Finance COPA enhancement and what MM side should implement

[Former Member]

Dear all,

I would like to seek your opinion.

Our company (an airport company) recently embarked a new SAP project with the following proposed enhancement and implementation:

1 - Implements new Chart of Account (COA) and profit center, cost center.

2 - Implements CO-PA

3 - Implements New GL

4 - Legal reporting from New GL using company code

5 - Segment & Management reporting from new GL using business area

6 - Revenue and profitability analysis by various dimension (i.e. revenue category, customer group, product group)

7- Migrate data from current instance of SAP to the new instance of SAP.

8 - purchasing and inventory improvement

My questions:

a - What kind of impact it had on MM (i.e. purchasing, inventory, invoice verification) side as a result of above enhancement?

b - What kind of action need to be complete to implement in MM side as a result of above enhancement?

c - What area we should analysis in term of MM area a a resut of the above enhancement?

Appreciate your experience replies.

Thanks,

Tuffy

[ajaycwa1981 · Accepted solution]

Hi Tuffy

A. Based on the info you have provided, I dont see any thing to be done in MM... the Purchasing, Inventory, and IV remains a pretty standard process and has no impact due to introduction of New GL, COPA, etc

B. However, if you are introducing New Business areas which are not in current instance, in that case you will have to assign your plants to these business areas.. With this, the stock in MM gets assigned to New Bus Area, but the GL values dont. For this, you have 2 options

1. SAP recommends : Issue inventory to some cost center (201 Mvt)... Change assignment of plant to business area and then do 202 movement to bring back the stock... This is very cumbersome..,.

2. My approach: Though SAP does not recommend this, I prefer to follow this as it saves a lot of time... I remove the auto posting indicator for the "Stock a/c", and pass a JV in F-02 to move the stock value from old assignment to New Business Area.... (In F-02 dr and cr the same GL)

As long as the auto posting indicator is not restored, system wont allow to post any MM transactions... Thats a check in-built in SAP... So, i take benefit of this...

C. You mentioned some "Purchasing and Inventory improvement".. if you can elaborate on this, may be we can throw some light on this... But, for sure, with the introduction of New GL, COPA, nothing needs to be done in MM

D. I hope you guys would have decided on the data migration and testing strategy once migrated into the new instance.. So, I am not commenting on that...

Regards

Ajay M

[ajaycwa1981 · Accepted solution]

Hi

Also, with the introduction of new chart of accounts, you will have to do changes in OBYC... If your inventory accounts are going to be different than the earlier ones, then you will have to make changes in OBYC as well

I would suggest take the current dump of OBYC from T030 table and do a mapping of Old Inventory GLs to New Inventory GL accounts (STock, COnsumption, PRD and every thing) in excel

Then, you will have a perfect control over the changes to be done in OBYC

Regards

Ajay M

[ajaycwa1981 · Accepted solution]

Hi

Forgot to mention.. With the introduction of new Profit Centers, you will have to change the same in Mat Master...

To move the values from old PC to new PC in GL accounts, you will have to follow one of the 2 options I mentioned for business area...

The new cost centers would impact OKB9 settings.. You might have mentioned some OBYC accounts in OKB9 for default account assignment

Also, your vendor accounts would attract a change in recon accounts due to change in chart of accounts

Regards

Ajay M

[Former Member · Accepted solution]

Hi Ajay,

Thanks on your reply, may i know what is the

A - 1) difference between OBYC and OKB9 and 2) their linkage.

B - OKB9 changes should be perform by FICO consultant right ? not the MM consultant right?

Thanks.

[ajaycwa1981 · Accepted solution]

Hi

OBYC - Links your inventory movements to GL accounts...

BSX key in OBYC specifies when there is Goods receipt, which account should be debited as Stock account

GBB key in OBYC specifies the inventory off set accounts like consumption accounts, scrap accounts, COGS accounts, etc.. In short, all those accounts which can reduce your inventory

Likewise, for other keys like PRD, etc

OKB9 - specifies a default CO object.. Eg: you specify a GL in PRD for price differences in OBYC. This GL is also a cost element.. So, it would ask for a CO object while posting.. You can default a Cost Center in OKB9 for this GL account so that it wont ask the user to enter manually...

there is no specific link between OBYC and OKB9.. But, for some accounts in OBYC you can specify a default CO object in OKB9 as explained above for PRD...

OBYC is preferably done by FICO guys...

You can take dump of OBYC from table T030 and dump of OKB9 from Tables TKA3A. Do a VLOOKUP in excel and you will come to know what accounts of OBYC are having default CO object assignment in OKB9

Regards

Ajay M

[Former Member · Accepted solution]

Hi Ajay,

What about OKB9, should it be done by FICO folk?

thanks

Tuffy

[ajaycwa1981 · Accepted solution]

Hi

Yes, I always prefer to keep the control with FICO guys

Regards

Ajay M