How To Fix UCF7635 - Goodwill data cannot be copied from one group currency to another

SAP Error Message - Details

• Message type: E = Error

• Message class: UCF7 - Messages for Flexible Upload

• Message number: 635

• Message text: Goodwill data cannot be copied from one group currency to another

What causes this issue?

The copy method for goodwill data is configured to copy from one
<DS:GLOS.3526B790AFAB52B9E10000009B38F974>group currency</> to another.
Therefore, a method has also been defined for
<DS:GLOS.352A9CFCD3895CD5E10000009B38F974>currency translation</>.
However, this is not supported because performing currency translation
on goodwill data can lead to inconsistencies in consolidation of
investments:
Goodwill data is consistently updated in the source environment by
consolidation of investments, which also is run in the source
environment. For example, in the subsequent period, the system
automatically updates goodwill data, whose beginning book value matches
the ending book value of the same goodwill entry in the prior period.
This rule would be broken as soon as the copy task uses time-dependent
exchange rates for translating these goodwill entries. This would
produce inconsistent goodwill data in the target environment.
The execution of consolidation of investments in the source environment
consistently updates the goodwill data along with the documents: The
values updated in the goodwill data match the values contained in the
documents (such as the original value or an impairment charge). Since
goodwill data and documents are copied separately, the system cannot
ensure that the data will remain consistent after being copied to the
target environment.

System Response

The goodwill data cannot be copied.

How to fix this error?

Change the settings of the copy method so that there is no copying from
one group currency to another.

Procedure for System Administrators

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

Error message extract from SAP system. Copyright SAP SE.

Smart SAP Assistant

• What is the cause and solution for SAP error message UCF7635 - Goodwill data cannot be copied from one group currency to another ?

  The SAP error message UCF7635, which states "Goodwill data cannot be copied from one group currency to another," typically occurs in the context of financial consolidation processes within SAP. This error is related to the handling of goodwill in different group currencies during the consolidation of financial statements.
  Cause:
  The error arises when there is an attempt to copy or transfer goodwill data from one group currency to another, which is not allowed due to the way goodwill is treated in financial reporting. Goodwill is often tied to specific currencies, and transferring it between different currencies can lead to inconsistencies in financial reporting and valuation.
  Solution:
  To resolve this error, consider the following steps:
  
  
  Check Group Currency Settings: Ensure that the group currencies are correctly defined in your SAP system. Verify that the currencies used for goodwill are consistent with the group currency settings.
  
  
  Review Goodwill Data: Examine the goodwill data that you are trying to copy. Ensure that it is being handled in the correct currency and that there are no discrepancies in the currency conversion.
  
  
  Adjust Consolidation Settings: If you are using a consolidation tool (like SAP BPC or SAP S/4HANA), check the settings related to currency conversion and goodwill handling. Make sure that the configuration allows for the correct treatment of goodwill in the context of your group currencies.
  
  
  Consult Documentation: Refer to SAP documentation or notes related to financial consolidation and goodwill handling. There may be specific guidelines or updates that address this issue.
  
  
  Seek Support: If the issue persists, consider reaching out to SAP support or your internal SAP team for further assistance. They may have additional insights or solutions based on your specific configuration and version of SAP.
  
  
  Related Information:
  
  SAP Notes: Check for any relevant SAP Notes that may address this specific error or provide additional context on handling goodwill in different currencies.
  Financial Consolidation Best Practices: Familiarize yourself with best practices for financial consolidation, especially regarding currency handling and goodwill reporting.
  Training and Documentation: Ensure that users involved in the consolidation process are trained on the implications of currency handling and the specific requirements for goodwill data.
  
  By following these steps, you should be able to address the UCF7635 error and ensure that goodwill data is managed correctly within your SAP environment.