No controlling area assigned to the purchasing organization

What causes this issue?

No controlling area is assigned to the company code to which the
purchase organization belongs.

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?

Assign the controlling area to the company code using the activity
<LS>Assign company code to controlling area</> under <LS>Enterprise
Structure </>-> <LS>Assignment</> -> <LS>Controlling</>.

Procedure for System Administrators

Error message extract from SAP system. Copyright SAP SE.