Purpose

The purpose of this document is to define the conversion approach for the object 2012 - Material Master Accounting View 1 in S4HANA.

The document details out the field list, extraction criteria, scoping, mapping, transformation logic, generation of the pre-load file and loading of the same with respect to the object 2012- Accounting View 1 of the Material Master.

The accounting view governs how a material is valuated financially within a specific valuation area (typically plant or company code). It directly influences inventory valuation, cost accounting, and integration with the General Ledger Accounting.

Key data/fields maintained in the Material Master- Accounting View 1 are as below:

General Valuation Data

These section of the Accounting View 1 of the Material Master contains the fields that controls the valuation behavior and integration.

1. Material Master - Field MBEW-MATNR
   This field represents the Material Master for which the accounting and costing views are created. The material number must exist in the table MARA (basic table for Materials)
2. Total Stock - Field MBEW-LBKUM
   This field stores the valuated quantity. The quantity gets updated upon the movement of stocks such as goods receipt, goods issue or scrapping. This field is available for display and not directly maintained in the Accounting View 1. The field gets updated in the MBEW table upon valuation.
3. Valuation Class- Field MBEW-BKLAS
   Determines the G/L account for inventory postings based upon the account determination configuration (Table T030)
4. Valuation Category - Field MBEW-BWTTY
   This is used for split valuation i.e. to valuate a material differently, e.g. in-house or external. In Syensquo, this field is not to be used in S4HANA as per the MDS
5. Valuation Type - Field MBEW-BWTAR
   This is used for split valuation i.e. to valuate a material differently, e.g. in-house or external. In Syensquo, this field is not to be used in S4HANA as per the MDS
6. Price Determination - Field CKMLHD-MLAST
   This field controls how prices are calculated in the Material Ledger. Below values are available to be maintained
   • 2: Transaction-based price- this indicator to be used for the case when ML actual costing is not active
   • 3: Periodic Price - this indicator to be used for the case where actual costing to be run for the material

Prices and Value

These section of the Accounting View 1 of the Material Master contains the fields that stores the prices and values of a Material.

1. Standard Price - Field MBEW-STPRS
   This is the standard price of the material applicable for the valuation area (plant). The field is updated with numerical value
2. Moving Average Price - Field MBEW-VERPR
   This is the moving average price of the material applicable for the valuation area (plant). The field gets updated with numerical value upon goods receipts, invoice postings, and price changes when Price Control = V. This field also denotes the periodic unit price that gets updated upon actual costing if the material ledger is active and relevant for costing of the material.
3. Unit Price- Field MBEW-PEINH
   This field represents the Unit price for the different prices. In order to avoid rounding impacts, it is recommended to set the unit price to 100 or 1000 units
4. Price Control- Field MBEW-VPRSV
   This field indicates the price control used to valuate stock/quantity of the material. There are two options available:
   1. S: Standard Price
   2. V: Moving Average Price
5. Total Value- Field MBEW-SALK3
   This field stores the values i.e. total quantity multiplied by the price

The Accounting View 1 and 2 of the Material Master in S4HANA is similar to that of ECC which is defined by the table MBEW and MBEWH however below changes in S4HANA become important considerations for the conversion:

• The Table MBEW is still applicable but due to introduction of Universal Journal, the costing data is integrated 
• Material Ledger activation is mandatory in S4HANA even though actual costing for some Company Codes may not be applicable

In SAP ECC, the Accounting View 1 is maintained for Materials which are mainly as below 

Reference: PF2 - where the total value is more than 0.

• Approx 112220 plus records across 94 valuation areas
• The Valuation Classes and the count of Material are as below in PF2 where material has a value (MBEW-SALK3 not equals to 0) as on 22nd Sept'2025

• Index	Valuation Class	Valuation Class Description	Records with Price Control S	Records with Price Control V	Total
  1	Z000	Main Raw Materials	1247	59	1306
  2	Z049	Interplant Raw Material	2	0	2
  3	Z050	Other Raw Materials	112	93	205
  4	Z051	Packaging	800	340	1140
  5	Z053	Semi-Finished Goods	2	0	2
  6	Z054	Utilities	3	1	4
  7	Z055	Gen & tec goods non packg	2423	89963	92385
  8	Z057	Waste	39	7	46
  9	Z058	Spare Parts	5	8397	8402
  10	Z05A	Assets- Quantity mgmt	1	167	168
  11	Z05L	Solid Fuels	0	4	4
  12	Z05P	Light Fuel Oil	0	1	1
  13	Z05R*	Gen & tec goods non packg	0	7	7
  14	Z05Y*	Utilities	0	2	2
  15	Z061*	Semi-Finished Goods	50	24	74
  16	Z100	Finished Goods	2985	2324	5309
  17	Z101	Finished Goods Purch.	100	3168	3172
  		Total	7770	104458	112228

Note:

• Valuation Classed marked with * to be confirmed as these seem to be duplicate.
• There are 2 records which do not have a valuation class. (not included above)
• The above numbers do not include the materials which have been set with "mark for deletion" 

Reference: WP2 - where the total value is more than 0.

