Fico (New File)

assigned company code to company
RETAINED EARNING ACCOUN
OBC4 FIELD STATUS VERIANT

fiscal year veriant
PG FISCAL YEAR VERIANT
CALENDER YEAR VERIANT NAME PG

SAVED
ASSIGNED FISCAL YEAR TO COMPANY

SAVE
POSTING PERIOD VERIANT

document no range
fbn1
create controlling okkp
save
profit center accounting

CREATE PROFIT CENTER KE51
ACTIVATE AND CREATE COSTCENTER AND ASSIGNED PROFIT CENTER
Actvated
setting for ledger
error
fb50 entry
10000 10999 20000 Expense
11000 11999 20000 Expense
12000 12999 20000 Expense
20000 20999 30000 Revenue
21000 21999 30000 Revenue
22000 22999 30000 Revenue
30000 30999 30000 Revenue
delete compamy other ledger
assigned other ladger curruncies conversion
save
RETAINED EARNING ACCOUNT YHA DALNA HAI PROFIT & LOSS VALA ACCOUNT
y
10000 10999 20000 Expense
11000 11010 20000 Expense
11011 11011 40100 Cash Discount (Expense/Revenue/Loss)
11012 11013 20000 Expense
11014 11014 40200 Exchange Rate Difference
11015 11020 20000 Expense
11022 11999 20000 Expense
12000 12999 20000 Expense
20000 20999 30000 Revenue
21000 21019 30000 Revenue
21021 21050 3000 Vendor
21052 21090 3000 Vendor
21092 21099 3000 Vendor
2
cross compoonenet me jakr
vendor
fimm
Below setting taken care BY MM Consultant
in S/4 HANA
Define Valuation Level
save
Save
CREATION OF STORAGE LOCATION:
IMG-->ENTERPRISE STRUCTURE-->DEFINITION-->Materials Management-->Maintain storag
save
Save
Address and communication details for stroage location is optional
maintained storage location TG20
Maintain purchasing organization:

IMG-->ENTERPRISE STRUCTURE-->DEFINITION-->Materials Management-->Maintain purch
Responsible unit to procure the material fro

Purchase organization is responsible for PO
Save
Assign plant to company code:
IMG-->ENTERPRISE STRUCTURE-->ASSIGNEMENT-->Logistics - General-->Assign plant to co
Assign purchasing organization to company code:

IMG-->ENTERPRISE STRUCTURE-->Assignement-->Materials Management-->Assign purchas
Define Attributes of Material Types
IMG-->Logistics - General-->Material Master-->Basic Settings-->Material Types-->Define Att
Sap pre-defined material types are there.
Mat type Description

ROH RM
HALB SFG
FERT FG
DIEN Service
ERSA Spare Parts
HAWA Trading Goods
KMAT Configurable Material (Co
VERP Packaging'
Select the Mat type ROH and click on Copy or we ca

Save
Note :
Qty/Value Updating
If Indicator Not
If Indicator acti
Material type for SFG

HPG0 SFG
save
Save
Maintain Company Codes for Materials Management
Maintain Company Codes for Materials Manageme

IMG-->Logistics - General-->Material Master-->Basic
ABP==> Allow back posting to the previous per
We can deactivate through MM Period
Save
Plant Parameters
IMG-->Materials Management-->Inventory Management and Physical Inventory-->Plant Parameter
save
Click on save button

10.Define Valuation Control OMWM
Path : SPRO --> Material Management --> Valuation and Account Assignment --> Account Determination --> Accoun
11.Group together Valuation Areas OMWD

Click on position button
12. Define Valuation Classes OMSK
Click on Account Categeory Reference

Click on New Entries button
Click on valuation Class

Enter
Click on Back Arrow button 2 Times
Click on Material type/ account Categeory reference

Click on Position button
save
13. Set Tolerance Limit OMC0

Path : SPRO --> Materials Management --> Inventory management & Physical Inventory --> Goods Receipt --> Set To
Enter
Click on Back arrow button
Click on Save button

14.Set Tolerance Limits for Price Variance OMEU
Path : SPRO --> Materials Management --> Purchasing --> Purchase Order --> Set Tolerance Limits for price variance
Enter
15.Set Tolerance Limits OMR6
Path : SPRO --> Materials Management --> Logistic Invoice Verification --> Invoice Block --> Set Tolerance Limits
16.Define Automatic Status Change OMRV
Path : SPRO --> Materials Management --> Logistic Invoice Verification --> Invoice Verification in Back ground--> De
17. Maintain Default Values for Tax Codes OMR2

Path : SPRO --> Material Management --> Logistic invoice verification --> Incoming Invoices --> Maintain Default Val
Enter
18.Copy Change Movement Type OMJJ
Path : SPRO --> Material Management --> Inventory management and physical inventory --> Movement Types --> C
Define Accounts for Materials Management OBYC
Path : SPRO --> Financial Accounting (New) --> General Ledger Accounting (New) --> Periodic Processing --> Integrati
save
material create mm01
Path : Logistics --> Materials Management --> Purchasing --> Master Data --> Subsequent Settlement --> Vendor Re
erroe
ckmstart
bp extended
saved
extended
saved changes
me21n
Vendor / Supplying Plant Known ME21N
Path : Logistics --> Material Management --> Purchasing --> Purchase order --> Create --> Vendor / Supplying Plant K
mig0
date galt li thi 3rd period me hui hai posting
mmpv
vst obyc miro eror
for shweta didi
for vendor
20003 creadit
t-->Maintain storage location.
t-->Maintain purchasing organization.
ure the material from the external vendor.

responsible for PO
>Assign plant to company code.
nt-->Assign purchasing organization to company code

Types-->Define Attributes of Material Types
rable Material (Computer, Engineer products)
k on Copy or we can create our own without copy.

If Indicator Not activated: Not possible to update both qty and value in MM and also not p
If Indicator activated: possible to update MM and possible to apply ML Actual Costing
enter
copied entery
aterials Management
rial Master-->Basic Settings-->Maintain Company Codes for Materials Management.
the previous period .
rough MM Period MMPV
-->Plant Parameters
etermination --> Account Determination Without Wizard --> Define valuation Control
etermination --> Account Determination Without Wizard --> Group together Valuation Areas
etermination --> Account Determination Without Wizard --> Define Valuation Classes
rm
sfg
fg
Goods Receipt --> Set Tolerance Limit

Limits for price variance
Set Tolerance Limits
on in Back ground--> Define Automatic Status Change
--> Maintain Default Values for Tax Codes

> Movement Types --> Copy, Change Movement types
observe
s debit
h credit
c Processing --> Integration --> Materials Management --> Define Accounts for Materials Management
ettlement --> Vendor Rebate Arrangements --> Environment --> Condition / Arrangement --> Environment --> Material --> Environment -->
switch organization
endor / Supplying Plant Known

migo
n MM and also not possible to apply ML Actual costing
y ML Actual Costing
> Material --> Environment --> Document Management --> Environment --> Bills of material --> Environment --> Material Master --> Mater
--> Material Master --> Material --> Create (General ) --> Immediately
define sales organization
3 DIFINE DIVISION
save
4 DEFINE SHIPING POINT

