How To Fix K3037 - Materials belong to different company codes (& <> &)

SAP Error Message - Details

• Message type: E = Error

• Message class: K3 - Material Cost Estimate

• Message number: 037

• Message text: Materials belong to different company codes (& <> &)

What causes this issue?

You are attempting to calculate material costs for two materials that
are in different company codes. However, cross-company costing is not
active in your system.

System Response

The system issues an error message and will not allow you to continue with this transaction until the error is resolved.

How to fix this error?

To activate cross-company costing, you must go into Customizing and
activate this function for the costing variant you are using.
You must also define <DS:GLOS.special_procurement_type>special
procurement types</> in order to establish the link between the plants
in the two company codes, and then enter these special procurement
types in the material masters.

Error message extract from SAP system. Copyright SAP SE.

Smart SAP Assistant

• What is the cause and solution for SAP error message K3037 - Materials belong to different company codes (& <> &) ?

  The SAP error message K3037 indicates that there is an issue with the materials being processed in a transaction that involves different company codes. Specifically, the error message states that the materials belong to different company codes, which means that the system is unable to perform the requested operation because it requires that all materials involved belong to the same company code.
  Cause:
  The error typically occurs in scenarios such as:
  
  Attempting to perform a transaction (like a transfer posting, goods movement, or cost allocation) that involves materials from different company codes.
  The materials in question are set up in the system under different company codes, which prevents the transaction from being processed.
  
  Solution:
  To resolve the K3037 error, you can take the following steps:
  
  
  Check Material Master Data:
  
  Verify the company codes associated with the materials involved in the transaction. You can do this by checking the material master records (transaction code MM03).
  Ensure that the materials are set up under the same company code if they need to be processed together.
  
  
  
  Adjust Transaction:
  
  If the materials must remain in different company codes, consider adjusting your transaction to separate the materials by company code. This may involve splitting the transaction into multiple parts, each dealing with materials from a single company code.
  
  
  
  Review Configuration:
  
  If you are frequently encountering this issue, review the configuration settings in your SAP system to ensure that the processes involving multiple company codes are set up correctly.
  
  
  
  Consult Documentation:
  
  Refer to SAP documentation or help resources for specific guidance on handling transactions involving multiple company codes.
  
  
  
  Seek Help from SAP Support:
  
  If the issue persists and you cannot find a resolution, consider reaching out to SAP support or your internal SAP team for further assistance.
  
  
  
  Related Information:
  
  Transaction Codes: Familiarize yourself with relevant transaction codes such as MM03 (Display Material), MB1A (Goods Withdrawal), and others that may be involved in the process.
  Company Code Structure: Understand how your organization’s company codes are structured and how materials are assigned to them.
  Cross-Company Transactions: Review the policies and procedures for handling cross-company transactions in your organization, as there may be specific guidelines to follow.
  
  By following these steps, you should be able to identify the cause of the K3037 error and implement a solution to resolve it.