Separation of Joint Prodct cost

Hi Experts
I have the following scenario:
1- BOM for product "A" and BOM for product "B" each separately.
2- Product "B" will be wrapped with product "A" through subcontracting and a new product "C" (product "A" and product "B" together) will be sold.
3- We want the total cost of product "B" to be a marketing cost as a promotion.
Can you throw some light to separate this promo cost?

Hi Ahmed
Refer this link where couple of options are discussed
COPA alternatives for posting kits at header(real)&subitem(statistic) level
br, Ajay M

Similar Messages

Prodct costing

Experts:-
1. what are the fields enter in material master related to product costing?
2. Purpose of internal activity allocations?

Hi,
All the fields in Costing Views 1 and 2
some of the fields like Procurement type etc in MRP view 2
Primarily these are very important views for Product Costing
Best
Regards

Cost of Goods Sold account determination by customer type (inter-company)

We have a business need to separate the the cost of goods sold be customer type. Specifically separating the inter-company cost of goods sold from the 3rd party cost of goods sold.
The standard COGS account determination in GBB/VAX only allows for differentiating between material valuation class.
Has anyone attempted this before and what method worked?

For those who may need an answer to this, our solution was the following:
1)       Created new types for SO, SO Item, Sched. Line, Delivery, Delivery Item, Billing type
2)       Created new Pricing procedure
3)       Created new movement type Y61/Y62 modeled after 601/602
4)       Mapped Y61/Y62 to account modifier ZAX.
5)       Mapped GBB/ZAX to the new account.
Benefits, they now have better view of the orders going inter-company. It is flexible enough to adjusting prices for intercompany separate from standard orders, even though for now it is a straight copy of cost. They are able to remove the sales/use tax, from the calculations. They are able to plan with these orders separated out. Plus, this will standardize their process for inter-company.
Hope this helps someone.
Cheers!
Rick

CO product..How to allocate the cost

Hi,
Anybody can guide me and thro' some light on how can i allocate the cost to a Co-Product from the main header materials.
What is the use of the tab " JOINT PRODUCT " in costing view in the material master,in the same tab we have something called source structure and equivalance number.How can i use it.
I want to alocate the CO Product cost in the ratio of 7:2:1.
I mean to say that allocation to main material A is 70%,Material B is 20% and Co Product is 10%.
How can i bring this into SAP system.
We are in REIM profile..i.e REPETATIVE MANUFACTURING.
I looking for your valuable feedback and suggestion....
Thnx in advance..
God Bless

Hello,
SAP system has provided excellent & user friendly tools for co-product / joint product costing via source structure and equivalence number. You need to maintain those source structure, equivalence numbers etc. (Your %s u2013 70%, 20 % are equivalent numbers)
For more details, refer to following link:
http://help.sap.com/erp2005_ehp_03/helpdata/EN/90/ba620e446711d189420000e829fbbd/frameset.htm
Hope this helps.
Ambadas

Priliminary costing

Hi,
We are in repetative manfacturing industry(Fertilizer). We are using product cost collector.
REM profile is craeted with using data from preliminary costing of prodct cost collector(2nd option in REM profile).
Price control "S" we are using in Material master.
1. Should i run preliminary cost every month? because this rate is not updating material master. where this cost will be used ? goods receipt is posting with standard cost only. Can i post goods receipt with preliminary cost?
2. Standard cost run at month end we are executing for stock revaluation effect in the same month.
How variance will be calculated with priliminary cost ???? or Standard cost???
If variance thorugh priliminary cost, what would be effect in costing reports??
3. What is simultenous cost?
Thanks in advance
Padma

Dear Padma,
1.Once when the product cost collector is created through KKF6N,while saving automatically the
system calculates the preliminary cost estimate for that material.
2.Whenever there is a change in the BOM or routing of that material,come to KKF6N--->goto change
mode and click on costing button (calculator like icon) and save the datas.
If you miss this step means while backflushing through MFBF,the system always considers the old
BOM and old routing details and captures its related quantities and costs,so the actual booking will not
be proper.
3.Even if your REM profile supports only backflushing as per to standard cost estimate ,still once after
for a period if already a released cost estimate exists and after that if there is any BOM changes in
order to capture this you have to execute the step mentioned in step2.
4.the captured variances will be settled at the month end.
Check and revert back.
Regards
Mangalraj.S

