PO Creation without WBS budget but AVAC activated

[Former Member]

Dear Experts,

I have activated budget with AVAC for a project, If budget is available in wbs element i can create PO and post direct cost.

But for some wbs elements there is no budget and the user wants to create PO because initially they will purchase and later they may bill that amount to customer.

But without budget for a wbs element i cannot create a PO here?

Please suggest

Thanks,

[Former Member]

Hi,

Exclude P.O. from availability control i.e. from tolerance and check.

Because of this Budget check will not happen during PO creation.

may your requirement meet.

[Former Member]

According to your customer requirement, you stated that they do not want AVAC checking on a particular PO for a specific WBS Element...

If you did not distribute a budget value to a WBSE -then AVAC will check against the budget value maintained in that Element's superior WBSE. it's a roll up hierarchy so it will go up the hierarchy to check availability.

If the control you have set is a Warning, then the the PO can still be created and processed with ONLY Warnings issued (just remember the "green check" will not work, the user has to "press Enter" on the keyboard to proceed.

NOTE: If you decided to deactivate the AVAC anytime you reactivate the AVAC -you must execute CJEN for that project to have the function reset. If you don't do this, the AVAC is futile

Finally, another alternative you may exercise is to maintain a threshold VALUE for that project to control the spending. Therefore, input the value of the PO for the budget profile so the project budget may exceed up to that PO value only; this is an "Absolute Variance" option by currency. Go to Define Tolerance Limits to set the value threshold.

contact -lxcortez(at)googlemail dot com 🙂

[former_member195427]

If budget in child WBS is '0' then system will check the budget from parent WBS element.

Also,there sure the error you are getting is not a custom one.Check the SAP note given above by Varshal.

Thanks.

[Former Member]

Dear Experts,

User has this issue -

Initially they will pay from their pocket and later bill to customer.

This is the situation with one project.

Please suggest

Thanks

[sushrut_sheth]

Dear Pavan,

as per requirement

please check the status of the WBS element it shall be BUDG AVAC, where in there is no budget

this happens when you release the budget and save it without any value.

so best way is to deactivate status budget for the WBS element  Material Purchase

for deactivating ,deactivate status AVAC for that project and then remove the status budget for that WBS elements(OPSX).and then reactivate the AVAC

this shall resolve your issue.

[former_member195427]

Hi Pawan,

As I understood from your query " If WBS is not budgeted (0 Budget) no PR/PO should be allowed against WBS? "

You have two ways:

1. Lock the account assignment of non-budgeted WBS (AALK). It will not allow user to create further PR/PO.

2.Use 'User Status' functionality to control it.

NOTE: If WBS is not budgeted but still system is showing BUDG system status for the WBS then use OPSX t-code to reset it.

Regards

Saurabh

[varshal_kachole3]

Hi,

Is this requirement for POs for specific materials or for all the POs.

I would suggest to add the Cost Element in the exempted category.

Thank you and Regards,

Varshal Kachole

The SCN Rules of Engagement

[Former Member]

Dear Experts,

Regarding issue - am suggesting like this, In Tolerance limit - I will give 100 % Warning and wont give any Error.

So that user can create PO when WBS as status REL - BUDG - AVAC.

For the Budgeted WBS, we need to inform users regarding earning message means, your budget is crossing 100%.

I can find only this solution.

Please Suggest,

Thanks,

[sushrut_sheth]

Dear Pavan,

if this is so then

you can create the tolerance limit itself to 120% and have a error message

because without error and only with warning message you shall allow user to create any value of PR/PO thus in overall you shall not be using the budgeting functionallity

hope you can think over it again and suggest and convience customer to stick to 100% with error as this is the best practice to have optimum use of budgeting fuctionallity

[Former Member]

Hi Sushrut,

You right,

Let me suggest in this way.

100% Warning

120% Error

Thanks,

[Former Member]

Hi Sushruth,

Sorry wrong information from myside one below message,

100% Warning

120% Error

User has some WBS elements which has no budget in CJ30 and initially they pay expenses from their pocket, I have only option of setting Warning Message at 100%.

Thanks,

[Former Member]

Dear Experts,

I still have issue, Can you please check the WBS T-06424.2 in yellow highlitened no budget but AVAC activated, Now how can I create PO or create vendor invoice with this WBS element.

Tried Posting actual to that WBS element, getting budget exceeded because AVAC activated.

My requirement is for that WBS without budge I need to create PO.

Please suggest, screenshots attached.

Thanks,

[former_member195427]

Pavan,

Have you tried with 'exempt cost element option' (OPTK).

Check which G/L-Cost element you are using for PO creation. Mention that CE  in OPTK against CO area. In this case, system wont give you budget error with PO.

Also, before doing that please run program CNSTATUS for this project ,may be there is some system status inconsistency. if it does not work then go with above method.

Regards

[Former Member]

This will work, Can I propose this solution to the business?

