Capital and Non-capital Vendor Management

[Former Member]

Hi Friend

We have a case where there is only one vendor who is supplying capital as well as non-capital material.

In such case we wanted to maintain different reconsilation account.

Can it be possible to have the same vendor code or we need to create different vendor codes.

Thanks in advance

Regards

Avinash Joshi

[Former Member · Accepted solution]

Hi,

If you are going to use 2 Recon then two vendor masters are required.

Can you share why you require 2 recon accounts?

Is it FI wants or MM call. Usually it is not required to have 2 recon.

Regards

[Former Member · Accepted solution]

Hi Rajesh

Thanks for the reply.

Actually it is the requirement of the FI users.

They want to have seperation between Capital and non-capital purchases.

I think it might be the satutory requirement as said by them.

Can you please also guide me how other companies in india manages such kind of issues.

Thanks in advance

Regards

Avinash Joshi

[Former Member · Accepted solution]

Hi,

what I see from your question is the topic on Asset accounting. Following topics are covered in FI on Asset accounting. It is a satutory requirement correctly said by them. Usually in industry we buy the machines from a vendor. It takes the route through Asset accounting. Later we also buy spares from him as and when required.

Asset Accounting as a Subsidiary Ledger

Asset Acquisitions

Asset Retirement

Asset Transfers

Capitalization of Assets Under Construction

Unplanned Depreciation

Valuation and Depreciation

Cost Accounting Depreciation Area

Depreciation Posting

Usually assets are procured with internal investment order in PO.

If the spares that accompany the machines need to be capitalised will have the treatment alike the machine from asset accounting angle.

if you are get the spares from the same vendor for your regular use, use material type ERSA.

You doesnot require to have separate recon if your sceanrio is like this. Recon account will be used to see how much is outstanding against this vendor G/L.

It is the normal case when we buy capital goods as well as later on spares from him.

Any how I will take the second opinion from FI consultant, if such is the requirement as indicated by you what will be probable reason behind why your FI team is looking at like this.

Regards

Rajesh

[Former Member · Accepted solution]

Hi,

I took your issue with FI team, they also could not see any strong reason to this.

There is a concept in FI to have alternate Recon account. this settings in spro is done in FI. the alternate Recon Account will be attached to the main Recon Account. At transaction level you can change the recon account to which you want to post.

this require a high level of accurcy, since you have a choose to post in any of these account. any wrong entry will bring get trouble in reconcilation process. better to refrain from it.

that is why I asked you why you are looking at 2 recon.

at vendor master level you can only give one recon.

Go with one, I something very specific scenario is there then detail that scenario.

Regards

Rajesh

[Former Member]

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[Former Member]

hi,

it is possible through customizing if u wants to maintain two reconciliation accounts to one vendor.

if u are having two reconciliation account then --

in IMG-FA-GL A/C- BT- DEFINE ALTERNATE RECONCILIATION ACCOUNTS

you can assign both the reconciliation accounts,means your main recon a/c is which u r assigning in vendor master and second is your alternative recon account.

prerequisites- for alternative recon a/c you have to tick ready for inputs field in gl master.

during document posting e.g fb60/miro in details column you can find gl field in which u can select the recon account which u want.

i think it will solve your problem.

reward points

regards,

[Former Member]

Dear Rajesh

Thanks for the support.

Can you please also let me know where is the exact customisation in the navigation path of SPRO which you mentioned.

Regards

Avinash

[Former Member]

Hi,

I took your issue with FI team, they also could not see any strong reason to this.

There is a concept in FI to have alternate Recon account. this settings in spro is done in FI. the alternate Recon Account will be attached to the main Recon Account. At transaction level you can change the recon account to which you want to post.

this require a high level of accurcy, since you have a choose to post in any of these account. any wrong entry will bring get trouble in reconcilation process. better to refrain from it.

that is why I asked you why you are looking at 2 recon.

at vendor master level you can only give one recon.

Go with one, I something very specific scenario is there then detail that scenario.

Regards

Rajesh

[Former Member]

Hi Avinash Joshi,

It is not possible to have more than one recon account for same vendor irrespective of level i.e. Company Code level or Purchase organization level at which the vendor is maintained.

The only solution is, create the vendor with two different vendors codes.

bye

Sridhar Thota

[Former Member]

you need to create two diffrent vendor code as the vendor are created at the company code level also all vendor that comes under same company code have comman reco account which is also takes care of the vendor libilites at company code level.

Regards

Sujoy