since basically G/L u2013 u201Csmall Diff -Invoice Verificationu201D we have created under u201CExpense Groupu201D.
Our requirement is to post the entry in related profit center per Business Area in the line item of "Small Diff -Invoice Verification" since there are 6 to 7 business areas, which are active in system.
Regards,
Shridhar

Hi,
Thanks for the reply. But I would like to correct you. I have mentioned in my subject line - "DIF" i.e the Transaction Key maintained in Transaction Code - OBYC for posting the small difference (Between GR and IR values) arriving at the time of MIRO transaction posting.
Now meanwhile I have come across u201CSAP Note : 32654u201D which mentioned that "Account assignment for the transaction (KDR, DIF, UPF) on the highest level i.e. the 1st screen where we set the Cost Center or Profit Center assignment to Cost Element with Acct Assignment details (1 or 2 or 3) is possible.
Same is not possible on details level means Acct Assignment details level per Valuation Area or Business Area for Cost Center or Profit Center linkage (2nd screen of OKB9).
Please do correct me if I am making any wrong statement.
Now would like to have an advise about the transaction Code - OKC9 with the scenario (MIRO document u2013 Dummy Profit center linkage) that I have mentioned above.
Do I require to maintain OKB9 (At highest level) and then need to work out CO- Substitution via OKC9 ? Or OKC9 is enough to cover my scenario ?
Do any body have a knowledge about that? Points will be assigned.
Regards,
Shridhar

Profit center assign in Copany code and controling Area

where Profit center assign in Copany code and controling Area ?

Hi,
Company code, Controlling Area, Profit centre, Cost centres are created by FI/CO functionals.
Pl. discuss with your FI/CO counterpart.
My suggestion is that, don't create yourself, because it integrates to lot of other areas.
Just for learning purpose, you can go to SPRO-Controlling-Profit centre accounting.
Madhava

Can we create a single bdc for raw materials , and for some other transacti

hi
can we create a single bdc for raw materials , and for some other transaction? how?

Hi Jyothsna
For one transaction you will have to build your bdc table according to the recording for that transaction and then call that transaction using the bdc table. For another transaction , you will again have to build the bdc table with the details of that transaction.
You cannot call all at one shot.
Cheers
shivika

Profit Center determination for Stock G/L accounts

Hello,
The scenario is as follows:
A single G/L account is defined in our system for Finished Goods. FI documents resulting from material movements are posted to this account in PCA, i.e. table GLPCA shows material document numbers in the reference document field along with the corresponding movement types for this account.
There are a large number of materials with Profit Center 10000 (Industry General) defined in the material master record. All postings to the G/L in question are currently being made against the Profit Center defined in material master. There are also two other Profit Centers defined in the system; 10001 (Industry Motors) and 10002 (Industry Others). The business requirement is that all materials are common to both segments, but the Profit Center should be determined from the sale, i.e. if a material is sold to an Industry Motors customer the Profit Center should be 10001, otherwise it should be 10002.
For the revenue G/L account which is hit at the time of posting of the invoice, a substitution has been configured that determines the appropriate Profit Center from the division specified in the invoice; there are two divisions for Motors and Others respectively. For the stock G/L however, all postings are made to Profit Center 10000 as defined in the material master record.
Since the stock G/L will show postings from all goods movements, including GR, initial entry, GI for delivery, etc., and all materials are common, it is clearly not possible to completely segregate all postings to 10001 and 10002. For example, GR will always be posted to 10000 (General) as it is not known whether this should be in 10001 or 10002 till the time of sale. However, for sales movement type (Goods Issue delivery) at least, postings shoud be made to the appropriate specific Profit Center. For the remaining postings, the business applies a calculated ratio to the acumulated balance.
For the stock G/L, is it possible to derive Profit Center for outward goods movements based on invoice? For example, 1000 USD worth of stock is posted to the G/L in PCA with movement type 101 and Profit Center 10000. 200 USD worth of stock is sold under Motors and 400 USD worth is sold under others. Entries in GLPCA should be:
G/L            Balance Profit Center     Movement Type
31000000   1000       10000              101
31000000   200         10001              601
31000000   400         10002              601
So from this it is easily possible to determine that 200 USD worth of stock has been sold under Motors, 400 USD worth under Others, and 400 USD worth of stock remains unsold.
A solution for this is required. If anyone can think of any other way to accomplish this as well, please share your suggestions. Thanks!
Regards,
Khan

to arrive the profit center at a time of Goods Movment, select the cost center for Industry Motor before to that do the settings in OKB9 for the Cost element a default Profit Center for Cost center.
Hope this helps u in resolve the issue.
rgd
YJ

Profir Center Update for Vendor Line Item

Hi,
While entering an inter company document, cost center is required field for the expense line item. The system is picking up the profit center based on the cost center. However, while saving the document I am getting a error message that you can not post to profit center XX in company code 2. The profit center is only assigned to company code 1 (KE52) and it is not to be assigned to company code 2. Ideally the vendor line item should be assigned to dummy profit center maintained in config but system is picking the profit center assigned to expense line item. The following entery is being passed and the document type is AB. Document Splitting is active.
Expenses A/c. Dr - company code 1 - PC - XX
To Vendor            - company code 2
can anyone help me with the same?

