Product Cost Controlling with SAP (SAP PRESS) | Reading Sample

Reading SampleThis sample chapter describes settlement configuration and peri-od-end processing, from settlement profiles and the allocation struc-ture to parameters and processing types. It also examines the new settlement-related transactions available with SAP HANA.

John Jordan

Product Cost Controlling with SAP700 Pages, 2016, $89.95 ISBN 978-1-4932-1269-9

www.sap-press.com/3920

First-hand knowledge.

https://www.sap-press.com/product-cost-controlling-with-sap_3920/#utm_source=readingsample&utm_campaign=SlideShare%20Social&utm_medium=social&utm_content=1269

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Contents

Preface ............................................................................................................. 19

PART I Integrated Planning

1 Integrated Planning .................................................................. 29

1.1 Profitability Analysis ...................................................................... 301.2 Sales and Operations Planning ....................................................... 311.3 Flexible Planning ........................................................................... 33

1.3.1 Display Info Structure ....................................................... 331.3.2 Create Info Structure ........................................................ 341.3.3 Planning Hierarchy ........................................................... 391.3.4 Planning Types ................................................................. 451.3.5 Macros ............................................................................. 481.3.6 Version Management ....................................................... 51

1.4 Long-Term Planning ...................................................................... 531.4.1 Transfer the Production Plan ............................................ 531.4.2 Create a Planning Scenario ............................................... 551.4.3 Long-Term Planning Run .................................................. 561.4.4 Transfer Requirements to Purchasing ................................ 591.4.5 Transfer Activity Quantities to CCA .................................. 62

1.5 Cost Center Planning ..................................................................... 651.5.1 Cost Element Planning ..................................................... 651.5.2 Activity Price Planning ...................................................... 681.5.3 Uploading Plan Data from Excel ....................................... 71

1.6 Final Planning ................................................................................ 751.6.1 Calculate Standard Costs .................................................. 751.6.2 Transfer Standard Costs to CO-PA .................................... 76

1.7 Summary ....................................................................................... 76

PART II Product Cost Planning

2 Controlling Master Data ........................................................... 81

2.1 Cost Element ................................................................................. 822.1.1 Primary Postings ............................................................... 822.1.2 Secondary Postings .......................................................... 86

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Contents

2.1.3 Basic Data ........................................................................ 872.1.4 Indicators ......................................................................... 892.1.5 Default Account Assignment ............................................ 902.1.6 History ............................................................................. 94

2.2 Cost Center ................................................................................... 952.2.1 Standard Hierarchy ........................................................... 952.2.2 Basic Data ........................................................................ 992.2.3 Control ............................................................................. 1032.2.4 Templates ........................................................................ 1042.2.5 Address and Communication ............................................ 1062.2.6 History ............................................................................. 106

2.3 Activity Type ................................................................................. 1072.3.1 Basic Data ........................................................................ 1072.3.2 Indicators ......................................................................... 1142.3.3 Output ............................................................................. 1162.3.4 History ............................................................................. 1172.3.5 Group .............................................................................. 117

2.4 Statistical Key Figures .................................................................... 1192.5 Summary ....................................................................................... 120

3 Material Master Data ............................................................... 121

3.1 MRP 1 View .................................................................................. 1223.1.1 General Data .................................................................... 1223.1.2 Lot Size Data .................................................................... 124

3.2 MRP 2 View .................................................................................. 1273.3 MRP 4 View .................................................................................. 130

3.3.1 BOM Explosion and Dependent Requirements ................. 1303.3.2 Discontinued Parts ........................................................... 134

3.4 Costing 1 View .............................................................................. 1353.4.1 General Data .................................................................... 1363.4.2 Quantity Structure Data ................................................... 139

3.5 Costing 2 View .............................................................................. 1473.5.1 Standard Cost Estimate .................................................... 1473.5.2 Planned Prices .................................................................. 1493.5.3 Valuation Data ................................................................. 151

3.6 Accounting 1 View ........................................................................ 1563.6.1 General Data .................................................................... 1573.6.2 Current Valuation ............................................................. 1583.6.3 Previous Period/Year ........................................................ 161

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3.6.4 Standard Cost Estimate .................................................... 1613.7 Accounting 1 View: Material Ledger Activated .............................. 162

3.7.1 General Valuation Data .................................................... 1643.7.2 Prices and Values ............................................................. 167

3.8 Accounting 2 View ........................................................................ 1703.8.1 Populate Tax Price and Commercial Price ......................... 1713.8.2 Using the Tax and Commercial Price Fields ....................... 176

3.9 Summary ....................................................................................... 178

4 Logistics Master Data ............................................................... 179

4.1 Bill of Materials ............................................................................. 1794.1.1 Basic Data ........................................................................ 1814.1.2 Status/Long Text .............................................................. 1844.1.3 Administration ................................................................. 1864.1.4 Document Assignment ..................................................... 187

4.2 Work Centers ................................................................................ 1884.2.1 Basic Data ........................................................................ 1894.2.2 Default Values .................................................................. 1914.2.3 Capacities ......................................................................... 1944.2.4 Scheduling ....................................................................... 1974.2.5 Costing ............................................................................. 200

4.3 Routing ......................................................................................... 2034.3.1 Header ............................................................................. 2044.3.2 Operation Overview ......................................................... 2064.3.3 Operation Details ............................................................. 207

4.4 Product Cost Collector ................................................................... 2134.4.1 Data ................................................................................. 2154.4.2 Header ............................................................................. 2204.4.3 Production Process ........................................................... 2264.4.4 List Product Cost Collectors .............................................. 228

4.5 Purchasing Info Record .................................................................. 2304.5.1 Purchasing Organization Data 1 ....................................... 2314.5.2 Conditions ....................................................................... 2324.5.3 Plant-Specific Purchasing Info Records ............................. 235

4.6 Source List ..................................................................................... 2374.6.1 Fixed Source of Supply ..................................................... 2384.6.2 Blocked Source of Supply ................................................. 239

4.7 Summary ....................................................................................... 239

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Contents

5 Costing Sheets .......................................................................... 241

5.1 Overhead ...................................................................................... 2415.2 Calculation Base ............................................................................ 2435.3 Overhead Rate .............................................................................. 244

5.3.1 Percentage Overhead ....................................................... 2455.3.2 Quantity-Based Overhead ................................................ 250

5.4 Credit Key ..................................................................................... 2535.5 Summary ....................................................................................... 254

6 Cost Components ...................................................................... 255

6.1 Cost Component Terms ................................................................. 2556.2 Cost Components with Attributes .................................................. 258

6.2.1 Control ............................................................................. 2606.2.2 Filter Criteria for Cost Component Views .......................... 2626.2.3 Delta Profit for Group Costing .......................................... 2646.2.4 Cost Summarization ......................................................... 2656.2.5 Assign Cost Elements to Cost Components ....................... 2666.2.6 Update of Additive Costs .................................................. 2676.2.7 Transfer Structure ............................................................. 267

6.3 Cost Component View ................................................................... 2706.3.1 Cost Estimate Display ....................................................... 2736.3.2 Overhead Calculation ....................................................... 2746.3.3 Other Components ........................................................... 275

6.4 Organizational Units of Cost Components ...................................... 2766.4.1 Main Cost Component Structure ...................................... 2776.4.2 Auxiliary Cost Component Structure ................................. 2776.4.3 Check Assignment to Organizational Units ....................... 278

6.5 Cost Component Groups ............................................................... 2806.5.1 Create Cost Component Groups ....................................... 2806.5.2 Assign Groups to Cost Components .................................. 2826.5.3 Assign Groups to Report Columns .................................... 282

6.6 Summary ....................................................................................... 285

7 Costing Variant Components .................................................... 287

7.1 Define Costing Variant ................................................................... 2877.2 Costing Type ................................................................................. 289

7.2.1 Price Update .................................................................... 2917.2.2 Save Parameters ............................................................... 294

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7.2.3 Miscellaneous .................................................................. 2967.3 Valuation Variant .......................................................................... 299

7.3.1 Material Valuation ........................................................... 3007.3.2 Activity Types and Processes ............................................ 3077.3.3 Subcontracting ................................................................. 3127.3.4 External Processing .......................................................... 3147.3.5 Overhead ......................................................................... 3167.3.6 Miscellaneous .................................................................. 317

7.4 Date Control ................................................................................. 3207.4.1 Costing Date From ........................................................... 3217.4.2 Costing Date To ............................................................... 3217.4.3 Quantity Structure Date ................................................... 3227.4.4 Valuation Date ................................................................. 322

7.5 Quantity Structure Control ............................................................ 3227.5.1 BOM ................................................................................ 3247.5.2 Routing ............................................................................ 330

7.6 Transfer Control ............................................................................. 3337.6.1 Single-Plant ...................................................................... 3347.6.2 Cross-Plant ....................................................................... 337

7.7 Reference Variant .......................................................................... 3387.8 Summary ....................................................................................... 341

8 Costing Variant Tabs ................................................................. 343

8.1 Control .......................................................................................... 3438.2 Quantity Structure ......................................................................... 344

8.2.1 Pass On Lot Size ............................................................... 3458.2.2 Ignore Cost Estimate without Quantity Structure .............. 3468.2.3 Transfer Control Can Be Changed ..................................... 3478.2.4 Transfer Active Standard Cost Estimate if Errors ................ 3498.2.5 Transfer Cost Estimate of an Order BOM .......................... 350

8.3 Additive Costs ............................................................................... 3518.3.1 Additive Cost Components ............................................... 3528.3.2 Include Additive Costs with Stock Transfers ...................... 352

8.4 Update .......................................................................................... 3538.4.1 Saving Allowed ................................................................ 3548.4.2 Save Error Log .................................................................. 3548.4.3 Defaults Can Be Changed by User ..................................... 3558.4.4 Itemization ....................................................................... 356

8.5 Assignments .................................................................................. 3578.5.1 Cost Component Structure ............................................... 3578.5.2 Costing Version ................................................................ 357

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8.5.3 Cost Component Split in Controlling Area Currency .......... 3598.5.4 Cross-Company Costing .................................................... 360

8.6 Miscellaneous ................................................................................ 3618.6.1 Error Management ........................................................... 3618.6.2 Parameters for Error Management .................................... 362

8.7 Summary ....................................................................................... 363

9 Standard Cost Estimates ........................................................... 365

9.1 Create Standard Cost Estimate ....................................................... 3669.1.1 Costing Data .................................................................... 3669.1.2 Dates ............................................................................... 3679.1.3 Quantity Structure ............................................................ 368

9.2 Mark and Release .......................................................................... 3719.3 Costing Runs ................................................................................. 373

9.3.1 Costing Data .................................................................... 3749.3.2 Dates ............................................................................... 3759.3.3 Valuation ......................................................................... 3769.3.4 Costing Run Steps ............................................................ 376

