How To Fix KJ320 - Create a cost element for POC loss realization

SAP Error Message - Details

• Message type: E = Error

• Message class: KJ - Cost Object Controlling for Make-to-Order Production

• Message number: 320

• Message text: Create a cost element for POC loss realization

What causes this issue?

If you are using the <DS:GLOS.POC_method>POC method</> to perform
revenue-based <DS:GLOS.results_analysis>results analysis</>, the loss
created in a previous period can be realized in the following period.
This business transaction is written under a results analysis cost
element.

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?

Create a results analysis cost element for loss realization.
Go into Customizing and enter the results analysis cost element in the
<DS:GLOS.results_analysis_version>results analysis version</>.

Error message extract from SAP system. Copyright SAP SE.

Smart SAP Assistant

• What is the cause and solution for SAP error message KJ320 - Create a cost element for POC loss realization ?

  The SAP error message KJ320, "Create a cost element for POC loss realization," typically occurs in the context of Project System (PS) or Controlling (CO) modules when there is a need to recognize a loss on a project that is being accounted for using the Percentage of Completion (POC) method. This error indicates that the system requires a cost element to record the loss realization.
  Cause:
  The error arises when:
  
  A project is in a loss situation, and the system needs to post this loss to a specific cost element.
  The required cost element for recognizing the loss has not been created or is not available in the system.
  The configuration settings for the project or the controlling area do not have the necessary cost element defined for loss realization.
  
  Solution:
  To resolve the KJ320 error, follow these steps:
  
  
  Create a Cost Element:
  
  Go to the SAP Easy Access screen.
  Navigate to the transaction code KA01 (Create Primary Cost Element) or KA06 (Create Secondary Cost Element) depending on your requirement.
  Enter the necessary details such as the cost element number, name, and description.
  Ensure that the cost element is set up correctly for the intended use (e.g., as a primary or secondary cost element).
  
  
  
  Check Configuration:
  
  Ensure that the cost element is assigned to the appropriate cost element group and is active.
  Verify that the cost element is included in the relevant controlling area and is available for the project.
  
  
  
  Review Project Settings:
  
  Check the project definition and ensure that the settings for loss realization are correctly configured.
  Make sure that the project is set up to allow for loss postings.
  
  
  
  Test the Posting:
  
  After creating the cost element, attempt to post the loss realization again to see if the error persists.
  
  
  
  Consult Documentation:
  
  Review SAP documentation or help resources for additional guidance on configuring cost elements and handling POC loss realization.
  
  
  
  Related Information:
  
  
  Transaction Codes:
  
  KA01: Create Primary Cost Element
  KA06: Create Secondary Cost Element
  CJ20N: Project Builder (to manage project-related settings)
  
  
  
  SAP Notes and Documentation:
  
  Check SAP Notes for any specific patches or updates related to this error.
  Review the SAP Help Portal for detailed information on cost element accounting and POC methods.
  
  
  
  User Roles and Authorizations:
  
  Ensure that the user has the necessary authorizations to create cost elements and make changes to project settings.
  
  
  
  By following these steps, you should be able to resolve the KJ320 error and successfully recognize loss realizations in your SAP system.