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KP26

Hi SAP Gurus

Can any body tells about the field Planning activity in the transaction code KP26 and how it effects in calculation of activity cost while executing the costing run of the related material.

Thanks in advance.

Former Member
Former Member replied

Hi Amita,

The field "Plan Activity" in KP26 Overview screen represents the Activity Output to be planned in that Cost Center. In the initial screen of KP26, you will need to select the Cost Center and Activity Type. This indicates that, for example in that Cost Center A, for such Activity Type "Labour", what is the total number of Labour Hrs will be produced for a particular period. This data usually available from the business (core team). For example you mentioned the Plan Activity as 1000hrs.

Now, you will need to do the Cost Element Planning in KP06. Here, you will plan all relevant costs for that Activity Type in that Cost Center. For example, in the initial screen of KP06, you will select the Cost Center A, Activity Type "Labour" and Cost Element - for example "Salaries". In the overview screen inside, you have given 10,000 as your Planned Variable cost.

Once you saved the above, you need to run KSPI - Plan Activity Price calculation. System will calculate the Plan Activity Price by dividing the Plan Cost with Plan Activity Output (10000 in KP06 / 1000 in KP26). The system will store the Plan Price of Activity as Rs.10/-. You can see this price in KSBT.

Now, from Production point of view, in every Work Center, it is mandatory to assign some Cost Center. So as to manufacture the Product A, Work Center A is created and the above Cost Center A is asigned there. Routing will be created comprising of different Operations cotaining Work Centers.

When you run the Standard Cost Estimate for that particular Product, the Activities Cost will be calculated based on the number of hours mentioned in the Routing multiplied by the Plan Activity Price of Rs.10/-.

I hope this is clear, Pls revert back for further explanation...

Srikanth Munnaluri

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