Target cost of Activity not updated during Costing RUN

[former_member214904]

Dear Exparts

We have observed that target cost of activity is not updating during costing run.

in routing display

in production order display

Regards

Tarek H Chy

[kamalkumar_biswas2 · Accepted solution]

Hi

What I could understand that In prod order your target cost is not updated properly because your standard cost is missing activity cost during costing run...please check the following areas:

  1. Activity type is properly created in KL01/02

  2. Planning is done in KP06/26 for activity dependent planning

  3. Price is calculated in KSPI and updated in KP26...see in KSBT

  4. Routing is properly defined with CCtr & Activity combination with proper formulas assignment

If all these ares are correct then you should get Activity cost in costing run...and also target cost in Prod Order

  kamal

[former_member214904 · Accepted solution]

Dear Kamal

Thanks for your reply.

Step by step we have do the process and result is ok.

Previously before completion of CO work - PP completed their work.

So that target cost is not showing (activity) and not consider in costing run.

Thanks

Regards

Tarek H Chy

[gsgiri]

Hello

Check whether the Production version used for standard cost estimate is having these activities in the routing. If so check the costing lot size again the production batch size mentioned in the routing.

I see that 1 hr required for 10,000 PCS where as we are creating the Production order only for 100 PCS. ensure that the activity price and cost is good enough and not less than 0.00

Regards

Giri

[former_member198650]

Hi Tarek,

It will update once you run variance calculation for the order. So first do variance calculation, later check it.

Regards,

Mukthar

[former_member214904]

Hi Mukthar

During costing run product cost will update with RAW material and also Plan activity (Labour/Utiltiy etc)

In our case - plan activity rate not picking during costing run.

So that standard cost is picking only RAW material price.

And showing STD price BDT 29,700/-

After production we have discovered this issue.

Regards

Tarek H Chy

[former_member198650]

Hi Tarek,

Have you maintained activity rates for the cost centre in KP26? If not, then maintain it.

Regards,

Mukthar