problem with budget availability control

[Former Member]

Hi,

I am facing a problem with budget check availability control.when I use it for a project no stock type it works perfectly well, but if the project be a valuated project stock type then it does not work at all. I can post any cost to it budget does not stop me. One SAP document say that planned cost is not taken under consideration in case of valuated project stock, and I checked that until goods receipt there is not budget check is stopping me in the process.

Can anybody please suggest how it is possible to put some control of budget over the planned /committed cost of the project in case it is a valuated project stock.

Regards

[former_member230675]

Hi,
> I am facing a problem with budget check availability control.when I use it for a project no stock type it works perfectly well, but if the project be a valuated project stock type then it does not work at all. I can post any cost to it budget does not stop me. One SAP document say that planned cost is not taken under consideration in case of valuated project stock, and I checked that until goods receipt there is not budget check is stopping me in the process.
> Can anybody please suggest how it is possible to put some control of budget over the planned /committed cost of the project in case it is a valuated project stock.
> Regards

Please create Statistical Cost Elements for all your corresponding Inventory GLs then system will consider budget for your valuated project stock.

[pradeep_mahamuni]

Hi,

PS is highly intergrated with CO and budget check will not happen if cost are not updated against the cost elements.

You have not told that you are creating PR or just creating reservation ?

In case of no stock as soon as you receive the material it gets consumed and consumption posting is to consumption account.

But in case of valueated project stock 1st material comes into the stock it hits the inventory a/c and at the time of goods issue it hits the consumtion a/c.

To post the values correctly either the inventor or consumption correct OBYC setting have to be maintained with proper valuation class / valuation modifier, It is in GBB > VBR for consumtion and BSX for inventory.

Also check your REM order plan values are not excluded from availability check and are updated in assigned values.

check and confirm

regards,

[Former Member]

I have checked those config with help of CO and MM consultants , they confirmed it is as you said.

While I check the cost report it shows correct cost element. Another doubt , as you said only when material is issued it hitd the consumption account, but budget availability check should be executed before it hits the consumption account otherwise what is the use of it, I expected the moment you book some plan cost ideally it should check and alarm you the plan cost is exceeding the budget?

[pradeep_mahamuni]

Hi,

let me know what do you mean by plan cost.

Are you assigning the material which is in stock or creating PR for your material requirement ?

If Material is already is in stock then system will not the check budget.

If your are creating PR to receive the matiral in project stock then system will create the commitment and will chek for the budget availabilty if AVAC is activated against the project. It is the standard behavior if you have not implementd the notes to deactivate the budget check at PR level.

Check following things for your system

1. check commitment management is active for your controlling area.

2. Accounting views are maintained for your material with valuation class

3. check your budget tollerence limit is for all activities ++

4. AVAC is activated for project before created PR

While you are creating PR system will automatically derive the secondary cost element to make a statistical posting from your OBYC settings if it created for your inventory GL - Confirm with FI consultant. IF it is not created budget check will not happen

While doing the good receipt system will post the cost againt the cost elelement for consumtion GL which also derived from OBYC settings

Check and confirm. IF all things are fine then without going through your system i cant say more.

regrads,

[Former Member]

among the four points the first one that is commitment management is not activated, but without that my no stock projects are working fine, my problem is for the project with valuated project stock, do I need to activate commitment management? Please confirm if so I will do that and test.

Regards

[former_member388328]

yes, we need activate the commiment managment in the controlling area.

Thanking you

Vengaiah

[pradeep_mahamuni]

Hi,

You need to activate the commitment management.

What about the statistical cost element for inventory GL's and OBYC setting for BSX. Make those they are required to capture the PR commitments.

regards,

[Former Member]

I am in a problem , FICO is not very keen for commitment management, for them there are other effect of it. Now I have tried with creating statistical cost element but still it is not working. Do not understand the logic of valuated project stock and relationship of it with budget check.

Interesting observation is , while issue material it gives error that budget exceeded , why should somebody need that while issue material rather they need while planning , or at least before PO generation.

[former_member230675]

I am in a problem , FICO is not very keen for commitment management, for them there are other effect of it. Now I have tried with creating statistical cost element but still it is not working. Do not understand the logic of valuated project stock and relationship of it with budget check.
> Interesting observation is , while issue material it gives error that budget exceeded , why should somebody need that while issue material rather they need while planning , or at least before PO generation.

Please read SAP help and understand the concept of Budget in PS, as well as you can search this forum to understand about assigned value.

Budget will be always checked against assigned value.

and Assigned Value = Commitment + Actual + Remined Order Plan + Fund Reservation

[Former Member]

Thanks for your reply.

I was reading the following link

http://wiki.sdn.sap.com/wiki/display/PLM/AvailabilityControlCalculationinProjects

where the following para draws my interest:

Exception: Planned costs of networks or network activities that are used for forecasts are never included in the assigned value.

In status 'Technically complete', 'Complete' or 'Deletion flag', the plan value is never included in the

assigned value. The plan values of assigned networks are not taken into account for valuated project stock.

If you set the availability control to validation against annual values, the values planned at year level are

taken into account provided there is no overall plan value

So here the treatment SAP does for valuated project stock is different , perhaps the that is why project with no stock and project with valuated project stock are working differently?

[former_member230675]

Did you check OKKP whether project management is active or not..

similarly did you test a new project after creating statistical cost elements..

Please create a new project and test it..

[former_member388328]

Hi

Please goto mmo3 and check whether in accounting tab1 there is valuation class for project stock. If that is not there then fill it up. and try the availability check.

Thanking you

Vengaiah Chowdary

[Former Member]

yes it is there, we have two different valuation class , one for project stock and one for plant stock, and the project is created as valuated project stock.

Can you explain me when this budget availability control actually will stop me from crossing the budget, is it at planning stage or it is latter. I have checked and my result is that for no project stock it stops me at planning stage but for valuated project stock it does not , it does not consider the planning cost at all, I some times get error while issueing the material. For service items it seems to work well.

[pradeep_mahamuni]

hi,

You are already gone through the link http://wiki.sdn.sap.com/wiki/display/PLM/AvailabilityControlCalculationinProjects

As per your scenerio project is created as valuated project stock.

1. when you are selecting Reservation for the WBS and not creating PR at this time cost will be updated as a plan cost for the WBS (IT is not part of assigned value) and system will not check the budget.

2. When you are creating the PR at this time system will update it as PR commitment and will be part of assigned value and also check for the budget if you have maintained the OBYC setting with reference to the valuation class of your material by maintaining the appropriate GL in BSX (Statistical cost elelement shold be created) and GBB > VBR.

3. If you have maintined valuation class for project cost in material maser along with the valuation class then for the valuation class for project cost also you have to maintain above settings in OBYC

Do all the setting s mentioned above and check by creating fresh project.

Now Hope so it is clear to you