Loading freight cost on inventory

Dear All
I am implementing LE .Our client want freight charges to get uploaded on inventory during STO. Will any-one please help me to get rid of this problem , I want urgent solution for this .
Best Regards
Parveen Kumar Thakur

Hi,
Apology, I am not clear what do you require from your reply message about those items you have listed. Did you want to understand what they are or did you want to know what configuration settings to maintain for those? Those settings are dependent on your requirements.
1) Cost Distribution - this settings explains the different method possible for apportionment of the cost during settlement (Transfer to CO) - which you can select from Shipment Cost Item, Delivery or Delivery Items.
2) Acct. Assignment Cat. - It allows you to settle the cost to various accounts - used in account determination in tcode OBYC (GBB - > VBR). Where those are setup, the desired account is determined in the shipment cost document.
3) Origin of CO - This is used to determine where the origin of the CO object should be determined from. The selection provides you various sequences, which you can possibly use. It is possible directly through a G/L Account, through the sequence of Delivery, then if not found, it will determine from Order and finally through the sequence of Delivery, Order and G/L Account.
4) Relevant for settlement - In this case, depending on your requirement you can consider the option of settling through a G/L account or through the delivery costs method (which is detailed in "a" and "b" below). Otherwise, the settings commonly used is "X".
And, I am not sure what is your real intention here, but definitely you can generate PO to forwarding agent simultaneously, and then perform MIRO against the forwarding agent/shipment cost document/PO. It depends on your requirement, and in some instances, a company can have an agreement with the customer or vendor that the transportation cost is to be borne by them along with the materials procured or sold.
Hence, there are three possible methods the shipment cost can be handled:
a) The cost is to be included in the PO for the material (which I have just explained above)
b) The cost is to be included in the Billing document for the customer (in the case of Sales scenario)
c) The cost is to be handled separately in a shipment cost document --> Freight PO --> Payment to Forwarding Agent (which is the common practice by many).
Hope the above helps.
Thanks.

Production order - cost center

Dear All,
My question is:
We will produce trial products in our factory, and the management wants the costs of these finished goods to be booked for another cost center than usual (they want ot see it separately from normal prod. costs).
Can we set this 'trial' cost center for the production order? And how? (e.g. can we define a new production 'order type' that is connected to the desired cost center?)
Thanks in advance,
Csaba

Hi there!
Thanks for your answer.
So, as I see I cannot only change e.g. the 'order type' or something and use the same work center, routing as before.
I have to create new master data (e.g. work center).
Cannot we avoid this somehow? (This kind of PrdOrd would be issued only once-twice.) Is there any more simple solution?
(Maybe there's no 'simple' solution.)
thx
Csaba

User Exit or BADI to change the product cost

Hi All,
My requirement is to change the product cost when the costing engine is running via ck11n or ck40n. Iam looking for user exits and BADI's for this requirement.
I did look into the BADI DATA_EXTENSION_CK but this particular BADI does not have export or changing parameters. Can anyone suggest any user exit or BADI's for this requirement. I also looked into other BADI's like
CK_KALAMATCON2_CI
COSTINGRUN_CK
COST_APPORTION_CK
CO_PROD_COSTING_CK
DYNPRO_EXTENSION_CK
ORDER_COSTING_CK
QUANTITY_STRUCT_CK
SUR_STOCK_TRANSF_CK
VALUATION_CK
But none of them served the purpose. Plz help...Thanks in advance...
Regards,
Nirmal.

Hi,
Check followinf enhancement spots:
CO_PROD_COSTING_CK              Cost Management for Joint Products (Costing, Target Costs)
COSTINGRUN_CK                         Edit Costing Run
ES_CAL2TYPE                             ES_CAL2TYPE
ES_LCK40VWS
ES_SAPLCK00                            es_SAPLCK00
ES_SAPLCK01                            es_SAPLCK01
ES_SAPLCK04                            SAPLCK04
ES_SAPLCK2U                            es_saplck2u
ES_SAPLCK36                            es_saplck36
ES_SAPLCKCC02                        ES_SAPLCKCC02
ES_SAPLCKDI                             ES_SAPLCKDI
ES_SAPLCKKK
ES_SAPRCKCU
ESC_CL_COSTING_PERSISTENCE
LCKDIO2M_01                             ES_SAPLCKDI
LCKDIO2T_01                              ES_SAPLCKDI
ORDER_COSTING_CK                 Enables Header Data Changes in Preliminary Order Costing
QUANTITY_STRUCT_CK               Enables Quantity/Structure Changes in Costing
VALUATION_CK                           BAdI for Valuation in Product Costing
Hope this may be useful..
Regards,
Prashant

