Configuring Controlling in SAP ERP

Rogerio Faleiros is an electronic engineer, with an MBA in Business Management with an emphasis in Information Technology. He has worked with SAP since 2005, and has devel-oped extensive experience in customizing the SAP ERP system. He actively contributes to SAP discussion forums, and has worked on various implementation projects over the last few years. Alison Kreis Ryan has over 25 years of experience in accounting, financial, and management reporting, the customization and implementation of ERP systems, and information technology. She has over 10 years of experience with SAP.

... Acknowledgments ... 13 ... Preface ... 15 ... Introduction ... 17 1 ... General Controlling ... 21 1.1 ... Organization ... 26 1.1.1 ... Creating the Controlling Area ... 32 1.1.2 ... Maintain Number Ranges for Controlling Documents ... 38 1.1.3 ... Maintain Versions ... 41 1.2 ... Account Assignment Logic ... 49 1.2.1 ... Define Validation ... 49 1.2.2 ... Define Substitutions ... 58 1.3 ... Production Start-Up Preparation ... 62 1.3.1 ... Transport System Settings ... 62 1.3.2 ... Delete Test Data ... 64 1.3.3 ... Set "Update All Currencies" Indicator ... 65 1.3.4 ... Follow-Up Posting ... 66 1.4 ... Archiving ... 68 1.5 ... Summary ... 70 2 ... Cost Element Accounting ... 71 2.1 ... Master Data ... 72 2.1.1 ... Automatic Creation of Primary and Secondary Cost Elements ... 76 2.1.2 ... Cost Element Groups ... 79 2.1.3 ... Cost Element Attributes and Cost Element Attributes Mix ... 81 2.1.4 ... Time-Based Fields for Cost Elements ... 83 2.2 ... Accrual Calculation ... 85 2.3 ... Information System ... 91 2.4 ... Summary ... 94 3 ... Cost Center Accounting ... 97 3.1 ... Master Data ... 99 3.1.1 ... Cost Center Master Data ... 100 3.1.2 ... Activity Types ... 106 3.1.3 ... Statistical Key Figures ... 112 3.1.4 ... Resources ... 114 3.2 ... Planning ... 114 3.2.1 ... Basic Settings for Planning ... 115 3.2.2 ... Manual Planning ... 119 3.2.3 ... Planning Aids ... 125 3.2.4 ... Plan Data Transfer ... 129 3.2.5 ... Allocations ... 130 3.3 ... Budget Management ... 153 3.4 ... Commitments and Funds Commitments ... 155 3.5 ... Actual Postings ... 156 3.5.1 ... Manual Actual Postings ... 156 3.5.2 ... Period-End Closing ... 158 3.5.3 ... Variances ... 159 3.6 ... Information System ... 162 3.7 ... Summary ... 167 4 ... Internal Orders ... 169 4.1 ... Master Data ... 171 4.1.1 ... Define Order Type ... 171 4.1.2 ... Status Management ... 176 4.2 ... Planning ... 183 4.2.1 ... Basic Settings ... 183 4.2.2 ... Manual Planning ... 184 4.2.3 ... Maintain Settlement ... 187 4.3 ... Budgeting and Availability Control ... 198 4.3.1 ... Maintain Budget Profile ... 198 4.3.2 ... Maintain Number Ranges for Budgeting ... 200 4.3.3 ... Define Tolerance Limits for Availability Control ... 201 4.3.4 ... Specify Exempt Cost Elements from Availability Control ... 202 4.3.5 ... Set Up Availability Control Again ... 203 4.3.6 ... Maintain Budget Manager ... 204 4.4 ... Commitments and Funds Commitments ... 206 4.5 ... Actual Postings ... 208 4.6 ... Information System ... 210 4.7 ... Summary ... 214 5 ... Activity-Based Costing ... 217 5.1 ... Master Data ... 219 5.2 ... Templates ... 224 5.3 ... Planning ... 232 5.3.1 ... Maintain Versions ... 232 5.3.2 ... Group Maintenance ... 232 5.3.3 ... Manual Planning ... 233 5.3.4 ... Plan Data Transfer ... 233 5.3.5 ... Allocations ... 233 5.4 ... Actual Postings ... 