SAP-CO-PC-Product-Costing-in-SAP-ERP6-0.ppt

1、Product Costing,Agenda,What is Product Costing in SAP All-in-one? Elements of product costing Detail within each Example of system postings,What is Product Costing in SAP All-in-one?,It is the valuation of material components internal activities (labour and machine time), and external activities (su

2、bcontractors) on a production order (discreet manufacture) or run schedule header (repetitive manufacture) by utilising material prices, activity rates and subcontract costs. Plan and Actual values are recorder and reported with Variances Variances are disposed of as per Company policy,What is Produ

3、ct Costing? (contd),The components are costed as per the costing method (standard or weighted average), by reading the values stored in the Material Masters. The internal activities are costed as the product moves through the Routing operations performed in the Work Centres in the factory, by applyi

4、ng rates calculated via the Cost Centre to which the Activity Type is attached. Subcontract costs can be posted directly to the product cost collector, or allocated thereto via Activity Types. Overheads can be absorbed into the product cost via Activity Types or Surcharges calculated using Costing S

5、heets,Elements of Product Costing,Order Types Costing Variants Activity Types Cost Components Costing Sheets Cost Estimates Preliminary Costing Costing Run Settlement Profile Settlement Structure Settlement Rule Variances,Order types,Costing Variants,A Costing Variant is defined as : An alphanumeric

6、 keyPL02 A NameCurrent Standard It Contains, under Details : Costing Type (Where) Valuation Variant (What) Quantity Structure Determination ID (How) Transfer Control (What) Other Aspects : Date Control (When) Order Type Determination (What),Costing Type (e.g. 01) :,Tells the system which field to up

7、date in the material master (or PP Order) when a cost estimate is run, e.g. std cost estimate - material, production order - actual, or production order - planned,Valuation Variant (e.g. PL1),Defines how the material, activities, subcontractors and overhead surcharges will be valued, using strategy

8、sequences for each, e.g. first use 1, if it has no value, use 2, and so on. Example : Materialmaterial master frozen standard Activitiesplanned rate Subcontractorsnet purchase price Overhead Surchargescosting sheet PP-PC2,Quantity Structure Determination ID (e.g. PC01),Defines, for each plant, how t

9、he system is to find valid alternative BoMs in multi-level BoMs, e.g. PC01 - Std quantity structure determination (SAP Default).,Transfer Control (e.g. PL02),Tells the system what value to pick up, upon the transfer of a product, when costing a product which contains parts which are costed elsewhere

10、 (in the same plant or in different plants), e.g. Single plant transfer strategy priority 1 = current std cost estimate Cross-plant transfer strategy priority 1 = current std cost estimate,Date Control (e.g. PC01),Tells the system : From which date the result of the Costing Run is valid, e.g. start

11、of next month To which date the result of the Costing Run is valid, e.g. end of financial year The BoM and Routing date that is valid for the Costing Run, e.g. start of next month The date that must be used for picking up material and activity values, e.g. the date the costing run is executed.,Order

12、 Type Determination (e.g. PPC01),Tells the system which Order Type to use for product costing, e.g. PPC1 (production order-actual) NOTE : Create one Costing Variant for Current and one for Future standard cost Create one Costing Variant for Planned costs, and one for Actual costs Example : PL01(futu

13、re std) and PL02(current std) are used to calculate cost estimates for the material master, whereas PL03(plan) and PL04(actual) are used for calculating plan and actual costs on PP production Orders.,Activity Types,Activity Types are the SAP mechanism to cost the operations performed in a work centr

14、e, and are used by the PP Module for shopfloor control and capacity planning. An Activity Type is defined per operation in the work centre, and is linked to the Cost Centre that accumulates the costs associated with that work centre.(It is specified in the work centre master, and is planned and post

15、ed to on the cost centre) A Planned rate is calculated per Activity Type by dividing the costs on the cost centre by the anticipated quantity - it is based on planned capacity to ensure full absorption. As expenses are posted by cost element, and not by Activity Type, only one true Actual rate can b

