SAP Internal Order Types

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SAP Internal Order TypesWelcome to our tutorial on SAP internal order types. SAP provides the use of order types which contain the principal functionalities and rules for internal orders. In this article, we define the two order types and show you how to differentiate them in configuration. Then we show you how to create each type of order. For deeper information on internal orders, check out our previous article in our free SAP CO training.

Understanding SAP Internal Order Types

Each internal order in SAP must be identified as one of the following SAP internal order types:

  1. Real Order
  2. Statistical Order

The main use cases for each order type are related to cost capturing and reporting. A real order denotes an actual cost posting to the internal order, while a statistical order will only hold the cost information for reporting purposes.

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Real Order

All transactions related to primary costs are posted to real orders. At the end of the period, all the actual costs captured in the internal order get settled in the form of allocation to relevant cost objects.

As an example, let’s assume ABC Company organizes a marketing event over a two-month period. The following costs are incurred for the event:

Event Advertisement 1500
Security Expenses 2200
Venue Rental 3500
Total Event Cost 7200

To capture and segregate the costs related to the event, ABC Company creates an internal order as a real order that will eventually be settled to the marketing cost center. As the costs are incurred, however, the real internal order captures the costs, while the cost center is not affected. At the end of the second month of the event, the total cost of 7200 is settled from internal order to the marketing cost center. Alternatively, ABC Company may elect to settle the incurred costs each month-end, and may allocate to multiple cost objects.

Thus, real order postings form part of the transactional balance in the CO module by transferring primary costs from other SAP modules to a cost object during settlement.

Statistical Order

Many organizations use internal orders purely for management analysis. In this case, they would elect to use a statistical order. In this type of internal order, the cost center is maintained in the order as the real cost object. Thus, when a transaction is posted to this type of order, the real cost is incurred by the cost center and the internal order maintains a statistical balance. No settlement is required for this order type and costs may not be allocated to multiple cost centers. In this way, statistical orders are useful for internal analysis and decision making.

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Configure SAP Internal Order Types

To set up a new order type, use transaction code KOT2_OPA. Click the New Entries button to create a new order type, or double-click an existing one to examine it further. In our example, we demonstrate an existing statistical order CSTO.

Let’s check the key configuration requirement for a statistical order. Click the Field selection button at the bottom of the screen. In the Change Field Selection screen, scroll down until you reach the Identifier for statistical order field options. For statistical orders, the Input radial button must be selected for this parameter. As a result of this setting SAP will provide the option to identify an internal order as statistical when this order type is chosen. Alternatively, for real orders, the radial button for this parameter should be set to Hide or Display.

Change Order Type and Field Settings
Change Order Type and Field Settings

If a change was made, press Save .

Create SAP Real Internal Order

Next, let’s create an order for each of the SAP internal order types. We begin by creating a real internal order.

Menu path Accounting – Controlling – Internal Orders – Master Data – Special Functions – Order – Create
Transaction code KO01 – Create

In the initial screen of transaction code KO01, enter an order type related to real internal orders. In our example, we select order type CI01. Hit Enter. In the pop-up window, specify the controlling area, as shown below:

Create Real Order Initial Screen
Create Real Order Initial Screen

Hit Enter. Enter the following information:

  1. Provide a description for the internal order project
  2. Specify the company code
  3. Select an object class
  4. Specify (optional) objects like requesting company code, profit center, or sales order as needed
Create Real Order Assignments
Create Real Order Assignments

Click the Control data tab. Enter the Currency for the postings. Note that since this is a real order, the statistical order option is greyed out (it may also be hidden altogether):

Create Real Order Control Data
Create Real Order Control Data

Press Enter then Save . The internal order will be saved with the following message:

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Create SAP Statistical Order

Now, let’s create a statistical order using the SAP order manager.

Menu path Accounting – Controlling – Internal Orders – Master Data – Order Manager
Transaction code KO04 – Order Manager

Initially when you enter transaction code KO04, you will be prompted to specify the controlling area in a pop-up window. To create a new internal order click the Create button . Enter an order type related to statistical internal orders. In our example, we use the order type CS01:

Create Statistical Order
Create Statistical Order

Hit Enter. Enter the following information:

  1. Provide a description for the internal order project
  2. Specify the company code
  3. Select an object class
  4. Specify (optional) objects like business area, plant, profit center, or sales order as needed
Create Statistical Order Assignments
Create Statistical Order Assignments

Click the Control data tab. Enter the following information:

  1. Specify the currency of the controlling area
  2. Tick the Statistical order tickbox
  3. Enter the cost object that the cost should be directly posted to in the Actual posted CCtr field
Create Statistical Order Control Data
Create Statistical Order Control Data

Press Enter then Save . The internal order will be saved with the following message:

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Did you like this tutorial? Have any questions or comments? We would love to hear your feedback in the comments section below. It’d be a big help for us, and hopefully it’s something we can address for you in improvement of our free SAP CO tutorials.

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1 thought on “SAP Internal Order Types”

  1. Perfect content, for me a SAP FI consultant that need learn about CO and internal order it’s fantastic.

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