• Approx 145580 plus records across 243 valuation areas
• The Valuation Classes and the count of Material are as below in WP2 where material has a value (MBEW-SALK3 not equals to 0) as on 22nd Sept'2025

• Index	Valuation Class	Valuation Class Description	Records with Price Control S	Records with Price Control V	Total
  1	Z100	CS Raw Materials	4987	378	5365
  2	Z110	CS Packaging	1946	573	2519
  3	Z120	CS Spare Parts	0	126159	126159
  4	Z125	CS Spare Parts assets IFRS	0	33	33
  5	Z130	CS Trading Goods	1171	59	1230
  6	Z140	CS Intermediates	1232	0	1232
  7	Z150	CS Finished Products	6166	1	6167
  8	Z160	CS Spare Parts consum>BOM	0	2265	2265
  9	Z170	CS Other operating supplies	0	442	442
  10	Z175	CS Office supplies	0	156	156
  		Total	15502	130066	144568

Note:

• Valuation Classed marked with * to be confirmed as these seem to be duplicate.
• There are 17 records which do not have a valuation class. (not included above)
• The above numbers do not include the materials which have been set with "mark for deletion" 

The target design in S4HANA for maintaining the Accounting View is as below

• Price Valuation: All materials that participates to manufacturing or semi-finished of finished goods (part of the BOM) should be managed at standard price with actual costing activated.
• The rest of materials should manage at moving average price without actual costing
  Note: In case of by-products, the price will be at standard price but without actual costing
• Apart from above the accounting classification will also be another factor in maintaining this view based on valuation class
• The field MBEW-MLMAA (ML Active) is set to active in S4HANA by default

The converted records for Material Master - Accounting View 1 will be loaded into the target S/4HANA system as overall load of Material Masters including different view, using standard SAP LTMC.

Conversion Scope

The scope of this document covers the conversion approach for the Object 2012 - Material Master Accounting View 1 from Legacy Source Systems into S/4HANA following the DD-FUN-050 Master Data Standard_2012-Materials Accounting 1

The materials relevant for valuation will be either having the price control indicator (MBEW-VPRSV) as S-Standard or V-Moving Average and accordingly the applicable price will be either maintained upon creation of a new material or updated based on the material movements.

For the purpose of the conversion, the standard price will be maintained in the field MBEW-STPRS (Standard Price) along with relevant price determination which will be used to arrive at the Total Value (MBEW-SALK3) upon the initial stock upload using movement type 561. 

Data Relevancy for object 2012:

The data from legacy system includes:

1. Active Material Master that are in use (Production or Procurement) -Materials are relevant in table MARA (General Material Data) and MARC (Plant Data for Material)
2. The Materials must exit in table MBEW for Valuation Area (reference table T001K) or Company Code (Reference Table T001) in scope for conversion
3. Active Material Masters where one of the Prices, Standard (Fields MBEW-STPRS) or Moving Average (Field MBEW-VERPR) is not blank
4. The BOM must exist if the Material has "With Quantity Structure" (Field - MBEW-EKALR) indicator active
5. The total value of the material is not equal to 0 i.e. field MBEW-SALK3 is not blank.

The data from legacy system excludes:

1. Material for which there is no stock available in "Total Stock (Field MBEW-LBKUM)

For the purpose of conversion, only those records which are active in Base table MARA and have a stock value will be considered. Accordingly, below approximated number of records are considered as scope for conversion, which may be reduced after cleansing.

Additional Information

Multi-language Requirement

Not applicable

Document Management

Not applicable

Legal Requirement

Not applicable

Special Requirements

Below are the special requirements with respect to Material Master Accounting View 1:

• As the Material Ledger is going to be active in S4HANA by default, the price control indicator of the source materials needs to align where applicable
• The costing run in the legacy system must have been completed has part of the month end activity in the cutover month
• The standard price must be maintained before the initial Material Load happens with movement type 561

No localization or specific requirements
No third-party system relevant for source 

Target Design

The to be target design relevant for Accounting View 1 of the Material Master based upon the MDS "DD-FUN-050 Master Data Standard_2012-Materials Accounting 1" is as below:

The technical design of the target for this conversion approach. 

Data Cleansing

For the purpose of the Object 2012 - Material Master Accounting View 1, the data cleansing should happen in the source systems PF2, WP2 as per below cleansing activity. The business cleansing is expected to be done by the business.

