Cost planning process

Using network activities we can plan various types of cost on a project. Once the flow of actual values starts there will be the difference between actual costs and planned costs.
From the management perspective to get the most accurate project cost estimate we need to combine the actual cost from the project with the planned costs for the future periods. That can be done taking a copy to another planned version.
I would like to understand the standard scenario to get updates into the cost estimate. Is it possible to control with the network valuation variant that planned cost is updated with actual cost coming from external procurement?

I think you are looking for budget revision every year. Normally public sector uses these kind of budgeting by considering previous period actual as planned then do next budgeting.
We have done a similar requirement through a Z development for one of the project.
But you can think of using the functionality of copying Actual to Plan to a different CO version. then after approval you could change it to Version 0.
For example use Plan version 1 for copying actual then copy these values to Appropriation Request version 1 as a new variant. after AR approval update these values in the version 0 on the new variant.

Similar Messages

Throug Easy cost planning process in proj systems ,i want to do sales cycle

throug Easy cost planning process in proj systems ,i want to do sales cycle
i am new to proj systems module
i am trying to create 1 PS :quotation --> PS: Order > PS Billing Request>F2 Billing through Easy cost plannng methodology.
i also created till 1 PS :quotation --> PS: Order --> PS Billing Request without Material
while entering a WBS in quotation --> PS: Order --> PS Billing Request ** randomly from F4 options then system is picking but after saving , the selected WBS is not displaying.
at the creation of F2 invoicing , system is throwing an error as "Document 70000074 does not contain any items with open quantities"
Pls guide me in a better way even i dont know the full funda of Easy cost planning .
regds

Sunitha
go through the following links:
http://help.sap.com/saphelp_46c/helpdata/en/b4/cb2d28e4ded31184080004aca6e0d1/frameset.htm
http://help.sap.com/saphelp_46c/helpdata/en/51/5828e4a44c11d189bf0000e829fbbd/frameset.htm
I hope these links will help you.

Easy Cost Planning (SAP) in Tender Process

Hi All,
I am using SAP ECC 6.0 EHP 4. I wanted to know if Easy Cost Planning in SAP PS can be used to cost a project initially while Tendering process.Or is there any other tcodes in SAP for tender process? I created Costing Models for most of the possible processes in a civil project and included the labour cost,equipment cost and material cost in it.By this way can we proceed implementing SAP in our tendering department.Looking forward for your valuable replies.

Hi ,
SAP has easycost planning objects available to cater to it. Process starts with inquiry.
1) Create inquiry for customer request. Define service material in material field in VA11
2) Create Project copying closest executed in part ( you have said 70% is engineered fresh, then project is 30 % correct at the time of copying)
3) Amend project to add/chnage/delete components & network activities. Add miilestone payment you wish to propose in quotation.
5) Add project no in inquiry (Accoutn assignment in Line item )
4) Use DP81 traxn to create quotation.Easy-cost planning need to be configured to calculate price( Cost+ mark up scenario possible) There are possibilites to pull as many deatils as you wish in quotation ( As line items) from project structure. It is possible to list major assemblies that will be delivered to customer( Make- To - Order variations). It is also possible to replace Service item used in inquiry with 'Material masters' of FERT & itemization in Quotation. Milestone dates from project will be copied you can propose % billing arrangement at each date to customer.
5) Able to revise quotation seamlessly & resond to customer changes/addtioal request. Revised quotation reflects your ability understand customer request & changes are seamlessly reflected in qty, total price & dates.
6) Upon confirmation of Sale, Sales order can be created copying quotation. All hard work/ iteration of commnucation with customer , need not be defined in system again. Order Acknowledgement will reflect agreements with customer.
SAP E C & O best practice has few more addtion for Civil project ... how to measure % completion based on Mortar used & daily output of cement mixing. That will help,
Regards,
Jatin

Planned cost for processing the component

Hi All,
How to see the planned cost for processing any component or finished product in SAP.
I don't want actual cost for processing the component.
Regards,
Shailendra

After releasing production order all primary and secondary costs get attached to the order.
You can see planned cost in Tcode:CO02>>>>Goto>>>>>>>Costs>>>Analysis>>>under cost trend layput.
Yogesh Thorat

Unable to update revenue plan values in Easy Cost Planning

Hi,
Business maintains planned costs and revenues on WBS element using Easy Cost Planning tool. But for one of the WBS element system is not allowing to update/add planned revenue line items.User is able to update the planned costs for this WBS element.
The Legend in Easy Cost Planning screen is Non-Changeable Cost Estimate.
The status of WBS is REL,ACPT(Order Accepted),NSCH(Not Scheduled - Forecast Dates),RESA(Result Analysis Carried out).
We have checked all the business process and all the revenue planning is allowed.
Please guide us on how to resolve this issue.