5 ASSIGN SAES ORGANIZATION TO COMPANY CODE
6 ASSIGN DISTRIBUTION CHANNE TO SAES ORGANIZATION

7 ASSIGN DIVISION TO SAES ORGANIZATION
SETUP SAlES AREA
ASSIGN SAES ORGANIZATION TO DISTRIBUTION CHANNE AND PANT
ASSIGN SHIPPING POINT TO PANT
save
SETUP THESTORAGE OCATION DEPENDENT SHIPPING POING DETERMINATION

DIFINE AND ASSIGN PRICING PROCEDURE
Define SD Condition types
DIFINE ACCOUNT KEYS
Assigne Condition types and Account Key in SD pricing Procedure
make 182 row
SET Customer Pricing procedures

save
ASSIGN SAES AREA TO SAES DOCUMENT TYPE
SET UP PATNER DETERMINATION
save
DEFINE PARTNER DETERMINATION PROCEDURE
SAVE
PARTNER FUNCTION NO ACTION
PARTNER FUNCTION CONVERSION NO ACTION
Define Tax determination rues

define AAG for customer code-tcode :OVK8
to post different revenue account based on cassification of customer
difine the Access sequence and account determination types
NO ACTION FROM YOUR END

DEFINE ACCOUNT DETERMINATION TYPES
NO CHANGES
DEFINE AND ASSIGN ACCOUNT DETERMINATION PRECEDURES

KOFI FI ACCOUNT DETERMINATION TYPE
IT USES SO IS NOT A COST OBJECT AND NORMA SAES FOW
KOFK CO ACCOUNT DETERMINATION TYPES

IT USES SO IS A COST OBJECT (MTO-
NO ACTION FROM YOUR END
ASSIGN ACCOUNT DETERMINATION PROCEDURE
ASSIGN ACCOUNT DETERMINATION TYPE TO THE SD BIING TYPE

̥
DEFINE AND ASSIGN KEYS
ACCOUNT KEYS ARE USED TO DETERMINE REVENUE AND SAES EXPENCES G ACCOUNTS
ACCOUNT KEYS INKED BETWEEN SD CONDITION TYPES AND G ACCOUNTS
vkoa
SAVE
REQUIREMENT---> Need to map sales expenses(sales Discount ,Rebates ,Sales Commisions)at Account Key Level
save
v/08 pricing procedures
change gl
bp extended
SAVE
HOW To extend to other Sales Area
BP Extend to sales area tg10
extended
create material
material name
and sales organization is different
BASIC DATA 2 NIL
Sales Org1
sale general plant data
export tab
import tab
MRP1
MRP2
MRP3
MRP4
ACCOUNTING 1
COSTING 1
create material
error
okb9
VL01N GOODS DELEVERY TO THE CUSTOMER

1 PICKING
2 PACKING
3 PGI
VL03N DISPLAY DELIVERY DOCUMENT
VF01 BILLING
80000248
jodocument aaye enter then save
then release
vf02
CT AND NORMA SAES FOW
20060 Local Sales-Prod
20061 Local Sales- Spare Parts
20062 Own Units Sales -Prod
20063 Local Sales-Service
20064 Export Sales -Product
20065 Export Own Units Sales -Products
20066 Export Own Units Sales -Spare Parts
20067 Export Sales-Service
ccount Key Level

Sales deductions - Local
Sales Rebates -Local
Sales Comission -Local
Sales deductions - Export
Sales Rebates - Export
Sales Comission -Export
organization is different
va01
mig0
enter and save
fbn1 error add no range
Organizational Units
Company Code1
ControllingCompany Code 2
Company Code 3
Operating Concern
Company Code 4
Controlling Area 2
Company Code 5
ControllingIt is the CO Organizational Unit and at this level it records and analyzes the overhead related activities (Cost Elemen
FI Organiz At this Level, Recording and tracking the financial transactions, book keeping and preparing or extracting the financ
AssignmentWe Can assign "n" number of company codes to one controlling area subject to the following Conditions.
1.Chart of accounts should be same between company code & Controlling area, that means the accounting structu
2.The Fiscal Year should satisfy the below conditions between the company code and Controlling area.
a) The number of Posting periods should be same (Other than the special periods).
b) The start period and end period should be the same.
C) The start date and end date of each period should be same.
1.Create CoOKKP
Path : IMG-->Enterprise structure-->Definition--> Controlling--> Maintain Controlling Area
Give your Cotrolling Area
Organizational Units
save
maintained no ranges for co documents
kank
copy no range tg00 to pg00
maintained versions
KAH1 CREATE COST ELEMENT GROUP
cost center hierarchy ksh1
skf creation kko1 maximum 6 digit code
SKF GROUP MAXIMUM 10 DIGIT CODE KBH1
save
kb31n
rks error
go fiori app
manage posting period cost accounting open
kb31n
activitiy type
creation of activity type kL01
ACTIVITY TYPE GROUP KLH1
SAVE

Planning
kp26
Input Planning Output Planning SKF Planning
Departmental Expenditure Planning

Or
Cost Element Planning
Cost Center Vs ActivitSKF Vs Cost Center
Activity Independent Activity Dependent Planning
Cost Element PlanningCost Element Planning With Reference to activity can be called as activity depende
Cost Center Vs Cost ECost Elemeny Vs Activity

Cost CenterS_ALR_87013611
Path : Accounting --> Controlling --> Cost Center Accounting --> Information systems --> Reports for cost centers -->
kp26
Cost CenterS_ALR_87013611
Cost ElemeKP06
Path : Accounting --> Controlling --> Cost Center Accounting --> Planning --> Cost and Activity Inputs --> Change
fiscalyear same contolling area and operating concern
Activity quantity
clean 10
labour 50
machine 200
cost center splitting structure
define spliliting stucture OKES
PATH:SPRO-->CONTROLLING-->COST CENETR ACCOUNTING -->PLANNING -->ALLOCATIONS-->ACTIVITY ALLOCATION
1636.364 4836.364
24.18182
SAVE
ASSIGN SPLITTING STRUCTURE OKEW
kp26
planner profile sapall
okew Assign splitting structure to costcenter

pg-com2
plannr profiles saapall

kp06
input plaaning cost center vs cost element planning

rate
common common 11000
labour 1000 3300 6300 42
2000
clean 5500 2200 7700 77
machine 3000 5500 8500 34

kspi
ksbt
see cost center report
related activities (Cost Element, Cost Center accounting, and internal orders), Mfg related activities (Product Costing) and also activities of
paring or extracting the financial statements like balance sheet and P&L.
ollowing Conditions.
means the accounting structure should be the same between the company code and Controlling Area.
Controlling area.
dependent cost center vs activity vs ce
independent cost center vs ce
be called as activity dependent planning
-> Reports for cost centers --> Plan & Actual Comparisions --> Cost Centers : Actual /Plan/Variance
Activity Inputs --> Change
quantity amount
10 500
50 300 50
200 1400 6
7
TIONS-->ACTIVITY ALLOCATIONS-->SPLITTING-->DEFINE SPLITTING
11005 delete from group
11010
166.6667
333.3333
500
kss4
42
t Costing) and also activities of internal units analysis or evaluation of the internal unit analysis (Profit Center accounting).
delete from group
accounting).
shweta didi k liye
distribution
Distribution
Its Possible to transfer only primary Cost elements to cost
It is uses the same orginal cost element to credit in sender side and also to debit in receiver side
Receiver side difficult to trace out originally posted amount difficult to trace out and allocated amount
3.96.0
Create Distribution KSV1