9.4 Summary ....................................................................................... 386

10 Preliminary Cost Estimates ....................................................... 387

10.1 Create Preliminary Cost Estimate ................................................... 38710.2 Production Process ........................................................................ 39010.3 Transfer Control ............................................................................. 39010.4 Mass Processing ............................................................................ 39310.5 Summary ....................................................................................... 394

11 Unit Cost Estimates .................................................................. 395

11.1 Base Planning Object ..................................................................... 39511.1.1 Item ................................................................................. 39611.1.2 Category .......................................................................... 39711.1.3 Resource .......................................................................... 39811.1.4 Plant/Activity ................................................................... 39811.1.5 Quantity ........................................................................... 39811.1.6 Value – Total .................................................................... 39811.1.7 Cost Element .................................................................... 399

11.2 Material Cost Estimate without Quantity Structure ........................ 39911.3 Summary ....................................................................................... 401

Contents

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PART III Cost Object Controlling

12 Preliminary Costing ................................................................... 405

12.1 Production Order Control .............................................................. 40512.1.1 Costing Variant for Planned Costs ..................................... 40712.1.2 Costing Variant for Actual Costs ....................................... 40812.1.3 Costing Sheet ................................................................... 40812.1.4 Overhead Key .................................................................. 40912.1.5 Results Analysis Key ......................................................... 40912.1.6 Variance Key .................................................................... 40912.1.7 Determine Plan Costs ....................................................... 409

12.2 Display Planned Costs ................................................................... 41012.3 Summary ....................................................................................... 412

13 Simultaneous Costing ............................................................... 413

13.1 Goods Movements ........................................................................ 41313.1.1 Debits .............................................................................. 41313.1.2 Credits ............................................................................. 417

13.2 Confirmations ................................................................................ 42013.2.1 Secondary Postings .......................................................... 42013.2.2 Create Production Order .................................................. 42113.2.3 Confirm Activities ............................................................. 42513.2.4 Default Activities .............................................................. 42713.2.5 Operation Sequence ......................................................... 428

13.3 Report Costs .................................................................................. 43013.4 Summary ....................................................................................... 431

14 Overhead ................................................................................... 433

14.1 Configuration ................................................................................ 43314.2 Overhead Period-End Processing ................................................... 43414.3 SAP HANA and Overhead Processing ............................................ 43614.4 Summary ....................................................................................... 436

15 Work in Process ........................................................................ 437

15.1 WIP Configuration ......................................................................... 43815.1.1 Define Results Analysis Keys ............................................. 43815.1.2 Define Results Analysis Versions ....................................... 439

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15.1.3 Define Valuation Method (Target Costs) ........................... 44215.1.4 Define Valuation Variant for WIP and Scrap ..................... 44315.1.5 Assignment of Valuation Variant for WIP .......................... 44515.1.6 Define Line IDs ................................................................ 44615.1.7 Define Assignment ........................................................... 44615.1.8 Define Update .................................................................. 44815.1.9 Define Posting Rules for Settling WIP ............................... 449

15.2 Results Analysis Configuration ....................................................... 45115.3 WIP Period-End ............................................................................. 455

15.3.1 Product Cost by Period ..................................................... 45515.3.2 Product Cost by Order ...................................................... 459

15.4 SAP HANA and WIP ...................................................................... 46015.5 Summary ....................................................................................... 461

16 Variance Calculations ................................................................ 463

16.1 Types of Variance Calculation ........................................................ 46316.1.1 Total Variance .................................................................. 46316.1.2 Production Variance ......................................................... 46416.1.3 Planning Variance ............................................................. 464

16.2 Variance Configuration .................................................................. 46516.2.1 Define Variance Keys ........................................................ 46516.2.2 Define Default Variance Keys for Plants ............................ 46616.2.3 Define Variance Variants .................................................. 46716.2.4 Define Valuation Variant for WIP and Scrap ..................... 46916.2.5 Define Target Cost Versions ............................................. 469

16.3 Variance Categories ....................................................................... 47316.3.1 Input Variances ................................................................ 47316.3.2 Output Variances ............................................................. 474

16.4 Variance Period End ...................................................................... 47516.4.1 Product Cost by Period ..................................................... 47616.4.2 Product Cost by Order ...................................................... 480

16.5 SAP HANA and Variance Calculation ............................................. 48116.6 Summary ....................................................................................... 482

17 Settlement ................................................................................. 483

17.1 Settlement Configuration ............................................................... 48317.1.1 Settlement Profile ............................................................ 48317.1.2 Allocation Structure ......................................................... 489

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17.1.3 Source Structure ............................................................... 49517.1.4 PA Transfer Structure ....................................................... 497

17.2 Settlement Period-End Process ...................................................... 50217.2.1 Parameters ....................................................................... 50317.2.2 Processing Options ........................................................... 505

17.3 SAP HANA and Settlement ............................................................ 50717.4 Summary ....................................................................................... 508

18 Special Topics ............................................................................ 509

18.1 Sales Order Controlling .................................................................. 50918.1.1 Configuration ................................................................... 51018.1.2 Period-End Processing ...................................................... 51818.1.3 SAP HANA and Sales Orders ............................................ 523

18.2 Subcontracting .............................................................................. 52418.2.1 MRP 2 View ..................................................................... 52518.2.2 Purchase Order ................................................................ 52518.2.3 Monitoring Stocks Provided to Vendor ............................. 52718.2.4 Goods Receipt of End Product .......................................... 528

18.3 Material Ledger ............................................................................. 52818.3.1 Multiple Currencies or Valuations .................................... 52918.3.2 Actual Costing .................................................................. 52918.3.3 Configuration ................................................................... 53018.3.4 Period-End Processing ...................................................... 53718.3.5 SAP HANA and the Material Ledger ................................. 540

18.4 Delivery Costs ............................................................................... 54218.4.1 Purchased Material Consumption Account ....................... 54318.4.2 Configure Costing Variant ................................................. 54318.4.3 Assign Conditions to Origin Groups .................................. 54418.4.4 Assign Conditions to Purchasing Info Records .................. 54518.4.5 Assign Origin Groups to Cost Components ....................... 546

18.5 Templates ...................................................................................... 54718.6 Mixed-Cost Estimate ..................................................................... 548

18.6.1 Quantity Structure and Costing Version ............................ 54918.6.2 Create Procurement Alternative ....................................... 55018.6.3 Define Mixing Ratios ........................................................ 55118.6.4 Create a Mixed-Cost Estimate .......................................... 552

18.7 Cost Estimate User Exits ................................................................ 55418.7.1 Cross-Company Code Costing ........................................... 55518.7.2 Production Resource/Tool Costing .................................... 55618.7.3 Bulk Material Costing ....................................................... 556

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18.7.4 Material Valuation ........................................................... 55618.7.5 Costing Reports ................................................................ 557

18.8 Summary ....................................................................................... 558

PART IV Information System and Trends

19 Information System ................................................................... 563

19.1 Product Cost Planning ................................................................... 56419.1.1 Analyze Costing Runs ....................................................... 56419.1.2 List Material Cost Estimates .............................................. 56819.1.3 Detailed Reports .............................................................. 56919.1.4 Object Comparisons ......................................................... 569

19.2 Cost Object Controlling ................................................................. 57219.2.1 Product Drilldown Reports ............................................... 57419.2.2 Summarization Hierarchy Reports ..................................... 57819.2.3 Summarization and Drilldown Reports with SAP HANA .... 58519.2.4 Detailed Reports .............................................................. 58819.2.5 Line Item Reports ............................................................. 59019.2.6 Line Item Reports with SAP HANA ................................... 592

19.3 Production Order Reports .............................................................. 59519.3.1 Order Information System ................................................ 59519.3.2 Order Selection ................................................................ 598

19.4 Cost Center Reports ....................................................................... 60019.5 Summary ....................................................................................... 602

20 Trends in Product Cost Controlling .......................................... 605

20.1 Enhancement Packages and Business Functions ............................. 60520.1.1 FIN_CO_COGM: Multiple Valuation of Cost of

Goods Manufactured ........................................................ 60720.1.2 LOG_MM_SIT: Cross-Company-Code Stock/

Actual Costing .................................................................. 60820.1.3 LOG_EAM_OLC: Operation Account Assignment ............. 61220.1.4 FIN_CO_CCMGMT: Cost Center Management .................. 614

20.2 SAP HANA .................................................................................... 62920.2.1 SAP S/4HANA .................................................................. 63020.2.2 SAP Fiori .......................................................................... 635

20.3 Summary ....................................................................................... 637

Conclusion ....................................................................................................... 639

Contents

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Appendices ....................................................................................... 645

A Additional Resources ............................................................................... 647B Bibliography ............................................................................................. 651C Glossary ................................................................................................... 653D The Author .............................................................................................. 675

Index ................................................................................................................ 677

Reading SampleThis sample chapter describes settlement configuration and peri-od-end processing, from settlement profiles and the allocation struc-ture to parameters and processing types. It also examines the new settlement-related transactions available with SAP HANA.

John Jordan




“Settlement”

Contents

Index

The Authors


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Chapter 17

The settlement function transfers work in process and variances to SAP ERP Financials (FI), Profit Center Accounting (PCA), and Profitability Analysis (CO-PA).

17 Settlement

Settlement transfers work in process (WIP) and variances to FI, PCA, and CO-PA.You can also transfer variance categories to value fields in CO-PA.

In this chapter, we’ll discuss settlement configuration including the settlementprofile, allocation structure, source structure, and PA transfer structure. We’llthen discuss settlement period-end processing, including parameters and process-ing options.

17.1 Settlement Configuration

Settlement configuration for product cost by period and product cost by order aresimilar. We’ll look at settlement configuration for product cost by period andhighlight the differences along the way.

17.1.1 Settlement Profile

A settlement profile contains settlement control parameters on how orders settle.You can enter the settlement profile in the order type definition with TransactionKOT2 or by following the IMG menu path Controlling � Product Cost Con-

trolling � Cost Object Controlling � Product Cost by Order � Manufactur-

ing Orders � Check Order Types. When you create an order, the settlement pro-file contained in the order type defaults into the order settlement rule. To displaythe settlement profile in a production order, follow these steps:

1. Display a production order with Transaction CO02.

2. Select Header � Settlement Rule from the menu bar.

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3. You’ll see a list of distribution rules that define where the costs are to settle.Select Goto � Settlement Parameters from the menu bar to display the screenshown in Figure 17.1.

Figure 17.1 Settlement Rule Parameters

The Settlement profile field in the Parameters section defaults from the ordertype that you configure with Transaction KOT2. The Allocation structure, PA

transfer str., and Source structure fields default from the settlement profile,which we’ll examine in detail in this chapter.

Note

Even though the settlement rule parameters default from the order type and settlementprofile, you can manually change the default values.

