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Author's profile photo Amit Anasane

Split Valuation Activation & its Material Master creation

Split Valuation Use: – For certain materials, it is necessary to evaluate the various stocks in a particular valuation area separately, this configuration guide will provide configuration details for activating split valuation for valuating in-house production and external procurement stocks. Also this document will show the procurement process of the split valuated materials.

Configuration of Split Valuation

1.1 Activation of split valuation

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1.2 Configure split valuation

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For External Valuation type put

Valuation type = External

  1. Ext. Purchase Orders = 2

Acct cat. Reference = 2000

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Then click on Save.

Again click on Create tab to create In House valuation type.

For In House Valuation type put

Valuation type = In House

  1. Int. purchase orders = 2

Acct cat. Reference = 2000

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Then click on Save.

1.2.2 Create Global Category

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Then Click on save.

1.2.3 Assign “Valuation types to Valuation categories” (Global)

  1. Global Categoriesà Types -> Cat. àPut a cursor on Valuation type and click “Activate”

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By this way we can activate split valuation for in-house production & externally procured materials.

Split Valuation for Material

1.1 – Purpose

          The SAP R/3 System allows you to valuate stocks of a material either together or separately. According to different valuation criteria Split valuation is necessary, if stock from in-house production has a different valuation price than externally procured stock.

2.  Process :-

2.1 Creation Of Material Master

Create Material Master through MM01, and also select Accounting views

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2.2 – External procurement process of material

Step 1

Create P.O through Me21N , maintain the “valuation type” as external in delivery tab in item level.

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Step- 2

Make goods receipt with respect to the P.O no,

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2.3 — In – House production confirming for the same material,

Step- 1 Create production order

           T- code Co01

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You can see in “Goods receipt” tab Valuation type is defaulted as “IN HOUSE”.

Now confirm the production order using T-code Co11N.

Check the stock over view in Transaction MMBE which shows stock for two different valuation types.

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      40 Comments
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      Author's profile photo Jürgen L
      Jürgen L

      Well done - much better than the initial version

      if you activate the default for valuation type in creation of valuation category, then you do not need to enter the valuation type manually in a purchase order.

      Author's profile photo Amit Anasane
      Amit Anasane
      Blog Post Author

      Thanks very much Sir,

      Your appreciation gives me lot of confidence and do much more better work in future for our community for helping others. will definetly improve in future posts.

      thanks once again.

      with best regards,

      Amit Anasane

      Author's profile photo Ragini sap
      Ragini sap

      Useful document.

      Author's profile photo Amit Anasane
      Amit Anasane
      Blog Post Author

      Thanks Ragini,

      Author's profile photo Satish Babu
      Satish Babu

      Good work... keep it up... 🙂

      Author's profile photo Amit Anasane
      Amit Anasane
      Blog Post Author

      Thanks very much Sir.

      Author's profile photo Former Member
      Former Member

      Great work !!

      Author's profile photo Amit Anasane
      Amit Anasane
      Blog Post Author

      Many thanks for your appreciation.

      Author's profile photo Former Member
      Former Member

      Good Work!!!!

      Author's profile photo Amit Anasane
      Amit Anasane
      Blog Post Author

      Thanks Prabhu for your appreciation .

      Author's profile photo Former Member
      Former Member

      Excellent

      Author's profile photo Deepak Jharkharia
      Deepak Jharkharia

      Hello Amit,

      Nice effort and content is good though presentation could have been more better with appropriate indexing/formatting.

      Best Regards,

      Author's profile photo Amit Anasane
      Amit Anasane
      Blog Post Author

      Hi dee joy,

      thanks, will definately take care in next document presentation.

      with best regards,

      Amit Anasane

      Author's profile photo Former Member
      Former Member

      super...

      Author's profile photo Amit Anasane
      Amit Anasane
      Blog Post Author

      Thanks Raja

      Author's profile photo Former Member
      Former Member

      Thank you. I was looking for split valuation tutorial and this one is the best I have found.

      Author's profile photo Amit Anasane
      Amit Anasane
      Blog Post Author

      thanks Mehboob

      Author's profile photo Bisweswar Sahu
      Bisweswar Sahu

      Thanks for such good presentation.

      Author's profile photo Amit Anasane
      Amit Anasane
      Blog Post Author

      🙂 Thanks Bisweswar for your appreciation

      Author's profile photo Former Member
      Former Member

      Appreciable Effort.

      Author's profile photo Amit Anasane
      Amit Anasane
      Blog Post Author

      thanks .. 🙂

      Author's profile photo Syam Kumar Dodda
      Syam Kumar Dodda

      Hi Amit,

      Very Useful document.

      Keep Posting like this..

      Regards,

      Syam Dodda.

      Author's profile photo Amit Anasane
      Amit Anasane
      Blog Post Author

      Thanks Syam 🙂

      Author's profile photo Mohsin Abbasi
      Mohsin Abbasi

      Dear Amit,

      Such a nice presentation. Keep it up.

      Best Regards

      Mohsin Abbasi

      Author's profile photo Preeti Kashyap
      Preeti Kashyap

      Very Nice and useful document to gain knowledge.

      Thanks 😆

      Author's profile photo kumar kumar
      kumar kumar

      Hi Amit Anasane, Thanks For Sharing the Document Regards Kumar

      Author's profile photo Amit Anasane
      Amit Anasane
      Blog Post Author

      i am happy that this document was helpful to you thank you very much.

      Author's profile photo Former Member
      Former Member

      Hi amit,

      thanks for the details explanation.. 🙂

      can i do split valuation quality wise if yes please let me know how to achieve this.

      Author's profile photo Amit Anasane
      Amit Anasane
      Blog Post Author

      Hi Vidya,

      sorry for the late reply, you can define valuation category for quality grades of material and configure the split valuation depending upon quality of the material. thanks

      Author's profile photo Amar Lal Lohano
      Amar Lal Lohano

      Hi Amit,

      First of all very useful explanation. Excellent one, I must say. 

      My question is that can we use Split Valuation for Normal Material procured from a vendor for own use and Donated Material provided by a Donor for onward distribution for relief purpose in a single Material Type? I want to keep the price of both the materials same, but want different valuation class for both, so that they can hit relevant GL's in OBYC.

      Thanks and Regards,

      Amar Lal

      Author's profile photo Former Member
      Former Member

      Hi Amar,

      My apology if i got you wrong. As per your question you are referring two different material masters, please correct me if I am wrong. If my understanding is correct, in split valuation concept, it is only one material master where we maintain different data at different valuation type levels.

      Regards

      Sesha

      Author's profile photo Niyash Mohammed
      Niyash Mohammed

      Thank u very much... Much useful.

      Author's profile photo Former Member
      Former Member

      Clear explanation helped me a lot

      Author's profile photo S@nj@y J.
      S@nj@y J.

      Golden Document for each and every SAP MM/FI Consultant.

      Keep posting such awesome documents dear bro...

      Author's profile photo Former Member
      Former Member

      Much useful document with clear explanation...

      keep posting

      Author's profile photo Simar Akmal
      Simar Akmal

      Great Document Amit Anasane

      Thank you so much

      Author's profile photo Former Member
      Former Member

      Nice document Amit.

      Author's profile photo Former Member
      Former Member

      Useful document.

      Can you also tell us how valuation calculated as rates are different?


      Author's profile photo Rahul R
      Rahul R

      Useful Article

      Author's profile photo vinay kumar
      vinay kumar

      what about valuation class ? for example in steel we have different grades and the value of steel for particular grade the values also vary then how to maintain split valuation in this situation