Budgeting for Material Management

[atif_farooq]

Hi Guys:

           I am starting to get success in budget posting now and AVC gets triggered at the time of consumption in FI. This of my query related to material management area. I have a fund center "Procurement". Its is a superior fund center in procurement hierarchy. Local procurement, Technical procurement, Imports Procurements are subordinated to it. I have created their fund centers as well. I want to assign budget to these areas of responsibly for the year. Since purchasing is done through MM, i am confused what to give in Commitment item field in FMBB ? for entering budget. What thing will trigger system if i post material PR ?How will the whole process work.

Regards

[iklovski]

Hi Atif,

For the process of MM flow to FM, please refer to help.sap.com. In a normal scenario, PR and PO will create commitments in FM tables and consume the budget, but you can modify the settings.

Regarding FMBB: budget could be put at least on fund centre and commitment item, i.e. you cannot budget fund centre or commitment item alone, but always in a combination. Commitment item exists in every basic layout of FMBB transaction.

Regards,

Eli

[atif_farooq]

Hi Eli:

            Yes i know right from the start that budgeting can not be done alone for fund center. Its obvious how can we budget without area of responsibility which has funds in it. I just wanted to ask that if i want to control MM budgeting which commitment items should i use . I know at GRN Stock i debited and GRIR clearing is credited..Here GRIR commitment items has financial transaction 40 & commitment item category 3..When i raise PR system sends a warning message

Item 00010 contains commitment item with financial transaction other than 30

Check your entry and enter a commitment item with financial transaction 30.

So how can i budget it...Should i derive it from material number ?

Regards

[iklovski]

Hi,

Please, consult note 1466979 for commitment item types to be used. You don't budget GR/IR account, but the expenses accounts (if you issue PR to expenses) or stock accounts. Commitment items behind these accounts should be defined as 30/3, if you want to budget them.

Regards,

Eli

[Former Member]

Hi Atif,

I dont think that is really required to create commitment item for GR/IR Accounts. If you study help.sap.com as Eli told you, you will find that the system derives FM Account Assignments from the PR or PO.

Hence when you do GRN the GR/IR Clearing Accout will take up the commitment item of the Stock Accounts itself. This should really not be a problem.

Regards,

Dhruv

[iklovski]

It's required, but of special nature. Every posting must have an assignment of FM address (even, if it's dummy) after FM is activated.

[Former Member]

Hi Eli,

I have not created any commitment items for GR/IR Accounts. Could you elaborate the circumstances under which commitment items should also be created go GR/IR Clearing Accounts as well.

Is my customization wrong in this regards, as even though I have not created commitment itmes for GR/IR, still the system is not at all stopping me to post the GRN.

Regards,

Dhruv

[iklovski]

Hi,

Some FM assignment should be there when you post to GR/IR; check the tables.

Normally, the commitment item assigned to it should be of the nature 40/3 (refer to the note above). Not defining it correctly, might have consequences on FM processing of MM documents (depends on the customization and business requirements).

[Former Member]

You are right. There shoulg be some FM Assignment to GR/IR, which in my case is same as the stock account FM account assignments. Hope this is not a problem.

Regards,

Dhruv