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    Activation of Material Ledger in S4 HANA

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    runtab
    1. Activation of the material ledger is mandatory in SAP S/4HANA to enable actual costing and parallel currencies/valuation. 2. The document provides a 5 step process to activate the material ledger for valuation areas in a company, including assigning material ledger types, activating valuation areas, assigning currencies, production start-up, and resolving common errors. 3. Key errors that can occur include incorrect company code setup, mismatched currencies, missing material master accounting attributes, and uncontrolled area configuration issues. Resolving these issues is necessary for successful material ledger activation.

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    Activation of Material Ledger in S4 HANA

    Uploaded by

    runtab
    417 views7 pages
    1. Activation of the material ledger is mandatory in SAP S/4HANA to enable actual costing and parallel currencies/valuation. 2. The document provides a 5 step process to activate the material ledger for valuation areas in a company, including assigning material ledger types, activating valuation areas, assigning currencies, production start-up, and resolving common errors. 3. Key errors that can occur include incorrect company code setup, mismatched currencies, missing material master accounting attributes, and uncontrolled area configuration issues. Resolving these issues is necessary for successful material ledger activation.

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    4. Activation of Material Ledger in S4 HANA

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    1. Activation of the material ledger is mandatory in SAP S/4HANA to enable actual costing and parallel currencies/valuation. 2. The document provides a 5 step process to activate the material ledger for valuation areas in a company, including assigning material ledger types, activating valuation areas, assigning currencies, production start-up, and resolving common errors. 3. Key errors that can occur include incorrect company code setup, mismatched currencies, missing material master accounting attributes, and uncontrolled area configuration issues. Resolving these issues is necessary for successful material ledger activation.

    Copyright:

    © All Rights Reserved
    Download as PDF, TXT or read online from Scribd
    Download as pdf or txt
    417 views7 pages

    Activation of Material Ledger in S4 HANA

    Uploaded by

    runtab
    1. Activation of the material ledger is mandatory in SAP S/4HANA to enable actual costing and parallel currencies/valuation. 2. The document provides a 5 step process to activate the material ledger for valuation areas in a company, including assigning material ledger types, activating valuation areas, assigning currencies, production start-up, and resolving common errors. 3. Key errors that can occur include incorrect company code setup, mismatched currencies, missing material master accounting attributes, and uncontrolled area configuration issues. Resolving these issues is necessary for successful material ledger activation.

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    Activation of Material Ledger is mandatory in S4 HANA.

    Material Ledger in S4 HANA serves two purposes of Actual Costing & Parallel currencies/Valuation. The
    objective of parallel currencies or valuation makes the material ledger in S4 HANA as a sub-ledger for
    inventory valuation. To achieve this objective material ledger is a mandatory in SAP S4 HANA

    In this post we will activate material ledger in our car business valuation areas (plants) in very easy 5 steps.
    Besides this we will discuss the resolution of common errors of ML activation in S4 HANA.

    5 Steps to activate Material Ledger in S4 HANA


     Assign Material Ledger Type to Valuation Area
     Activate Valuation Areas for Material Ledger
     Assign Currency Types to Material Ledger Type
     Production Start-up of Material Ledger
     Error Resolution

    Step 1: Assign Material Ledger Type 0001 to Valuation Area

    We have to assign one material ledger type to each valuation area (Plant) which must contains currency
    type 10.

    If we have more than one plant assigned to a single company code (as in our case we have plant PA10 &
    PA20 assigned to one company Code PA10), we have to assign all valuation areas in this company code to
    the same material ledger type.

    Picture : Path to Assign Material Ledger Type 0001 to Valuation Area


    Picture : Assign Material Ledger Type 0001 to Valuation Area

    Step 2 : Activate Valuation Areas for Material Ledger

    We shall activate material ledger here for all our valuation areas. If the material ledger is active for a
    particular valuation area, all materials in the valuation area are valuated using the material ledger.

    Picture : Path to Activate Valuation Areas for Material Ledger

    Picture : Activate Valuation Areas for Material Ledge

    Step 3 :Assign Currency Types to Material Ledger Type

    We have activated ML type 0001. In this config we will set the currency type associated with this ML
    type.
    Picture : Path to Assign Currency Types to Material Ledger Type

    Picture : Assign Currency Types to Material Ledger Type

    Step 4 :Production Start-up of Material Ledger

    In this step we will start Material Ledger in our three plants

    Picture : T-code for Production Start-up of Material Ledger

    PA10
    Picture : Production Start-up of Material Ledger for Valuation Area PA10

    All green log informing PA10 is not productive with ML

    Picture : Successful
    Production Start up of Material Ledger for Valuation Area PA10

    Valuation area PA20 & PP10 is made productive with ML through similar way

    Step 5 : Error Resolution


    Error 1 -Company Code is not set up for Material Management (M3152)

    When we tried PP10 to make productive with ML, below error message is encountered

    Picture :
    Error M3152

    To resolve this error , We need to set-up Company code PP10 for Material Management through T-code
    OMSY

    Picture : OMSY for PP10 Company Code to Resolve Error M3152

    Now PP10 is initiated for MM periods from the current month .

    Please note we need to open posting period starting of every month through MMPV. This step was already
    done for PA10 company code hence no error for Plants PA10 & PA20

    Now re-try to make PP10 plant productive with ML

    PP10 plant is Successfully productive now

    Picture : Successful
    Production Start up of Material Ledger for Valuation Area PP10

    Error 2 -Material Ledger Currencies were changed (C+039)


    Time needed: 1 minute.

    How to resolve error C+039 ‘Material ledger currencies were changed’

    1. To resolve this error run the transaction code CKM9 and check Company
    Code/Controlling area currency as per screenshot given below

    2. This currency should be aligned with the currency in SCC4

    Error 3- ML Active checkbox is not selected in Material Master Accounting View.

     To resolve this first deactivate the ML through running report SAPRCKMJX in SE38
     Now go to OMS2, select your material type and click on “Quantity/value updating”
     Now select the “Quantity updating” & “value updating” check box for your valuation area
    (plant) & save.
     Now Set the Plant production for ML again through t-code CKMSTART
     Check in MM03- ML active checkbox should be now selected.

    Error 4- ML currencies are not integrated in FI for valuation area (Error


    FML_CUST033)

    This error comes due to absence of controlling area configuration . To resolve this error, Configure the
    controlling area as given below for our Co-Area PPIN and linked it to Company codes. Please note that
    currencies should be aligned for material ledger & Controlling area

    Picture : Configuration of PPIN Controlling Area

    Benefits of Material Ledger


    What are the benefits of Material Ledger

    1. SAP ERP Does inventory valuation in single currency. It is desirable for MNCs to be able to do
    inventory valuation in multiple currencies. Material Ledger allows valuation in two additional currencies.
    2. ML offers the option of three different levels of valuations (Legal ,group and Profit centre) for a
    corporate group operating in multiple countries . Generally legal valuations are stored in local currency,
    group & profit centre valuations are stored in group currency (mostly in USD).
    3. ML combines the advantages of standard price with advantages of using MAP through actual costing
    (Optional).

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