Hi,
Validations are in 3 steps (Mostly Inter-company transaction fetch this validation in sequence)
1) Derivation Rule
2) Default
3) Dummy
Option 1:
T-code: 3KEI
setup default profit centre by company code and GL Account
if above does not resolve your issue then also setup option 2
Option 2:
Create substitution rule on document completion level
If G/L account is (B/S) XXXXXX u2013 XXXXXX and company code is 2
   then PC = 2
End if
try first in test system
regards,
Prashant Rane

Manual Bank Subaccount Clearing 1:N – Profit Center Assignment within NEW GL

Hello guys,
What is the common practice to do Manual Bank Subaccount Clearing for Vendors outgoing payments? My main concern is Profit Center Assignment within New GL.
The business process is:
Payment Program (F110) creates multiple JEs to Bank Subaccount with different Profit Centers inherited from Vendor’s Invoices
JE #1 (GL View)
Debit:   Vendor_1               Profit_Center_1    $400
Credit: Bank Clearing GL   Profit_Center_1     $400
JE #2 (GL View)
Debit:   Vendor_2               Profit_Center_2     $600
Credit: Bank Clearing GL   Profit_Center_2      $600
When the payment is showing on Bank Statement in a lump amount, a posting with clearing should be done to make an entry on the Main Bank Account and to clear Bank Subaccount (F-04).
Credit: Main Bank GL   Profit_Center_????? $1,000
Debit: Bank Clearing GL   Profit_Center_1      $ 400 (PC assigned automatically by the system within the clearing)
Debit: Bank Clearing GL   Profit_Center_2      $ 600 (PC assigned automatically by the system within the clearing)
If Profit Center is not filled manually in Main Bank GL account line -> the system issues “Balancing field “Profit Center” in line item 001 not field”
Please share your experience whether a user makes multiple entries to Main Bank GL as a number of Profit Centers in ACH Clearing GL, or a Dummy Profit Center is used….
Thank you in advance

Hi
In most of my projects, a common profit center is defaulted to the Bank Account through FAGL3KEH in a new gl environment. This is because the payment function had been centralized and so it was booked to the corporate profit center which was also a common profit center.
However, it would again depend on your business requirements as to how they would like to see the profit center reporting. You may look at a substitution through an exit to default the profit center for the main bank gl.
Regards
Sanil

Changes to Profit center assigned to cost center

Hi
We have a scnario in which the profit center assigned to the cost center master has to be changed. We have been advised also to change the validity period of the same from the date of change of the profit center .However, the cost center has been used to for some data postings with the old profit center maintained in the cost center master. Now my query is:
1. What is the impact of changing the profit center in cost center master? In our case, some data has been posted to the cost center when the old profit center was maintained.
2. Why should we change the validity period of the cost center after changing the profit center assigned to the cost center?
3. Also, what is the way to transfer the entries which have been posted to the old profit center to the new profit center?
Regards
Sanil Bhandari

hi,
1) The impact of profit center is more in the cost center. when ever we assign profit center to cost center. the cost will be updated automatically. so there is no direct posting in profit center only statstical posting are generated.
2) second one when we want to create profit center first chek it out profit center valid and upto. if same is not maintained in creation of cost center . so u must have to change the validity periods
3) i am not sure this one i thing 7KEH OR 1KEF TC is there any way tommorow i will give the answer this questions.
if my answers are wrong plz correct and replay to my id [email protected]
thank you

Purchase requisitions for raw materials

Iam having multilevel BOM and when I do Sales order MRP then Iam getting planned order for Semi finished items but not getting Purchase requisitions for raw materials.

Hi,
Planing File Entry :-
The planning file is used to limit the scope of the planning run for the
total planning run. For this purpose, all materials that have been
assigned a valid MRP type are automatically entered in the planning
file.
System will check the Planing file entry only in the case of Total MRP (MD01) or Total MPS (MD40).
While there is no need in the case of MD02,MD03,MD41,MD42,MD50.
Now how this Planing File entry activates,
- Once MRP is activated at Plant level (T.code OMDU)system automatically maintains entry in Planning file for all those materials which contains the Active MRP type.
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Regards,
Dhaval

Batch determination for raw materials in process order

I have defined a sort rule, batch search strategy and assiigned this strategy to process order type.classification for batch is also defined with charecterstic mentioned in sort rule.But when i am doing BD for raw materials in Process order , it is barnching into some other screen saying, no selection criteria and no strategy info defined. what are the necessary settings to make BD possible for all the materials having batch management.

