What is Valuation Level in SAP?
Valuation level specifies the material stocks to be valuated at plant level or company code level.
- If valuation area is plant, then the material price is unique at plant level i.e. material price may differ from plant to plant.
- If SAP Production Planning is implemented, than the valuation area is to be defined as plant.
- If the valuation area is company code, than the material price will be unique at company code level i.e. material price will be same for all plants under one company code but the material price may differ in other company code.
Note: – In the middle of business it is very difficult to change the valuation area from plant to company code or from company code to plant.
How to Define Valuation Level in SAP
In our previous training we have leaned how to create purchase organization in SAP. In this SAP MM tutorials, you will learn how to maintain valuation level in SAP step by step.
You can define valuation level by using one of the following navigation method.
- Transaction code: – OX14
- Menu Path: – SPRO -> SAP Customizing Implementation Guide -> Enterprise Structure -> Definition -> Logistics-General -> Define Valuation Level.
Step 1) Enter T_Code “OX14” in the command field and execute.
Step 2) On valuation level screen, it displays with two options i.e.
- Valuation area is a plant
- Valuation level is company code
Note: – In the middle of business it is very difficult to change the valuation area from plant to company code or from company code to plant.