Characteristic &1 cannot be chosen

What causes this issue?

You want to create the key figure matrix with characteristic &V1&. This
characteristic has been explicitly excluded from the creation of the
key figure matrix. This makes sense when the number of characteristic
values is generally very large.

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?

Procedure for System Administrators

Error message extract from SAP system. Copyright SAP SE.