How to check not allocate amount after material ledger costing run

[huny]

Hello Community!

How to check not allocate amount after material ledger costing run

Material Ledger & Actual Costing activated company

The material ledger settlement is completed without errors.

In the Material Value Flow Monitor app, an amount is recorded under Not Allocated for Cost Center and Activity Type 1 (Machine Hour).

Display Cost Center report app.

After manufacturing overhead allocation, the remaining balance is -57 KRW. 

How should I check the Not Allocated Amount in Cost Center/ActivityType?

Huny

[BobShen · Accepted solution]

To check the Not Allocated Amount in Cost Center/Activity Type after the Material Ledger costing run:

1. Use the Material Value Flow Monitor app (transaction CKMVFM) to identify the not allocated amounts [1].

2. Review the "Not Allocated" column in the CKMVFM report to see the specific amounts that were not allocated to cost objects [1].

3. Investigate possible reasons for not allocated amounts:

   • Incomplete goods receipt for manufacturing orders [2]
   • Scrapped production without delivery to inventory [2]
   • Differences between system-collected variances and sum of component variances [3]

4. Consider the following actions:

   • For manufacturing orders without goods receipt, wait for the order to be technically completed or fully transferred to inventory [2].
   • For scrapped production, explore the possibility of allocating the non-allocated price differences to the cost center used during manufacturing order settlement [2].
   • Review and adjust the settlement rules for production orders, ensuring they are set to settlement type FUL for cumulative processing [4].

5. If the amounts are small and won't significantly impact the monthly actual price, you may consider absorbing the values after deleting the Price Limiter [1].

6. For persistent issues, consult with SAP support or review SAP notes (e.g., note 908776) for specific guidance on handling not allocated differences [2].

Remember that the Material Ledger and Actual Costing must be activated for the company to properly handle these allocations [4].

[huny · Accepted solution]

thank you very much!