This is resolved...Select the WBS and click on CLOSE icon to reset the cost estimate. This allows to plan revenues again.

Std Costing and Actual costing at process Order

Hello Friends,
Followings are the client requirements, Please give me your ideas :-
1 . Costing variant is same for all three - costing run, process order (plan and actual), means there is no prices variance on process order level. ( material at std price, Activity plan price, overhead fix%)
2. Alongwith this above client also need to capture actual result (material at MAP, activity at monthly actual price, overhead fix %)
In this case there is price and usage variance can see.
Now as I think that both scenarios are not possible on process order level. According to me we can do by a customize actual costing cockpit.
Need your openion that do we have any option thru standard funcations of sap to get this requirement. If you need any other explanation , please do let me know.
Thanks
Ravi

Thanks friends. I have done.

Problems with Personnel Cost Planning

Hi all,
i have problems with the Personnel Cost Planning specifically with the Quota planning (infotype 1019).
i save data in the infotype 1019, Quota planning, for a organizational unit and in the infotype 1005, Planned Compensation, i save data for a job (i also tried with positions), but i can't value the cost for the organizational unit.
maybe I'm missing some setting or I'm doing something wrong.
Thanks

Joanne,
Are you still having issues with BI-IP? I have been troubleshooting with the basis folks in getting BI-IP up on a new system over the last few day to a week and have now gone through the process myself whereas before I had been given a system already set up. I have enclosed some troubleshooting feedback with my counterpart in getting the system up.
What type of issue are you having?
Can the basis folks start the planning modeler or planning wizard in RSPLAN even if you can't?
1. The note mentioned above 919850 and the help documentation in SPRO under
SAP NETWEAVER->Business Intelligence->BI Integrated Planning
are very helpful. They have to set the following Jco Destinations in Web Dynpro Content Administrator:
BI_MODELDATA
BI_METADATA
WD_ALV_MODELDATA_DEST
WD_ALV_METADATA_DEST
And the problem was the connection to the message server. It was not possible to connect without having a Logon group assigned. This had to be done in WI4 ABAP as well as in the SLD for this system. After that assignment connection was no problem.
2. make sure you have the portal ips in your host file.
3. have they have created an account for you in client 001 of the NW04S?
4. Have they created a portal id for you and assign the portal role com.sap.ip.bi.business_planning_showcase to you?
5. have they configured the setting for starting the planning modeler (also under SPRO)..
Hope this helps. If you have more specific questions, feel free to e-mail me directly.
Mary

Target cost, planned cost, actual cost difference

Hi!
As per my understanding , the target cost, planned cost, actual will be calculated like blow:
Actual cost = Actual quanity * Actual price ( standard price or moving average price) existed at the time of goods movement.
Planned cost = Planned quantity * Planned price ( standard price or moving average price) existed at the time of production order release based on valuation variant strategy.
Target cost = Planned Quantity * Actual price ( standard price or moving average price) when calculating variances.
whether above formulas are correct?
I have one scenario, where in process order, I am not seeing Planned quanity for compoenent/raw material, but target quanity is existed. How it is possible. When I have checked the BOM in process order, the BOM does not contain the componenet.
regs,
ramesh

Hi,
Target Cost = Costs as per the standard cost estimate * Actual Qty delivered.
For e.g. Std cost for one unit of material-x is as follows.
RM 1 - 10kg * 10 /- = 100
Activity 1 - 5 Hr * 50 /- = 250
If the actual delivery from the production is 2 units, then target cost will update as
Under Goods Issue, RM 1 - (10kg*2units) * 10 /- = 200
Under Confirmations, Activity 1 - (5 Hr*2units) * 50/- = 500
Total = 200+500 = 700
Target cost for goods issue/confirmation of activities will update only when the Goods receipt has been done but not at the time of goods issue or Confirmation of activities.
Target cost for Goods Receipt will update only when the variance has been calculated for the order.
Regards
MadhuSekhar Gupta G

Easy cost planning in Project & sales pricing

Dear All
When i was trying to create easy cost planning from project, I am uable to get the costing variant. I have done basic settings.But the same is not working properly
Kindly advise me how do i do this?
I need to create easy cost planning from project and from project i need to create salespricing through DP91. I have assigned DIP profile in project profile.
Please advise
Regards
Deepu Pillai