You create and maintain settlement profiles with Transaction OKO7 or by follow-ing the IMG menu path Controlling � Product Cost Controlling � Cost Object

Controlling � Product Cost by Period � Period-End Closing � Settlement �

Create Settlement Profile. The screen shown in Figure 17.2 is displayed.

The overview screen displays a list of available settlement profiles. Double-clickan entry in the Settlement Profile column to display the details screen shown inFigure 17.3.

Settlement Configuration 17.1

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Figure 17.2 Settlement Profile Overview Screen

Figure 17.3 Settlement Profile Details Screen

You can maintain settlement profile details in this screen. We’ll examine thefields and checkboxes of each section of the screen.

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Actual Costs/Cost of Sales

The Actual Costs/Cost of Sales section controls how actual costs or COS are tobe settled.

� To Be Settled in Full

This is the default setting. If you try to close an order or set the deletion flag, thesystem displays an error message if the balance of the object isn’t zero.

� Can Be Settled

You can settle actual costs and COS, but you don’t have to. When you try toclose the object or set the deletion flag, the system displays a warning messageif the balance in the object isn’t zero. You can set the deletion flag on an orderwith a balance.

� Not for Settlement

Actual costs, COS, and variances aren’t settled, but WIP can be. When you closethe object or set the deletion flag, the system doesn’t display a message if thebalance in the object isn’t zero.

Tip

If you need to set the deletion flag on an order with a remaining balance, you’ll receivean error message until you do one of the following:

� Settle the balance if possible, which can be difficult if the order has problems or if theorder has not been settled for many periods.

� Change the To Be Settled in Full setting to Can Be Settled in the settlement profile,set the deletion flag on the order, and then reselect To Be Settled in Full in the set-tlement profile.

Let’s look at the next section of the settlement profile.

Default Values

The Default Values section contains default values for control structures thatwe’ll discuss in more detail in the following sections.

Indicators

The Indicators section shown in Figure 17.3 contains checkboxes that controlthe amount you’ll settle:


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� 100%-validation

This checkbox controls whether the system checks percentages in the settle-ment rule. A settlement rule determines which portions of a sender’s costs youallocate to each receiver. A settlement rule is contained in a manufacturingorder or product cost collector header data.

If you have defined percentage distribution rules for a particular settlementrule, the system checks the total percentage either when you save the settle-ment rule or if you use the percentage check function.

� If the checkbox is set, the system issues a warning if the total is less or morethan 100%.

� If the checkbox isn’t set, the system issues a warning if the total is more than100%.

In both cases, you can ignore the warning and save the settlement rule. How-ever, to run the settlement, you must first correct the settlement rule. The set-tlement run prevents you from settling more than 100%.

� %-Settlement

If you set this checkbox, you can use the settlement rule to determine the dis-tribution rules governing the percentage costs to be settled.

� Equivalence numbers

If you set this checkbox, you can define distribution rules in the settlementrule, according to which costs you settle proportionally.

� Amount settlement

If you set this checkbox, you can define distribution rules in the settlementrule, which allow you to settle costs by amount. For example, you can settle aspecific amount, such as $5,000, of the costs incurred on an order to cost center4711.

� Variances to Costing-Based PA

If you set this checkbox, variances are sent to costing-based CO-PA duringorder settlement.

Tip

If you need to set the deletion flag on an order with unsettled variances, you’ll receivean error message until you do one of the following:

� Settle the variances to CO-PA if possible, which can be difficult if the order has prob-lems or if the order has not been settled for many periods.

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� Deselect the Variances to Costing-Based PA checkbox in the settlement profile, setthe Deletion checkbox on the order, and then reset the Variances to Costing-Based

PA checkbox in the settlement profile.

Now we’ll look at the Valid Receivers section of the selection profile.

Valid Receivers

In this section of the settlement profile, you choose whether settlement to certaintypes of receivers is optional, required, or not allowed.

Example

In Figure 17.3, we’ve allowed production orders to settle to a general ledger (G/L)account, an order, or a work breakdown structure (WBS) element (Project System). Wedon’t want settlement to occur to any other object type, so they are set to Settlement

Not Allowed.

Now let’s examine the Other Parameters section of the settlement profile.

Other Parameters

In this section, you maintain the following fields:

� Document type

You can assign individual document types for each settlement rule to assist inidentifying settlement documents separately. You create and maintain docu-ment types with customizing Transaction OBA7.

� Max.no.dist.rls (maximum number of distribution rules)This field determines the maximum number of distribution rules possible foreach settlement rule.

� Residence time

This field determines the minimum amount of time necessary between settingthe order deletion flag (revocable) and deletion indicator (not revocable).

Now that we’ve examined settlement profiles, let’s look at the next settlementconfiguration transaction, the allocation structure.


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17.1.2 Allocation Structure

An allocation structure allocates the costs incurred on a sender by cost element orcost element group. You use the allocation structure for settlement and for assess-ment. Each allocation structure contains a number of assignments of cost ele-ments (or cost element groups) to settlement or assessment cost elements.

Each allocation structure must fulfill the following criteria:

� Completeness You assign an allocation structure to each order you settle. You must representall cost elements that incur costs (source cost elements) in the allocation struc-ture.

� Uniqueness Each cost element that incurs costs can only appear once in an allocation struc-ture. You can assign only one settlement cost element to a source within a par-ticular allocation structure.

You create an allocation structure with Transaction OKO6 or by following theIMG menu path Controlling � Product Cost Controlling � Cost Object Con-

trolling � Product Cost by Period � Period-End Closing � Settlement � Create

Allocation Structure. The screen shown in Figure 17.4 is displayed.

Figure 17.4 Allocation Structures Overview Screen

You’ll see available allocation structures listed on the right side of this overviewscreen. You can use any allocation structure or copy one and create your own.Let’s choose allocation structure A1 as shown in Figure 17.4 and examine its com-ponents.

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Select allocation structure A1 and double-click Assignments to display the screenshown in Figure 17.5.

Figure 17.5 Allocation Structure Assignments Overview Screen

You’ll see available allocation structure assignments listed on the right side of theoverview screen. Select an assignment and double-click Source to show thescreen displayed in Figure 17.6.

Figure 17.6 Source Cost Element Details

Three methods are available to assign source cost elements:

� A single cost element

� A range of cost elements

� A cost element group


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Double-click OAS_MAT under the Cost Elem.Group (cost element group) fieldshown in Figure 17.6 to display the details as shown in Figure 17.7.

Figure 17.7 Display Cost Element Group

You’ll see the cost elements included in the cost element group.

Tip

If you introduce a new source cost element, for example, to identify a new external pro-cessing cost, you must ensure that the source cost element is included in the allocationstructure, or an error message will occur when you run the settlement transaction.

The easiest way to include new source cost elements in an allocation structure is toassign a cost element group, even if the group includes only one cost element. A costelement group is master data that you can maintain with Transaction KAH2 or by fol-lowing the menu path Accounting � Controlling � Cost Center Accounting � Master

Data � Cost Element Group � Change.

If you don’t assign a cost element group, you may need to add the new cost element asa configuration change in the allocation structure, which generally takes more docu-mentation, procedures, and time than to carry out a simple master data change to a costelement group.

Double-click Assessment Cost Element in Figure 17.6 to display the screenshown in Figure 17.8.

Figure 17.8 Assessment Cost Element Overview

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You can use allocation structures for both assessments and settlements asdescribed here:

� Assessments allocate costs between cost centers.

� Settlements allocate costs from orders to other objects.

You generally set up allocation structures for either assessments or settlements.In this case, because we are configuring a settlement, there is no need to enterassessment cost elements.

Double-click Settlement cost elements in Figure 17.8 to display the screenshown in Figure 17.9.

Figure 17.9 Settlement Cost Elements Overview

We’ll examine the Settlement cost elements section of this settlement profile,beginning with the first column.

Account Assignment Category

When assigning settlement cost elements, the first field you maintain is Receiver

cat. (account assignment category), which specifies the object types allowable forthe settlement receiver. Click a category and press (F4) to display the screenshown in Figure 17.10.

This screen lists all possible entries for the account assignment category. By enter-ing the account assignment category in the settlement rule, you specify how youinterpret the entry in the Settlement Receiver field shown in Figure 17.11.


493

Figure 17.10 Account Assignment Categories Possible Entries

Example

If you enter “CTR” as the account assignment category and “1000” as the receiver, thesystem will settle to cost center 1000. If, however, you enter “ORD” and “1000,” theorder with number 1000 is the settlement receiver.

The account assignment category influences the (F4) help in the general receiverfield. If, for example, you enter “CTR” as the account assignment category, thesystem will offer you (F4) help for the selection of cost centers.

Example

Display a production order with Transaction CO02 and select Header � Settlement Rule

from the menu bar. Enter “CTR” in the first available account assignment rule field. Thenclick the Settlement Receiver field and press the (F4) key to display the screen shown inFigure 17.11.

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The list of possible entries is restricted to cost center because the category Cat (cate-gory) entered is “CTR” (cost center).

Figure 17.11 Settlement Rule Receiver Possible Entries by Category

Let’s now examine the next column in the Settlement cost elements section ofthe Allocation structure shown in Figure 17.9.

By Cost Element

If you select the By cost element checkbox in Figure 17.9, the settlement cost ele-ment will be the same as the source or debit cost element. You would only selectthis checkbox if you need the original debit cost element to appear on the settle-ment object such as a cost center, which isn’t normally necessary.

You typically group source cost elements to settle with one settlement cost ele-ment. If you require more details of the source costs when viewing the object set-tled to, you simply double-click the settlement cost element to take you directlyto the sender details.

If you select the By cost element checkbox, you cannot enter a settlement costelement in the next field because you have already defined the settlement costelement as the source cost element.

Settlement Cost Element

The settlement cost element credits the sender and debits the receiver during set-tlement. Settlement cost elements are secondary cost elements of category 22. If


495

you press the (F4) key in the Settlement cost elem field, you’ll see a list of sec-ondary cost elements of category 22.

Name

The text in the Name field is the name of the settlement cost element that the sys-tem automatically transfers from the cost element.

Now that we’ve examined allocation structures, let’s look at the next settlementconfiguration transaction: the source structure.

17.1.3 Source Structure

You define source structures when settling and costing joint products. Joint pro-duction involves the simultaneous production of many materials in a single pro-duction process. A source structure contains several source assignments, each ofwhich contains the individual cost elements or cost element intervals you settleusing the same distribution rules.

In the settlement rule for the sender, you can define one distribution rule, inwhich you specify the distribution and the receivers for the costs for each sourceassignment.

Note

Check whether you need to use source structures in your settlement procedures. If youare settling to cost elements, you don’t need a source structure. Otherwise, create asource structure with the following procedure.

Create a source structure with Transaction OKEU or by following the IMG menupath Controlling � Product Cost Controlling � Cost Object Controlling �

Product Cost by Period � Period-End Closing � Settlement � Create Source

Structure. The screen shown in Figure 17.12 is displayed.

