Product cost estimate

Hi Experts,
Can somebody explain me the theoritical point of need for product cost estimate. From my know somepeople say we need to enter the standard price in the cost estimate tab of the material master, but sometime i see that when we run the CK11n the price automatically updated in the standard price field of the material master when we mark and relese the std cost estimate.
Do we need to enter price in the material master before the cost estimate for the materials or if we do the cost estimate do we do cost estimate only for the finished products so that all the cost under that product will be calcualted or do we need to do cost estimate for all material raw material, HALB & FERT?
what is the purpose of cost estimate and the result of cost estimate?
Thank you
Edited by: Nivi ram on Dec 29, 2009 9:52 PM

Hi Nivi,
Partly I agree with Pradeep, but I would to add more information regarding product cost estimate concept.
Maintaining material master on Accounting view or Costing view is mandatory prior to run Product Costing. It is true, by maintain price manually you cannot get cost breakdown or what so called as cost component structure. It is initial price which then later can be updated by "process Marking and Release" product cost estimatel.
How the system get the value of material costs and process costs are defined by Costing Variant. Costing variant control how the system find the BOM and routing to calculate the material costing and the production costing. System will access the material and activity cost based on Valuation variant in the Costing variant. I am sure you can costing variant use in the CK11N.
When the product cost are free of error then, you can go to the process to utilize the product cost estimate to update the material master with CK24 ( update material master indivdually). You can also use mass costing using CK40N - Edit Costing Run to maintain the costing and update material master. So product cost estimate can be run either for finished product (FERT), semi finished product (HALB) or other components
Hope this help.
Regards,
Irhasni

Similar Messages

Changes in poduction order,routing not updating in product cost estimate

Dear SAP Gurus,
i had done mto thru sale order and done some changes in production order,routing,and not updated the standard costestimate of newly updated can anybody tell me the procedure of updating the routings and production orders after production order released .
pls help me the standard cost estimate how to get updated while changing the routing,production order.
regards,
muralidhar putta

Hi Muralidhar,
Could you please share with us how your problem was resolved. It may help others too.
Thanks,
Manjula.S

Product Cost Estimate without Recipe

Dear SAP colleagues,
I am facing a problem that standard cost estimate is gettting released (thru CK40N) even if there is no recipe for some products.
I tried searching if there is a possibility of setting some error message (OBA5) but could nof find any. Since the number of products is huge, it is not possible sometimes to do this check manually for all the products.
Can anyone please help me to avoid this situation?
Thanks,
Prasad.

Hi,
Thanks for the fast feedback. I had already tried it with some messages. But based on your suggestion, I tried with some more messages. Below are the messages which are now set at Error in OPR4_CK.
E     C2     315     Routing & is flagged for deletion
E     CK     159     Routing & & does not exist
E     CK     229     No routing could be determined for material &
E     CK     306     No routing could be determined for material & plant & sel. ID &
E     CK     476     Material &: Routing does not match selection ID &
E     CK     478     No routing could be found with the specified selection criteria
E     CO     807     Task list & not valid for key date &
Despite maintaiing this setting, I am still able to generate the Standrd Cost Estimate without Recipe. There is no error in CK11N.
Is it possible for you to check further & suggest?
Thanks in advance for your help.
Rgds,
Prasad.

Mass product cost estimate

Hi Guys,
Is there a way to run cost estimate for a list of materials by division or plant.I know CK40N estimates the cost on company code level and I wanted to cost prodcuts only for 1 plant.CK11n is indiviual transaction.Can I use MF30 transaction for standard cost estimate.Thanks
Regards
Shaun

Hi Shaun,
Pl see the blow link on this issue:
Re: Cost Run at same time for both the plants
Regards,
Pandu

Error during variance calculation for production order "NO cost estimate "

hi all,
I'm gettin this error message while trying to calculate the variance for a production order. error is "No cost estimate for material xxxx for 01.10.2008.
when i look at material xxx in MM02, under cost estimate for current period there is a value but nothing for previous period. So i'm guessing the the Cost estimate was not run of this material? am i correct here?
Now if i try to run cost estimate for material for the missing periods using CK11N, i get an error "cannot save for past period"
Could some one tell me how can i get a prior year estimate into the material master?
I tried CK40N and CKN1 but just cant get it to work...
Thanks heaps