Hi,
Yes, that is the key that determines how a cost estimate is performed and valuated.
Depending on the object being costed, either the functions of either unit costing or product costing can be used.To calculate the costs of producing a material, you create a product cost estimate with or without a quantity structure
In a cost estimate with a quantity structure, the costing variant determines the following:
1. Which dates are valid for the cost estimate itself and for exploding and valuating the quantity
structure.
2. How the BOMs and routings are selected to create the quantity structure
3. Which prices are selected to valuate the quantity structure
4. How overhead is calculated
You create a unit cost estimate to cost the following objects:
1.Materials (cost estimate without quantity structure)
2.Materials (additive cost estimate)
3.Production orders in Controlling
4.Internal orders
5.WBS elements
6.Base planning objects
7.Cost object IDs
8.Sales documents
In unit costing, the costing variant determines which prices are selected to valuate the individual costing items and how overhead is calculated.
Costing variants are also used to calculate costs for Production orders,Networks,Maintenance orders,
Run schedule headers,Process orders,Sales document items,Appropriation requests,Ad hoc cost estimates.
A costing variant is linked to the control parameters like Costing type,Valuation variant,
Date control (in costing with and without quantity structure).
For config of Costing Variant,
Go to SPRO- Project system-Costs-Planned Costs-Costing-Define Costing Variants
Hope this helps.
Regards
Tushar

Overhead costing sheet in easy cost planning

Hello,
I have created a overhead costing sheet (having base as material cost elements where a %age is defined to be applied on the material cost) and attached it to the valuation variant of easy cost planning in PS module.
Now for a given project when I am checking the easy cost planning, it is showing all individual lines of resources like material etc. along with its qty, price and value but I can not see the effect of the %age specified in overhead costing sheet.
Kindly suggest what is to be done.
Also pl. let me know whether I can see the cost component structure of easy cost planning.
With Thanks and Regards
Ratna

Hello,
Thanks for your reply.
But when I run CJ46 for a particular WBS element, it says "The object is not relevant for processing".
I have created the costingsheet as per the process mentioned below.
For overhead costing sheet, base is created with raw material cost elements range and origin group range.
Overhead rate is defined with dependency D020 - Overhead Type/Plant as 1.5% with proper validity period.
Credity key is defined with secondary cost element with category 41 and cost center and fixed % with default "*".
The above costing sheet is attached to the valuation variant of easy cost planning in PS module.
There is a cost component structure 10 which is attached to costing variant PS06.
Still CJ46 gives message as "The object is not relevant for processing" when I run it for particular WBS element.
Kindly suggest whether I m missing any other step.
With Thanks and Regards.
Ratna

Personnel Cost Planning: creating cost item for Org unit

Hi experts,
I am trying to attach a cost item to an org unit by maintaing feature hcp02 but the somehow the cost item applies itself to both org unit and position. Could anyone please let me know the how this can be done?
Thanks

It is extremely difficult to answer your question without knowing all the details of your scenario.
I can briefly explain the scenario I used:
1. I have maintained IT1005 on job level to further distribute this information along the organization structure.
2. First of all i had to run data collection on job level using method "Infotype planned compensation: 1005" and cost item that was a base for other items, e.g. basic salary. System creates records in infotype 5010 "Planning of Pers. Costs" for evaluated jobs.
3. Then I collected cost items for positions using method "Data from related cost planning objects", calculation type A, basis that I previously set up, evaluation path O_O_S_C (I started from head org.unit) and object type source C. I did it for positions to have possibility to adjust cost items on position level using transaction PHCPDCUI - Edit Data, e.g. you can ask managers to review your defaults on position level before staring consolidation on org.unit level.
4. Then you start data collection on org.unit level using cost items on position level. Process similar to step 3 but with different evaluation path and source object.
5. When it's done you run cost planning (PHCPADMN - Manage) using special plan for planning based on OM data.
There are plenty of other scenarios, so can't really give you exact answer on your question, as I don't which scenario you use.

Product Cost Planning

We are embarking on production planning & I need to know best course for financials/product costing. Would the AC505 Product Cost Planning Course be suitable for a business who is about to embark on production planning . We are in manufacturing, and we will be using lots of components (BOMs) and process orders etc.

