What are the configuration settings for calculating WIP in SAP?

You define secondary cost elements of type 31 first.

You then need to define the Results Analysis version

This results analysis contains line ids which are basically nothing but
break up of costs

Next you define assignments-> here you assign source cost elements to
the line ids defined above

You also define the secondary cost elements which are assigned to the
line ids.

In the end you define the Finance GL accounts which are debited and
credited when a Work in Progress is calculated.

Please refer to the configuration document for more detailed information