Valuation of Materials

Hello All,
Please I need an input on the following.
Is it possible not to valuate a material but still be able to receive it into stock without expensing it during procurement. If it is possible, what configuration do i need to do.
Thanks in advance.

Hi,
Please find below link from Help.SAP:
http://help.sap.com/saphelp_46c/helpdata/en/a5/6334bb43a211d189410000e829fbbd/content.htm
It is clearly mentioned that for non valuated materials, account assignment category is a must in the purchase order.
Regards,
Nisha

Similar Messages

Split Valuation of Materials for which Purchase Order exists.

Hi,
I want to do the split valuation of materials for which Purchase Order already exists and GR has taken Place.
Is there any way to do it?
Regards,
B P Singh

Hi,
Yes, you can.
Please start transaction MM02 and set the valuation category > you will get an error message > click on 'Display Errors' button and SAP will say what hinders you from the change.
- you should set the stock level of your material in previous and current period to 0 (it is possible with posting date in the past; MB1A201 > after material master settings you can set back the stock level via MB1A202)
- delete transactional data (including your PO)
- mark batch records with DF and archive them
- etc
BR
Csaba

Valuation type materials in Bill of materials

Hi All,
I am creating a BOM (Bill of materials) for an assembly.
I need to include the valuation types of the material, as this is required for my assembly of right components.
I have had a look at CS01 transaction and i do not see field for valuation type.
Let me know how do i include the valuation type material in BOM.
Awaiting your inputs here.
Thanks,
Regards
Raghavendra

in standard sap, valuation type of the material is maintained in material master only. and later on whenever there is a transaction for the material, system will ask for the valuation type of the material.

Split valuation of materials

Hello Sap gurus
I am practicing on Valuation area and when i am trying to create a valuation category in OMWC when i enterd a new valuation category and Description it cant proceed further and there are 9 standard valuation catergories found in OMWC.
if i would like to create a new valuation category what i have to do.
Thanks and Regards
kalyan

Hi
To create new Valuation Category you need to follow the below route.
Go to Configure Split Valuation-Global Categories-Create-Account Category name and isntead of saving click on create so your valuation category gets created.

Non Valuated & Non Stock Materials

Hi Freinds,
I have a query. Give me few examples for non valuated & non stock materials.
Thanks & Regards
Saeed Arif

hi,
Non-stock : Materials ready for use/Consumption and available anytime Ex: Electricity,Water etc..,.
Non-valuated : Nonvaluated materials are managed on a quantity basis, but not by value.
Ex: Plastic bags in retail malls
hope this gives you a clear view of difference between Non-stock and Non-valuated
Regards
KKY

Procurement of non valuated materials Problems at PR Conversion time

Dear Gurus,
I need a hand on defining settings for non valuated stock materials procurement.
1-> Am using a copy of non valuated material type UNWB to which i added Accounting views )for GL acc determination through valuation class).
2-> In OPPQ, "Account assignment unknown" value is set to "9" copied from standard "K" (cost center) but with consumption posting set to "U".
3-> PR is generated through MRP with this account assignment "9".
4-> PR to PO conversion is where i have a problem since i get message "Unknown account assignment not defined for use here".
At PO creation time we need to populate a cost center so we need the account assignment tab to appear.
Now we have to change manually the account assignment category from "9" to "K" to enter the cost center (GL account is defaulted from OBYC)
-> The ideal for us would be to generate the PR with the right account assignment "K" but it is not possible since OPPQ only accepts an account assignment category that has consumption posting value set to "U" and not "V".
How can i customize this flow with minimum user interaction ??
Thks for your help
Olivier

Hi Rag, thanks for your answer !
What am dealing with here is not an issue related to customizing point "Define Combination of Item Categories/Account Assignment Categories". In OPPQ customizing when defining non valuated material account aasignment of non valuated material, R3 asks for an account assignment that has a special setting. This setting is done in customizing step "Maintain Account Assignment Categories", value for consumption posting has to be set to "U" (usually it is "V"). The PR is generated OK, the problem arises when i want to convert the PR to a PO where the use of this account assignment is not possible anymore because of the consumption posting value "U". The PO needs an exact account assignment. Check be low the error message :
"Unknown account assignment not defined for use here
Message no. ME 069
Diagnosis
You have entered the account assignment category "unknown account assignment" for the item. However, in the case of purchase orders and scheduling agreements an exact account assignment is necessary.
Procedure
Change the account assignment category to one for which an account assignment is defined (for example, cost center etc.)."
Thanks