1. Identify all Materials that are not in use for Production, Procurement for the last two years and set them as "marked for deletion"
2. Identify all Materials that does not have any stock (Field: MBEW-LBKUM) and if these materials are not part of the BOM or any open purchase order then set them as "marked for deletion"
3. Identify all Materials that does not have any value (MBEW-SALK3) and if these materials are not part of the BOM or any open purchase order then set them as "marked for deletion"

Based upon the above rules for cleansing, the data will be extracted from source systems WP2, PF2 and will be checked in Syniti. The below checks to be done and reports to be generated

Conversion Process

The generic high-level process steps for the conversion are as below:

1. Extraction:
1. Extract from the source systems: Apply the selection parameters and data relevancy as mentioned in this specification, from the relevant tables
2. DCT: The DCT to be prepared if the data to be transformed and is part of the load file is not available in the Source system
2. Transform 
1. Transform fields by applying the fields and value mapping in the Syniti 
2. Generate and validate Pre-load files
3. Load
1. Load the validated Pre-load file using SAP's LTMC or the custom upload program as applicable. 

However, with respect to object 2012- Material Master - Accounting View 1, the conversion process will depend upon the overall cutover/migration strategy <To be finalised by Functional team>, in view of the mandatory Material Ledger activation in S4HANA. The common practice/approach and steps followed are as below:

1. Master Data: Load Material Master 
   Load material master data with all relevant views including Accounting and Costing views
   The price control S or V as decided is set in the Accounting View
2. Material Valuation: Load Material Valuation
   Data to be loaded includes Price Control, current standard price, current moving average price (if the price control is V)
3. Open PO, Production orders 
   Load open Purchase Orders and Production Orders if any
4. Load Inventory balances
   Data to be loaded for stock quantity per plant/valuation area
   This will update the total stock and value view in the accounting view
5. Material Ledger Costing - If the price control is S
   Run costing (CK40N) in the S4HANA
   Release standard price via CK24

As of now, this conversion specification is meant for updating the Accounting View 1 of the Material Master as part of the Material Master Load.

Standard LTMCs for Material Master and Material Valuations to be used.

Data Privacy and Sensitivity
Not applicable except materials having export control.

Extraction

Extract data from a source into Syniti.

There are 2 possibilities:

1. The data exists. Syniti connects to the source and loads the data into Synity. There are 3 methods:
   1. Perform full data extraction from relevant tables in the source system(s).
   2. Perform extraction through the application layer
   3. Only if Synity cannot connect to the source, data is loaded to the repository from the provided source system extract/report
2. The data does not exist (or cannot be converted from its current state).  The data is manually collected by the business directly in Synity This is to be conducted using DCT (Data Collection Template) in Synity

The agreed Relevancy criteria is applied to the extracted records to identify the records that are applicable for the Target loads

Extraction Run Sheet

Selection Screen

Data Collection Template (DCT)

2012 - Material Master 1 Accounting View 
DCT Rules

Extraction Dependencies

Below dependencies apply for extraction.

Transformation

The Target fields are mapped to the applicable Legacy field that will be its source, this is a 3-way activity involving the Business, Functional team and Data team.  This identifies the transformation activity required to allow Syniti to make the data Target ready:

1. Perform value mapping and data transformation rules.
   1. Legacy values are mapped to the to-be values (this could include a default value)
   2. Values are transformed according to the rules defined in Syniti
      
2. Prepare target-ready data in the structure and format that is required for loading via prescribed Load Tool.  This step also produces the load data ready for business to perform Pre-load Data Validation

Transformation Run Sheet

Transformation Rules

Transformation Mapping

Transformation Dependencies

Pre-Load Validation

Project Team

Completeness

Accuracy

Business

Completeness

Accuracy

Load

The load process includes:

1. Execute the automated data load into target system using load tool or produce the load file if the loading of records to be done using LTMC cockpit object of Material Master and Material Valuation. 
2. Once the data is loaded to the target system, it will be extracted and prepared for Post Load Data Validation with side by side check of each fields in scope of the objects with fields to be displayed as XXXX_ECC, XXXX_S4HANA, XXXX_MATCH ( As TRUE or FALSE) with an additional column denoting fields not matching and status of loading in S/4HANA as LOADED_IN_S4HANA ( As TRUE or FALSE) 

LTMC Template Material Valaution.xml

Load Run Sheet

Load Phase and Dependencies

The load phase for this object is ideally relevant for Pre-Cutover. TBC by S2P team.

Configuration

 Conversion Objects

Error Handling

The table below depicts some possible system errors for this data object during data load.  All data load error is to be logged as defect and managed within the Defect Management

Post-Load Validation

Project Team

Completeness

Accuracy

Business

Completeness

Accuracy

Key Assumptions

• Master Data Standard is up to date as on the date of documenting this conversion approach and data load. 
• Object 2012 is in scope based on data design and any exception requested by business.
• The load for this object will be performed along with/ as parr of overall Material Master Load 

Change log

Workflow history