Changeover Procedure for Product Cost Controlling 

Reconciliation

In the following, you will see an overview of all reconciliation programs that concern Product Cost Controlling. Please note that some reconciliation problems are not restricted to the area of CO-PC, but rather, are valid globally for all of Controlling. These reports must therefore be run only once for Controlling, but they are all mentioned here for the sake of completeness. Examples include programs for settlement or for commitments management. In addition, your system contains detailed report documentation about these programs.

Application

Report name

Use

Settlement (CO-wide)

RKAABR01

Checks the consistency of the settlement control tables in the analysis phase before the changeover.

Executes the same reconciliations as RKAABR02. However, it does not change the data.

 

RKAABR02

Adjusts the control tables for the settlement so that an object can always be settled completely.

 

RKASAL01

Determines, for each object that has already been settled at least once, the balance of every individual posting period, using the tables COSP and COSS. These values are then saved in the EWUCOSUM table.

 

RKASAL01

Uses the EWUCOSUM table to determine, for each settled object, those posting periods for which the cumulated balance (that is, the balance of all the previous periods, including the period being processed) was zero before the conversion.

Commitments Management (CO-wide)

RKACOR10

Recreates the commitments totals records (COSP) from the commitments line items (COOI).

Down Payments (CO-wide)

RKACOR19

Recreates the down payment totals records (COSP) from the down payment line items (COEP, value type 12)

Results Analysis Data (only for Cost Object Controlling)

SAPKKAE0 (up to 3.1x)

Compares the data from WIP calculation/results analysis in Cost Object Controlling with the amounts posted in FI, and it displays the differences. The report should be run before as well as after the changeover. Adjustment postings related to this must be performed manually.

 

SAPKKA14 (from 4.0X)

This is identical to SAPKKAE0. In Release 4.0 the report name was changed.

Cost Object Hierarchy with Distribution

RKKPERF

After distribution, the balance of the cost object hierarchy nodes must equal zero. This must not be the case after the local currency changeover. The program checks this, and sets the balance to zero if required. The program is available from Release 4.6A, and can be installed for Releases 4.5 and 4.0.

Display Differences in the Material Stock Accounts

EWUMMCHK

Displays possible inconsistencies between the material stock accounts in Materials Management and Financial Accounting before the changeover to the euro.

Reconciliation of Material Stock Accounts

EWUMMBST

Reconciles the material stock accounts of Materials Management with those of Financial Accounting in case you are upgrading from Release 3.0 or 3.1 to Release 4.0 as well as changing over to the euro.

In the following, you will see a description of the changeover procedure that is particular to the components of Product Cost Controlling.

Product Cost Planning

Material and unit cost estimates are converted automatically. However, rounding differences during changeover can cause inconsistencies between the sum of the individual line items and totals record. This is due to the fact that these values are converted individually.

You can correct the rounding differences in material cost estimates with quantity structure by creating the important standard cost estimates and costing runs again.

You can remove rounding differences in unit cost estimates by revaluating the costing items after conversion.

For items in category V, the total value is calculated with the new price (see example 1). The smaller the prices, the larger the rounding difference (see example 2).

When the prices are very small, it is possible that the value of the price in euro will be rounded to zero, causing the total value to be set to zero upon revaluation (see example 3).

You can prevent this problem by increasing the price unit for the euro before the changeover (see example 3A).

When dealing with currency translation for unit costing the system proceeds as follows:

Cost Object Controlling: Reconciliation Program SAPKKAE0 or SAPKKA14

This is the same program that had the name SAPKKAE0 up until Release 3.1I. For Release 4.0A, the name of the program was changed to SAPKKA14.

Prerequisites

The balance carried forward must already be in the balance sheet account in Financial Accounting.

Use

  1. Run reconciliation program SAPKKAE0 or SAPKKA14 in Cost Object Accounting before the local currency changeover from your country currency to the euro. This report compares the results analysis data calculated in Cost Object Accounting (work in process or reserves for unrealized costs, for example) with the corresponding material stock accounts in Financial Accounting. Differences are listed for you in a log, and can be corrected manually. This way you avoid having the changeover from your country currency occur based on different values.
  2. After the changeover from your country currency to the euro, perform a WIP calculation or a results analysis and settle the current period. Afterwards, run the reconciliation program again to determine if rounding errors resulted from the conversion. Differences are again listed for you in a log, and must be corrected manually.

The following can be reconciled with the reconciliation program:

Integration

The reconciliation program compares the results analysis data from Cost Object Controlling with the values for the work in process and the automatically created reserves in Financial Accounting. There is no reconciliation against the data in Profitability Analysis (CO-PA) or Profit Center Accounting (CO-PCA).

Features

You run the reconciliation program SAPKKAE0 or SAPKKA14 for each controlling area.

For each company code and (optionally) for each business area, the reconciliation program reads the postings according to the posting rules in Cost Object Controlling and the values posted to the accounts in Financial Accounting. The reconciliation program will indicate if the results analysis data calculated in Cost Object Controlling does not match the values posted to the balance sheet accounts in Financial Accounting.

Activities

  1. Run the reconciliation program.
  2. If the reconciliation program finds differences, you can correct them by means of manual repostings.
  3. Perform the local currency conversion.
  4. Run the reconciliation program again.
  5. If the conversion resulted in rounding differences, you must correct these with manual postings.

Cost Object Controlling: Reconciliation Program RKKPERF

Prerequisites

You are using a cost object hierarchy to which actual costs are distributed ( cost object hierarchy with distribution).

You have distributed the actual costs from the cost object nodes to the assigned objects. The balance on the cost object nodes is zero.

Use

The purpose of reconciliation program RKKPERF is to ensure that the balance of the cost object nodes remains at zero after the local currency conversion.

Activities

  1. Perform the actual costs distribution.
  2. Perform the local currency conversion.
  3. Run reconciliation program RKKPERF.

Actual Costing/Material Ledger

Because this component was only available to pilot customers before Release 4.0A, the conversion only refers to release levels from 4.0A onwards.

If you are using the Actual Costing/Material Ledger component, you can carry out the conversion using reports in Materials Management.

Use

  1. Before the conversion, run report EWUMMCHK to find the differences between the material stock accounts in Materials Management and Financial Accounting.
  2. During the conversion, the following data are converted automatically:

    3. – Material ledger documents (report SEUZCKML1)

    – Material ledger data (report SEUZCKML2)

  3. After the conversion, run report EWUMMBST to find and deal with differences and to check the account maintenance.