Path : SPRO --> Controlling --> Cost Center accounting --> Actual Postings --> Period End Closing --> Distribution -->
ACTUAL
RECEIVER COST CENTER
SAVE SENDER COST CENTER ENTRY
receiver cost center entry receiver me entry k bina show nhi hoga
again ksv5
cost center report
ksv1
receiver
AUR ENTRY KARKE DEKHI THI JISSE YE PTA CHLA KI FIXED AMOUNT KI HI ENTRY COST CENTER PE JAYEGI
ed amount
sing --> Distribution --> Define Distribution

just for testing
without test run
ER PE JAYEGI
Internal Order
Internal Order are used to Collect Monitor and Control the Cost Specific to project /Job/events.Other than MFG Acti
Ex : MKTPromotions
R & D Projects
Asset procurement
Internal orders can also be used for investment or AUC Assets
Ex : To Collect the asset and installation expenses an
Internal Orders can used for budgetory control purpose.
The Budgetory can be used for OH & Capital Expenditure.
It can also used to collect the dep from Rental/lease Assets.
It can also used to collect the Revenue and also the cost from specific event for information and reporting purpose.
It can be used as a real Cost object or statistical cost object.
Internal order provide more information than the cost center.
Internal order support planning , budget collect the actual cost and allocation of the actual cost either to the FI or C
Types of Orders:
1.Statistical Order It is used for information or Reporting purpose.
Budgetory Control purpose.
The Statistical Order can not be settle and not p
2.Real Order Possible to collect real expenditure and used for

Possible to maintain settlement rules
The Real order Possible to settle either to FI Exte
At the time of creation of internal order we need
Types /Classification/Categeories of IO
1.Over Head Orders It is used to collect overhead expenditure from s
It Can be created either Real or Statistical orders
The overhead real order can be settled to FI (De
Ex : Marketing Expenditure, Employee Overhead
2.Investment Orders It can be used to collect the capital expenditure
The Investment order can be settle to the either
It can also be created either Real order / Statisti
Ex : Asset procurement,AUC Assets, R&D Expend
3.Revenue Orders It is used to collect both revenue & Expenditure
It can also be called as Maketing order.
The revenues from the internal order can possib
Revenues cannot be settle to Cost Centers.
It Can be created either Real or Statistical orders
4.Accural Orders It is used to distribute the deffered expenditure
In order to avoid cost fluctuations in cost center
In this case we use accural orders to collect the e
1.Activate Order Management in Controlling Area OKKP
Path : SPRO --> Controlling --> Internal Orders --> Activate Order Management in Controlling Area
Observe the order manage

2.Define Order types KOT2
Path : SPRO --> Controlling --> Internal Orders --> Order Master data --> Define Order types
save
next entry
Click on Continue (Enter) button
Click on Continue (Enter)
Order type It represents grouping similsr attributes of order
It can be possible to create order under order ty
Settlement Profile The settlement profile is required for all the orde
Settlement profiles is not required for statistical
The settlement profile need to be assign in orde
Model Order It called as reference order or template order, sa
It Cannot be used as normal order and not possi
We can maintain only default values in model or
Ex : Below default values can be maintained in t
Ex : Company code, business area, plant, functio
It need to be assigned in normal order type.
During the creation of internal order, the defaul
Resident term 1 It specifies the minimum time interval thaqt mu
Resident term 2 It setermines minimum time interval that must a
Commitment Management It allows to update the commitment allow the b
The purpose of the indicator in order type when
Integrated Planning The system it update the planning of internal or
Co partner update It allocations with in CO a total record it usely pr
In order we can nfluences this process in followi
Not active In allocations between order and another object
Partly active The total records are produced in between orde
Active It is used to reduce the number of total records
3.Maintain Number Ranges for Orders KONK
Path : SPRO --> Controlling --> Internal Orders --> Order Master data --> Maintain Number Ranges for Orders
4.Maintain Planning Profile for o
Path : SPRO --> Controlling --> Internal orders -->
The planning profile purpose to maintain the overall, Cummulative planning and it specify the planning allow to be
The planning profile can contain default cost element, sender object, object currency.
Click on Back arrow two times
Maintain Planning Profile for order type KOAP
save
Maintain Number range for overall planning OK11

Path : SPRO --> Controlling --> Internal orders --> Planning --> Manual Planning --> Maintain Number range for over
Maintain Budget Profile OKOB

Path : SPRO --> Controlling --> Internal orders --> Budgeting and Availability Control --> Maintain Budget Profile
ignore
save
Enter
Budgeting &It is nothing but approved planning to
To Control the expenditure within pla
Budget can be maintained only at the
Not Possible to maintain the budget a
Budget can be able to maintain cumm
In Internal order we can control the b
The Availability control functionallity
With the help of tolerance limit along
Budget can be maintained for both Re
W e can control the budget through t
Budget ProfIt is required to enter the budget aga
Budget profile need to be assigned to
Time FramIt Control for Which Year Allow to ma
It Also Controls the overall budget & a
Total ValueIt Indicators allow to maintain the bu
Annual ValIt Indicators allow to maintain the bu
If both indicator is activated then can
Over all If Indicator is not activated the availa
If Overall indicator is activated then a
Click on Back arrow button two times
Maintain Budget profiKOAB
save
Define Tolerance Limits for Availability Control

Path : SPRO --> Controlling --> Internal orders --> Budgeting and Availability Control --> Define Tolerance limit for Av
save
In this step we can sepcify how the system delete i:e, either trigger warning or error message in case if budget is ex
In this step we need to specify which business transactions type need to be check again budget and ehat percentag
Absolute variance It represents value in terms of amount.
The System it allows the transaction to the exte
Specify Exempt Cost Elements from Availability Control OPTK
Path : SPRO --> Controlling --> Internal orders --> Budgeting and Availability Control --> Specify Exempt cost elemen
save
Enter
Note : In the step we can specify the which cost eleme
Set up Availability Control again KO31
Path : SPRO --> Controlling --> Internal orders --> Budgeting and Availability Control --> Set up Availabilty Control ag
Activate Commitments Management OKKP
Path : SPRO --> Controlling --> Internal Orders --> Activate Commitments Management
save
Activate Open - Item Managemen