You’ll see available source structures listed on the right side of this overviewscreen. You can use any available source structure or copy one and create yourown. We’ll choose source structure FA, shown in Figure 17.12, and examine itscomponents.

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Figure 17.12 Source Structures Overview Screen

Select source structure FA and double-click Assignments to display the screenshown in Figure 17.13.

Figure 17.13 Source Structure Assignments Overview

You’ll see available source structure assignments listed on the right side of theoverview screen. Select an assignment and double-click Source to show thescreen displayed in Figure 17.14.

Figure 17.14 Source Structure Sources


497

You enter the source structure source in this screen. We’ll examine the rows indetail.

Accounting Indicator

The Acctg Indicator (accounting indicator) row serves as another criterion inaddition to cost element, discussed in the next section. You can identify incurredcosts and earned profits by sales volume, warranty, or good will, for example.

Cost Element

You can enter an individual cost element, range, or group in the Cost Element

row. You can maintain cost element groups with Transaction KAH2.

Example

An order has incurred both direct and overhead costs. The direct costs are to be divided50% each between a fixed asset and a cost center, whereas you’ll settle the overhead infull to an administration cost center. To do this, you create a source structure with twosource assignments:

� Direct cost elements

� Overhead cost elements

Now that we’ve examined settlement profiles, allocation structures, and sourcestructures, let’s look at the final settlement configuration transaction: the PAtransfer structure.

17.1.4 PA Transfer Structure

Settlement lets you transfer costs, revenues, sales deductions, and productionvariances to costing-based CO-PA. The PA transfer structure defines which quan-tities or values of a sender you transfer to which value fields in CO-PA. You usevalue fields to report on CO-PA values.

Example

For a marketing order, you can assign the cost element group Personnel Costs to valuefield VTRGK (sales overhead).

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CO-PA enables you to evaluate market segments, which you can classify accord-ing to products, customers, orders, or any combination of these, or strategic busi-ness units, such as sales organizations or business areas, with respect to yourcompany’s profit or contribution margin.

You create a PA transfer structure with Transaction KEI1 or by following IMGmenu path Controlling � Product Cost Controlling � Cost Object Con-

trolling � Product Cost by Period � Period-End Closing � Settlement � Create

PA Transfer Structure. The screen shown in Figure 17.15 is displayed.

Figure 17.15 PA Transfer Structures Overview

You’ll see available PA transfer structures listed on the right side of this over-view screen. You can use any PA transfer structure or copy one and create yourown. Let’s choose PA transfer structure E1, shown in Figure 17.15, and examineits components.

Select PA transfer structure E1 and double-click Assignment lines to display thescreen shown in Figure 17.16.

The PA transfer structure allows you to define the level of detail of productionvariances you require to transfer to CO-PA. You can transfer all production vari-ance categories to separate value fields or to just one value field, depending onthe level of detail you require in variance reporting in CO-PA.

Select an assignment and double-click Source to show the screen displayed inFigure 17.17.


499

Figure 17.16 Transfer Structure Assignment Lines Overview

Figure 17.17 Assignment Lines Source Details

We’ll examine the fields of this source details screen.

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Cost Element

In the Cost Element fields, you can enter an individual source cost element,range, or group. Click the glasses icon to display cost elements in a cost elementgroup if required.

Note

Maintaining a cost element group is easier than maintaining the individual cost ele-ments or ranges entered in this screen because a cost element group is master data,which is relatively easy to maintain. Maintaining values directly in Figure 17.17 requiresa configuration change, which generally takes more documentation and testing thanmaster data changes.

Source

In this section, you define the source information transferred to CO-PA depend-ing on your selection of the following:

� Costs/revenue

Costs posted to the cost elements listed in the Cost Element section will trans-fer to a value field.

� Variances on production orders

You transfer production variances by variance category to individual valuefields.

Note

You can differentiate between material and labor input quantity variance by assigningmaterial and labor cost elements to different value fields. This is one of the only waysyou can differentiate between material and labor input quantity variance in standardreporting.

� Acct. indic. on service orders

Costs posted to the accounting indicator defined in service orders post to avalue field.

To maintain the value fields to which you post the source costs, double-clickValue fields in Figure 17.17 to display the screen shown in Figure 17.18.


501

Figure 17.18 Assignment Lines Value Fields

This screen allows you to maintain details of the CO-PA fields to which you trans-fer the source information.

Quantity/Value

Click this field to see the two possible entries as shown in Figure 17.18. You havethe following choices:

� Value field

You transfer monetary amounts to this field.

� Quantity field

You transfer quantity amounts to this field.

Now let’s look at the next value field column.

Fixed/Variable

This field (F) allows you to enter the following three options depending on thelevel of detail you require to transfer to individual value field in CO-PA:

� 1 Fixed amounts

� 2 Variable amounts

� 3 Sum of fixed and variable amounts

Now we’ll look at the next value field column.

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Value Field

In the Value fld field, you enter the value field that is to receive the amount orquantity from the source. You can display a list of available value fields, as shownin Figure 17.19, by clicking the field and pressing the (F4) key.

Figure 17.19 Value Field Possible Entries

Standard value fields are available, or you can freely define your own. Valuefields you manually create typically have a VVxxx format. You can maintain valuefields with Transaction KEA6 or by following the IMG menu path Controlling �

Profitability Analysis � Structures � Define Operating Concern � Maintain

Value Fields.

Now that we’ve finished examining settlement configuration settings, let’s look atthe period-end process.

17.2 Settlement Period-End Process

You can run period-end settlement with Transaction KK87 (individual) and Trans-action CO88 (collective) or by following the menu path Accounting � Con-

trolling � Product Cost Controlling � Cost Object Controlling � Product

Cost by Period � Period-End Closing � Single Functions: Product Cost Collec-

tor � Settlement. A selection screen displays, as shown in Figure 17.20.

Settlement Period-End Process 17.2

503

Note

You can carry out settlement for production and process orders with Transaction KO88(individual) and Transaction CO88 (collective).

Figure 17.20 Actual Settlement Selection Screen

In this example, we’ll carry out settlement only for product cost collectors byselecting the With Product Cost Collectors checkbox. You can include otherobjects in the settlement, without running another transaction, by selecting therelevant checkbox.

17.2.1 Parameters

Let’s discuss the fields in the Parameters section of the Settlement screen.

Settlement Period

The Settlement period field determines for which period you calculate the settle-ment.

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504

Posting Period

Product cost by period requires you to settle each period sequentially, which canlead to difficulties if a prior period needs to be reversed. By using the Posting

period field shown to the right in Figure 17.20, you can make reversals, correc-tions, and resettlements in prior periods by posting to the present or previousperiod.

Fiscal Year

The fiscal year can be the same as the current calendar year but doesn’t have to be.

Processing Type

Click in the Processing type field in Figure 17.20 and press (F4) to display the listof possible entries shown in Figure 17.21.

Figure 17.21 Processing Type Possible Entries

The default Processing type field selection is 1: Automatic. Following is adescription of each processing type:

� 1: Automatic

Settles order costs per the settlement type of each order.

� 2: By Period

Selects orders with settlement type PER.

� 7: Automatic After Settlement to Order Item

Choose this processing type if you first carry out settlement with TransactionCO8A as part of the distribution co-product orders function.

� 8: Full Settlement

An error message is generated if costs for previous periods occur on a PERorder.

Settlement Period-End Process 17.2

505

Click the Processing type field and press (F1) to access standard detailed docu-mentation on your options.

Note

You can find more information on processing types in Tip 56 of 100 Things You ShouldKnow About Controlling with SAP (2nd ed., SAP PRESS, 2015) at https://www.sap-press.com/3746/.

17.2.2 Processing Options

Let’s discuss the fields in the Processing Options section of the Settlement

screen.

Background Processing

You can use background processing to avoid overloading the system at busy timesby selecting the Background Processing checkbox.

Test Run

Selecting the Test Run checkbox has the following outcomes:

� The program executes normally.

� The system performs all checks in the program.

� Results are output in various forms, for example, as a:

� Single message

� Collection of messages

� Log

� Existing data isn’t changed.

Detail List

If you select the Detail List checkbox, a detail list becomes available for analysisfollowing settlement (as shown later in Figure 17.23). If you don’t select thecheckbox, only the basic list is available following settlement, as shown later inFigure 17.22. You can also analyze settlement postings by viewing and sorting thesettlement G/L account line item report in FI with Transaction FBL3N.

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Check Transaction Data

If you select the Check trans. data checkbox, the system checks whether youposted any transaction data to the product cost collector or to the manufacturingorder since the last settlement. If you didn’t post any transaction data, sender pro-cessing stops, which improves processing time. The system won’t issue the errormessages that it could have issued during settlement, which improves messageanalysis by reducing the number of redundant messages.

Complete the selection screen using the settings shown in Figure 17.20 as anexample and click the Execute icon to display the screen shown in Figure 17.22.

Figure 17.22 Actual Settlement Basic Screen

This screen provides you with basic information on the parameters you enteredin the previous selection screen, such as Period and Fiscal Year. Click the Detail

Lists (grid) icon to proceed to a detailed list of settlement values, as shown in Fig-ure 17.23.

SAP HANA and Settlement 17.3

507

Figure 17.23 Actual Settlement Detail List

In Figure 17.23, the Value ObjCurr (value in object currency) column sorts indescending order, which provides visibility of the product cost collectors with thelargest settlement amounts. You can reconcile the sum of values settled at the bot-tom of Figure 17.23 with the sum of the collective variance calculation discussedin Chapter 16. You can also reconcile Figure 17.23 with postings to settlementfinancial accounts by sorting the settlement account line item report in FI (Trans-action FBL3N).

Settlement is the last step in period-end closing for product cost collectors andmanufacturing orders.

17.3 SAP HANA and Settlement

Order settlement in SAP HANA starts by selecting all open orders and you need tosettle.

� Transaction CO88H provides an alternative to Transaction CO88 for the settle-ment of production orders, process orders, product cost collectors and SAP ERPQuality Management (QM) orders in a plant.

� Transaction VA88H provides an alternative to Transaction VA88 for the settle-ment of sales order line items in make-to-order production.

� Transaction KO8GH provides an alternative to Transaction KO8G for the settle-ment of internal orders based on the entries in a selection variant.

� Transaction CJ8GH provides an alternative to Transaction CJ8G for the settle-ment of projects, WBS elements, and networks based on the entries in a selec-tion variant.

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� Transaction CJB1H provides an alternative to Transaction CJB1 for the massgeneration of settlement rules.

Selection variants are simpler than in the original transaction, so compare care-fully and test for performance before deciding which one to use.

17.4 Summary

In this chapter, we examined settlement configuration transactions, including thesettlement profile, which defaults from the order type and includes parameters,such as a requirement for the order to settle in full before you can delete it, andthe default values for other settlement transactions. The settlement profile alsodefines valid receivers such as G/L accounts and cost centers.