Calculation of cost for subcontracting item of type N (non stock) as it calculating for type L(Stock)

Hi Gurus,
I have a Requirement for calculating the cost for Subcontracting Non stock items N as it is getting calculated in standard functionality for subcontracting items of Type L.
This will be done in CK11n ( used to calculate the standard cost estimate of the product) for header as well as component materials.
please suggest the user exit or Badi where i can change.
Please refer the below logic-
BOM for the material 2000500 as Header and 1LPL0835298AB as a component and this component has an assembly with 7008508 as a component and this component is an Sub contracted item and this has an assembly with component 1LBA182151-3.
Price calculation for the material 7008508 (Item Category as N). Since this is sub contracted item the price will picked from field EINE-NETPR.
In EINA, pass the material (MATNR=7008508) to fetch the list of info records (INFNR) created for that material.
Then it has to input those info records to EINE table along with Purchasing organization (EINE-EKORG=PT02).
From the output of EINE table, it should compare the price (EINE-NETPR) of the PIR and should take the least price from those PIR`s.
If the currency is other than PLN, then it should be converted to PLN based on conversion charges.
For Material (MATNR=1LBA182151-3), it should pass the material number to table MBEW along with valuation area (BWKEY = WERKS).
From the output, it should check the Price control (VPRSV) ‘V’ or ‘S’
If ‘V’ the price will be picked from the field “VERPR”
If ‘S’ the price will be picked from the field “STPRS”
Also from the output, it should check the Price unit (PEINH) ‘1’ or other than ‘1’. If it is other than ‘1’ it should divide the VERPR or STPRS by PEINH. Then this is the price of the Material “1LBA182151-3”.
The material (MATNR=1LBA182151-3) should be passed to table “MARA” and will take the Base unit of measure from that table “MEINS”.
Br,
Surya

Hi Surya,
Please put breakpoints in any of the below BADI's and check if any of them will trigger for your
requirement:
VALUATION_CK                            BAdI for Valuation in Product Costing
CK_KALAMATCON2_CI                       BAdI for CI Fields for Table KALAMATCON2
COSTINGRUN_CK                           Edit Costing Run
COST_APPORTION_CK                       Maint Apportionment Structure Joint Production: Dist Rules
CO_PROD_COSTING_CK                      Cost Management for Joint Products (Costing, Target Costs)
DATA_EXTENSION_CK                       For Data Enrichment in Product Costing
DYNPRO_EXTENSION_CK                     BAdI for Interface Enhancement in Costing
ORDER_COSTING_CK                        Enables Header Data Changes in Preliminary Order Costing
QUANTITY_STRUCT_CK                      Enables Quantity/Structure Changes in Costing
SUR_STOCK_TRANSF_CK                     Overhead on Materials with Stock Transfer Between Plants
Thanks
Sri

Component scrap queries

Hi all,
We have maintained component scrap of 10% in the material master.
So if we create 100 PCS of header production order, component qty is 110. 10 pcs of scrap generated is sold outside.
There is a scrap material maintained in system. We want 10 pcs of that scrap generated should be in stock.
How can we get the stock of component scrap when we run the production order cycle.
Please reply.
Ragards,
S Sudhir.

Dear
To address this business process you need to maintain the Scrap in BOM with -ve quantity then that scraped we can move to scrap storage location with movement type 551.So that you will be able to sell this scrap seprately.
Once you have entered scrap in CO11N material movements are automatically posted in the system. By confirming scrap you are only reducing the balance confirmable qty in the order.
You can post component scrap as byproduct using 531 movement type if u want ot reuse the scrap. Further action is you have confirmed the scrap quantity now you need to post in some storage location either to order or to the GL account of the material. Both are possible from MB1C. Maintain some storage location and post the scrap.
By doing scrap in CO11N, material qty will consume from stock but scrap material you can not see in any where.
Normally in production no one can do scrap.
And also in every company they want to calculate monthly scarp qty.
To achieve the above doing component scrap it will not use.
Follow this method to get rid of your problem.
1. Confirm all the qty as yield qty in CO11N or CO15. ( ok + scrap)
2.Create one separate str location for rejection.
3.Physically you know the how much rejected qty. Move that qty from accepted str location to rejection str location by using MB1B 311 mvt.
4. Now yield qty will reduce.
5. Check in MB51 with mvt type 311 with corresponding period, you came to know how much quantities are rejected.
6.By 551 mvt materials people scrap that rejected qty.
7. In this no need to create any extra material for scrap.
8. No need to change in BOM assigning negative qty.
9.No need to create Byproduct.
If you want separated cost of scrap then you need to define it is as co-product then it possible with joint production costing. Co Product, In turn you need to setup the percentage, of cost sharing.
In case of Co-product costs are settled with a apportionment structure. In case of By-product the price of this by-product is credited to the order or the material stock account of the lead material being manufactured. Co-Product are defined as BOM Components/Items with negative quantities.When BOM is created for FERT , you can see one indicator in COMPONENT DETAILS screen for co-product. You need to define the co-products with this special indicator .
Stock transfer from storage location to storage location (in the plant) is also possible.
Hope this will be useful
Regards
JH