Hi Tom
unfortunately there is no easy way to get a product cost estimate for a past date. One of the reasons for this would be inconsistant product valuation.
You could in theory create a cost estimate in a current date and use an ABAP or manually adjust the valid from and to dates directly in the tables (e.g. KEKO). To do this in a production environment would be restrictive off course.
The standard cost estimate is the basis for the target costs so as an alternative you could look to change the configuration of the target cost version in OKV6 to either of the following:
- Plan Cost/Preliminary Costing (that is the plan calc done on your production order)
- Alternative Material Cost Estimate (one that is not necessarily a product costing that is set for marking and release).
I hope this is of some help.
Elaine

Product Costing:External Processing

Hi Gurus,
My doubt is I am comparing standard cost estimates of production client with another client which is its copy. The product cost estimate of a material, the cost component 'External Processing' is showing value 700 in PN client and 1000 in the New client. The cost element for 'External Processing is 700000000H as primary cost element and another as secondary cost element. I tried checking the GL account report in FBL3N regarding the postings happened in the GL accounts.
1. My question is why there is a variation of 700(of PN client) and 1000(in NEW client).
2. The second question is, from where these values are flowing.How we can trace back the flow of values for this particular cost component of External Processing' of a material cost estimate?
Is it anyway related with Exchange Rate differences? If so, how and where it is linked?
I'll be really grateful for your answers.
Looking forward for you reply soon.
Thanks,
Prithwi.

Hi,
I have checked the valuation variant 001. The startegy sequence is same only. There's no change in configuration settings as the new client is copy of production client only.
I wanted to know, the 'External processing' data or values from which.postings. How it gets picked up and how we can check its origin?
Thanks in advance for your help.
Prithwi.

Error reading material cost estimate for sales order (KE292)

Dear All,
I have an issue with billing. we are posting july month transactions, the material cost is maintained through MR21. When releasing billing document for accounting we are getting error message like"Error reading the material cost estimate for sales order "11"
Message no. KE292
Diagnosis
In Profitability Analysis (CO-PA), the system tried to valuate item 000010 of sales order 11 by reading the corresponding product cost estimate.
However, no product cost estimate could be found for this sales order item.
The system accessed product costing for product AMLFP011011XX00P using costing key YB3 as defined in the
CO-PA Customizing settings.
System Response
The system cannot process the document any further.
Procedure
Check your Customizing settings."
We cross checked with other client as a current date and we ran cost estimate through CK40N with same material. and we posted entries. Here it is working fine. but in above process it is not working. Can you pls guide me where i missed.
Regards,
Nagaraju,

Hi,
When the Costing Key is assigned to the material types in the COPA customizing, then system expects Cost estimation when billing is released to Accounts.
If you dont run cost estimation but update the material master through MR21, system will not accept as in the Costing key configuration you must have selected the Current Standard price field for the valuation.
Hence, try to run cost estimation and then do releasing.
Thanks & Regards
Ravi Kumar

Product costing erroe at the time of releasing the billing document in vf02

Hi co experts
while releasing billing document to accounting in T.Code VF02 it is showing error that no product costing estimate could be found
messege number ke380
i really appreciate for the early responce
regards
venkat
Edited by: venkataswamy bathini on Mar 14, 2009 10:43 AM

Hi
i have estimated the cost in ck11n ,marked and released in ck24.
the std price will updating in meterial master.
i tried the tranaction in vfo2, but still getting same error
this is the Diagnosis
in copa the system tried to find a product cost estimate for product 44 in plant 1100 that uses costong variant dc08
the system lokked for the cost estimate using costing keys dcb as defined in the copa customizing settings
Regards
venkat
Edited by: venkataswamy bathini on Mar 14, 2009 12:36 PM

While product costing CK11N error

While using CK11N I am getting following error:
Sr.No.               Error Description                                                                                Msg No
1>     No price could be determined for Material /Batch XXXXXXX/Plant XXXX                                                    465
2>     Cost Component split costed with value zero                    240
3>     No valid source of supply could be found.                         380
4>     Object was not costed                                60
5>     Cost estimate for material XXXXXXX /Plant XXXX is incorrect                                 168
Please help me how to fix above problem.
Thank you.

Check following points,
Probably material might be split valuated,Check price is maintained for all valuation types including header in MM60.
Check price is maintained in info record.
Check type of procurement in MRP2,it will be external procurement - F.
Do product cost estimate using KKF6N.
Check production version is maintained in MRP4 ?
Check throughly all masters vendor,info record & material master.
It will solve the issue.

Error: no product cost estimation possible, at the releasing for accounting

Hi Guru,
while releasing for account in billing document for the finished product.Shows Error as:"no product cost estimation not allowed". Thou I cheked configuration checking of costing key in COPA and costing variant of relevant one looks fine. Plz guide me further more configuration and basic settings needed in to solve this task.
Thanking u in advance
Murali.

