How To Fix KW804 - Standard hierarchy & is used outside of activity-based costing

SAP Error Message - Details

• Message type: E = Error

• Message class: KW - CO-ABC Activity-Based Costing

• Message number: 804

• Message text: Standard hierarchy & is used outside of activity-based costing

What causes this issue?

The name of standard hierarchy &V1& is used elsewhere. You cannot use
it here.

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?

Enter a different name.

Error message extract from SAP system. Copyright SAP SE.

Smart SAP Assistant

• What is the cause and solution for SAP error message KW804 - Standard hierarchy & is used outside of activity-based costing ?

  The SAP error message KW804 indicates that a standard hierarchy is being used in a context that is not compatible with activity-based costing (ABC). This typically occurs when you attempt to use a standard hierarchy in a way that is not allowed by the system's configuration or business logic.
  Cause:
  
  Incorrect Hierarchy Usage: The standard hierarchy you are trying to use is not set up correctly for the activity-based costing scenario. This could be due to the hierarchy being defined for a different purpose or not being properly assigned to the relevant cost center or activity type.
  Configuration Issues: There may be configuration settings in the controlling (CO) module that restrict the use of certain hierarchies in specific contexts.
  Data Integrity Issues: There might be inconsistencies in the master data related to cost centers, activity types, or the standard hierarchy itself.
  
  Solution:
  
  Check Hierarchy Assignment: Ensure that the standard hierarchy is correctly assigned to the relevant cost centers and that it is appropriate for use in activity-based costing.
  Review Configuration Settings: Go to the configuration settings in the SAP system (transaction code SPRO) and verify that the settings for activity-based costing and standard hierarchies are correctly configured.
  Use Alternative Hierarchies: If the standard hierarchy is not suitable for the activity-based costing scenario, consider using an alternative hierarchy that is specifically designed for ABC.
  Data Validation: Perform a thorough check of the master data to ensure that all relevant entries are correct and consistent. This includes checking cost centers, activity types, and their relationships to the standard hierarchy.
  Consult Documentation: Refer to SAP documentation or help resources for specific guidelines on using standard hierarchies in activity-based costing.
  
  Related Information:
  
  Transaction Codes: Familiarize yourself with relevant transaction codes such as KSU5 (for activity types) and KSH1 (for cost center master data) to help troubleshoot the issue.
  SAP Notes: Check for any SAP Notes related to this error message, as they may provide additional insights or patches that address known issues.
  User Forums: Engage with SAP community forums or user groups where similar issues may have been discussed, and solutions shared.
  
  If the problem persists after following these steps, it may be beneficial to consult with an SAP expert or your organization's SAP support team for further assistance.