Calculation for subcontracting item of type N (non stock) as it for type L(Stock)

Hi Gurus,
I have a Requirement for calculating the cost for Subcontracting Non stock items N as it is getting calculated in standard functionality for subcontracting items of Type L.
This will be done in CK11n ( used to calculate the standard cost estimate of the product) for header as well as component materials.
please suggest the user exit or Badi where i can change.
Please refer the below logic-
BOM for the material 2000500 as Header and 1LPL0835298AB as a component and this component has an assembly with 7008508 as a component and this component is an Sub contracted item and this has an assembly with component 1LBA182151-3.
Price calculation for the material 7008508 (Item Category as N). Since this is sub contracted item the price will picked from field EINE-NETPR.
In EINA, pass the material (MATNR=7008508) to fetch the list of info records (INFNR) created for that material.
Then it has to input those info records to EINE table along with Purchasing organization (EINE-EKORG=PT02).
From the output of EINE table, it should compare the price (EINE-NETPR) of the PIR and should take the least price from those PIR`s.
If the currency is other than PLN, then it should be converted to PLN based on conversion charges.
For Material (MATNR=1LBA182151-3), it should pass the material number to table MBEW along with valuation area (BWKEY = WERKS).
From the output, it should check the Price control (VPRSV) ‘V’ or ‘S’
If ‘V’ the price will be picked from the field “VERPR”
If ‘S’ the price will be picked from the field “STPRS”
Also from the output, it should check the Price unit (PEINH) ‘1’ or other than ‘1’. If it is other than ‘1’ it should divide the VERPR or STPRS by PEINH. Then this is the price of the Material “1LBA182151-3”.
The material (MATNR=1LBA182151-3) should be passed to table “MARA” and will take the Base unit of measure from that table “MEINS”.
Br,
Surya

Hi Surya,
Please put breakpoints in any of the below BADI's and check if any of them will trigger for your
requirement:
VALUATION_CK                            BAdI for Valuation in Product Costing
CK_KALAMATCON2_CI                       BAdI for CI Fields for Table KALAMATCON2
COSTINGRUN_CK                           Edit Costing Run
COST_APPORTION_CK                       Maint Apportionment Structure Joint Production: Dist Rules
CO_PROD_COSTING_CK                      Cost Management for Joint Products (Costing, Target Costs)
DATA_EXTENSION_CK                       For Data Enrichment in Product Costing
DYNPRO_EXTENSION_CK                     BAdI for Interface Enhancement in Costing
ORDER_COSTING_CK                        Enables Header Data Changes in Preliminary Order Costing
QUANTITY_STRUCT_CK                      Enables Quantity/Structure Changes in Costing
SUR_STOCK_TRANSF_CK                     Overhead on Materials with Stock Transfer Between Plants
Thanks
Sri

AW01N- Total of write up not matching with total of indivudual transaction

Hi,
While viewing any Asset via AW01N, the total of Write up transaction is not matching with the total of individual transactions displayed in same screen.(It displays only last transaction value in total of write up transcation)
We applied OSS note No. 762128 still the problem exists.
Please inform me if anybody has resolved this before.
Thanks
Prasad

Hi,
Please note that the determination of the costs behaves differently in
the itemization and in the cost component split.
In the itemization, each item is rounded separately, while in the cost
component split first the individual items will be added up and then the
value will be rounded. The differences can be avoided by increasing the
lot sizes.
Please review sap note 168238, which explains the systems behaviour
and check the solution.
To avoid the occurrance of this problem you should
- always cost the header material again if an ingoing component with
changed values is being costed.
- also cost all materials again following a price calculation for a
particular period.
Please do not forget:
The itemization view only displayed the itemization on that level,
while the cost component view will display the cost component split
from all levels.
Please review sap note 889474. Sap note 66900 also explain why
small differences arise between the itemization and the cost component
split.
I hope helps,
Regards,
MLM

ADF BC & toplink license

I understand that ADF BC is currently covered by the jdeveloper license, but toplink is licensed seperately.
Will the persistance layer of ADF BC be replaced by toplink in the future, and what effect will that have on licenses?

