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Hello, Rakesh,
Talking about inventory write-down process, what do you mean? Pure financial provision entry (without impact on inventory subledger) or inventory revaluation process?
In the second case, inventory revaluation creates a specific business events in IFS: INVREVAL+, INVREVAL-, using M8 and M9 posting types

Hi @Adam Bereda 

I am talking about the inventory revaluation process.

Can you elaborate more about the solution. 

Thanks in advance :)

Best Regards,

Rakesh

Hello, Rakesh,
I am sorry, but I am not sure if I can provide more details. You should speak with an expert in distribution or manufacturing area. In Financials, we deal usually with result of the process, i.e. posting types. 
Details of solution could depend on the way inventory valuation is set in the system (method principle, like FIFO or Standard costs, and valuation level, like part no, lot batch no, serial no, condition code).

If I remember well, applying specific condition code to inventory item can result in change of its value, which could be similar to write-off codes applicable to AP/AR ledger items. AP and AR processes I am familiar with, details of inventory solutions are outside my competence area.

Hi @Adam Bereda 

In our case, the inventory valuation is “Weighted Average” & inventory part cost level is “Cost per Condition”.

Just wanted to know for the above combination, what will be the posting types used? And is there any other basic data set up required as a finance associate.

Thanks in advance.

Best Regards,

Rakesh

Hi,
I am rather guessing now, but if you have “Cost per Condition” setup, then you have an option to change condition code on some part of stock. 

During this change, following posting events can trigger:

CONDCHG- - Condition Code Change - Issue of old condition; postings Debit M178, Credit M1
CONDCHG+ - Condition Code Change - Receipt of new condition; postings Debit M1, Credit M178

CONDREVAL- - Condition Code Change - Value Decrease; postings Debit M9, Credit M178

CONDREVAL+ - Condition Code Change - Value Increase; postings Debit M178, Credit M8