We also examined the allocation structure, which allocates the costs incurred ona sender by cost element or cost element group. An assignment assigns a cost ele-ment or cost element group to a settlement cost element.

We examined the source structure, which you define when settling and costingjoint products. A source structure contains several source assignments, each ofwhich contains the individual cost elements or cost element intervals to settleusing the same distribution rules.

We also looked at the PA transfer structure, which assigns source costs to valuefields in CO-PA.

Finally, we looked at the settlement period-end processing step. In Chapter 18,we’ll look at special processes.

677

Index

A

ABAP program, 555Accelerators, 629Account assignment

automatic, 91default, 92

Account determination, 85Account modifier, 415Accounting, 150Accrual account, 163Active pharmaceutical ingredient, 136Activity

confirmation, 86, 89–90, 419–420input planning, 116plan, 116price, 113quantity, 68, 547rate, 68scheduled, 116

Activity price calculation, 268–269Activity price planning, 118Activity quantity parameter, 63Activity type, 67, 69, 81, 107, 307, 547

activity quantity, 112activity unit, 108actual price indicator, 110allocation cost element, 110alternative output unit, 116average price, 112basic data, 107–108change document, 117confirmation, 547cost center category, 109group, 119history, 117indicator, 114indirect determination, 110lock indicator, 114long text, 108manual allocation, 110manual entry, 110multiple categories, 109output, 116

Activity type (Cont.)Plan Price indicator, 110plan quantity set, 112planning, 71predistribution of fixed costs, 113price, 53, 63, 72scheduled activity, 112sender, 114standard category, 109

Activity-Based Costing (ABC), 547, 641Activity-independent cost, 67Actual cost component, 170Actual costing, 154, 163–164, 166, 529, 609,

660activate, 536period-end, 537preliminary periodic unit price, 537run, 538

Actual costs, 470, 481Additive cost estimate, 264Aggregate planning, 46Allocation structure

account assignment category, 492assessment, 489assessment cost element, 491assignment, 490by cost element, 494cost element uniqueness, 489overview screen, 489sender, 489settlement cost element, 494settlement receiver, 492–493source, 490source cost element, 490, 494

Alternative bill of materials, 130, 140Alternative sequence, 142Alternative unit of measure, 123API, 136Application help, 643Apportionment structure, 129, 183Area of responsibility, 95Assembly scrap, 126, 423Automatic account assignment, 85, 91, 93Automatic account determination, 415Automating communication, 151

678

Index

Auxiliary cost componentactivated, 277structure, 276, 285

B

Backflushing, 425Balance sheet, 461Balance sheet account, 674Base, 242Base planning object, 395

development process, 399drag-and-drop, 401explode, 400master data, 396multilevel, 401spreadsheet format, 396

Base unit of measure, 123, 423Basic dates, 423Batch, 153Beginning inventory, 168Beverage manufacturer, 547Bill of materials (BOM), 95, 179

administration, 186alternative, 181, 328application, 324component scrap, 183co-product, 183costed multilevel, 265, 282, 284costing, 141, 327costing relevancy, 185document assignment, 187fixed quantity, 183group, 140material, 181material component, 212operation scrap, 183production, 141, 327recursive, 184text item, 183usage, 181validity period, 187

Bill of materials (BOM) itemadministration, 186apportionment structure, 183category, 181–182change date, 187

Bill of materials (BOM) item (Cont.)costing relevancy, 185creation date, 187number, 181operation scrap, 183quantity structure date, 187recursiveness allowed, 184validity period, 187valuable component, 183

Bottom line, 419Bulk material, 185, 556

bill of materials (BOM) item, 556cost center, 556error message, 556itemization, 556overhead cost component, 556

Business area, 101, 216Business function, 606, 610

activity rates, 607alternative version, 607cost center group, 626cost center management, 614FIN_CO_CCMGMT, 614FIN_CO_COGM, 607LOG_EAM_OLC, 612LOG_MM_SIT, 608multiple valuation of cost of goods manufac-

tured (COGM), 607operation account assignment, 612role maintenance, 615SAP Business Client, 619transfer of depreciation, 607transparent legal view, 611Web Dynpro, 619

Business process, 223Business transaction

external, 82within Controlling, 82

C

Calculate activity price, 269Calculation base, 136, 274

possible entry, 274Capacity

available, 196category, 195, 197

Index

679

Capacity (Cont.)header, 196labor, 195machine, 195machine outage, 195planning, 190pooled, 196

Cement tile, 184Chart of accounts, 89, 417Company code, 221, 264, 276, 305, 415

border, 610Company code currency, 155, 168Comparison value, 566Component

overview, 424quantity, 75scrap, 133, 183

Condition tablecompany code, 545condition type, 544origin group, 544valuation area, 545

Condition type, 300, 305company code, 305duty, 305insurance, 305

Conditions, 303Configurable material, 509Configure automatic postings documentation,

416, 442Confirmation, 145, 420

expected quantity, 427goods movement, 427labor, 480line item detail, 479per operation, 429production order, 429time event, 426time ticket, 426

Consolidated financial statement, 168Constant activity price, 112Consumption account, 413, 543

identify, 543Contribution margin, 275Control cost, 470Control key, 192

confirmation, 193external processing, 193

Controlling, 81, 121, 159, 179, 607area, 91, 95, 215, 556Conference, 644level, 222standard reports, 86

Co-product, 183fixed-price, 144indicator, 129

Costaccountant, 258, 265activity confirmation, 413actual, 29, 413, 429administrative, 257, 264analysis, 265, 277, 399by period, 430categorizing, 275cumulated, 430filter, 263fixed, 283goods movement, 413initial planning, 395initial research, 399labor, 53, 65lot size-independent, 126manually plan, 395manufacturing, 101, 222, 256, 258, 262miscellaneous, 268ordering, 126other, 266overhead, 86, 433planned, 365, 413primary, 256–257, 420, 433procure component, 365procurement, 257produce assembly, 365reconcile, 82rollup, 261sales and administration, 258secondary, 256storage, 126structure, 609summarization, 265transportation, 353variable, 113, 260, 283viability, 150

Cost center, 73, 88, 95, 428, 623activate, 97activated status, 97

680

Index

Cost center (Cont.)activity price planning, 69activity type, 107administrative, 100, 109advanced functionality, 113advanced reporting, 90assessment, 119basic data, 97, 102block, 104business area, 101category, 100, 109change document, 107company code, 101control, 103currency, 102debit, 420default, 91department, 100description, 99distribution, 119drag and drop, 95formula planning, 105functional area, 101, 222group, 95, 98hierarchies, 626hierarchy area, 101inactive status, 96input planning, 114line item report, 602lock checkbox, 104long text, 100manager, 65, 87master data, 95overhead, 88overhead rates, 106plan activity quantity, 111plan reconciliation, 70planning, 65, 75Primary Cost Planning, 114processing, 622production, 65, 88, 420, 425profit center, 102receiver, 113–114Record Quantity checkbox, 103report, 70, 100restrict activity types, 100revenue, 104screen, 625

Cost center (Cont.)sender, 113–114service, 113standard hierarchy, 95, 601standard report, 85target cost analysis, 103template, 104–105total cost, 104under-/overabsorption, 428variable cost, 113variance, 70work center, 201

Cost Center Accounting (CCA), 29, 62, 64, 257Cost component, 263–264, 280, 542

assignment, 257attribute, 258blank entry, 266column, 282commercial inventory, 263compare, 265configuration, 255control section, 260cost element, 266cost of goods manufactured (COGM), 261,

268Cost Roll Up checkbox, 261cost summarization, 265, 282delta profit for group costing, 264details screen, 260display as columns, 258energy, 268external procurement, 264filter, 263filter criteria, 264, 270group 1 field, 265, 282group 2 field, 265include all materials, 266increasing over time, 256initial cost split indicator, 264inventory valuation, 261, 264labor, 266, 284material, 284, 556maximum number, 255not assigned, 266organizational unit, 276origin group, 266overhead, 556primary, 268–269

Index

681

Cost component (Cont.)sales and administration costs, 263source, 268subtotal, 282target, 268tax inventory, 263terminology, 255, 258total material group, 258transfer price surcharge, 264transfer structure, 257, 268

Cost component group, 258, 265, 280assign cost components, 280create, 281existing, 281information message, 281key, 281maintain, 280maximum number, 281number, 281overview screen, 281report columns, 283summary, 265

Cost component split, 256, 269auxiliary, 546cost of goods manufactured (COGM), 268initial, 257main, 546primary, 256, 268–269, 277principal, 277

Cost component structure, 137, 257–259, 264, 268, 276, 546activate source, 268active, 284Active checkbox, 259assignment, 257auxiliary, 276–277, 285check organizational unit, 278, 357company code, 276configuration, 258costing variant, 276different across plants, 276main, 276–277, 285masking, 276organizational unit, 270, 276overview screen, 259plant, 276source, 268

Cost component view, 257, 263, 270, 272calculation base, 274cost of goods sold (COGS), 275inventory valuation, 275overhead calculation, 274, 296overview screen, 271possible entry, 273summarized, 282

Cost element, 67, 81–82, 136, 244, 255, 264, 266, 436, 547assessment, 88–89attribute mix, 89basic data, 84category, 84category change, 85change document, 94collective display, 92default, 110default account assignment, 91define attribute, 89define attribute mix, 89description, 84expense, 86group, 89indicator, 89masked, 447master data, 92name, 84numbering logic, 89physical inventory, 85planning, 65, 71, 76primary, 65, 82–83, 418–419purchase price difference, 85range, 244, 266record quantity checkbox, 90secondary, 82, 84, 87, 420valid from, 83valid to, 83

Cost estimate, 144, 263, 555additive, 257, 264, 352–353automatic, 306component, 345cost component, 306, 557, 572cost component view, 274create, 259current button, 569custom report, 557details, 564

682

Index

Cost estimate (Cont.)display, 270enhancement, 554error, 349example report, 557future, 335higher-level, 347individual, 563integrity, 354itemization, 305, 355–356, 557list, 563, 568list reports, 265, 280log, 356lower-level, 347, 350not assigned, 266preliminary, 396, 569raw material, 305release, 177, 308sales order, 346save error log, 354scale, 234source list, 239standard, 262, 264–265, 276, 349, 396, 570standard layout, 557status, 354total cost, 274, 296unit, 264, 307user exit, 554with quantity structure, 137, 401without quantity structure, 144, 267, 399

Cost object, 82, 92, 418default, 91

Cost of goods manufactured (COGM), 256, 268, 270

Cost of goods sold (COGS), 275Cost of sales (COS), 86, 439

accounting, 101, 222accounts, 87customer, 87goods receipt, 87inventory, 87posting, 87shipped, 87