Maintain Allocation Structure OKO6
Path : SPRO --> Controlling --> Internal Orders --> Actual Postings --> Settlement --> Maintain Allocation Structure
Allocation Structure It Contains the assignment and each assignment
Each assignment specifies which receiver catege
Ex : Cost Centers, Orders, EBS Element, COPA, Fi
Allocation structure need to be assign in the sett
Allocation structure is required ( for all the orde
1.Mfg Orders Allocation structure not required in normal prod
a) Joint & by Product Allocation structure is required to settle the valu
It represents main product & by product.
b) Sales order is non valuated stock (MTO) Allocation structure is required to settle the valu
2. Other than Mfg Orders Allocation structure is required to settle the valu
save
save & back arrow
click on back arrow two times

save
By Cost Element If Indicator is activated then same source cost el
Settlement Cost Element It is used separate cost element to credit in send
Maintain Source Structure OKEU
Path : SPRO --> Controlling --> Internal Orders --> Actual Postings --> Settlement --> Maintain Source Structure
Click on Assignments
save

Source Structure It Contains the assignment .Each assignment it r
Purpose It Contains the different distribution rules & rece
By using source structure in order settlement ro
Maintain Settlement Profiles OKO7
Path : SPRO --> Controlling --> Internal Orders --> Actual Postings --> Settlement --> Maintain settlement profile
save
save
Enter
SettlementIt Contains the settlement parameters which required to maintain settlement rules and also to settle the orders.
It specifies which receiver categeory allow to settle and also it specify which type of the distribution rules allow to b
It specify allow to transfer variance to costing based co-pa or not.
It specify which default document type is used to post the settlement.
It specify how many maximum distribution rule allow to maintain in settlement group.
It Contains default values like (Allocation , source , PA Transfer Structure, default objective types)
It Controls the settlement rules in order and also it specify weather the order is relavent for settlement or not.
Settlement profile need to assign in order type.
Enter Settlement Profile in order types KOAL
Path : SPRO --> Controlling --> Internal Orders --> Actual Postings --> Settlement --> Enter Settlement profile in order types
Enter
Maintain Number ranges for settlement documents KO8N
Path : SPRO --> Controlling --> Internal Orders --> Actual Postings --> Settlement --> Maintain Number Ranges for settlement d
Click on Maintain Groups button

From the menu bar select Group --> Insert

Scenarios :
1.Internal FI - Deffered Expenditure
Co - Cost Center
1.Create Internal Order

2.Over all planning
3.Planning Cost Elements / Activity inputs change
4.Maintain Internal order budget
5.Change supplement
6.Reduce the budget
7.Post Document
8.Activity Allocation
9.Goods issue to Internal order
10.Actual Activity Price tbk,m v c
11.Individual Processing
1.Create Internal Order

2.Maintain Over all planning KO12
Path : Accounting --> Controlling --> Internal orders --> Planning --> Over all values --> Change
click on countinue & enter

click on save button
3.Planning Cost Elements / Activity inputs change KPF6

Path : Accounting --> Controlling --> Internal orders --> Planning --> Cost and Activity Inputs --> Change
Create Planning Layouts for Cost Element Planning KPG5
Path : SPRO --> Controlling --> Internal orders --> Planning --> Manual Planning --> User-Defined Planning Layouts --
Maintain User - Defined Planner Profile KP34
Path : SPRO --> Controlling --> Internal orders --> Planning --> Manual Planning --> User-Defined Planning Layouts --
ko22 maintain budget
check budget factor in fb 50 entry
optk code me 11001 cost element ko budget se free rakha hai

KO03 ACTUAL AND PLAN COMPARISON
change currency
rpc0
maintain settalement rule ko02
click on settlement rule

save
ko88
save
COST CENTER REPORT
model order konk

Assign no range
kom1 create model order
KOM1
Assign model order to io order type
save
create asset setting & auc internal order

events.Other than MFG Activities
and installation expenses and later to capitalize the assets.
tion and reporting purpose.
ual cost either to the FI or Co Objects.
tion or Reporting purpose.
can not be settle and not possible to maintain settlement rules.
al expenditure and used for budgetory control purpose

settlement rules
ble to settle either to FI External Settlement (G/L A/C, AUC , Fixed assets) either to CO Object (Cost Center, Internal orders, service COPA, S
on of internal order we need to specify or Activate statistical indicator to create the statistical order
verhead expenditure from specific job or Event within in the Short term.
her Real or Statistical orders.
rder can be settled to FI (Deffered Expenditure G/L A/C)or CO Object Cost Center, Internal orders service Orders, Maintainence Orders)
nditure, Employee Overhead, Sales promotion Advertisement.
ect the capital expenditure I;e, Asset Procurement, Installation Cost or R&D Expenditure.
er can be settle to the either AUC Asset, or Main Asset.
d either Real order / Statistical Order.
ent,AUC Assets, R&D Expenditure.
oth revenue & Expenditure from the specific promotional activity or event for information and analysis is purpose.
as Maketing order.
he internal order can possible to settle COPA, or orders with revenue we can transfer to G/L A/Cs.
settle to Cost Centers.
her Real or Statistical orders.
e the deffered expenditure across the periods within CO.
t fluctuations in cost center Accounting, the cost distributed and regular basis periodically for each individual period through out the perio
ccural orders to collect the expenditure
Observe the order management is Active
nter) button
ng similsr attributes of orders and also it controls order number ranges it control the order master data fields and it contains default values
create order under order type all default parameters copied from order type to order it assigns number to order.
le is required for all the orders if we want to settle the values.

s not required for statistical order.
le need to be assign in order type.
order or template order, sample order.
normal order and not possible to post any expenses again the model orders.
y default values in model orders.
lues can be maintained in the model orders.
business area, plant, functional area, Profit Center, default currency, Statistical indicator, RA Key, Costing sheet, OH Key, Investment profile
d in normal order type.
of internal order, the default values or copy from the model orders to the normal orders.
mum time interval thaqt must allows the between setting the deletion indicator class with revocable and setting the final deletion indicato
um time interval that must allows between settle the final deletion indicator and unrevocable reorganisation object (Moving to another sy
he commitment allow the budget for the order.
ndicator in order type when it change the indicator in order type the change is valid immediately for all existing orders in the system which
e the planning of internal order to the dependent object cost center , profit center.
CO a total record it usely produce for each sender & receiver combination.
ences this process in following ways.
en order and another object
e produced in between order for each combination but it wont generated the total records between the order and cost center.
he number of total records and increase the storage capacity.
er Ranges for Orders

OKOS
rolling --> Internal orders --> Planning --> Manual Planning --> Maintain Planning Profile for overall Planning
fy the planning allow to be maintain for how many years in future, Past and also it controls weather allow to maintain cummulative plann
tain Number range for overall planning
Maintain Budget Profile

ng but approved planning to execute the project
l the expenditure within planning.
n be maintained only at the order level.
ble to maintain the budget at the cost element level.
n be able to maintain cummulative as well as annual budget.
l order we can control the budget by using the availability control functinality.
ability control functionallity it checks the every transaction again the budget weather budget is available or not.
help of tolerance limit along with messages we can generate error or warning message if budget is exceeded or crossing the specify tolera
n be maintained for both Real & Statistical orders.
ontrol the budget through the availability control along with tolerance control and also message control.
red to enter the budget again the order.
ofile need to be assigned to order type.
for Which Year Allow to maintain the budget how many years budget in the Past & Future.
ntrols the overall budget & annual budget or Both.
ors allow to maintain the budget cummulative.
ors allow to maintain the budget yearly.
dicator is activated then can able to maintain the budget both cummulative as well as annual.
r is not activated the availability check it check the again the annual budget.
indicator is activated then availability control will be verify again the cummulative budget.
ack arrow button two times
Define Tolerance limit for Availability Control
ssage in case if budget is exceeding or recharged
budget and ehat percentage of usage the budget to be trigger warning and error message.
n terms of amount.
the transaction to the extend of absolute variance in addittional to budget.
Specify Exempt cost elements from Availability Control
pecify the which cost element to the excluded from the budget.
Set up Availabilty Control again

