STEP 1
Go to KSB1, select your cost center(s) and the layout "/SPS VAR" (this layout is excluding some items which should not be considered as a ML variance, for example subcontracting POs)
Update the number of lines to the maximum 999999999
Execute
Accounts excluded automatically in this layout:
STEP 2
Identify the materials with an unbalanced amount
STEP 3
Material balanced with Internal Margin Program
As mentioned on the beginning of the procedure, the Cost Centers *843* should be balanced with the run of Material Ledger and/or Internal Margin.
When the CC is balanced with ML, it's easy to analyze, as all documents have the material code, so we can make a sub-total by the material. Anyway, it's important to know that the Internal Margin posts the documents in the CC without the material code, making more difficult to identify these situations. So, how to identify these materials?
All documents posted via the Internal Margin program are using a KB* document with Document Header Text referring "MKPF" and then a MM doc nr.
As these documents are posted without material code, they can easily be identified in KSB1 by checking these 2 characteristics mentioned (material number and document header text). By rule, before running the cycle D43, the only documents without material code should come from the Int.Margin program (it's technically possible to have other manual documents without material code, but it is not correct, and they will not be read by the cycle). Anyway, it can be confirmed.
Situation 1 - Easy to identify the respective materials:
In the situation below we can easily see that the Int.Margin program is considering the 3 materials below, as their total is 0. In this case, despite the CC be balanced for these materials, it's just because technically the Int.Margin doesn't add the material code, because it's everything OK.
Situation 2 - Total of Internal Margin is not balancing the materials:
However,we might have situations where the total material is not balanced with the Int.Margin, and a delta remain - In the example below, we can see that the Int.Margin program is considering some of the materials below, but a part of the total amount is not balanced (as we remain with a final delta of 150€, which we can't easily identify to which material it refers).
In case we have a big delta and we really need to know the respective materials, the only way is to enter in the MM documents and check it manually.
Example:
- In KSB1 we can retrieve the MM document number, in the field of the Document Header Text.
- We can go to MB03 and insert this document number:
In this situation, this amount 536,06€ is linked to the material 31867_ROAB, meaning it should be summed with the amount already present for this material in KSB1. So, after the analysis, we can see that this material has a final delta of 1.483,31€ (-2.019,37 + 536,06):
STEP 4
Analyze the reason for the unbalanced amount - usually after running the last step of ML + IM, all materials should be 0
All materials with amounts higher than the threshold agreed (see below) should be analyzed before running the cycle to COPA:
- KLE: Threshold by product 5.000 € (to be converted accordingly for the non-EUR companies), with a maximum of 50.000 € by company code.
- Non KLE: Threshold by product 1.000 € (to be converted accordingly for the non-EUR companies), with a maximum of 25.000 € by company code.
For each situation, after analyzing the origin of the deltas, it's important to understand if there is any issue or not.
For the situations where we find issues (example: material master data is incorrectly set with S2 and should be S3, allowing the run of ML) the correct way would be to reverse and re-run the IM / ML - final validation to be provided by the controller, depending on the closure status + amount at stake.
If the material is showing a difference, but there is no real issue (example: materials with S2) we can continue with the process and, if needed, provide the justification to the controller, for his/her awareness that this amount will be allocated to D43.
Situation 1 - Material is S2:
The Material Ledger will roll-up the variances only for materials with the following master data (to be checked in MM03, tab "Accounting 1):
- Price Control = S (Standard)
- Price Determination = 3 (Single/Multi Level)
Meaning that all the variance captured in a material with S + 2 will not be settled by CKMLCP, and the variance will residue in 843 cost center, subsequently assessed to COPA via cycle.
Everytime we have a difference because of this, it's important to understand if the material is correctly classified or not. How? Checking the rules for each material here and, in case of doubts, contacting SU-MAC Team.
Situation 2 - Not Allocated:
Consumption for Movement 309 was not revaluated. The S-L / M-L variance in Cumulative Inventory which should belong to the moved stock now was put away as Not Allocated, due to targeting material with S + 2 .
How to calculate the amount not allocated?
The idea of the revaluation is that this amount is split by all materials of this consumption. In this case, the ones below:
If we check the master data of all these materials, we'll see that the last one is S2, and not S3, so, the ML is not able to allocate the revaluation part for this material - it only revaluates for the others.
Situation 3 - Not Distributed (Zero GR from PP Order)
Variance was generated by the PP order settlement, but the produced qty is zero and no any stock at CKMLCP closing, so ML is not able to distribute that variance. (company 4290).
Situation 4 - Not Distributed (Negative Open Stock):
This is happening because the beginning inventory is smaller than receipts quantity for this month in this material. Consequently this difference can’t be fully distributed by the system.
How to calculate the amount not distributed?
Go to transaction CKMVFM and fill the company code + material + plant + period
Outcome of the transaction:
