Split valuation / material costing

Hi all
I am valuating a raw material twice since in-house production( 50 INR) and external procurement(100 INR). Material code is same as usual. This material is used to make a fert material and is to be included in costing. If then, which valuation type will the system take?
Yuvi.

costing depends on the usage of the material with split valuation
Eg . Material : AAA
Inhouse material cost -- Rs 50 -valuation type :XXX
External procurment - Rs 100-Valuation Type :YYY
you are assembling this material AAA and FERT is made
Fert Material : CCC
BBB :inhouse machining cost -Rs 25.00
costing of CCC:if you
inhouse material then -> 50+25.00-75.00
External procurement -100+25.00->125.00
Hope it is clear
G.Ganesh Kumar

Similar Messages

Split Valuation Material Cost Estimate into COPA

Hi all,
Is there any way how we can transfer the split valuation material cost estimate into COPA?
I checked the actual line items, there is no "valuation type / batch" characteristics there.
Is this the main cause?
Please kindly suggest on the best way to solve this issue
Thank you very much
Regards, Erwin

Hi, Ajay
Does this mean that, even though i manage to create the valuation type as characteristic in COPA, i won't be able to get 2 different cost estimate based on valuation type into COPA?
Hm, then, are there any solutions which can be done to solve this issue?
The client needs a COPA report which can show the breakdown of the sold materials cost estimates
As usual, thank you very much for your help
Regards, Erwin

Split valuation-Preliminary Cost estimate

Hello,
Is it possible to create a Prelimnary cost estimate for split valuated material.Relevant Proc alternaitves crtd
Pls help

Hi,
In the case of split valuation only header and not the valuation
type is costed.
If one material has split valuation, standard price will be released
only for header segment (valution type blank). You have the possibility
to release standard price for in-house production segment, if you set
the 'Default'-flag in the customizing transaction for splitted val.
(OMWC) for the val. category 'X'.
Please check the note 552486 that contains information about
this context. (Question 10).
Alternatively you might created mixed cost estimate to release prices
for each procurement alternative that is associated with an val. type.
The only way to mark and release a standard costing per valuation type
is by using the functionality of mixed costing. That means that you
have to define a quantity structure category and define a
procurement alternative based on a valuation type of your material.
Afterwards you have define a mixing ratio for your material and the
defined quantity structure category.
Based on this mastr data (procurement alternatives and mixing ratios)
it is possible to carry out a mixed costing, one part of this
mixed costing should be a cost estimate based on your valuation type.
If you mark and release the mixed cost estimate the system will
set the standard price on valuation type level (prerequisite:
you have the define the procurement alternative based on the
valuation level)
For more details please have a look in the R/3 documentation for
mixed costing or contact your consultant.
Please refer to NOTE 552486 (FAQ):
"Question 10: In the case of a split valuation, why can the prices only
be updated in the internal segment?
Answer:In the initial standard SAP System, only the header segment is
calculated and the price is updated only here.However, if the "Valuation
type 'in-house production' mandatory" flag is set for the categories in
Customizing (Transaction OMWC), it is also possible to update the price
in an internal segment.For external segments (procured externally) this
does not make any sense in general.However, mixed costings can also be created and updated for several segments via procurement alternatives."
Setting this flag will take impact on materials WITH split valuation
in the future. New prices will be released for the in-house segment
in addition to header segment in TA CK24.
Also check the online documentation related to this topic
http://help.sap.com/erp2005_ehp_03/helpdata/
EN/34/f4af26be4411d1898f0000e8214595/frameset.htm
I hope the above information is of use to you.
MLM

Split valuated material price change at header level (without val. Type)

Hi All,
Need to change Split valuated Material Price at Header level (without val. type).
In MR21 valuation type is mandetory for split valuated material.
Please suggest on changing Material price without val. type.
Thanks

You have to advise the users who create accounting views to enter a valid price when they create a material master. Maybe you need to make use of the user exit to prevent saving when no price (or a dummy 0,01) is entered.
It is not possible to change the header price with any SAP given transaction, as it could cause inconsistencies if you dont take care about the stocks at valuation type level.
you may have to deveope an own report on own risk. I personally have the opinion that it is more secure to post stock and reverse it again (which just creates to accounting documents that equalize each other, no remaining value anywhere) than going the risk with an own program to screw up the valuation of a material in general

