Raw Material Cost in Pre and Planned Cost Estimate outside of BOM

[dawoodkhalid]

our client's (Textile/Fashion) process is they first run unit cost estimate at the time of quotation, when there is no BOM, Routing or Material Master of finished or sometimes even raw material, and then after MRP they execute standard cost estimate (MTO_Sale order costing_valuated material).

common business practice here is that the cost of raw material which is maintained in unit costing is considered to be as the final cost irrespective of the cost paid at the time of this raw material procurement. for example; if they maintain the cost of yarn at 100 in unit cost estimate, when there is no yarn in stock, then after maturity of sale order irrespective of procurement cost of raw material (yarn) say at 95 they want the same cost of 100 to be considered in standard cost estimate.

in SAP, standard cost estimate get the price of raw material through BOM from its material master which is 95 but we want to pick the price 100 in their planned cost estimation which was maintained at the time of unit costing.

their reporting requirement is to compare this unit costing (raw material @ 100) with planned (raw material @ 100) and actual cost estimate (raw material @ 95).

any work around?

P.S. no material ledger / variant configuration

[Former Member]

Hi Dawood,

"In SAP, standard cost estimate get the price of raw material through BOM from its material master which is 95 but we want to pick the price 100 in their planned cost estimation which was maintained at the time of unit costing."

Please update the price of 100 (which you have maintain in unit costing ) in Plan price 1 of Material yarn (Costing 2 view) and maintain the Strategy Sequence in Valuation Variant as below;

1) Planned Price 1

2) MAP

2) Standard Price

Regards,

Nityanand