Morten,
The TopLink runtime is licensed separately from ADF. If you are using the Oracle Application Server (Enterprise, Standard, or Java Edition) then TopLink is already included. Otherwise it is licensed separately under the same cost and terms as the Java Edition of the application server.
TopLink is currently a persistence layer option within ADF as an alternative to BC. The ADF model layer is being enhanced to support non-persistence features of BC so that they can be used in conjunction with any persistence layer. Going forward you will have a rich ADF solution with any of the persistence solutions, including EJB 3.0 (which is implemented using TopLink).
Doug

Is NI Komplete really needed with Logic 8?

With the current deals in place you can pick up NI Komplete for around $700, which is an amazingly good price considering what is included.
...but reading the feature list, there is a fair amount of redundancy for Logic users now that the Jam packs are all bundled. The 3 pianos from Komplete seem to be covered by Logic as would be much of the orchestral, band and rock stuff in the sampler.
Does anybody run both and what are your opinions?
Is there enough extra sampled content? Does Battery really nail Ultrabeat?
There is nothing like Absynth and Reaktor in Logic - maybe these are worth the admission price alone.
Thoughts?
Thanks.
Matt.
PS. My focus is film and television music with the occasional mix of a recorded song.

Sampleconstruct wrote:
Well I use Reaktor 5, Kontakt 2/3 and Massive every day - I didn't buy the Komplete because there is redundant stuff in there I don't want and don't need. But those three Plug Ins (+maybe Absynth) are absolutely unique and nothing inside Logic comes near the capabilities, those apps have.
I agree with you but I would add GR3 to the list. It's a great general audio FX/destroyer.
However, after you cross some critical number of NI plugins (3, or 4?), it makes sense to get the Komplete. Upgrading 3, or 4 different plugins separately is similar to cost of upgrading from Komplete X to Komplete X+1. Also, Komplete + Kore is a really nice (Note: Kore has it's issues too).
I checked the Battery demo intensively and wasn't too thrilled about it. It's more versatile than UB but if you get Kontakt you don't need Battery, apart from the useful samples that come with it maybe.
Battery is a piece of ****. It is the quintessential example of NI's lackluster quality and design. On the surface it may seem like a cool tool, then you dig just a little bit deeper and you're annoyed by the application at every turn.

Specific settings required in coproduct and byproduct

Hi,
If co product or by product is used what are the settings to be done for it. and how to create the BOM for it.how costing behaves in the production order. any settlement configuration is required other than the normal settings.
please suggest
rgs
madan

By-Product      : By-Product is a Product Created While Making Production
1.     The System Does not create a separate order item for each by-Product
2.     The Material Valuation of a by-Product is always based on the price, specified by the price control in the material master
3.     The by-product must be listed as an item in the bill of material of the main product .The bill of material item must have a negative quantity (for example 1 -)
4.     Byproduct has only the -ve quantity in BOM component, it does not go for joint production costing.
5.     Movement type 531 to post the By-Product during Confirmation.
6.     Settlement of cost is done to the header of the material
Co-Product :A co-product is a product that is produced in conjunction with other products. The system creates a separate order item in the production order for each co-product. As a result, it is possible to display actual costs at co-product
Settings:      1.) You have to activate check box in MRP2 view for co product.
     2.) For co products we also need to define the apportionate structure with equivalence number for costing purpose, this will be done in "Joint Production" details in the same view. (30:30:20:20)
Prerequisite for the main product:
1.) The indicator Co-product must be activated in the material master of the main product (MRP area)
Prerequisites for a co-product:
1.) The indicator Co-product must be activated in the material master of the co-product (MRP area)
The co-product must be listed as an item in the bill of material of the main product
2.) On the Basic data tab page of the BOM item, the indicator Co-product must be activated in the field group General data
Reward points,if usefull
Regards
Palaniappan

Separation of Joint Prodct cost

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