Hello Higgins:
There are 3 product costing courses:
AC505 - focus on product cost planning. for example, from BOM, routing to estimated / simulated cost.
AC520 - focus on ACTUAL cost scenario ,for example , make-to-stock , make -to order, sales, service, periodic
AC530 - focus on special module Material Ledger , for industries to get the actual cost (more precise)
so I understand that you start on Planning, so AC505 is the right course.
But I recommend to attend AC520 as well to understand the actual cost flow . so you can compare plan and actual together.
and if you like the most accurate cost , and implement ML (material ledger) - AC530 is another one.
Hope this help.
BR,
Manthana

Personnel Cost Planning through org objects

Can anybody tell me if salary survey data maintained for position or job can be included when trying to collect data through org objects.
I am trying to collect data basis through org objects, transaction PHCPDCOO for jobs. I have also maintained the salary survey infotype, but its not populating the IT5010 with the survey data.
Can anybody help?
Thanks,
Shipra

It is extremely difficult to answer your question without knowing all the details of your scenario.
I can briefly explain the scenario I used:
1. I have maintained IT1005 on job level to further distribute this information along the organization structure.
2. First of all i had to run data collection on job level using method "Infotype planned compensation: 1005" and cost item that was a base for other items, e.g. basic salary. System creates records in infotype 5010 "Planning of Pers. Costs" for evaluated jobs.
3. Then I collected cost items for positions using method "Data from related cost planning objects", calculation type A, basis that I previously set up, evaluation path O_O_S_C (I started from head org.unit) and object type source C. I did it for positions to have possibility to adjust cost items on position level using transaction PHCPDCUI - Edit Data, e.g. you can ask managers to review your defaults on position level before staring consolidation on org.unit level.
4. Then you start data collection on org.unit level using cost items on position level. Process similar to step 3 but with different evaluation path and source object.
5. When it's done you run cost planning (PHCPADMN - Manage) using special plan for planning based on OM data.
There are plenty of other scenarios, so can't really give you exact answer on your question, as I don't which scenario you use.

Cost Planning Error

Hi to All,
My name is Samad Farooq, currently using SAP Version 4.6C
When creating a cost plan using the transaction code KP06, error is encountered when we try to save the planned data. Error that is displayed is as follow Ledger 4A has fiscal year variant V6 instead of K4.
This specific case is happening only when using the controlling area JVCS and company code MAZ. Company code MAZ uses a calendar year.
Thanking You,
Samad Farooq

Samad.. chech out the process...
The fiscal year variant contains the number of posting periods in the fiscal year and the number of special periods.
You can define a maximum of 16 posting periods for each fiscal year in the Controlling component (CO). To define the fiscal year variant, go to Customizing for Financial Accounting (FI), Financial Accounting Global Settings--->® Fiscal Year -
Maintain Fiscal Year Variant.
Integration
You need to specify the fiscal year variant for each company code.
When you create a controlling area, you also need to specify the fiscal year variant. The fiscal year variants of the company code and controlling area may only differ in the number of special periods used. You need to ensure that the fiscal year variants match, in other words, they may not have a time conflict.
You can assign a company code using a fiscal year variant with 12 posting periods and four special periods to a controlling area that has a fiscal year variant with 12 posting periods and one special period. The time frame, for example, from April 1 to March 31 in the following year, must be identical in each fiscal year variant.
However, it cannot be assigned to a controlling area with 52 posting periods for example.
For more information on fiscal year variants, see the SAP Library under AC Financials -
FI Financial Accounting -
FI General Ledger Accounting(FI GL) -
FI - Closing and Reporting in Posting Periods and Fiscal Years.
Thank you

KP06 - No transactions for cost planning are defined in the Nos range table

Dear CO Experts,
I m trying to post Cost Planning using T-Code KP06.
please help, the Error which pops is :
*No transactions for cost planning are defined in the number range table*
*Message no. K8007*
*Diagnosis*
*You want plan primary or secondary costs/revenues in controlling area 9000. This is not possible because no entries exist in the number range table for the cost planning transactions you want to perform.*
*This is an internal system error.*
*System Response*
*Processing is terminated.*
*Procedure*
*Start program RKTKA04C.*
*Execute*
*After the program has run successfully, start planning again.*

HI,
the planning subobjetcs to be assigned in KANK to a CO-number range are (maybe you do not need all of them):
KAZP
KOAP
KPPB
KPPZ
KSP0
KSPB
KZPP
KZRP
PAPL
RKP1
RKP2
RKP3
RKP4
RKP5
RKP6
RKP7
RKP8
RKP9
RKPB
RKPL
RKPQ
RKPS
RKPU
RKPV
RKPW
RKPX
RKPZ
best regrads, Christian

Cost planning process

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