Costed multilevel BOM, 265, 284Costing, 121

preliminary, 433simultaneous, 433

Costing lot size, 227, 345Costing run, 81, 136, 349, 365, 373

allow marking, 383analysis, 380, 382, 564Cockpit, 643compare, 566costing, 379costing data, 374costing level, 379costing sheet, 376create, 373data, 563dates, 375exceptions, 566existing, 374log, 380lowest-level material, 379maintain, 374mark, 383marking allowance, 384material master price, 567material overview, 377, 384other prices, 384parallel processing, 380parameter, 379release, 384, 386selection, 376status, 379steps, 376, 563threshold value, 566valuation, 376valuation variant, 376

Costing sheet, 88, 136, 242, 405, 420, 547configuration, 242, 433cost element, 243costing variant, 249credit, 253current settings, 252dependency, 244–245fixed cost, 244overhead rate, 244percentage, 252quantity-based, 252sales order, 250variable cost, 244

Costing statusFR, 372, 386VO, 371

Index

683

Costing type, 82, 274, 288additive cost estimate, 295legal valuation, 291miscellaneous, 296overhead, 274partner version, 297price update, 291SAP standard, 290save parameters, 294transfer pricing, 292valuation view, 291

Costing variant, 150, 160, 176, 276, 278, 284, 543, 557actual, 216, 408assignments tab, 278, 284change transfer control, 347component, 343configurable product, 350configuration, 287, 343control parameters, 343control tab, 343controlling area currency, 360cost component structure, 284costing type, 289–290costing version, 357cross-company costing, 360customers, 350date control, 319error management, 362existing product design, 347highest-level material, 349make-to-order scenario, 350new product development, 347overview, 289, 343pass on lot size, 344planned, 216PPC1, 288PREM, 216product development, 291proposed improvement, 350prototyping, 347quantity structure control, 322quantity structure indicator, 346quantity structure tab, 344reference variant, 338sales order, 350SAP standard, 288saving allowed, 354

Costing variant (Cont.)status, 349tabs, 343transfer control, 333, 348transfer cost estimate of order BOM, 350unit cost estimate, 347valuation variant, 289, 299ZPC1, 288, 348

Costing version, 552Credit, 242, 418

key, 253Cross-company code costing, 555

activate, 556current valuation, 556

Cross-company-code, 608Cumulative

difference, 168inventory, 168

Currency, 163, 165company code, 155group, 168

Currentperiod, 154standard price, 149valuation, 158

D

Datamaster, 81transactional, 109

Data browser, 151, 543selection screen, 543

Data collectionproduct drilldown report, 576summarization hierarchy, 583

Database update, 174Date control, 320

costing date to, 321manual entry checkbox, 321

Debit, 413Default

activity, 428activity quantity, 427yield, 427

Default account assignment, 90

684

Index

Default parameters, 75Default values for buyers, 236

assign, 236parameter ID EVO, 236user profile, 236

Deletion flagadditional information, 545

Delivery cost, 304, 542, 641Cost component, 641cost component, 542origin group, 542

Delivery date, 32Delta profits, 264Demand management, 32Dependency field, 244Detailed analysis, 430Detailed planning, 145Detailed report, 588

cost element detail, 588source document, 588variance, 588

Development process, 399Direct update, 174Discontinued material, 123Display cost estimate, 257Division, 158Do Not Cost checkbox, 136Drill-down reports, 574

configuration, 575data collection, 576run, 577

Driver-based planning, 29Duty cost, 542, 641

E

Effective price, 232Electricity, 420Employee, 188Energy, 66, 268Enhancement, 555

COPCP001, 555COPCP003, 556COPCP004, 556COPCP005, 556local object, 555SAPLXCKA, 557

Enhancement Package 5, 607Enhancement Package 8, 606Environment, 547

available, 547define, 547hierarchy, 547standard system, 547

Error message, 301European implementation, 278Example program code, 556Existing product, 395Expense, 86

analyzable, 87controllable, 87cost element, 86General Ledger account, 82primary, 86type, 101, 222

External number, 222External procurement, 55Externally procured, 556

F

Factory calendar ID, 196FCOM package, 618FERT, 179Field status group, 85Finished goods, 179, 415, 417–418Fiscal year, 112, 417Flexible planning, 33

consistent planning, 38hierarchy, 41macro, 48opening stock, 50proportional factors, 41type, 45version management, 51

Formulaindicator, 200key, 200other, 200processing, 199teardown, 200

Freight charge, 257, 264Freight cost, 542, 641

Index

685

Function, 548Functional area, 222–223Future planned price, 148Future price, 158–159, 169

G

General data selection, 73General Ledger account, 151Goods issue, 416

automatic, 425Goods receipt, 145, 153

automatic, 425Gross price, 232Gross profit margin, 419Group counter, 141, 205Group valuation, 169Grouping code, 415

H

HALB, 179

I

Include, 554Info structure, 33

key figures, 38, 43parameters, 37

Information system, 225cost center, 600Cost Object Controlling, 572detailed report, 569, 573, 588hierarchy structure, 574line item report, 573, 590management reporting, 590material group, 573object comparison, 569order, 595period-end processing, 573Product Cost Planning, 569product group, 574purchasing, 61summarization analysis, 574summarization hierarchy, 578

In-house production, 55Initial cost planning, 395Initial cost split, 264Input quantity variance, 428Insurance contribution, 257, 264Integrated planning, 29, 64, 75, 509Internal

activity allocation, 89order, 82, 439profit, 168–169, 264

Inventory, 87, 413beginning, 168cumulative, 168goods movement, 90movement, 151, 415valuation, 261, 275, 365, 548

Invoice receipt, 153Item category, 397

J

Joint production, 129process, 144

L

Labor, 265Labor allocation, 420Last price change, 160Layout, 73Legal profit, 264Legal valuation, 169Lengths of break, 196Line item report, 590

detailed report, 590source document, 591

Lock checkbox, 104Lock indicator, 116Logistics master data, 239Long-term planning, 29, 53, 64, 70, 112

activity quantity, 62bill of materials (BOM), 56exception message, 58indicator, 55parameter, 55planning scenario, 57

686

Index

Long-term planning (Cont.)purchasing data, 60run, 56scenario, 61transfer control, 64

Lot-size range, 205Lot-size variance, 143

M

Macro, 48Main cost component structure, 276, 285Maintenance order, 612Make-to-order, 511Manual cost, 352Manually insert operation, 428Manufacturing costs, 29Manufacturing order, 88, 405

no revenue, 439Margin analysis, 419

gross profit, 419net profit, 419operating expense, 419operating profit, 419pretax profit, 419profit margin, 419selling, general, and administrative (SG&A)

expenses, 419Mark up, 264Market price, 172Marketing decision, 256Marketing manager, 87Marking allowance, 384Master data, 81, 433, 509, 620, 624

activity type, 107Controlling, 81, 120cost center, 95cost element, 81logistics, 81material, 81statistical key figure, 119

Material availability, 121, 127Material Ledger, 154, 156, 163, 264, 528

accelerator, 540activate, 531actual bill of materials (BOM), 530

Material Ledger (Cont.)actual costing, 163, 536actual costing run, 538actual price, 529assign currency type, 531assign plant, 538company code currency, 539consolidated inventory report, 163cumulative price difference, 538currency, 162currency and valuation profile, 534document, 163, 167, 529, 537drilldown reporting, 541exchange rate difference, 163finished product, 537foreign currency, 529global company, 163goods movement, 529historical exchange rate, 529inventory reporting, 537legal valuation, 532legal valuation approach, 537material consumption, 163, 530material selection, 541multilevel price determination, 539multilevel settlement, 541multiple currency, 529multiple valuations, 162one currency type, 537period-end close, 541period-end processing, 537periodic unit price, 163, 539post-closing, 541price determination, 165price difference account, 537procurement process, 537purchase price difference, 539purchased material, 537SAP HANA, 541shorter runtimes, 541simulate close, 541single-level price determination, 539single-level settlement, 541subassembly, 537transaction-based price determination, 529transfer pricing, 162type, 535

Index

687

Material Ledger (Cont.)valuation, 529valuation approach, 162, 536variance, 530

Material master, 121, 179, 300, 399accounting 1, 156accounting 2, 170costing 1, 135, 548costing 2, 147MRP 1, 122, 525MRP 2, 127, 525MRP 4, 130views, 121

Material number, 138Material Origin checkbox, 138Material price analysis

category, 166, 537price determination structure, 166screen, 166transaction document, 166, 537

Material requirements planning (MRP), 70, 112, 121, 178activity quantity, 64controller, 59list, 58long-term, 59, 62operative, 55, 62processing time, 57

Material type, 415FERT, 179HALB, 179

Materials Management (MM), 275Materials Management (MM) period, 155Microsoft Excel

planning, 71Mixed

price, 548price variance, 548procurement cost, 548

Mixed-cost estimate, 548, 552create, 549inventory valuation, 548mixed procurement cost, 548production line, 548vendor, 548

Mixing ratio, 548, 551Moving average price, 153–154, 156, 158

N

Net profit margin, 419New product, 150, 395No update, 174Number series, 89Numbering logic, 89Numerically controlled (NC) machine, 142

O

Obsolete material, 123Operating concern, 30Operating profit margin, 419Operating rate, 113Operation, 188

external, 210final, 427first, 212material component, 212milestone, 193net price, 211overview, 424purchasing info record, 210scrap, 209, 662sequence, 428setup time, 197subcontract, 210

Operations manager, 258, 265Optimum lot-sizing procedure, 126Order

backlog, 612category, 229, 598type, 229, 249, 405, 408

Order information system, 595layout, 597MRP controller, 596operation, 595production supervisor, 596

Order quantity, 427Order selection, 229, 598

order category, 598order type, 598

Order status, 460, 480delivered, 480technically complete, 480

Ordering costs, 126

688

Index

Organizational unit, 275–277Origin group, 136, 255, 266, 542

assign, 544create, 266, 544define, 266key, 267

Outline agreement, 303Overhead, 136, 185

accuracy, 137activity type, 241actual cost, 253allocation, 547calculation base, 136, 274category, 88collective calculation, 434configuration, 433cost, 241, 420, 547cost center, 88cost component view, 274costing type, 274date-dependent, 244Detail Lists indicator, 435dialog display indicator, 435fiscal year, 435group, 548individual calculation, 434key, 409, 548maintenance, 137material, 274messages, 435parameters, 435payroll, 86period, 435plan cost, 253quantity-based, 250rate, 88, 106, 242, 548receiver, 436secondary cost element, 436selection screen, 434–435semifinished product, 274senders, 436system implementation, 435

P

PA transfer structure, 508assignment line, 498cost element, 500

PA transfer structure (Cont.)cost element group, 500overview screen, 498production variances, 498, 500value field, 497variance category, 500variance reporting, 498