KOAO
ntain Allocation Structure
nment and each assignment represents the group of the source cost element and further it is specifies which settlement cost element to b
cifies which receiver categeories allow to be settled .
ders, EBS Element, COPA, Fixed Assets, Sales Document ite, G/L Accounts.
need to be assign in the settlement profile.
is required ( for all the orders settlement cases) in the below business cases.
not required in normal production orders cases except the joint and by product and non Valuated sales order stock scenario.
is required to settle the values from the production order to the production order item level.
roduct & by product.
is required to settle the values from the production order to the sales order .
is required to settle the values from the internal order, Sales order , WBS Element, service orders, maintainence orders, Quality orders.
SOUREC ME T2 ASSIGN KARENGEY
ed then same source cost element it works as a settlement cost element to credit in sender side and the debit in receiver side.
ost element to credit in sender side and to debit in receiver side.
ntain Source Structure

nment .Each assignment it represents the grouping of cost elements.
ent distribution rules & receivers according to group of cost element compulsory you want to need to maintain source structure.
cture in order settlement role, we can maintain different distribution rules & receivers based on grouping of cost element.
ntain settlement profile

also to settle the orders.
distribution rules allow to be used in settlement rules(% Settlement, equilance numbers, amount settlement).
t for settlement or not.
nt profile in order types

assign controlling area in group
ber Ranges for settlement documents
KO01
KO12
KPF6
KO22
KO24
KO26
FB50
KB21N
MIGO
KBK6 ttr5 vvbbbnn,.
KO88
KO01
puts --> Change
Defined Planning Layouts --> Create Planning Layouts for Cost element Planning
Defined Planning Layouts --> Maintain User - Define Planning Profile
GALTI SE USD ME BUDGET KR LIYA UPR SE OBJECT CURRENCY LENI THI
OMPARISON
SCREEN SHORT DEFFERENT SHEET
How to settle plan internal order to ctr bhai se puchna hai
nternal orders, service COPA, Sales order).
ers, Maintainence Orders)
l period through out the period.

and it contains default values.
eet, OH Key, Investment profile, default settlement receiver, settlement rule.
tting the final deletion indicator with revocable

object (Moving to another system physically from current system to the archiving system.
ting orders in the system which belong to order type.
er and cost center.

o maintain cummulative planning or annual planning or both.
or crossing the specify tolerance limit.
h settlement cost element to be used to Credit in the sender side and to be debit in the recever side
r stock scenario.
nce orders, Quality orders.

bit in receiver side.
ain source structure.
cost element.
back arrow
Save
Below prequest settings to be completed before assignement of Chart o

1 Adopt APC values
2 Adopt Dep terms
3 Specify the Parallel currency for Dep areas
4 Assigne Tax codes to the Company codes
5 Assigne Chart of Dep to the Company codes
6 Define Depreciation Areas for Foreign Currencies
2 Adopt APC values

save
Save Need to be activated Identical indicator for all parallel cu

Identical Indicator is optional for Stastical Dep Areas
Not possible to adopt the values for Parallel dep areas in
Specify Transfer of Depreciation Terms
Note:
Need to be activated Identical indicator for all parallel currency d
Identical Indicator is optional for Stastical Dep Areas
Not possible to adopt the values for Parallel dep areas in S/4 HAN
Save
Assigne Tax codes to the Company codes
Assign Input Tax Indicator for Non-Taxable Acquisitions
Save
Assigne Chart of Dep to the Company codes
Save
Define Depreciation Areas for Foreign Currencies

We will specify the currency for parallel currency dep areas
save
Account determination
Account determination is used to determine the Asset GL accounts whil
Account determination it groups the multiple GL accounts which is requ
Account determination contains the list of GL accounts which is used wh
We can recommend to use separate account determination for each typ
Account
Determination
Y000 Land
Y100 Building
Y200 Plant& Machinary
Y300 Furniture&fittings
Y400 Vehicles
Y500 Capital work in progress (Asset Under Construction)
save
save
Save
Create Screen Layout Rules
It controls the asset Master data Fields other than Depriciation Area Fie
Which master data field is required / optional / supress/display
One screen layout can be assigned to multiple asset class or can be defin
Screen LDescription
Y0 Land
Y1 Building
Y2 Plant& Machinary
Y4 Vehicles
Y5 Capital work in progress (Asset Under Construction)
save
Define Number Range Interval
To assign number to asset ( Asset codification)

We can define maximum up to 12 digit code either numeric or a
Asset number range can be defined at company code
Number range interval assigned to the asset class
Single number range grp can be assigned to multiple asset class
Define Asset Classes
Clasification of assets ( Classify the assets)

It controls the asset master data fields and also assigne number to asse
It contains the default values
1 Number range
2 Screen layout
3 Account determination
4 Depreciation terms
Asset class defined at Global level

Same asset class can be used across the company codes and also across
We need to activate asset class for the specific chart of deprecation.
Asset class Name
Y000 Land
Y100 Building
Y200 Plant& Machinary
Y400 Vehicles
Y500 Capital work in progress
Both are Relevant for AUC asset class
Line item Settlement

AUC Assets without Investment Mgt >> More Manual AUC asset with In
AUC asset class with line itm settelement
Collect Capital expenditure and post to Internal order
Settele IO to AUC
>> Need to create AUC asset manually
>> need to maintain Settlement Rules manually for Inernal
>> Distribution(Settelement) rules need to be maintained
>> Settelement of Internal Order ( Amount transferred from
Settle AUC asset to Main asset ( Transfer the values from

>> Create Main Asset manually
>> AUC settlement rules manually to be maintained in AUC
>> Settlement of AUC asset to Main Asset
AUC Asset Class

Status of AUC
Line Item Settelement
Inestment Measure
OptionAUC Asset Class with Line Item Settelement

Scenario 1: Without Internal order / Project (Without using C
Need to create AUC asset manually
Day to day transactions posted against AUC Assets
Example : Material exp , Overhead , misc exp , Proc
Once AUC becomes completion stage then we will transfe
Need to create Main Asset
Need to maintain settelement rules for AUC asset t
Settele AUC asset to main asset
Scenario2 : With Internal Order / Project Without Investment

more manual activities involved in this process
Create IO (Internal Order)
Collect all the capital expenses or day to day expenses ag
At the end of the month , We need to settele these value
Need to create AUC asset Manually
Then need to maitain settelement rules manually f
Need to perform settelement of the IO ( Values tra
Once AUC is completed as Complted stage Then need to s
Need to create Main Asset
Need to maintain settelement rules for AUC asset t
Settele AUC asset to main asset
Is it manadatory to settele values from IO/WBS to AUC on every
Example1 Project-Construction of Building
01.11. Mat e20000 ----> FI entryDr. Mat expenses

