Different GL Requirement on Plant to Plant Stock Transfer and rest of the Movt. of Stock Transfer on AUM Key

Hi Friends,

    My name is Mohsin Abbasi, I am an SAP Consultant of Materials Management.This is my first blog and I would like to share a requirement from one of our clients and how it is achieved in standard!

    One of our client mainly in textile was using Stock Transport Order, as there are two plants, one Plant (B) is manufacturing semi-finished which in turn used to make finished product in other plant (A). We maintain the semi finished i.e. on price control (S)standard, as we have PP module implemented as well. When they transferred material from manufacturing plant (B) to manufacturing plant (A), due to standard price there will be always chances of incurring price difference, as plant (A) sometime procure directly or do subcontracting and either start production itself in plant (A). Due to this there is cost price difference in both plant.

Requirement

There Finance department agreed to have separate GL for inter-plant Stock transfer (Price Difference inter Plant Transfer) Movt type 351 and for the rest of the material stock transfer GL would be for Movt type 411 E, 412 E, 413 E & 414 E (price difference Material Transfer). So that at the month end they could calculate the total price difference while transferring of material Plant to plant. In standard, there would be only one key which is triggering i.e. AUM while transferring of material. As company is following both MTO and MTS process. At that time, whatever difference incur either from plant to plant transfer or sale order to sale order, Sale order to own and own to sale order, GL is common and we need to separate it.

And the GL (Price Difference inter Plant Transfer) is hitting i.e. on movt type 413 E, 414 E, 411 E and 412 E, which is not required at all.

So, there is no Account modifier now in Standard SAP and the problem is how we can differentiate the GL stock transfer between plant and Stock transfer between sale order to sale order, Sale Order to own Stock and own stock to Sale Order.

And the GL is hitting i.e. on movt type 413 E, 414 E, 411 E and 412 E, which is not required at all while transferring Sale order to own and sale order to sale order and so.

And client wanted the separate GL incase of 411 E, 412 E, 413 E and 414 E i.e. 53500201 (Price difference from Material Transfer)

 

In Standard there is blank field in acct modifier w.r.t to every movt type. you can see in mentioned below screenshot as well.

OBYC Rule (Automatic Account Determination)

OBYC rule based on Five factor upon which system recognize that which GL should be posted in case of inventory management and invoice posting relevant to financial and cost accounting. These factors are:

• Chart of Account
• Valuation grouping Code
• Transaction Event Key
• Account Grouping
• Valuation Class

We can differentiate GL based on these Five factors.

1. 1. Chart of Account

2.Valuation Grouping Code

3.Transaction Event Keys

4. Account Grouping (General modifier)

If you wish to post price differences to different price difference accounts in the case of goods receipts for purchase orders, goods receipts for orders, or other movements, you can define different account grouping codes for the transaction key

5. Valuation Class

You can assign GL to valuation class and then that valuation will be assigned to material master data.

Now this is sure if you have any of above factor different, you can assign different GL but here All factors are same i.e. Chart of account 1000, Valuation Grouping Code 0001, Transaction event Key AUM, Account Grouping (Blank), Valuation Class (3001) and we can’t get separate GL with standard configuration.

Note: An account grouping is defined for the transaction/event keys GGB (offsetting entry to stock posting), KON (consignment liabilities) and PRD (price differences). And we don’t have account grouping for AUM in standard.

Solution:

After deep analysis, I came up with the solution of activating account grouping for Transaction event key AUM. As we are dam sure that plant to plant transfer is always done by STO which trigger the movt Type 351 which is different from other movt type of stock transfers like Sale order to Sale order 413 E and 414 E and Sale Order to own and so 411 E and 412 E. So we could make new account modifier to assign separate GL. To do this configuration is in shown in screen shots.

Now After this configuration, when i transfer Plant to plant, it will hit movt type 351 where General modifier is blank which fetch the GL 53500202  Price Dif Plant Tran which is client requirement. You can see the screenshot as well.

Now other client requirement is to hit the GL  53500201 Price Differnce Mat.Trnsfer  

on rest of the stock transfers i.e. 413 E, 414 E, 411 E and 412 E

Accounting Entry

I hope this will suffice your requirement, if you ever come across this type of scenario.

Best Regards

Mohsin Abbasi