Material Valuation

[Former Member]

Hi All....

We have the following Scenario in our implementation..

We recv the Goods from the Vendor for Material-A at Rs. 20/Unit, then we make the GR with External batch input (batch-1)

We then recv the same Material-A on other date at Rs. 25/Unit, then we GR with External batch input (batch-2)

Our client requirement is, while doing Issue to Production any batch should be selectable (this is by default ok)

My question is, if we set Mvng Avg Price valuation for this material, and managing with batches, *will the unit prices are seperately picked up while issuing or different batches are averaged? means in this case avg price of both batches is Rs. 22.5/unit

But the requirement is, while costing seperate prices should be pulled....means when Batch-2 is issued, system should take 25/unit only...

Pls guide me as I'm confused with this scenario, someone suggested Material Ledger be maintained...

Kindly suggest how to configure this requirement....

Thanks in advance

Suraj

[Former Member · Accepted solution]

Hi Suraj,

Fortunately, your requirement can be covered without any additional configuration. For the materials which are batch managed, goto the accounting view and under Valuation Category, please select 'X'. This will make the material split valuated with automatic valuation types.

What this means is, every time a new batch is created system will create a new valuation type in the background. This valuation type will have an independent moving avg price. So in your case, Batch 1 will have a moving avg price of Rs. 20 and Batch 2 will have a moving avg price of Rs. 25. During production the moving avg price of the batch being consumed is taken up for calculations.

Hope this answers your query.

Priyadarshi

[Former Member · Accepted solution]

Dear Priyadarhi...

thanku very much for your valuable input....In my system Val Category "X" not maintained...should we maintain that in the Split Valuation? If yes pls tel me the steps to configure it, since you told at every GR new Valuation Category will be generated....

It will be very helpful if you help me further with this

Regards

Suraj

[Former Member · Accepted solution]

Hi Suraj,

I am a little surprised when you tell me that you do not see the Automatic Valuation Catagory X. It is delived as a standard by SAP.

For configuring a new Valuation Category, you have to goto the path SPRO->Material Management->Valuation and Account Assignment->Split Valuation->Configure Split Valuation. Select Global Categories. If you do not see X Automatic (Batch) here, proceed as follows:

Click on create

Give digit X in valuation category

Under description write "Automatic (Batch)"

Mark the tick Val. type Automatic.

Do not mark any other tick.

Save and come out.

Now in your Accounting 1 view, you should be able to see this X in the dropdown list. For activating split valuation, you just need to select X and save. The system with create automatic valuation types whenever new batches are created.

With Regards,

Priyadarshi

[Former Member · Accepted solution]

Dear Priyadarshi....

Thanks a lot for your help...Pls confirm will this work OK for external batch numbering. We are supposed to enter batch numbers externally (as per client requirement) during GRN. So if we set Val Category "X", then assign external batch numbers, will the Automatic Valuation Type will be created to manage the prices at the Batch Level ?

Your solution has solved most of my prices, kindly clear this adoubt as well to help me fix this issue...

Thanks and regards

Suraj

[Former Member · Accepted solution]

Hi,

The good news is it will work with external numbering of batches also.

The valuation types are created corresponding to the batches, it does not matter if the batches are internally numbered or externally numbered.

Good that this has solved your problem. Go ahead and test this in your test server. We have used this in the past and you should not face any problem with this approach.

Priyadarshi

[Former Member · Accepted solution]

Thanks a bunch buddy...u have made my day!!!!

Regards

Suraj

[Former Member]

v good