234 5.5 ... Information System ... 235 5.6 ... Summary ... 239 6 ... Product Cost Controlling ... 241 6.1 ... Product Cost Planning ... 243 6.1.1 ... Material Master Data ... 243 6.1.2 ... Basic Settings for Material Costing ... 255 6.1.3 ... Material Cost Estimate with Quantity Structure ... 266 6.1.4 ... Costing Variant ... 283 6.1.5 ... Create Cost Estimate ... 292 6.1.6 ... Mark Standard Price ... 296 6.1.7 ... Release Planned Price Changes ... 299 6.2 ... Cost Object Controlling ... 301 6.2.1 ... Product Cost by Period ... 301 6.3 ... Actual Costing/Material Ledger ... 335 6.3.1 ... Material Update ... 339 6.3.2 ... Actual Costing ... 344 6.4 ... Information System ... 350 6.4.1 ... Product Cost Planning ... 350 6.4.2 ... Cost Object Controlling ... 353 6.4.3 ... Actual Costing/Material Ledger ... 356 6.5 ... Summary ... 359 7 ... Profitability Analysis ... 361 7.1 ... Structures ... 362 7.1.1 ... Characteristics ... 363 7.1.2 ... Value Fields ... 369 7.1.3 ... Operating Concern ... 371 7.1.4 ... Assign Controlling Area to an Operating Concern ... 378 7.2 ... Activate CO-PA for a Controlling Area ... 379 7.3 ... Master Data ... 380 7.3.1 ... Characteristic Values ... 381 7.3.2 ... Characteristic Derivation ... 384 7.3.3 ... Valuation ... 388 7.4 ... Flows of Actual Values ... 406 7.4.1 ... Transfer of Incoming Sales Orders ... 407 7.4.2 ... Transfer of Billing Documents ... 410 7.4.3 ... Order and Project Settlement ... 412 7.4.4 ... Transfer of Overhead ... 417 7.5 ... Planning ... 419 7.6 ... Information System ... 434 7.6.1 ... Define Forms for a Profitability Report ... 434 7.6.2 ... Create a Profitability Report ... 437 7.7 ... Tools ... 442 7.7.1 ... Transport ... 442 7.7.2 ... Subsequent Posting of SD Documents ... 444 7.8 ... Summary ... 446 8 ... Profit Center Accounting ... 449 8.1 ... Basic Settings ... 450 8.2 ... Master Data ... 454 8.3 ... Assignments of Account Assignment Objects to Profit Centers ... 464 8.4 ... Transfer Prices ... 465 8.4.1 ... Maintain Currency and Valuation Profile ... 467 8.4.2 ... Create Versions for Valuation Methods ... 469 8.4.3 ... Activate the Material Ledger ... 472 8.4.4 ... Set Up EC-PCA Transfer Price ... 474 8.4.5 ... Create Costing Variant for EC-PCA ... 485 8.4.6 ... Activate Multiple Valuation Approach ... 488 8.4.7 ... Transfer Price Example ... 489 8.5 ... Planning ... 498 8.5.1 ... Basic Settings for Planning ... 499 8.5.2 ... Manual Planning ... 500 8.5.3 ... Formula Planning ... 500 8.5.4 ... Plan Data Transfer ... 500 8.5.5 ... Allocations ... 506 8.6 ... Actual Postings ... 506 8.6.1 ... Basic Settings ... 507 8.6.2 ... Choose Additional Balance Sheet and P&L Accounts ... 509 8.6.3 ... Period-End Closing ... 512 8.6.4 ... Transferring Selected Balance Sheet Items ... 512 8.6.5 ... Actual Data Transfer ... 517 8.7 ... Preparation for Consolidation ... 522 8.7.1 ... Derivation: Partner Profit Center in Purchasing and Sales ... 522 8.7.2 ... Read Purchase Orders/Sales Orders ... 524 8.8 ... Information System ... 525 8.9 ... Tools ... 528 8.9.1 ... Transport Environment ... 528 8.9.2 ... Transport Master Data ... 529 8.9.3 ... Transport Settings for Planning ... 530 8.9.4 ... Transport Settings for Actual Postings ... 532 8.9.5 ... Transport Assessment/Distribution Cycles ... 533 8.9.6 ... Transport Information System ... 533 8.10 ... Summary ... 534 9 ... Conclusion ... 535 ... The Authors ... 539 ... Index ... 541