10.11. Misc E 5000 Cr. Stock
---> Fi entry for Misc Exp

Dr. Misc expenses
Cr. Vendor ?bank
P&L Statement
Mat Ex20000
Misc E 5000
To of ### ===> transfer ( settelement) vaues from IO to CW
FI entry
Dr. BS-CWIP(
Cr. P&L -Off
BS
CWIP 25000
ConclusNeed to setteled every month from project to the AUC as

OptionAUC Asset Class with Investment Measure( Investment Management)
Scenario1 : With Internal Order / Project With Investment Ma

More automation process
1 Create Investment Order ( Internal Order)
Investment order creates AUC asset Automatically
Not possible to create auc asset manually
All capital expenses collected against Investment O
2 At the time of settelement of Investment Order , Settelem
3 Once Asset is completed stage then need create Main ass
4 Need to maintain setelement rule in the investment orde
5 At the time of full settelement of Investment Order , The
Other benefits wih Investment Measure :

1 We can specify capitalisation rules differenly for each dep
Example:
Which expenses allow to capitalise and to what %
2 Request for Budget , Approvals and rejections possible
Specify Chart-of-Dep.-Dependent Screen Layout/Acct Assignment

Case1
Company Y10 Y11
Chart of D COD1 COD1
Asset Class Asset Asset class Y100
OP chart o OPCOAOPCOA1(YOP)
Not possible to use different Account determination and screen
Case2
Company Y10 Y11
Chart of D COD1 COD2
Asset Class Asset Asset classA1
OP chart o OPCOAOPCOA1
possible to use different Account determination and screen layo
Case2 Example
COD1
Account
Asset dtermination1
COD2
Account
Specify
Asset dtermination2
Chart-of-Dep.-Dependent Screen Layout/Acct Assignmen
To apply different Account determination and screen layout depends

Business Use Case:
Assume Different Companies using different COD and using sam
In this case one of the Company code need to use the different G
We can address in Two ways
Opion Different copanies using different COD but using s
Use different Account determination for the speci
In this case , all other company codes uses Asset c
OR
OptionCreate New asset class for Specific Company
Need to define separate asset class for specific COD
Possible to maintain different account determinati
Better to use Option2
AO90 Mapping of the GL accounts to combination of account determination ,

Test Case5 IO (real order)with Investment Management
No difference between ECC and S/4 HANA
Capitalising asset only through Investment orders
More Automation process and reduced Manual Work

AUC asset or Main asset possible to capitalise only through Inves
Not possible to post entries / expenses directly to AUC or Main A
All transactions posted against Investment order and later settel
Investment order controls the Budget
We can have capitalisation rules for each Accounting principle w
Each Dep Area wise( accountng principle wise)===
Process Steps :
1 Creation of Investment Order
Investment order crates AUC asset autom
2 Maintain Budget for Investment Order
3 Procuremt of material / semifinished assets against Inves
FI entry CO entry
Dr. Mat Exp Dr. Investment Order
Cr. GR/IR
4 KB21N Confirmation of Activities against Investme

FI entry CO Entry
Dr. Activity GL(Lab) Dr. Investment Order
Cr. Activity GL(Lab) Cr.CC
5 Reached month end still asset not yet completed

Complete Period End Process
1 Perdend process in FI
2 Perdend process in CC
1 Actual Acty Price Calculatio
3 Perdend process in IO
1 Revaluation of Acty
2 Actual OH calculatio
3 Settelement of Inve
4 in case if Asset is completed

now need to settele
1
2
3
Configuration for Investment Order
1 Configuration in AA
1 Need to create AUC asset class with Investment Measure indicat
2 Need to perform settings for Investment Order
Need to create AUC asset class with Investment Measure indicator

Define Asset Classes
Investment Measure
Assets integrated with Investment Orders

Not possible to creates assets manually with Spec
Investment Order creates AUC Assets automatica
Not possible to post transactions directly to the A
We can post values to the AUC assets only Throug
Determine Depreciation Areas in the Asset Class

Screen layout field status control for R3 screen layout
Define Screen Layout for Asset Master Data
save
AO90 Assign G/L accounts to New Asset class

KOM1 Define Model Order
Assigne Model Number to Investment(Internal Order) Order Type( IO t
Save
Define Investment Profile
Configuraion:
Asset Class ' <=== ===> Capitalisation Rules
| Capitalisation Ver
|
Investment Profile (Measure) Capitalisation Ver
Model Order----> Investment Order
Define Investment Profile

Assign Investment Profile to Model Order back arrow
Investment order uses the model order to determine Inve
Investment Profile having Default AUC Asset Class
Investment Order uses the Investment Profile AUC asset
Define Capitalisation Versions
Investment order uses the model order to determine Inve
ko01
error
t code FAGLGVTR
try fb50 entry
io auc old created
go extras create asset auc

ko88
not solve my problem
signement of Chart of Depreciation to the Company code
n Currencies
tor for all parallel currency dep areas
stical Dep Areas
Parallel dep areas in S/4 HANA as Every dep area treated as independent dep areas hence alwa
all parallel currency dep areas

ep Areas
dep areas in S/4 HANA as Every dep area treated as independent dep areas hence always shou
pg10
rency dep areas

set GL accounts while posting asset Transactions
counts which is required while posting asset transactions
unts which is used while posting asset transactions
mination for each type of Asset clasification
er Construction)
Depriciation Area Fields.
al / supress/display
t class or can be defined separately for each Asset class wise
truction)
e either numeric or alpha numeric code.

pany code
multiple asset class
igne number to asset

odes and also across the chart of depreciation areas
rt of deprecation.
Investment Measure
AUC asset with Investment Management(Measure) >> More Automation
AUC Asset with Investment Management
At the time of Investment order Creation ===>AUC asset creates Automatically
All the Capital Expenditure Day to Day collected against Investment order
Not possible to post values directly to the AUC asset
We can transfer values from Investment order to AUC asset through the
settlement of Investment order
At the time of Settlement investment order , settlement rules create automatically for
once Asset completed ,we can settle values from AUC to Main Asset through
the Investment order settlement
Main Asset manually / automatically can be created then Assign main asset to Investm
Settlement rules to settele values from aUC to the main asset
Possible to maintain different capitalisation rules as per each depreaciation area / Acco
Example : Misc expences should not allow to capitalise for USGAP but should be
t (Without using CO account assignement)
AUC Assets
ad , misc exp , Procurement of incomplete assets
hen we will transfer values from AUC asset to the main Asset
ules for AUC asset to settele values to the Main asset
ithout Investment Management ( Inestment Measure)

in this process
to day expenses against IO

settele these values to the AUC asets if the asset is not completed
nt rules manually for the IO to settele values to the AUC asset

the IO ( Values transferred from IO to AUC asset)
age Then need to settele AUC to the Main Asset
ules for AUC asset to settele values to the Main asset
BS to AUC on every month?
at expenses P&L 20000

