To implement a parallel valuation approach—used for managing transfer prices or supporting group reporting—you must define and configure a Currency and Valuation Profile. This setup is essential when your organization needs to manage multiple valuations in parallel within the system.
Overview of Currency and Valuation Profiles
- The parallel valuation approach allows the system to maintain multiple valuations for various purposes, such as internal management, statutory requirements, or group reporting.
- Currency and valuation profiles are only required when you need to manage different valuations in parallel.
Defining Currency and Valuation Profiles
The configuration to create a currency and valuation profile can be accessed via:
Transaction Code 8KEM
or the IMG menu path:
Controlling → General Controlling → Multiple Valuation Approaches/Transfer Prices → Basic Settings → Maintain Currency and Valuation Profile.
- Access the Configuration:
- Open the transaction or navigate through the IMG menu.
- Define the Currency and Valuation Profile:
- Enter a unique profile name and relevant descriptions.
- Specify the valuation methods and currencies applicable for your organization’s requirements.
- Assignment to Controlling Area:
- Currency and valuation profiles are controlling-area dependent.
- Assign the defined profile to the relevant controlling area in your system to enable multiple valuation approaches.
Best Practices and Considerations
- Ensure Alignment Across Modules:
- The settings for parallel valuation must align with the overall configuration in FI and CO to ensure consistency.
- Purpose-Driven Configuration:
- Define valuation profiles only if your organization requires parallel valuation for purposes such as:
- Internal management reporting
- Group consolidation reporting
- Transfer pricing requirements
- Define valuation profiles only if your organization requires parallel valuation for purposes such as:
- Check Compatibility with Business Scenarios:
- Validate the defined profiles against your business scenarios to ensure they meet reporting and regulatory needs.
By creating and assigning currency and valuation profiles, you enable the SAP system to manage parallel valuations effectively, supporting diverse reporting and analytical needs.