production order cost estimate

[former_member456094]

Hi, guys:

     In MTO scenario , we did not do sales order cost estimate . when production order GR ,the price of which is not equal to the price of the material . The Current valuation strategy  in table EBEW  is  2 - Value from production order cost estimate .I am confused when do the production order cost estimate .

Is when the fist movement of production order  or  released of  production order  ? would you help me . thank you  very much .

[ajaycwa1981 · Accepted solution]

Hi Liang

Production order cost estimate is calculated when you Save/Release the production order.

You make that setting in order type at the plant level. I think it is OKZ3

Hope this helps. Please close the thread if resolved

Ajay M

[former_member456094 · Accepted solution]

Hi Ajay M:

    Thanks for your reply ,  I think that I did not describe my question clearly .OKZ3 controls the production order whether or not have plan cost .but it doesn't control when the production order reevaluates the plan cost .

my issue is I made a mistake that  I maintained the  price of cost center  in Kp26 . I generated a production order after I correct the price in kp26. but when the production order GR the price of stock is still wrong . so  I want to know when the production order reevaluates the plan cost .

[Former Member · Accepted solution]

Hi Liang,

in OKZ3 you define if and when plan costs are calculated. Usually you have setting to (automatically) calculate the plan costs when saving the order. This means that the changes of the activity price will be considered in the plan costs only when you update the order.

You wrote that created the production order after adjusting the price. In this case the plan costs of the order should be correct. I guess that the GR was posted into an existing special stock (EBEW) and so the system used the standard price of this special stock for GR valuation.

Please note that the standard price for GR valuation is only set by the first GR which creates the special stock segment (in EBEW). The following GR postings into this special stock used the existing standard price.

Regards,
  Johannes

[ajaycwa1981 · Accepted solution]

Hi Liang

Production Order planned cost is calculated when you save or release the Production Order

Once the Prod. Order is created, you can change the Planned Cost manually from CO02, by choosing the menu Options..

BUT, if you have already posted the GR once, then all subsequent GRs will happen at the same price. If you want to change this, you need to do MR21 for the Material + Sales Order Combination

Since you already did the GR, do MR21 now

Future cases should be correct because you already rectified KP26

Ajay M

[former_member456094 · Accepted solution]

Dear Ajay M：

   Thanks for your reply , I did a lot of  tests .the result is same as you said. but there is a little different . If I did not do material cost estimate and I created a production order . the plan cost of production order is calculated when it saves ,releases or any activities  . but once I did the cost estimate for the material , the plan cost of production  order is no longer calculated .

   by the way , how can I modify the plan cost of production  order in CO02  and  inventory price of material + sales order in MR21 ? Would you give me some details ? thank you very much .

[ajaycwa1981 · Accepted solution]

Hi Liang

if you have material cost estimate available from sales order, you won't need production order cost estimate. It should still calculate (you should see planned cost in co03). But there is no harm even if it not calculated

Go to MR21- Enter Plant - Dates

once inside, choose the Variant as Material + Sales Order in the middle of the screen

now you can enter material and sales order #. Change the price as you wish ( New price)

Ajay M

[Former Member]

Hi....

Production order’s preliminary cost is not used to valuate the production order GR.

Standard cost for valuating inventory is calculated and released when you create or modify sales order.

If you don’t generate production order’s GR, you can modify  the standard cost for sales order using t-code CK55.

[ajaycwa1981]

Hi Big Choi

Preliminary Cost of Prod Order is used for Inventory Valuation in MTO if Sales Order cost estimate does not exist. This is standard SAP design

Ajay M

[Former Member]

If user don’t set the indicator Without valuation strategy in the requirement class, you are right.