BS 20000
isc expenses P&L 5000

ndor ?bank BS 5000
ues from IO to CWIP ( Capital work in progress)

CO Entry
25000
25000 Cr Internal Order/ Proj25000
oject to the AUC asset

ent Management)
ith Investment Management ( Inestment Measure)
sset Automatically
manually
ainst Investment Order
nt Order , Settelement Rules creates Automically for AUC Asset To settele the values
ed create Main asset manually
e investment order for the main asset ( manual activity)
stment Order , The values transferred( setteled) from AUC asset to the Main asset au
erenly for each dep area wise( Accounting principle wise)
lise and to what % allow to be capitalised for each accounting principle wise
ections possible
ination and screen layout . The reason is that using the same COD(chart of Depreciati
on and screen layout. The reason is that using the differentCOD
n layout depends on COD and Asset Class
COD and using same Asset class and Same COA across the company codes
use the different GL accounts to address specific legal / other reporting requiremen
nt COD but using same Asset class and Same COA

ation for the specific COD and asset class
codes uses Asset class Account determinations irespective of the COD
fic Company
ass for specific COD
count determination at asset class level
ount determination , Dep area and COA

tment orders
nual Work
se only through Investment Orders
ctly to AUC or Main Asset
order and later setteled from Investmnt order to AUC or Main Asset
counting principle wise(Dep Area Wise)

ng principle wise)===> We can specify which cost ( values) to be capitaised or not to be capitali
tes AUC asset automatically( At the time of creation of Investment Order)

d assets against Investment order ( Creation of PO with ref to Investment order)
estment Order
ities against Investment Order
estment Order
et completed
ess in CC
Acty Price Calculation
Revaluation of Acty for Investmnt Order

Actual OH calculation
Settelement of Investmet Orders
Investment orders creates AUC settelement rules automatically at the time of settelem
fI entry CO entry
Dr. AUC Asset
Cr. Off AUC Settelement(IO)-CE22 Cr. Investment Order
if Asset is completed in next month

now need to settele or transfer from AUC asset to Main Asset
AS01 Create Main Asset Manually
KO02 Maintain settelement rules for Main assets with Settelement Type FUL i
KO88 Settelement of Investment order with settelement typeFUL
Investment order settele the values from AUC asset to the Main Asset
Dr. Main asset
Cr.AUC Asset
ment Measure indicator
easure indicator
s manually with Specific asset class which is activated with Investment Measure
UC Assets automatically
tions directly to the AUC Assets
UC assets only Through Investment Order Settelement
n layout
r) Order Type( IO type)
alisation Rules
Capitalisation Version1 ====> Dep area1 USGAP
Capitalisation Version2 ====> Dep area2 IAS

der to determine Investment Profile
UC Asset Class
nt Profile AUC asset class to create AUC asset
der to determine Investment Profile

crtd is not allowed
FAGLGVTR
dep areas hence always should be blank as Valueadd
as hence always should be blank as Valueadd

Automatically
ate automatically for investment order to settele to the AUC asset
et through
main asset to Investment order in the
eaciation area / Accounting principle wise

USGAP but should be allowed for Local GAP and IFRS
o settele the values from Investment order to the AUC asset
the Main asset automatically
ciple wise
chart of Depreciation) and Chart of account
y codes
orting requirement
d or not to be capitalised or to which % to be capitalised
the time of settelement of Investment Order
ttelement Type FUL in the Investment Order Settelement rules

typeFUL
t to the Main Asset
save
Assignement of CE to the cost component structure
GBB-VBR Material Consumtion CE

GBB-VBO Material Consumtion for Sub contact CE
FRL Freight Charges
Acty CE 43CE
Costing Sheet CE 41CE
Update of Aditive costs
To group and display aditive cost break up
We will map during aditive cost scenario
Transfer Structure
its applicable to map the link between source cost compent with
In this case , we will assigne CE only to the source cost componen
This scenario applicable if designed more than one cost compon
Option1 Not required Transfer structure
Need to assigne Ce for each cost component stru
Option2 With Transfer Structure Option

Need to assigne CE to the one Cost component st
We will map link btween Source cost component
All source cost component need to be mapped to
Note : Recomend to use option1

Save
Assignment: Organiz. Units - Cost Component Struct
Assignements=======> Cost component Structurs can be assign

Possible to maintain and assigne different cost com
We would recommend to maitain uniform cost cm
We can have Maximum one Main costcomponent

save
Need to map the primary split in the Versions

in our case , Aux str to be assigned in the Versions====>OKEQ
save
Standard value key

Std value key specifies how many activities allow to be us
Each Std value key permites Maximum upto 6 activities
Same Std value key can be assigned to the multiple Work
Work center can have only one Std value Key
Std value key having default parameters
Step1 Define parameters

We need to define separate parameter for each acty wis
We need to specify UOM( dimensions) , source for
ParameActy T Description
Y10 100 CLEANING ACTIVITY
Y20 200 LABOUR ACTIVITY
Y30 300 MACHN ACTIVITY
Y40 400 ASSEMBLED ACTIVITY
Y50 500 PAINTING ACTIVITY
Y60 600 PACKING ACTIVITY
Y70 700 Inspection Activity
YOQ Operational Qty
YBQ Base Qty Purpose
pgo Base Qty
To use in Work center Formulas
Define Std Value Key

Create separate Std value key for each set of activities ( G
We can have maximum 6 activities per Std value Key
Std Value Key Default Parameters ( Activities)

tg10 c100 CLEANING ACTIVITY
tg30 200 LABOUR ACTIVITY
tg1 tg20 300 MACHN ACTIVITY
save
Work Center Formulas Work Center Form
Can be used for the the below cases

1 To calculate Execution time
2 To determine capacity determination
3 To determine & plan scheduling acty
Types of Work center formulas

1 Set up Time
It shoun't vary based on lot size of productio
It should be constant
2 Processing time
It should proposinately to be increased base
It should be variable nature
3 Tear Down
Work center / work location need to be brin
It shoun't vary based on lot size of productio
Need to define work center formulas for each activit
100 Cleaning Activity

200 Labour Acty
300 Mechine Activity
400 Assembling Activity
500 Painting Activity
600 Packing Activity
700 Inspection Activity

Define formulas as fixed nature
It wouldn't vary based on lot size of producti
Cleaning for 1HR
Cleaning for 1Hr
Define formula for Cleaning Activity
tg10 100 Cleaning Activity
It wouldn't vary based on lot size of production
Cleaning for 1HR
Cleaning for 1Hr
pg20 300 MACHN ACTIVITY
Acty time specified in Operation X operation (Yield ) confirmation/ Bas
(Y30 XYOQ)/YBQ
pg30 200 LABOUR ACTIVITY
Requirement ===> Proposinately increase time bas
Lot Size Lot size