Parallel processing, 380Parameter, 199Partial costing, 333Partner

cost component split, 298view, 299

Partner version, 297direct partner, 297partner, 297

Payroll, 86, 420Percentage overhead rates, 245Period, 163

Materials Management (MM), 155Period-end processing, 88, 509

overhead, 433settlement, 502variance calculation, 463work in process (WIP), 437

Periodic unit price, 156, 166, 168Physical inventory, 85Plan

activity, 71activity price, 70–71activity quantity, 69–70activity rate, 29, 86cost, 413cost center, 29, 67data, 29primary cost, 66production, 29, 31, 62Profitability Analysis (CO-PA), 29reconciled, 113reconciliation, 66, 70–71, 112–113, 116sales, 29, 31–32

Plannedorder, 55, 62price, 149price 2, 150price 3, 150workload, 68

Planner profile, 114

Index

689

Planningdata, 67layout, 66level, 30package, 30scenario, 55–56, 60–61table, 47, 54variance, 464, 663

Planning strategy, 511Planning version, 269Plant, 91, 158, 276, 278Policies and procedures, 151Pooled capacity, 196Possible entries

activity type category, 109activity type price indicator, 111additive cost, 352bill of materials (BOM) status, 329bill of materials (BOM) usage, 181, 325calculation base, 274, 296comparison value, 566condition types, 305confirmation, 193cost center, 494cost component view, 273costing, 512costing sheet, 316external processing, 193, 314hierarchy level, 581material master price, 567material valuation strategy, 301order category, 598order type, 222, 598pass on lot size, 345preliminary cost estimate status, 224process category, 550purchasing info record, 211purchasing info record strategy, 303quotation in purchasing, 313reference cost estimate, 339relevancy to costing, 318requirements type, 511results analysis methods, 452rounding for component quants, 330scheduling type, 423selection method, 131special procurement type, 525

Possible entries (Cont.)strategy sequence, 177subcontracting strategy, 312task list type, 332transfer control, 335, 339valuation view, 311

Posting origin, 82Predistribution of fixed costs, 113Preliminary cost estimate, 387, 518

controlling level, 390Cost Estimate button, 388Costing Data tab, 392costing variant, 391costs button, 388create, 388create collectively, 225create individually, 225lower-level material, 392mass processing, 393message, 394most recent, 388planning variance, 387product cost collector, 387production process, 387, 390production variance, 387production version, 387, 390quantity structure, 390strategy sequence, 391transfer control, 390valuate work in process (WIP) and scrap, 393

Preliminary costing, 405, 413Preliminary valuation price, 166Pretax profit margin, 419Previous

period, 161year, 161

Priceaccuracy, 155, 211, 664activity, 257, 268, 365actual, 156, 168, 365analyzed, 173calculate activity, 259, 269calculation, 269change document, 372change material button, 174commercial, 275compare market, 173

690

Index

Price (Cont.)comparison button, 173condition, 232control, 153, 169future, 158–159, 169last change, 160lowest, 173lowest purchase order, 173market, 172, 174market valuation, 176moving average, 153–154, 158periodic unit, 166, 168planned, 160, 366preliminary valuation, 166, 168purchase, 257, 264, 365, 373purchasing info record, 373rapidly changing, 156release, 160stability, 154standard, 154, 156, 158–160, 168, 275, 277tax, 176, 275transfer, 168–169, 264unit, 144, 155, 211, 370, 664update button, 175valuation, 169vendor, 349

Price determination, 156, 165possible entries, 165

Price difference, 92, 149account, 153

Price markup, 307Pricing, 275Primary cost element, 86, 413, 418Primary cost planning, 67Primary credit, 418Process category, 550Process order

detailed analysis, 430information system, 406

Processing key, 57Processing speed, 436Processing type, 504Procurement

changing methods, 81external, 264

Procurement alternative, 548, 550Procurement process, 537

Procurement type, 127In-house production, 127possible entries, 127special, 128

Productdevelopment, 395modified, 399new, 399

Product cost collector, 82, 88, 213, 405, 418, 464activity price, 217advantages, 214BOM, 226business area, 216business process, 223characteristics, 222, 226company code, 221controlling level, 222, 226cost, 214, 225cost element detail, 229cost element report, 229costing sheet, 217–218costing variant, 216detailed report, 225efficiency, 214external number, 222functional area, 222goods receipt, 213header, 220information system, 214inventory, 213last change, 223list, 228manufacturing order, 224material, 226multiple periods, 214order category 05, 229order selection, 228order type, 218, 221, 229order-related manufacturing, 213overhead key, 219periodic actual cost, 213planning plant, 227preliminary cost estimate, 216–217, 224production environment, 214production line, 227production order, 214

Index

691

Product cost collector (Cont.)production process, 222, 226production version, 222, 224, 226–227profit center, 215range of material, 221reconciliation, 214results analysis key, 219routing, 226selection field, 228settlement profile, 222settlement rule, 225source document, 229standard report, 213system status, 223time frame, 229valuation variant, 217variance, 213variance analysis, 229variance key, 220vendor quotation, 217work in process, 213work in process (WIP), 445

Product Cost Controlling, 178, 180, 188, 203, 285, 509

Product Cost Planning, 81, 158, 563Product development phase, 150Product drilldown report, 574

configuration, 575cumulative, 578data collection, 576material group, 575product hierarchy, 575run, 577SAP HANA, 586

Product group, 31Production, 151

bill of materials (BOM), 141campaign, 199line, 548overhead, 556plan, 29quantity, 143startup, 165step, 141

Production order, 55, 82, 415, 418automatic goods receipt, 425backflushing, 425

Production order (Cont.)basic dates, 423components overview, 424confirmation, 427costing sheet, 408costing variant, 407create, 421default value, 408detailed analysis, 430determine plan cost, 409goods issue to, 415information system, 427, 595list, 406operation overview, 424order type, 408overhead, 411overhead key, 409preliminary cost estimate, 411release, 424repair, 421results analysis key, 409return of components, 418rework, 421scheduling type, 423scrap portion, 423secondary credit, 418settlement, 418valuation variant, 407variance, 419variance key, 409

Production output account, 418Production process, 241Production resource, 556

cost, 556cost components, 556cost estimate, 556enhancement, 556example program code, 556flat rate, 556operating resource, 556plant maintenance, 556tool, 556

Production routing, 86Production variance, 464, 665, 671Production version, 142, 145, 222, 227, 548

apportionment structure, 147detail, 145

692

Index

Production version (Cont.)overview, 145planning data, 145planning level, 145

Profit and loss account, 437, 674Profit center, 102, 264

dummy, 102, 215manager, 87product cost collector, 215responsible manager, 215

Profit Center Accounting (PCA), 102, 139, 215, 463activate, 215

Profit margin, 419Profitability Analysis (CO-PA), 29, 102, 256,

275, 277, 418, 463, 574, 669plan data, 30valuation, 76

Project System (PS), 82, 613Purchase order, 236, 303

price, 62quantity, 62value, 60, 62

Purchase priceestimated, 150

Purchase price variance (PPV), 154Purchase quantity, 143Purchase requisition, 55Purchased materials, 543

delivery cost, 542, 641origin group, 544valuation class, 543

Purchasing, 150–151department, 62future requirement, 61information system, 61–62request for quotations (RFQ), 59

Purchasing document, 235long standing, 235scheduling agreement, 235scope of list, 235type LP, 235

Purchasing info record, 53, 150, 179, 210, 230, 235, 300, 312, 349, 365category, 315change, 235condition type, 544

Purchasing info record (Cont.)conditions, 211cost estimate, 235costing lot size, 234current, 59current price, 349discount, 232display, 545effective price, 232freight price, 545gross price, 232, 303, 545multiple vendor quotations, 232net price, 303plant non-specific, 235plant-specific, 235price, 544price condition, 234purchase price variance, 235purchasing condition, 232, 303purchasing organization, 232purchasing organization data 1, 230scales, 234scheduling agreement, 235selection criteria, 230subcontract, 525supplement, 232surcharge, 232updated, 59validity date, 233validity period, 235valuation variant, 236vendor, 230

Purchasing information system, 59, 64, 75

Q

Quality inspection operation, 429Quantity

capacity, 69plan activity, 69

Quantity structure, 140, 267, 280data, 135existing, 399target cost version, 472

Quantity structure control, 323bill of materials (BOM), 330bill of materials (BOM) application, 324

Index

693

Quantity structure control (Cont.)routing, 330SAP standard, 323

Quotation price, 544

R

Raw material, 257, 415Real posting, 91Recursiveness, 184Reference operation set, 332Reference variant, 338

additive cost, 341material components, 341miscellaneous, 341overview, 339quantity structure, 338revaluation, 340strategy sequence, 339transfer control, 339

Release, 177, 424Release note, 643Repair order, 421Repetitive manufacturing, 145, 213Report

analyze costing runs, 564compare cost estimates, 570configuration, 579cost center, 600data collection, 582detailed, 569line item, 590list cost estimates, 568order information system, 596order selection, 598production order, 595source document, 591, 600summarized, 574

Reporting requirement, 272Request for quotation (RFQ), 59Requirements

activated planned independent, 62activity, 62, 64dependent, 55future, 62future purchasing, 59, 61

Requirements (Cont.)planned independent, 53, 56, 76production capacity, 32scheduled activity, 53, 64

Requirements classassembly processing, 515condition type, 514configuration, 511costing, 512costing variant, 513functional area, 518results analysis key, 518settlement profile, 517

Requirements type, 510possible entries, 511

Reset, 176Results analysis

basic settings, 439cost of sales (COS), 451expert mode, 451percentage-of-completion (POC), 523revenue, 451SAP HANA, 523simplified mode, 451status control, 452valuation method, 451

Results analysis key, 438, 454default value, 439

Results analysis versionadvanced functionality, 439cost elements button, 441define, 439expert settings, 439extended control button, 441relevant to settlement, 440settlement rule, 440technical cost element, 440transfer to Financials, 440

Revenue, 85, 439Revenue type, 101, 222Rework order, 421ROH, 179Routing, 29, 145, 203, 428

base quantity, 208company code, 205component allocation, 212external processing, 210

694

Index

Routing (Cont.)external vendor, 210header, 203–204material component, 212operation details, 203, 208operation scrap, 209plant, 205price unit, 211purchase order, 210selection, 331selection ID, 331selection screen, 203subcontract, 210unit of measure, 208

S

Salesmanager, 29plan, 29quantity, 29

Sales and Distribution (SD), 275Sales and operations planning (S&OP), 29, 45,

70, 112Sales deduction, 85, 87Sales manager, 87Sales order, 250, 439

cost estimate, 518costing indicator, 519line item, 439nonvaluated inventory, 521procurement tab, 510profit margin, 519SAP HANA, 524valuated inventory, 518–519variance analysis, 523

Sales order controllingconfiguration, 510valuated stock, 643

Sales order costing, 451, 509period-end processing, 518

Sales order item, 275Sales organization, 158Sales revenue, 275SAP ERP Financials (FI), 159, 463SAP ERP Quality Management (QM), 507

