After creating a new company code, and, in particular, before the system goes into operation, your system administrator has to initialize the current period. This is because some data (stocks and certain valuation data such as total value, total stock, valuation class, price control indicator, and price unit) is managed both in the current period and in the previous period.
This function allows you to create material master data relevant to inventory management, and to create this data in certain plants.
Your system administrator initializes the current period in Customizing for the Material Master inMaintain Company Codes for Materials Management. For more information, see Initializing the Period.