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Production Activities which are not in the routing

Former Member
0 Kudos

Dears

When I go through the Cost analysis of the Production Order, we find many activities which are not in the routing master data for the material.

How this is possible ?

Accepted Solutions (1)

Accepted Solutions (1)

mansoor_khan4
Active Participant
0 Kudos

Hi,

Check the Cost Center assigned to routing which you are referring to Prod Order is same...

In routing for those activity type -KP26 rate is maintained will roll up in prod order....

Regd,

Khan.

robin_mcgee
Active Participant
0 Kudos

Hi Khan,

Please see KBA 1341815 where it says "The valuation variant for WIP and scrap is used to determine which standard cost estimate is to be used to calculate target costs. Valuation is not possible if the routing (used for the yield backflushing) does not match the standard cost estimate (see Calculation of Work in Process). Therefore, it is recommended that you use Plan costs/preliminary costing as your valuation strategy, since this is based on the routing for the cost object (product cost collector, production order etc.)."

Regards,

Robin

Answers (1)

Answers (1)

Former Member
0 Kudos

Are you finding activities in the order that are not in the routing?

If that is the issue -- activities can be added to any order manually.  This will cause mfg variances during settlement.

We usually refer these additional activities back to engineering to determine if they should be added to the standard routings, and thence into product cost.

Althea

robin_mcgee
Active Participant
0 Kudos

Hi Althea,

Please check note 386816 - WIP and variance calculation. This describes different routings for materials.


Regards,


Robin