What is the impact in a real project?

Thanks,

[former_member195427]

Yes ,you can propose this solution to the business.

The impact is system wont give budget error wherever you will use this transaction for posting in projects. You can ask with your FI/CO guy to create a new CE-G/L for this purpose or use an existing one.

Regards

Saurabh

[Former Member]

Hi,

In the below 2 scenarios Budgeted WBS element and Non Budgeted WBS element using same cost element, If I exempt "Purchase raw material" cost element in OPTK,

For scenario 1 budgeted wbs element also wont show any error message.

Example - Vendor Invoice-      

Scenario - 1 - Budeted WBS element

Purchase Raw material    WBS 1

   To Vendor A/c

Scenario - 2 - Non Budgeted WBS element.

Purchase Raw material     WBS2

  To Vendor A/c

Please Suggest.

Thanks,

[former_member195427]

Hi,

You are right Pavan, In that case I would suggest you to check for a validation/substitution available for it in MM side.

Or

Go with development to validate it. Like if WBS is T-27-06-01 then G/L xxxxx should be picked.

Actually, I looked for one more option which is OKB9: Default account assignment ,here you can use network as account assignment under the WBS (exempt one) but I am not sure of it because it will bring account assignment with the entry of G/L and vice versa is possible or not,you can discuss on it with your FI/CO guy.

At last, its your call to decide which way to go.

Regards

Saurabh

[Former Member]

Hi,

I can see only one option which is at tolerance level we need to give only Warning as100% and no error.

In this case it will work.

Thanks,

[former_member195427]

Hi,

This tolerance limit will be applicable to all the WBS elements. So, please discuss with the business on it.

Thanks

[Former Member]

Yes, This is the only one option I find.

I need to convince business in saying that will use warning in tolerance not error.

Thanks,

[sushrut_sheth]

Dear Pavan,

seeing the screen shot,it is confirmed that it is a first level WBS element

In your project while budgeting only enter the WBS element for which you require budgeting.

in the other words,carry out budgeting process for all 1st level WBS elements independently so as no budgeting or AVAC status is activated for the WBS element ,you can create PR-PO without budgeting that 1st level WBS element.or wbs under it

In future if you require to do budgeting and AVAC,based upon the assigned and the future requirement you can carry out budgeting for that 1st level WBS element. in this case you need not go for the changes in the customization .

hope this shall help you

[varshal_kachole3]

Hi,

Did you try the below option in Tolerence Limit:

COAr         Prof.       Tr.Grp     Act.      Text                                  Usage      absolute      Crcy

ABCD      ZPROJ      ++        3      Budget Profile: Project-2      100.00     0.00            USD
ABCD      ZPROJ      01        1      Budget Profile: Project-2       999.00    0.00            USD

Hope it helps!

Thank you and Regards,

Varshal Kachole

[Former Member]

Hi Varshal,

If I configure 3 i.e.Error, without budget in wbs element in CJ30 I cannot create any PO and post invoices right.

Please Suggest

Thanks,

[varshal_kachole3]

Hi,

I assumed you do not want the AVAC for POs and for rest AVAC is required with Error at 100%.

So with 999% for Tr. Group=1 (Purchase Orders), this would take the precedence over ++. I suggest you to check if this meets your requirement.

Else proceed with the Error as mentioned in your earlier reply.

Thank you and Regards,

Varshal Kachole

[Former Member]

Hi Varshal,

You mean to say proceed with warning message as 100 % right?

Thanks,

[Former Member]

Hi,

Is any Parent WBS is available upon the concern WBS. Because there may be possibility that your budget consumed from parent WBS. As standard process, if you haven't assigned any budget to child WBS and budget is available to header or parent WBS, then your budget will consume from that.Check the line item details for consumption.

Regards

Shishir

[varshal_kachole3]

Hi,

Please review SAP note http://service.sap.com/sap/support/notes/166394.

I am sure this note will answer your question and help you to develop the solution for your client.

Thank you and Regards,

Varshal Kachole

The SCN Rules of Engagement

[Former Member]

Hi Pavan,

What do you mean by  "But for some wbs elements there is no budget".?

Please clarify whether your budget for those WBS has been exhausted or you need to supplement some more budget?

Also, provide the screen shot of the error that you are getting at the time of creating PO.

Regards,

Amit

[Former Member]

Dear Pavan,

Once AVAC acivated for Budget  you will have budget control until unless you have  budget you wont be able to create Po one thing you can try is to maintain 100% contigency to your budget profile and create Po  then system should not stop. but this will not make sense of having budget controll to our W.B.S.E

The best way is to create a seprate project profile  for which you can avoid budget control. and for that particular requirement you can use these profile and crate a  W.B.S.E and create PO then system will not stop and both  your requirements can be done

Ex:1 if  a project with budget control use the profile with budget controll

Ex:2 if a project without  budget control use the new profile without budget control