16、e calculated per cost centre - several can be derived via actual cost splitting (CCA functionality).,Cost Components,The Cost of a product is usually made up of material, labour, overhead and subcontract costs. A Cost Component Layout/Split allows one to record and report the Cost broken down into e

17、ach of these Components. You have to define the Origin of each Cost Component, which is usually a Cost Element Group associated with that Component.,Costing Sheets,A Costing Sheet is used to allocate indirect overhead to a product. A specified percentage of overhead is applied to the product based o

18、n material issues or labour activity charges on the production order. Cost centres containing the indirect overheads are credited.,Cost Estimates,A Cost Estimate is the planned cost of a production cost carrier. It utilises the BoM and Routing to arrive at the planned cost, which can be transferred

19、into the material master as a Planned Price to be utilised in Product Costing to valuate the material. There are several types: Current Cost Estimate You create a current cost estimate in certain decision-making, such as in situations where you have to decide between producing in-house and procuring

20、 externally Modified Standard Cost Estimate You create a modified standard cost estimate if the basic costing data has changed during the planning period. Inventory Cost Estimate The inventory cost estimate is used to calculate valuation bases for tax-based and commercial inventory valuation,Cost Es

21、timates (Contd),You specify which cost estimate is to be considered the Standard Cost Estimate If you mark a standard cost estimate, it is transferred into the material master record as the future standard price (costing and accounting view) If you release a standard cost estimate, it is transferred

22、 into the material master record as the current standard price.,Preliminary Costing,Used to calculate the planned costs on a production order for a product that does not have a material master Types of preliminary costing are Product Costing (using BoMs and Routings) and Unit Costing (without BoMs a

23、nd Routings) Unit Costing is based on data in MM and CCA. You enter material components, activities, etc. in the list screen of the unit cost estimate Base Object Costing uses the functionality of Unit Costing , with a Base Planning Object operating essentially as a spreadsheet used to calculate pro

24、duct costs without BoMs and Routings.,Costing Runs,The Costing Run enables you to cost multiple materials at the same time. It reproduces the entire process of costing a product with a BoM. It can be executed in Background mode - for large volumes of materials. You can use the results to mark and re

25、lease several standard cost estimates at once.,Settlement Profile,Specifies how the actual costs must be settled, i.e. must be settled in full, can be settled, must not be settled. Specifies valid receivers (one or several) Specifies the default settlement structure Specifies the default PA settleme

26、nt structure Specifies the Origin structure Contains other indicators and parameters, i.e. document type, retention period, method/type of settlement, e.g. %, amount.,Settlement Structure,Contains a Settlement Assignment, which contains: The Origin, which is made up of the cost element/group posted

27、onto the order that are to be used as the source of the settlement values The Settlement Cost Element, which is the cost element on which the settlement is posted. The Account Assignment Category, which specifies the type of receiver as e.g. asset, network, order, profitability segment, cost centre,

28、 GL account.,Settlement Rule,Is defined in each order, and contains the Distribution Rule, with the specific receiver percentage to be received, and settlement type, i.e. PER or FUL,Variances,Variances can be defined as Standards Variances These are the differences between the Frozen or current stan

29、dard and the planned standard on the production order Actuals Variances These are the differences between the planned and actual values on the production order Standard/Actual Variances These are the differences between the Frozen or current standard and the actuals on the production order,Variances

30、 (Contd),Variances are calculated at two levels : Variances from Planning being the differences between the standard cost estimate (current standard), and the target costs on the production order Production Variances being the differences between the production order target and actual costs,Variance

31、s (contd) : Target Costs,SAP Calculates Variances as being the difference between target and actual costs With Activity-independant costs, target costs are equal to the planned costs With Activity-dependant costs, the system calculates the target costs for each cost centre in each period, by adapting the planned costs to the actual activity, e.g. (actual activity/planned activity) x 100.,Variances (Contd),Variances from Planning : L