How To Fix FARR_CONTRACT_MAIN028 - The leading perf. oblig. &1 of perf. oblig. &2 is not a leading one

SAP Error Message - Details

• Message type: E = Error

• Message class: FARR_CONTRACT_MAIN - Revenue Accounting: Contract Management

• Message number: 028

• Message text: The leading perf. oblig. &1 of perf. oblig. &2 is not a leading one

Self-Explanatory Message

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Smart SAP Assistant

• What is the cause and solution for SAP error message FARR_CONTRACT_MAIN028 - The leading perf. oblig. &1 of perf. oblig. &2 is not a leading one ?

  The SAP error message FARR_CONTRACT_MAIN028 indicates an issue related to performance obligations in the context of contract management, particularly in the area of revenue recognition. This error typically arises when there is a mismatch in the hierarchy of performance obligations in a contract.
  Cause:
  The error message states that the leading performance obligation (PO) &1 is not a leading one for performance obligation &2. This usually occurs in the following scenarios:
  
  
  Incorrect Hierarchy Setup: The performance obligations are not set up correctly in the contract. The system expects a specific leading performance obligation, but the one provided does not meet the criteria.
  
  
  Configuration Issues: There may be configuration issues in the contract management settings that define how performance obligations are structured and recognized.
  
  
  Data Entry Errors: There could be mistakes in the data entry when creating or modifying the performance obligations, leading to inconsistencies.
  
  
  Solution:
  To resolve this error, you can take the following steps:
  
  
  Check Performance Obligation Hierarchy:
  
  Review the performance obligations associated with the contract. Ensure that the leading performance obligation is correctly defined and that it is indeed the leading one for the other obligations.
  
  
  
  Correct the Configuration:
  
  If there are configuration issues, consult with your SAP configuration team to ensure that the settings for performance obligations are correctly defined according to your business requirements.
  
  
  
  Review Data Entries:
  
  Go through the entries for the performance obligations in the contract. Make sure that all entries are correct and that the leading performance obligation is properly assigned.
  
  
  
  Consult Documentation:
  
  Refer to SAP documentation or help resources for guidance on performance obligations and their hierarchy. This can provide insights into how to structure them correctly.
  
  
  
  Testing:
  
  After making the necessary corrections, test the contract again to ensure that the error does not reoccur.
  
  
  
  Related Information:
  
  SAP Notes: Check for any relevant SAP Notes that might address this specific error or provide additional guidance on performance obligations.
  Transaction Codes: Familiarize yourself with transaction codes related to contract management and performance obligations, such as FARR (for contract management) and FSP0 (for performance obligation management).
  Training and Documentation: Ensure that users involved in contract management are trained on the correct processes for setting up performance obligations to prevent similar issues in the future.
  
  If the issue persists after following these steps, it may be beneficial to reach out to SAP support for further assistance.