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Split of COGS in S/4HANA with parallel valuation / group costing

Nov 06, 2017 at 09:20 AM

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Former Member

The customer has an internal supply chain across multiple company codes. Due to the internal margins, the customer needs to see the COGS from the legal point of view (including internal margins) and the COGS from the group point of view (eliminated internal margins, group costs). Also the cost component split of the COGS by material, labour and overhead is needed.

For this, we use the legal costing and in addition the group costing. We activated material ledger and the currency and valuation profile like this (also added to the ledger/company codes in FI):

  • 10 company code currency
  • 11 company code currency, group valuation

As far as we understand, starting with S/4HANA 1610 we can have the COGS in both valuation views in only one ledger, which is very nice.

But we are a bit unclear about the concept, so we would like to ask the experts in the community:

  1. the split of the COGS is now in S4/HANA done with additional accounts. How is this related/connected with the parallel valuation and the group costing? How's the posting logic and the difference between both costings then?
    Are the COGS posted twice then (once for the legal view and once for the group view)?
  2. in COPA, there is no option for currency 11 (company code currency with group valuation), how can we have the COGS for the group view (group costing / company code currency with group valuation) in account based COPA? In the past, we had additional value fields for the COGS from the group costing, but how does this work now with the accounts?

Thanks a lot for any help,

Wolfgang

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2 Answers

MALAY VAKIL Nov 08, 2017 at 01:57 PM
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Hi Wolfgang,

S/4 HANA 1610 having information of parallel valuation through different currency type. But 1610 does not support COGM valuation. Below is quote from SAP document

"The functionality of Multiple Valuation of Cost of Goods Manufactured providing parallel valuations in CO according to multiple accounting principles is not yet supported in SAP S/4HANA"

Hence not possible to get parallel valuation in COPA.

Regards,

Malay

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Former Member

Are you sure?

https://launchpad.support.sap.com/#/notes/1852519

11. Is the COGM scenario supported in S/4HANA?

The COGM scenario is supported as of Release S/4HANA 1610, Support Package 1. The ledger approach is fully supported, whereas the parallel accounts approach is only partially supported. For more information, see the attached file Parallel COGM in S4HANA 1610 SP 1 EN.pdf. This file is also available via the SAP Learning Hub.

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Former Member Nov 29, 2017 at 11:33 PM
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Hi Malay

Thanks for your answer. But we're not talking about COGM, we're talking about COGS.

In the meantime I found the answer:

  1. no, it's done with only one posting; it keeps both valuations in it
  2. stupid question, these settings are not relevant for the account based view :-)
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Wolfgang,

Can you please share the answer to your question and the source of the answer?

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Former Member

Hi Jerson, that was already the answer :-)

The source of this insights is the SAP system with parallel valuation I did set up now.

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