Non valuated stock details

hai,
The client is doing jobwork for the customers - Processing the Grey fabric into Finished fabric. The client wants the report of this material stock in each level. Here the material is treated as a UNBW - non valuated material, since it is not his own material.
The process is
1. Creatin sale order.
2. Receiving the material by 501 E mvt type with sale order no.
3. Doing production order against this sale order.
4. After production, transfering the goods to St loc, where again packed cycle will be done for this fabric.
5.After that, doing PGI for sale order.
How to fetch the data from the tables: i have analysed the mska table also - it is purely for valuated stock materials.
please provide the tables.

Hello MM gurus,
No answer. Please do needful.

Valuation Type during creation of production order

Hi,
while converting planned order to production order i am getting following warning message" Valuation data for material XXXXXX valuation type XX are not maintained"
material type is FERT, and we have activated the split valuation. In SPRO under split vauation for the particular plant i defined two vauation type. but material is extended for one valuation type( means one is blank, another is AB) .material is not extended to valuation type XX, thats why i am getting this warning message
My question is From where it picking the default valuation type XX while production order conversion. so that i can solve this issue

Dear Thennarasu M,
Please check the t-code OMWC. This is about Split valuation of materials. Click on button 'Global categories'. You can see the column 'DVT InhPr' (Default: valuation type "in-house production"). This field causes this valuation type to be proposed automatically when production orders are entered. Moreover, if the indicator "proposal obligatory" is also set, the default
valuation type is binding and you cannot overtype it. Furthermore, you can check the last column 'Autom.VTy' (Indicator: valuation type is set automatically). I think it can be also useful for you if valuation type XX is not yet created, because the system determines valuation type automatically at the time goods receipts are posted. The system will create a valuation record if no record with this valutation type exists yet for the material.
I hope this helps!
Rgds,
Viktor Bojtos
Hungary

Material valuation based on FIFO

Hi,
Presently we are valuating raw materials with moving average price (V).
Material is not managed in batches.
For few of our raw materials price changes too often.
So want to consume the material based on the value with which it was purchased.
Is it have anything to do with FIFO relevance?
Regards,

Thanks for the immediate reply,
We have found one SAP Building Block I57_BBP_EN_DE.doc regarding stock valuation,but when we go to download it, it does'nt show anything. So is this building block is related to that stock valuation & if ye please prove us the link of that or that building block on my id sphatak84gmail.com.
Because we have configure it & then shown to CTM.
Thanks & Reagrds,
Rajan R

Concept of valuation

Dear All,
Please throw some light on the concept of valuation and explain with simple example difference between lowest value principle, strict lowest value principle and other valuation method. I tried to find it on help.sap but I'm not able to comprehend it completely as I'm looking for its meaning in a business context.
Warm Regards
Mazdul

http://help.sap.com/saphelp_erp2005vp/helpdata/en/8f/d1de34e4cb2300e10000009b38f83b/frameset.htm
Valuation for material is required fo rcosting as well as accounting and it is always linked to inventory in form of stock or non stock
If there is no IM involved, is valuation of materials still required?
yes because without that how will you pay to your vendor and take the cost of material

PS valuation material

Hi guru,
I have the following question about valuation of materials with PS ( project stock is used ).
When I produce a FG, the system posts costs of consumption and hours on the WBS element, and it is OK.
When I post good receipt of FG, I don't see the posting on WBS element. I read that "During the first goods receipt, the system saves a standard price in the individual stock segment for a material, plant and WBS element" from help, so my expectation is to have a standard price for the FG after the first good receipt but I don't have it
Please, could you help me to understand how can I have this standard price?
Thanks
Regards
Raffaele

Hi Raffaele,
I think this is controlled from material master itself. Check the material master (MM03) 'accounting' tab (accounting 1 perhaps) what is the price valuation of the material. It could be either S (standard) or V (valuated). In your case it should be S. Check it and test the same in your testing client and let us know if it helps.
You can also include your MM consultant into it.
Regards
Saurabh

Valuation Type Wise Standard Cost

Hi SAP Experts,
I can not update the valuation type wise standard cost. It is going updated only at the Header level in the material master.
We have activated the batch valuatin and also the split valuation for materials.
At the header level in the material master there is a varialble price control and at the lower level we have defiend the valuation type with the standard price control. But when i am running the standard cost system update the cost only at the header level in the material master and not at the lower level.
Can any one help on this issue?
Thanks in advance
Regards,
Trushit

