Product sold out from a plant is incorrectly treated as Pur Fin Goods

Question

Hi ,
Our client have a scenario in Product Costing, where Fruit products are manufactured in Plant X, and have all the standard cost components (Mat  DL  FOH etc.) that one would expect of internally-manufactured skus.  Traditionally, these products were shipped from Plant X  to Plant Y and then to Plant Z.  Once sold out of Plant Z, the actual Cost of Goods Sold (COGS) in the system likewise includes costs for Mat Packing DL FOH  etc. 
However, last year our client started also selling product directly from Plant Y.  Looking in ACTUAL COST (Plant wise) reports, we see that, when sold, a given fruit sku from this plant is treated as a purchased finished good.  That is, all of the standard costs & variances associated with the sku are aggregated into Purchased Finished Goods, a materials account.  Because SAPs actual cost has zero for all other line items (i.e. DL  FOH), the system generates favorable variances that eliminate these standard costs.
Please let me know what configurations are required to have Plant Y COGS allocated to correct line items such as DL FOH etc.
Regards
Jaswanth

Answer 1

Hi Jaswanth
You need to create a special procurement key.. Assign this special proc key in the material master/Plant Y
This would fetch the std cost of Plant X into Y with exact cost components...
Also, important is that you have price control as S in the Plant Y as well.. Else, all the DL and FOH etc will get included into Mat if your Price control is V
The settings required to be done for Spl Proc Key is
1. Go to OMD9
2. Click on New entries: Enter your Plant = Plant Y (receiver plant) "SP Pr Type" = Z1 and Proc Type = F;
3. Under Special Procurement Secrion
Enter U as special procurement and Plant X in the Plant Field (Transferring plant)
4. Save this entry, and in Mat Master of Plant Y, specify F as Proc Type and Z1 as Special proc key
5. Run CK11N in Plant 2... and release from CK24
Regards
Ajay M