Production Order Cost to WBS Element control

[rrameshr]

Hi All,

We have a scenario where we create production orders in requirement to Projects, but when we create with assignment to WBS Element and do Raw material Goods Issue to Production Order, the actual cost of WBS is getting effected, how can I control this, I dont want the cost to affect the WBS at all, but want to create a production order with assignment to WBS? (or some reference).

Thanks in advance.

[sunil_yadav2 · Accepted solution]

Dear RAMESH REDDY,

Please check whether you have checked Append Plan update to category 20 in OPSV.

If you have this tick, than this will automatically append the cost to WBSE Cost.

if you want to create a production order with assignment to WBS than create this without having this indicator in OPSV.

this will helpful for your requirement.

Thanks

Sunil

[Former Member · Accepted solution]

Hi Freids,

Appending Planned cost will not be an issue here.

Ramesh, hope you are creating a project structure in Plant B and Plant A is used for Production Manufaturing. In that case you should extend the material to both plants. When component was creaeted Project (plant A) and released, after MRP run system should create demand in Plant B. That means, Preq should be generated in Plant B and Planned Orde should be in Plant A.

PReq will converted to PO (STPO - Stock transport Order) on Plant A and Planned order would be converted to Production. Here WBS element assignment will automatically default since PP order was created referencing planned order which was generated from MRP. With this you will see all your costs automatically reflecting on WBS element.

I guess there could be problem in master data settings and MRP settings.You can check with your MM team for MRP settings and master master data settings for both plants.

Regards,

PSR

Edited by: PSR on Jul 19, 2011 11:07 PM

[former_member230675]

are you using valuated project stock or non-valuated project stock

[rrameshr]

We are using Valuated Stock

Thanks.

[former_member230675]

then there may be statistical cost element which updates the actual cost in WBSE.

normally valuated project stock actual cost of raw materials will post in production order and if you settle the production order to WBSE it will reflect otherwise the cost will settle on the FG material and while doing goods issue of the FG the actual cost will load in project.

[rrameshr]

Thanks Abdul Khader,

If I dont give the assignment of WBS in Production Order, then order cost is settled against FG, but main problem is with the raw material cost going to WBS, how can I control it? where can I check for these settings?

Thanks

[former_member230675]

run any cost element report and find out against which cost element the cost is booking. then open the cost element in KA03 and check the CElement category.

please revert.

[rrameshr]

For Material : CElem Category : 01

For Labor: CElem Category : 43

Thanks for all your support.

[former_member230675]

what is the movement type you are using for goods issue. is it 261 Q..?

[rrameshr]

Its only 261 but not Q, the movement type while issuing the Raw material for Production Order.

Thanks.

[former_member230675]

no, it is not correct. Valuated project stock (Q - Stock) how can you issue without Q in the material movement.

Please check again ...

and also one more thing how do you generating production orders..?

[rrameshr]

There are two different plants A & B.

A - Is production plant in this plant Raw material + Labor + Production Over heads = Finished Goods cost

B- is project plant where the Finished goods from Plant A will be transferred to Plant B. Here we consume material as project stock.

In Plant B or Projects, they dont want to see the break up of Production cost, they want only Finished Goods cost to be posted as actual cost when issued to project.

In Plant A we need production orders in reference to (assignment) WBSE n cost should not go to WBSE, help me how can I control this??

Thanks.

[former_member230675]

OK, now the scenario is totally different.

in this case your material master of FG is very important. For Plant A you should generate only a Stock Transport Request / STO.

please search the forum (specially in PP forum) for cross plant planning and production as there are many threads available.

[former_member388328]

Hi ramesh,

production order should be created by pp guys . once the production order is confirmed . then you the transfer the FG from plant A to project. do not create production order from the project in your case.

vengaiah