Actual activity allocation / revaluation

Question

Hi All,
My company is using SAP ISH (healthcare) in order to book Services to patient cases.  We have linked the Services to some activity types which are generated by the Performing Unit in ISH.  The Performing unit is linked to a cost centre in CO where the planned Activity rate has been set up (KP26).  The patient case is linked 1:1 with an internal order in CO which receives the activity posting.
My company would like to ensure that all of the costs relevant to these activities are allocated out of the cost centre on to the receiving internal orders at month end.  I have not worked in CO for a few years but I believe that this will involve a couple of steps in the month end process.
1 Re-calculate the actual activity prices
2 Revalue the actual postings
Each cost centre generates 2 or more activities which need to be valued.  Example below
Performing unit THEATRE1 - Operating theatre, performs operations on 2 patient cases
CASE1 - Knee replacement
     Activity type - Consumables = 100 units @ £2ea = £200
                          Drugs = 10 units @ £30ea = £300
CASE2 - Hip Replacement
     Activity type - Consumables = 200 units @ £2ea = £400
                          Drugs = 50 units @ £30ea = £1500
Total credit to the THEATRE1 cost centre
Consumables - £600
Drugs - £1800
At month end the actual costs posted to the cost centre are as follows
Consumables - £800
Drugs - £2000
In order to credit the full amount to the Internal orders from the cost centre the prices must be recalculated and the activity allocation transactions need to be revalued.
Can you please confirm the steps to configure the month end price calculation (specifically around the splitting rule on the cost centre to determine which costs belong to which activity type), and steps to process the revaluation of the transactions?
Many thanks
Phil

Answer 1

Hi Philip,
When u work with cost center independent planning system can't underunderstand which GL account and cost center should plan with respective activity. For that reason  we create splitting structures.
Cost center splitting is used in Cost Center Independent Planning where in KP06 you have cost center and cost element only. In this screen, you will not find Activity.
So, to give a relationship between Cost center, cost element, and activity, we will do splitting structure in OKES, and assign it to cost center in OKEW.
When you do KSS2, it will split the costs based on the splitting structure between activities and cost centers.
In this case, you have to maintain qty values in KP26 and later do KP06.
E.g.: we have 3 cost elements:
Salary - 100000
Depreciation - 200000
Electricity - 100000
Total = 400000
Activities:
Labour - 500 hrs
Machine - 1000 hrs
Total = 1500 hrs.
Here, when u calculate per hour rate system wi'll consider total amount / total activity hours.
= 400000/1500 = 226 INR/per hour
Here, if you want to consider salary amount only with Labour hours and deprecation and electricity for machine hours. 
For this we will create splitting structure to provide link between cost elements and activity.
In the alove example salaries Wilkinson be linked to labour activity abduction dep and electricity will be linked to .machine hours.
When you run KSPI it will split the cost between respective cost elements and activities. Here, for salary per hour cost would be 100000/500 = 200 per hour.
Also machine per hour rate would be 300000/1000 hours = 300 per hour.
Same will happen in the case of KSII. I.e. actual cost/ activity hours Between respective cost elements and activity.
Hope you understand the basic concept of splitting structure.
BR, Srinivas Salpala