Split the material cost into labor and overhead costs

Hello Experts,
We get Finished Goods from another plant and that plant is not on SAP. So we load these materials as Finished Goods and enter the price in the costing tab and we do run cost estimates. In the cost estimate we see this price as material cost. How can we split this material cost into material + labor + over head costs? Is there anywhere we can enter the percentages that would split the total price into material and labor and overhead prices? I appreciate your time and response.
Thanks In Advance

HI Venkat,
You can only split material cost using origin groups and not into material, labour & OH as you may know the cost components are grouping of cost elements (with an option to use origin groups).
If this is too important for you to maintain that cost component split, then I see the only way is to consider maintaining quantity structure in SAP for the finished product, so that cost roll up happens with cost components.
Hope this helps.

Split Valuation material

Hi,
After creating split valuation material (Val. type : external and internal),for doing PO and MIGO,where we change the valuation type..
Thnks & Regards
SAP Beginner

Hello
Follow the following procedure for the creation of material with split valuation.
Hope the required configurations are done in SPRO.
ie valuation types are created and assigned to valuation category and account category reference.
In the creation of a split valuated material, create the material by giving the valuation category in the accounting view of the material master.
Then goto MM01 and give the same material number, then system will ask for the valuation type. Create the master record for all the valuation types.
At the time of PO creation, mention the valuation type in the delivery tab in item details.
Regards

Physical inventory document creation for split valuated material

Hi
We are doing stock count in our company. We are using split valuation for some of the materials. When I tried to create a PID for split valuated material which are not in stock, system issued a standard error message. What I understood from that error message, we can create a PID for split valuated materials which are in stock. Is it so? If so, then how can we count split valuated material?
Let me know if you need any info.
Thanks in advance..
Jeny...

Please refer to SAP note 30254 and it should help.
Symptom
If you create a physical inventory document for a material in a storage
location without existing storage location segment, error message M7006
is displayed: 'Material & (material number) & (plant) & (storage
location) does not exist'. Thus, a storage location segment is not
created automatically for this material.
The same also applies to the batch segment. The batch segment is also
not created automatically but, if a batch is specified for a material
when creating a physical inventory document, that is not yet created for
this material, error message M7042 is generated: 'Batch & & & & does not
exist'.
The same applies to the special stock segments which are also not
created automatically. Different error messages are generated here
depending on the special stock (see also Note 64448).
Additional key words
MI01, MI09, MI10, M7076, M7183, M7184, M7185, MARD, MCHA, MCHB, MSKA,
MKOL, MSKU, MSPR, MSLB
Cause and prerequisites
If no storage location segment or batch segment or special stock segment
exists to a material, this then means that a goods movement did never
occur before in the system to this material (batch) to this storage
location (special stock), that is that the material (batch) never had a
stock to this storage location (special stock) in the system before and
that it was never posted before on this segment. It is therefore not
possible to carry out a physical inventory for such a material (batch).
It is different, if a goods movement has already occurred to a material
(batch) to this segment and if only the present stock is zero. A
physical inventory is then necessary and also feasible for this material
(batch) since the different segments are not deleted automatically in
the moment in which the stock becomes zero.
Solution
For a material for that no storage location segment, batch segment or
special stock segment exists, it is not necessary, to carry out a
physical inventory on this storage location or for this batch or this
special stock. If, however, a quantity is physically found to such a
material, the corresponding segment must be created before the physical
inventory.
There are 3 options to create storage location data:
       - maintain the 'Storage' view in the material master for the
          material and storage location or
                                                                  Page 2
       - use the 'Enter storage locations' function in the material
          master or
       - post the first goods receipt (providing, the automatic
          creation of storage location data is permitted in the plant
          and for the movement type).
There are 2 options to create batch data}:
       - create the batches in the material master manually via
          function 'Create batch'.
       - post the first goods receipt for the batches to the respective
          material.
You can only post the various special stock segments via posting a goods
receipt. An exception is special stock 'K' (vendor consignment). You
must define a consignment price in the material master for this special
stock using the 'Create vendor consignment' function before a goods
receipt can be posted for this special stock.

How do I update standard cost for split valuation material?