Hi thank you for your answer.But if we maintain the valuation type default in split valuation then for all materials valuation types becomes mandatroy field, if we are going to open the batch but there may be the cases where batch is only going to be opend but not the valuation type.
Regards,
Trushit

FIFO Valuation: Two questions

Hi there,
I like to configure FIFO valuation and I have a couple of questions:
Is there anything I have to take care regarding price control ? i.e. can I use FIFO valuation for materials valuated at standard and moving average price ?
Is it possible to update the actual material price (moving or average) after FIFO valuation ? The Online Help specify that the FIFO price can be copied in either the tax price or commercial price fields but there is no mention of the actual price.
Thanks in advance for your help and regards
Thomas

> * Is there anything I have to take care regarding
> price control ? i.e. can I use FIFO valuation for
> materials valuated at standard and moving average
> price ?
both is possible and makes sense.
> * Is it possible to update the actual material price
> (moving or average) after FIFO valuation ? The Online
> Help specify that the FIFO price can be copied in
> either the tax price or commercial price fields buto have an actual revaluation of the
> there is no mention of the actual price.
your observation about the docu is found in
<a href="http://help.sap.com/saphelp_erp2005/helpdata/en/3f/ce913879c8cf29e10000009b38f889/frameset.htm">http://help.sap.com/saphelp_erp2005/helpdata/en/3f/ce913879c8cf29e10000009b38f889/frameset.htm</a>
which does not reflect the actual capabilities. If you have a look into the selection screen of transaction MRY2 you will notice that you can also updae the standard price or moving average price, when checking also 'database update'.
best regards,
Udo

Valuation Area at Company Code level

Hi,
In what ideal business case/industry one should set valuation area at company code level when SAP recommends valuation area must be set at Plant level ? in other words..what is the practical purpose of Valuation area at company Code level?

Hi
Think that valuation area link with records in table MBEW. So, if you have a company with 3 plants, and you have a single valuation for all company, in 3 plants the valuation of materials are the same, with their implications in valuation of stock and valuation of margin in sales (remember that this value can flow -really, use to flow- to condition VPRS in SD, well see SAP Note 1365939 - VPRS logic and Customizing settings in SD and SAP Note 547570 - FAQ: VPRS in pricing for more details). If you do a valuation different by plant, stock and margin calculations are different.
What are the elements that you must considerer?
1. If the materials is purchased, think if the same material have different conditions (different conditions in MM, for instance, indirect costs as shipment costs, different vendor with meaningful differences in prices or discounts). It's indiferent that it is a raw material or a material that you can sell. The raw material will work in product costing as an item in BOM. First of all, considerer the impact in stock value, second think how is delivered the materials to customer from plants and their impact in profitability analysis. If there are meaningful differences for the same material between different plants and you give the same value in all company, depending of the mix perhaps your customer is fooling himself about this issue.
2. If the material is manufactured, talk with your CO consultant and what kind of impact could have different routings, BOM and prices of raw materials between plants. Same considerations for valuation of stocks and margin.
Finally, in the page 10 of the document you can read
Valuation must be at Plant level in the following cases:
u2022If you want to use the application component Production Planning (PP) or Costing
u2022If your system is a SAP Retail system
I hope this helps you
Regards
Eduardo
PD: I forgot, talk this with the CFO of the company, taking in account the restrictions (when it must be plant level).
Edited by: E_Hinojosa on Nov 23, 2011 9:23 AM
Edited by: E_Hinojosa on Nov 23, 2011 9:24 AM

What is Valuation Class & it uses ?

Hello SAPians,
Please expalin me, what is Valuation Class & what it is used for ?
Thanks in advance.
Regards
Rahul Chitte

Hi Rahul,
Valuation class and valuation type are used in MM module -
Valuation class materials of similar properties are grouped together as valuation class so that you do not have to maintain separate stock accounts for every material. The system refers to valuation class to find the relevant stock account for posting the stock value.
Valuation type specifies the individual characteristic of a valuation category.
b)     Procurement internal or external
c)     Origin names of different countries where the material is being imported.
d)     Status new, used or repaired.
Valuation category criterion according to which split valuation is carried out.
a)     Procurement             b) Origin                    c) Status
Split valuation an option that lets you manage different stock accounts for a single material in a plant.
REWARD POINTS IF HELPFUL
Regards
Sai

Valuation of Materials

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