SAP Goods Receipt Invoice Receipt GR/IR

by Ross Christoph

Table of Contents

1. Introduction
2. Purchase Price Variance
3. Account Determination
4. Month End Restatement 
5. Debit Balances
6. Credit Balances
7. Exchange Rate Variance
8. Tools and Reports
9. Glossary

Introduction

SAP GR/IR performs a three-way match between:

• Purchase Order (PO)
  
• Goods Receipt (GR)
  
• Invoice Receipt (IR)
  
  

You use the GRIR clearing account to record the offset of the GR and IR.

When fully processed, the postings are displayed in the clearing account balance. 

Clearing is performed at the PO line item level based on the quantity entered.

You write off small differences with Transaction MR11 or via menu path:

Logistics • Materials Management • Logistics Invoice Verification • GR/IR Account Maintenance • Maintain GR/IR Clearing Account

Before maintaining the GR/IR clearing account, you should establish that no more GRs or IRs are expected for the PO item. If the invoiced quantity is more than the delivered quantity, the system expects another GR. If the invoiced quantity is less than the received quantity, the system expects another invoice.

If the GR/IR clearing account differences are not cleared by a further GR or credit memo or an invoice or return delivery, you must maintain the GR/IR clearing account manually.

The price variance and exchange rate variance are calculated.

SAP Mixed Costing

by Ross Christoph

SAP mixed costing allows you to cost materials with multiple alternatives when you manufacture a material with different production versions and master recipes.

A cost estimate calculates the cost for each production version, then an average unit cost with weighting factors. A cost estimate displays the total cost with details of each procurement alternative.

Creating a mixed-cost estimate allows you to value your inventory at a mixed price.

SAP Enhancement Pack 4 for Subcontracting Manufacturing or Operations

By Ross Christoph

SAP Enhancement Pack 4 provides additional functionality for processing outsource manufacturing or subcontracting operations.

SAP Group Costing and Valuation Tips

By Ross Christoph

In addition to the calculation of standard costs at the company code level, SAP also includes functionality to calculate standard costs across the entire corporation. These are referred to as group costs. Instead of using legal transfer prices, which is the basis for company code standard costs, group costing performs complete across company costing.