We are using split valuation on our maintenance material. Maintenance material is held in an inventory account separate from our production material. We have materials that are set up with a Parent material as variable, and child materials which are NEW or REFURBISHED or CORE.
The Child materials are set as standard cost. Some of the standards are old. Unlike our production materials, which have their cost standards on the Costing 2 tab of the material master, split valuation child parts have their costing on the Accounting 1 tab.
I attempted to update a cost standard by loading a future price manually in the material master. I was able to load a future price, but could not get it to release in CK24.
I have been unsuccessful in finding a process or procedure that tells me how to update a child standard once is already exists. There was one blog that said that the standards could only be released using CK24N if the quantity is zero. I attemped to update costs on part with zero quantity on hand. This was also unsuccessful.
I am looking for a process- ie 1) load a future cost using tcode XYZ, 2) Mark and release cost using tcode XYZ, 3) validate changed inventory value using tcode XYZ.
Thank you in advance for your assistance.

Hi Govind
If your valuation variant reads MAP as the strategy sequence - Then average MAP will be taken... i.e. the MAP in the parent accounting view of the material will be taken
However, if your strategy sequence is intended to look for info records, then follow the link given in the earlier reply
Regards
Ajay M

Material split valuation and costing

Hi All,
We are using ECC6.0.
We have activated split valuation for some matetrials and have
maintained valuation category {"E"} as per requirement of the customer.
Valuation Types that are maintained are : INH for Inhouse Production
and "SUB" for Sub Contracting.
We are facing following Problems:
(1) We are not able to activate the Costing Views at Valuation Type
Level and hence the requirements of the customer to do the valuation
based on Price Available at Valuation Type Level( i.e. at INH & SUB )
is not possible and so to meet the requirement we must activate costing
view at Valuation type level.
(2) As recomonded by SAP all Semi finished goods are maintained at
price control indicator "S". We have activated split valuation for some
of the semi finished goods also and hence we are not able to create the
Semi Finished Goods having Price control indicator as "S" at header
level. The system is throwing the message saying: Only price
control "V" is possible for split valuation;Message no. M3185. But the
customer wants to create all Semi Finished Goods having price control
indicator as "S" at header level.
<b>(3) While running standerd cost estimate(CK11N or CK40N) the system is
not picking the rate maintained at Valuation Type Level i. e.
either "INH" or "SUB". It is picking the price from the header level of
the material master which is basically average of all the prices
available at Valuation type Level (The price appearing at MAP field at
higher level) .</b>
Your Early reply is awaited.
Thanks & Regards,
Bijay Kumar Deo

(1) We are not able to activate the Costing Views at Valuation Type Level
True - Costing view will associate with the header level only. The ONLY material master views that will associate with valuation type is Accounting 1 and 2 - to allow inventory valuation at that level.
(2) As recommended by SAP all Semi finished goods are maintained at price control indicator "S".The system is throwing the message saying: Only price control "V" is possible for split valuation.
True - only moving average is available at the header level because inventory is value only at the Valuation Type Level. The header represents the "Total qty" of material on hand (for ALL valuation types) and the standard price you see is the average value of that quantity, it is for reference only, not use in inventory valuation.
3) While running standard cost estimate(CK11N or CK40N) the system is not picking the rate maintained at Valuation Type Level i. e. either "INH" or "SUB".
True - CK11 and CK40 work with "header data" You were unable to activate Costing 1 and 2 for Valuation types - therefore there is no "place" for cost estimates.
Cost estimate data is maintained it the tables KEKO and KEPH - these tables do not have the key field "valuation type" - there for you cannot create it.
In standard Costing - you must pick one method as the standard by which to procure and value the inventory and the other method of procuring inventory creates values at standard and generates variance.