SAP Fiori, 635launchpad, 635

SAP General Ledger (G/L), 607SAP HANA, 403, 436, 460, 481, 507, 605,

629, 642accelerators, 629account-based Profitability Analysis (CO-PA),

633aggregation, 630authorizations, 593column-based search, 592columns, 629CO-PC Accelerator, 586cost center, 588cost component, 634cost elements, 631costing-based Profitability Analysis (CO-PA),

633dimensions, 588drilldown reporting, 541, 586in-memory database, 629line item report, 592Material Ledger close, 541primary database, 629production variances, 634results analysis, 523sales order, 524side-by-side, 629summarization reporting, 586totals tables, 631Universal Journal, 630, 644Web Dynpro, 619

SAP S/4HANA, 605, 630–632, 644accelerators, 629account type, 632cost element category, 632Universal Journal, 630, 644

Scales, 234Scheduled activity, 71, 117Scheduled activity quantity, 64, 70Scheduling

backward, 423basic dates, 423detailed, 423forward, 423manufacturing orders, 197rough-cut, 423type, 423

Index

695

Scheduling agreement, 235list, 235purchasing document, 235

Scrapcomponent, 133Input, 656Output, 654, 662

Selection ID, 332Selection list, 229Selection method, 130Settlement, 464, 483, 507, 669

actual cost, 486allocation structure, 484, 489background processing, 505basic list, 505check transaction data, 506configuration, 483, 502control parameters, 483cost element, 489cost of sales, 486current period, 480detail list indicator, 505distribution rules, 484fiscal year, 504largest amount, 507message analysis, 506order type, 483PA transfer structure, 484parameters, 503, 506period-end closing, 502, 507posting period, 504processing options, 505product cost collector, 503production order, 418reconcile, 507selection screen, 506transaction data, 506type, 480value field, 502

Settlement profile, 483, 508can be settled, 486deletion flag, 486indicator, 486order balance, 486PA transfer structure, 497percentage costs, 487source structure, 495valid receivers, 488

Settlement rule, 147, 225account assignment category, 492distribution rule, 487settlement receiver, 493

Setup, 190Setup time, 143Shop floor control, 595Simulative planned order, 59Simultaneous costing, 429, 431Source, 174Source document, 229Source list, 237

allowed source of supply, 238cost estimate, 239fixed, 238purchasing info record, 238

Source structureaccounting indicator, 497assignment, 496cost element, 497distribution rule, 495earned profit, 497good will, 497incurred cost, 497joint product, 495overview screen, 495sales volume, 497settlement procedure, 495simultaneous production, 495source, 497warranty, 497

Special procurement type, 353costing, 143maintain, 143possible entries, 525transfer control, 556

Split valuation, 152Standard activity time, 203Standard cost estimate, 29, 81, 156, 187, 262,

365cost based on field, 370costed multilevel bill of materials (BOM), 370costing data tab, 284costing lot size, 367costing variant, 366costing version, 366create, 148, 366, 387current, 147

696

Index

Standard cost estimate (Cont.)default dates, 367finish date, 368future, 148mark, 148, 365, 371material, 366overwrite, 372plant, 366PPC1, 366release, 149, 365, 372release button, 372save, 148transfer control, 367update frequency, 81variance calculation, 368

Standard hierarchy, 95, 601assigned, 98company structure, 97maintenance, 97node, 95swap, 97

Standard price, 154, 156, 158–159, 413current, 372existing, 373future, 372proposed, 372update, 366

Standard value, 199Statistical key figure, 119

actual, 119category, 120fixed value, 120long-distance call, 120name, 120plan, 119total value, 120tracing factor, 119

Statistical posting, 91, 104Status selection profile, 581Stock account, 156Stock transfer, 353Strategy sequence, 177Subcontracting, 210, 524

component, 526component quantity, 528consumption posting, 528external processing, 528

Subcontracting (Cont.)goods receipt, 528item category, 526monitor stock, 527purchase order, 525purchasing info record, 525special procurement type, 525stock, 528

Summarization hierarchyalternate hierarchy, 585configuration, 579data collection, 579, 583data scope, 580exception rules, 585hierarchy level, 578–580hierarchy node, 583performance, 583SAP HANA, 586status selection profile, 581

Summarized reporting, 564Support Package, 605

T

Table T030, 414, 417Target cost, 463, 481

version 0, 463, 470version 1, 464, 471version 2, 464, 472

Target cost analysis, 90Target cost version, 468–469Task list

description, 332group, 141group counter, 205lot-size range, 205type, 332

Tax, 419Teardown, 200

time, 200Template, 105, 547, 641

active, 548assign, 548case scenario, 105complexity, 547cost center/activity type, 547

Index

697

Template (Cont.)costing sheet, 548environment, 547flexible alternative, 547formula, 105, 547formula planning, 105function, 105, 548material master, 548object, 547overhead key, 548plan activation, 548plan quantity, 548receiver object, 105sender object, 105table field, 547type, 547valuation variant, 548volume, 105, 547

Time series icon, 62Total

stock, 158value, 158variance, 463, 671

Total labor, 265Tracing factor, 119Transactional data

actual, 85, 109plan, 85, 109

Transfer control, 64, 333, 556collective requirements, 336costing type, 335costing version, 335fiscal year, 335individual requirements, 336PC01, 337period, 335SAP standard, 333single-plant, 334strategy sequence, 334valuation variant, 335

Transfer costing data, 276Transfer pricing, 162, 169Transfer structure, 267–268, 270, 277Turnaround time, 150

U

Unitoutput, 116

Unit cost estimatecategory, 397copy existing structure, 400cost element, 399item, 396item total price, 398production phase, 401quantity, 398resource, 398

Unit costing, 346Unit of measure

alternative, 123base, 123, 423

Universal Journal, 630, 644Update inventory valuation, 149Upload, 71User exit, 554

ABAP program, 555bulk material, 556component, 555configure, 555cost estimate, 554costing report, 557function module, 556include, 554material valuation, 556production resource, 556tool, 556valuation price, 557

V

Valuated goods receipt, 480Valuation, 76, 163, 165, 610

approach, 168–169category, 152current, 157data, 165group, 168–169header record, 153inventory, 261, 264, 275inventory report, 176

698

Index

Valuation (Cont.)legal, 168–169method, 451, 460multiple, 264price, 169, 556strategy, 154, 556type, 153update inventory, 149

Valuation area, 93Valuation class, 151, 415, 543

project stock, 152Valuation variant, 138, 236, 257, 288, 299,

405, 544, 548activity price, 308activity type, 307actual price for period, 309additive cost, 300, 307average plan price, 308component materials, 300costing sheet, 217, 316delivery cost, 304effective price, 303external processing, 314finished material overhead, 316for scrap, 471freight, 305gross price, 303insurance, 305material valuation, 218, 300miscellaneous, 318moving average price, 218net price, 303origin group, 305overhead, 316overview, 299planned, 218plant, 300raw material overhead, 316SAP standard, 299strategy sequence, 300, 307, 544subcontract material overhead, 317subcontracting, 312, 314subcontracting indicator, 315sub-strategy sequence, 544

Value field, 464, 483, 502Variable cost, 113

Variance, 365, 424, 480analysis, 29, 66, 229, 365, 429calculation, 81, 418, 473, 476, 481category, 463, 467, 473, 480–481, 483column, 478configuration, 465continual improvement, 473cost center, 70cost elements button, 478cumulative, 480define key, 465detail list indicator, 477formula for calculating, 477input, 473input price, 464input quantity, 428large, 478lot-size, 464message, 477order status, 475original transaction, 480output, 474period-end, 475planning, 464, 472, 663production, 464, 471, 497, 665, 671quantity structure, 472relevant to settlement, 463remaining, 467scrap, 467, 475, 480sequence, 481sort on columns, 477summarized reporting, 477target costs button, 478test run indicator, 477total, 418, 463, 470unfavorable, 478variant, 467

Variance key, 139default for plants, 467define, 465write line item, 466

Variant products, 326Vendor, 230, 548Vendor quotation, 53, 62, 150, 179, 544Version, 60, 63, 66, 69, 269

fiscal year, 311legal valuation, 311planning, 269

Index

699

Version info structure, 60Volume, 547

W

Wages, 66Web Dynpro ABAP, 616WIP report, 460With Qty Structure checkbox, 137Work breakdown structure (WBS), 82, 439Work center, 62, 188, 420

activity type, 202actual activity quantities, 191backflush checkbox, 190basic data, 189capacity, 194capacity category, 195capacity planning, 190change, 188company code, 201confirmation, 190control key, 192, 210cost center, 201costing, 190, 200, 202default value, 191, 208display, 188employee, 188factory calendar, 196formula key, 198formula parameter, 198iterative process, 191key word, 190labor capacity, 195length of break, 196load, 76low-value part, 190machine, 190machine capacity, 195material component, 190other formula, 200parameter definition, 199parameter details, 198parameter origin, 199parameter user-defined, 199performance efficiency, 190–191plant, 201

Work center (Cont.)processing formula, 199production line, 188production personnel, 200rule for maintenance, 190scheduling, 197setup, 190setup formula, 197standard value, 190–191, 194, 199teardown formula, 200unit of measure, 194validity period, 201

Work in process (WIP), 480, 674assign line ID, 449assign valuation variant, 446at target, 445calculation, 455, 459cancel, 459, 481cannot be capitalized, 448capitalization, 439capitalize cost, 439configuration, 437cost component, 449cost element, 447cost estimate, 443costing run, 444costs, 437define assignment, 446define line ID, 446define posting rule, 449define update, 448delivered to inventory, 437explanation button, 457financial accounts, 450goods receipt quantity, 458incomplete assembly, 437inventory, 437masked cost center, 447masked cost element, 446order status, 443, 459period-end processing, 437preliminary cost estimate, 444, 455product cost by order, 459production cost, 437repetitive manufacturing, 445reserves, 446results analysis key, 438

700

Index

Work in process (WIP) (Cont.)results analysis version, 439routing, 444routing structure, 444settlement, 449source cost element, 446standard cost estimate, 444target, 443technically complete, 459unrealized cost, 446valuation method, 442valuation variant, 443variance, 445variance analysis, 455

Workflow, 151

Y

Yielddefault, 427previously confirmed, 427propose, 427to be confirmed, 427

Yield quantity, 427

Z

Zero balance, 418


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John Jordan is the founder of and principal consultant at ERP Corp. He regularly speaks at conferences and publishes articles, provides training sessions for clients, and is the author of Production Variance Analysis in SAP (2nd Ed, 2011) and 100 Things You Should Know About Controlling with SAP (2nd Ed, 2015), both SAP-PRESS bestsellers. John is considered one of the lea-

ding experts in SAP ERP Controlling component by clients and peers.

John Jordan





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Product Cost Controlling with SAP (SAP PRESS) | Reading Sample