Costing at Actual cost

[jan_turek]

We have some materials valuated with Standard price that are kind of prototypes. It means that first 1-3 production cycles are differrent from the final (stable) production. BOM is always the same but activities are differrent (more/repeated operations).

We want these materials to have their STD price equal to actual production costs for the first cycles. Of course it is possible to finish the production cycle, track actual costs and then change the price in MR21 but this manual change is not preferred.

A solution would perhaps be to track the actual activities performed, then change the routing ad hoc accordingly and then perform/save/release the cost estimate.

Do you think this is functional solution? Would there be any other possibilities.

I appreciate any hint.

thanks to all

John

[ajaycwa1981]

Hi John

I would rather prefer to modify the BOM / Routings based on the "actual experiences" of the 1st 3 batches.. Then calculate from CK11N based on the latest Qty. Structure

If you want exactly same Std cost as the actual cost of 3 batches, it has to be done only manually either from MR21 or from KKPAN using cost est without a qty structure..

Since you would now like to release cost est based on Qty Structure, i would prefer the 1st solution, which might result in small differences than expected

Br, Ajay M

[jan_turek]

Hi Ajay,

Thanks for your reply. I would also prefer adjusting routings since the direct material price change always lead in quizical questions from the auditors :-).

br/

John

[michael_savarimuthu]

John,

Did you consider Actual Costing with Material Ledger

Cheers,

TD

[jan_turek]

Hi Toidi,

No, implementing ML is just too big hammer for this purpose. We are talking about several machines and several production cycles per year.

br,

John