Pawan,
Thanks for your quick reply.
I have done those change also, still it is coming same as " No Product cost estimate was found". check you costing key 100 in COPA configuration. i have checked costing key configuration , in that costing varinat PPC1, Costing Version 1, Period/Indicator as "Current Standard cost estimate Acc. to entry in Material Master" .
How to fix this, guide me
Sateesh

How do view previous cost estimate price in material master

Dear,
friend i want to see the previous standard estimate price of FG and SFG in material master data.i can view current and future standard price. But not the previous price so kindly anybody suggested me, is there any configuration needed for view previous price in controlling module.
Thanks
advance.

You can try table MBEWH table for Material valuation price for previous periods
Or get product cost estimate number KALNR field from KEKO and use that as an input to CKIS table. Here cost is displayed as itemization

Product Costing: Forex rate involvement?

Hi Gurus,
I wanted to know, in a product cost estimate, is it linked anyway anywhere with the maintenance of exchange rates in OB08 transaction? If so, where the maintenance of OB08 foreign exchange rates maintenance is linked with a product cost estimate of a material? Is "External processing" cost component anyway linked with the foreign exchange rate maintenance? If you have any details regarding the questions asked, please give me some clue and share the details. It will be highly appreciated.
Thanks,
Prithwi.

Hi,
While creating PO itself, the PO Header data will get the Currency by default from Vendor Master Currency. It will allow us to change Currency, Exchange rate and also allow us to tick u201CExchange Rate Fixedu201D check box as per our requirement. Whenever there is a difference in Co Code Currency and Vendor Master Currencies, system will check u201CCurrent Exchange Rateu201D from Exchange rate table maintained in t-code-OB08. Any differences will be posted to Exchange Rate differences Account. If we ticked the u201CExchange Rate Fixedu201D check box, while posting the MIGO, the system will take the Exchange rate available in PO as fixed. If this check box is not ticked, again the system will check and take the u201CCurrent Exchange rateu201D from Exchange rate table.
Regards
appalas

KE380 for finished good with released cost estimate

Dear Gurus,
We have following error.
No product costing estimate could be found
Message no. KE380
Diagnosis
In Profitability Analysis (CO-PA), the system tried to find a product cost estimate for product 20010412 in plant FA03 that uses costing variant LG01.
The system looked for the cost estimate using costing key LG1 as defined in the CO-PA Customizing
settings.
System Response
No estimate could be found.
Procedure
Check the settings for valuation using product costing. If necessary, create a product cost estimate for this product.
The thing is this error occurs for materials with released cost estimate.
Before we had error ke350 for all materials considering DIEN and ROH.
After supressing the error in kepc we can release invoices with DIEN and ROH materials.
But we got another ke380.
How can we solve this issue?
With best regards,
Kamila.

Hi,
This type of errror is usual if costing based COPA is active and you are using Costing key to valuate the inventory using the Standard cost estimation.
When the costing key is been configured in COPA to access the standard cost estimation and is accordingly assigned to material types, then when the billing is released to accounting system tries to find out the SCE in the material master to pass the COGM to COPA. If it doesnt find the same, it will throw the error.
Hence, run SCE and update your material master.
Thanks & Regards,
Ravi Kumar

Automatic cost estimate while transferring to accounting.

While Posting billing Document from SD to FI, I am getting error as mention below
" The system tried to read the product cost estimate for product 20000050 using the costing variant aZPC4 and the costing version 01.
However, the product cost estimate has the status KF, which means that it contains errors. Therefore the cost estimate is not valid."
When we try to do the cost estimate manually then it estimates without errors.
Waiting eagerly for your replies,
Ariel Desa

First, you need to make sure you cost the material without errors (the status will then be KA)
Then you need to mark and release (*please see note below) your cost using transaction CK24. The status will then change to FR.
(*PS: If your system is setup to read Future Cost Estimates, you only need to mark the Cost Estimate and not release it.)
You can now release your Billing to FI.
Cheers.

Cost estimate for Finished goods

Hi SAP guru
While Posting billing Document from SD to FI, I am getting error as mention below
" The system tried to read the product cost estimate for product 20000050 using the costing variant YPC1 and the costing version 01.
However, the product cost estimate has the status KF, which means that it contains errors. Therefore the cost estimate is not valid."
Kindly suggest any solution
Regards
FI

Hi Friend,
For that product you dont have the valid cost estimate, that's why the recent cost was not updated to the material master. And at the same time, system is telling that you have a standard cost estimate with errors. Go to CKR1 and remove the cost estimate and create a new one without erros. Then post billing document.
Sateesh Kumar

Product cost estimate

Similar Messages

Maybe you are looking for