A company wants to integrate a new business unit with different valuation methods into their SAP S/4HANA system. Which approach can be considered?

In the context of integrating a new business unit that employs different valuation methods into an SAP S/4HANA system, the most comprehensive approach is indeed to use all available options.

Implementing split valuation allows the company to manage materials that are valued based on different criteria. This is particularly useful when dealing with multiple business units that may need to adopt distinct valuation methods for the same material. By adopting split valuation, the materials can be tracked and reported in accordance with the specific needs of each unit.

Additionally, utilizing the Material Ledger with multiple valuation approaches enables the company to maintain various valuation methods simultaneously. This is crucial in environments where inventory management and financial reporting need to reflect different approaches to cost accounting and valuation, such as standard costing, moving average, or specific identification.

Creating a new valuation area is another possible approach that can help in managing the different requirements of the new business unit. A valuation area defines the scope of valuation within the system, which can be set up to reflect the characteristics of the new unit distinctly, ensuring that its specific requirements are met without affecting the valuation processes of the existing units.

Since all these strategies—split valuation, the Material Ledger with multiple valuation approaches, and establishing a new valuation area—work together to create a