Hi
Config Setting In Batch Management
This will help you for config setting:
Logistics general - Batch Management
1.1. Specify Batch Level
Menu Path Enterprise Structure> Logistics General> Batch Management --> Specify batch level and activate batch status management Transaction OMCT
1.2. Batch Number - Activate Internal Number Assignment
Menu Path Enterprise Structure> Logistics General> Batch Management --> Batch Number Assignment --> Activate internal batch number assignment Transaction OMCZ
1.3. Batch Creation - for Goods Movements
Menu Path Enterprise Structure> Logistics General> Batch Management --> Creation of new batches --> Define batch creation for goods movements Transaction
1.4. Characteristic Value Assignment -- Update Standard Characteristics
Menu Path Enterprise Structure> Logistics General> Batch Management --> Characteristic Value Assignment --> Update Standard Characteristics Transaction
1.5. Activate Batch Classification for Goods Movements in Inventory Management
Menu Path Enterprise Structure> Logistics General> Batch Management --> Characteristic Value Assignment --> Valuation for goods movements --> Activate Batch Classification for goods movements in Inventory Management Transaction OMCV
1.6. Batch Determination u2013 Condition Table(Cross Client)
Menu Path Enterprise Structure> Logistics General> Batch Management --> Batch Determination & Batch Check --> Condition Tables --> Define production order condition tables Transaction OPLB
1.7. Batch Determination u2013 Condition Table(Cross Client)
Menu Path Enterprise Structure> Logistics General> Batch Management --> Batch Determination & Batch Check --> Condition Tables --> Define SD condition Tables Transaction V/C7
1.8. Batch Determination u2013 Access Sequence(Cross Client)
Menu Path Enterprise Structure> Logistics General> Batch Management --> Batch Determination & Batch Check --> Access Sequences --> Define Production Order Access Sequences Transaction OPLF
1.9. Batch Determination u2013 Access Sequence(Cross Client)
Menu Path Enterprise Structure> Logistics General> Batch Management --> Batch Determination & Batch Check --> Access Sequences --> Define SD Access Sequences Transaction V/C2
1.10. Batch Determination u2013 Strategy Types
Menu Path Enterprise Structure> Logistics General> Batch Management --> Batch Determination & Batch Check --> Define Production Order Strategy Types Transaction OPLE
1.11. Batch Determination u2013 Strategy Types
Menu Path Enterprise Structure> Logistics General> Batch Management --> Batch Determination & Batch Check --> Define SD Strategy Types Transaction V/C1
1.12. Batch Determination u2013 Batch Search Procedure
Menu Path Enterprise Structure> Logistics General> Batch Management --> Batch Determination & Batch Check --> Define IM   Search Procedure Transaction OMCY
1.13. Batch Determination u2013 Batch Search Procedure
Menu Path Enterprise Structure> Logistics General> Batch Management --> Batch Determination & Batch Check --> Define Production order Search Procedure Transaction OPLG
1.14. Batch Determination u2013 Batch Search Procedure
Menu Path Enterprise Structure> Logistics General> Batch Management --> Batch Determination & Batch Check --> Define SD Search Procedure Transaction V/C3
1.15. Batch Determination u2013 Batch Search Procedure Allocation
Menu Path Enterprise Structure> Logistics General> Batch Management --> Batch Determination & Batch Check --> Allocate IM search procedure/activate check Transaction OMCG
1.16. Batch Determination u2013 Batch Search Procedure Allocation
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1.17. Batch Determination u2013 Batch Search Procedure Allocation(SD)
Menu Path Enterprise Structure> Logistics General> Batch Management --> Batch Determination & Batch Check --> Allocate SD Search procedure Transaction V/C5
1.18. Batch Determination u2013 Activate Automatic Batch Determination(SD)
Menu Path Enterprise Structure> Logistics General> Batch Management --> Batch Determination & Batch Check --> Activate Automatic Batch Determination in SD -->For delivery item categories Transaction V/CL
1.19. Batch Determination u2013 Batch Selection Class
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1.20. Batch Determination u2013 Sort Rule
Menu Path Enterprise Structure> Logistics General> Batch Management --> Batch Determination & Batch Check --> Define Sort Rules Transaction CU70
1.21.   Batch Determination u2013 Make Settings for Batch Where-used list
Menu Path Enterprise Structure> Logistics General> Batch Management --> Make Settings for Batch Where-used list Transaction OMBB
regards
Faisal

Profit center assignment for Raw Materials and Store and spares

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