More than one standard price in case of split valuated Material

Hi Experts,
I have came across one requirement , where one plant is doing trading as well manufacturing of the same material.
So this material is Split valuated . In case of own production , no problem in costing i have made the production valuation type as default in OMWB so price is getting release based on Qty strcuture.
For the purchased material , i need to read the cost component of the producing plant ( consequently in COPA the break of the cost of the material) and there will be certain overhead cost that needs to be added to come to the total cost of the purchased inventory . The cost of the purchased inventory will be used for inventory valuation.
So my question is :
Is it possible to do the costing run based on two method - in case of valuation type -produced based on own Qty structure and valuation type Purchased -read the cost of the selling plant + additive cost ( for own cost) and relased to Material.
or any other better approach ?
Thanks

Yes, you can achieve that with mixed costing, by maintaining a procurement alternative for each of the valuation types.
Take a look at these links for all the details:
[SAP help for mixed costing|http://help.sap.com/saphelp_erp60_sp/helpdata/en/34/f4af26be4411d1898f0000e8214595/frameset.htm]
[Re: costing with split valuation]
best regards,
Udo

Split valuation- material identification

Hi, letus say we maintained grade1 price and grade 2 price thru split valuation for material x, say shaft. here material number and description is same for both grade materials. How to know which grade should be manufactured when the order comes from sales/ customer? Basically how to identify the material incases of issue to shop floor, receiving from shop floor or from vendor or to customer?

When you activate spilt valuation for material then for posting inventory movement system will ask you to select the valuation type.
If material is going to be procured from outside(Vendor) then while creating Purchase order you need to select the valuation type. Same will be considered at GR posting.
At Issued stage also you need to select the stock from valuation type.
Regards,
Ajay Nikte.

Split Valuation Material MIGO

Hi SAPIITES,
I have a query on Split Valuation where in i have created a standard PO without mentioning the valuation type,
Now i want to process Goods Recpiet (MIGO) with different valuation type (ex: A-Class,B-Class,C-Class for the material) in a single Goods Reciept for all the three valuation types.But im unable to do so,Plz note i have extended the materia/Item for all the three valuation types,
But unable to GR this on a single Transaction.Plz help me on this
Tks
Shahez
+

Hi,
For the Split Valutaion, first you have to maintain Valuation Category in MMR and again in MM01 in MMR, maintain different type of Valuation Type for same material of Differenet Valuation Types suppose A, B and C.
Now while maintaining the split Vlaution in spro, do not give the default Value to the valuation category i.e. do not check on
Default: val.type ext.proc. mand and Determine val. type automat.
Path for above Global Category --> Valutaion Category --> change
Now While Doing MIRO, system will ask the Valuation Type for that particular Material.
Hope Help U !
Regards,
Pardeep Malik

Split valuation - material with price control V

Hi,
I have created material with split valuation ,ie val category as Z (auto batch).. and i did gr. and in mm03 i have maintained the pr control as V .. and later po and gr . when i checked in MM60 its showing the parent material and the child mat ie valu types/ batch materials are also in V... it suppost to have with S.. is there any customization need to have S price control for the child/ val type materials?? pls suggest

Hi UJ ,
Different price control are possible for different valuation types based on Valuation category , but this doesn't hold good for Valuation Category X- Auto Batch as there are no valutaion types linked to it in Config.
Therefore system proposes the same price control as that of parent material incase of Valuation Category(X)- Auto Batch
Regards
Ramesh Ch

Split Valuate material (posting period)

Hi
I need to split valuate an existing material which has stocks present in the current & previous periods. No other doc's exist.
Even if i nullify the stocks now , the system will post an error "" stocks present""
This was because Stocks were present in the previous period.
The previous period is closed now.
Is there any way I can make stocks zero in the previous period.? Also is it advisable to open the previous period that is closed.
Thanks
Khaleel

you have no other option than allowing posting into previous period ( transaction MMRV).
Then you goods issue the stock in previous period first, and the rest in current period.
Then you change your settings, and "cancel" the goods issue to get the stock back in (into previous and current period).
If you have done everything right, then you should not have created any balance in MM and FI.

Raw Material Costing with Actual Cost Component Split

Hi All
I have requirement to split inventory RM Value with material component and Freight cost, all config done and looks well if I check at CKM3N cost component view, material cost $100 and Freight $20, I GR the inventory with freight cost, since I'm using actual costing when journal freight cost go to Price Difference account. But after actual costing closing why the system can't split the variance update to freight cost component? is this the standard SAP behaviour?
Please help for the solution
Regards
Luiz

I see that you want to split your material cost and freight cost. you need to check the following:
Is your current standard cost estimate support this structure i.e do you have seperate cost components for RM and Freight.
If not first you need to change cost component structure and as mentioned by owen you to map the purchase condition type to the origin group and cost component structure.
Then system will do the same for the actual costing

Split valuation / material costing

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