1pc 10pc
Lab 1Hr ??? ====> Need to specify throug
Example1:
Acty time specified in Operation X operation (Yield ) confirmatio
(Y20 XYOQ)/YBQ
(1hr X 10PC)/1PC =10Hr
Or
Example2 Semi varible nature
Base time + 50% proosianately increase
Y20 + 50%(Y20XYOQ)/YBQ
1hr +50%X(1hrX10PC)/1PC
=1r+5Hr=6Hr
Example1:
Acty time specified in Operation X operation (Yield ) confirmation/ Bas
(Y20 XYOQ)/YBQ
(1hr X 10PC)/1PC =10Hr
work center
Master Data required to perform Std cost estimate (Material Cost estimate)
1 CO Master data
1 Cost Center Master
2 Activity Type
3 Assignement of Acty type to the Cost center (KP26)
2 MM Master Data
1 Material Master
2 Purchase Info Records
3 PP Master Data
1 Work Center
2 BOM
3 Routing
4 Production version
4 Run Cost estimate
PP MasterData
Work Center
Created At Plant Level
BOM
Created with combination of Material per Plant
We can have multiple BOM for the same combinaton of m
Routing
Created with combination of Material per Plant
We can have multiple routings for the same combinaton
CR01 Work Center

Can be also called as Work stastion
Can be represented the place where the work perf
Work center represents combination of Manpower
Entire room can be represened as one work
or
Entire room can be bifricated into multiple w
Work center defined at plant Level

Note : Not required Technology and Groups
cro1
work center pg2

MATERIAL
Material Master
BOM Y_105 FGX 1PC

1 Y_301 RMX 5 PC
2 Y_302 RMY 3 PC
Material Master required to create BOM
Y_301 RMX
Y_302 RMY
MM01 Create MM Y_105 FGX
accountin 2 blank
costing 2 blank
BOM Bill of Material
It contains list of components(Input materials) along with planne
BOM created at Material and Plant Combination
Possible to create Multiple BOM for the same combination of ma
CS01 Create BOM

CS02 Change BOM
CS03 Display BOM
CS01 Create BOM

double click on material
cs03
Display of BOM
cs01 create bom
Routing
It contains sequence of process steps ( Operations) and it contain
Routing defined at Material per Plant combination
Possible to create multiple routing for the same combination of M
CA01 Creation of Routing

CA02 Change of Routing
CA03 Display of Routing
error
op50
CA03 Display Routing
ca01
save
for Sub contact CE
ost scenario
ce cost compent with Target cost component which belongs to the different cost component str
ource cost component and not required to assigne CE to the target cost component
an one cost component structure
cost component structue wise
e Cost component structure ( Main Cost Component Str) and not required to assigne CE to the o
rce cost component with target cost component
eed to be mapped to the targt cost component.
ucturs can be assigned to the combination of Company code + Plant + Costing Variant
different cost component structue depends on the Plant But not possible to read co
in uniform cost cmponent( Single cost component str) across the plants at least with
n costcomponent str and one Auxuallary cost component str for the combination of
===>OKEQ
ities allow to be used and gives the defination ( Meaning ) of each activity
m upto 6 activities
the multiple Work centers.
lue Key
r for each acty wise which are going to use in routing( work center)
nsions) , source for data ( the values to be read from where for the specific paramete
Purpose to use in work center formulas

pgo Operational Qty
Operational qty Can be called as yield confirmation
set of activities ( Group of Activities)

Std value Key
s ( Activities)
NING ACTIVITY
UR ACTIVITY
HN ACTIVITY
Work Center Formulas Work Center Formulas
Can be used for the the below cases

1 To calculate Execution time
2 To determine capacity determination
3 To determine & plan scheduling acty
Types of Work center formulas

1 Set up Time
ot size of production It shoun't vary based on lot size of production
2 Processing time
o be increased based on lot It should proposinately to be increased based on lot size
It should be variable nature
3 Tear Down
on need to be bring to the Work center / work location need to be bring to the norm
ot size of production It shoun't vary based on lot size of production
or each activit Need to define work center formulas for each activity

200 Labour Acty
300 Mechine Activity
400 Assembling Activity
500 Painting Activity
600 Packing Activity
700 Inspection Activity

lot size of production It wouldn't vary based on lot size of production
Cleaning for 1HR
Cleaning for 1Hr
e of production
wrong formula
) confirmation/ Base qty
y increase time based on lot size of production
d to specify through Work center formula

(Yield ) confirmation(Lotsize)/ Base qty
Routing 1Hr for1PC

Proposinately increate time 50% according to lot size of Production
10PC 1HR +50% (1hr*Lotsite/Base qty)
1Hr +50%.1hr*10PC/1PC
1Hr +5Hr =6Hr
) confirmation/ Base qty

ial Cost estimate)
t center (KP26)
per Plant
me combinaton of material and plant ( Can be called as alternative BOM)
per Plant
same combinaton of material and plant ( Can be called as alternative Routings)
here the work performed

ation of Manpower and mechines
sened as one work center
ted into multiple work centers

als) along with planned qty required to build product
me combination of material per plant ( can be called as Alternative BOM)

rations) and it contains work center and what activities to be performed at each operation level
ame combination of Material per Plant ( can be called as alternative Routing)

50000108
nt cost component structure
mponent
to assigne CE to the other cost component str.
nt + Costing Variant
possible to read cost cost estimate between the plantswhich belongs to different cos
plants at least within the company code.
he combination of Company code + Plant + costing variant

activity
specific parameter)
r Formulas
duction
d based on lot size of production
e bring to the normal stage after complection of process on specific mechn/ work loc
duction
oduction
oduction
ve Routings)
each operation level and planned time required to perform the Task
ngs to different costcomponent structure.
c mechn/ work location
costing sheet
Costing Sheet ====> To calculate Indirect OH

Template Allocation ====> To calculate Indirect OH , Direct OH
Product cost
==> BOM X Rate
==> Routing X Rate

( Lab acty X Acty Rate)
==> Costing Sheet Approach ( MOH @10% on material
or Template Allocation (Acty along with Formul
OH
Two Types OH
DOH Direct Overhead
IOH Indirect Overhead
How the Overhead to be allocated from Cost center to the Order
Direct Ovrhead
Activity Based Approach
Indirect OH
1 Activiy Based Approach
2 Costing sheet Method ( Not base
Direct Ovrhead
Activity Based Approach
Method1
Example
Advantages===> We can recove

Indirect OH
2 Costing sheet Method ( Not base
Template Allocation
One of the Method of OH allocation from cost c
Template allocation can be used to allocate both
In template allocation , We can use Acty type alo

By using Template allocation , We can ad
Advantages :
Example :
Material OH to be recovered bas
In case of Mfg Orders , Material
Procurement Dept====> Procur
At the month end, We will deter

Then applied revaluation of acty
Costing sheet
Costing sheet Method ( Not based on Activity approach

Tradional approach===> allocating fixed based O
Example :
Admin Dept ( Admin Cost center
Procurement Dept ( Cost center
Advantages :
Simple approach to maintain for
Draw Back :
As following Fixed OH rate So no
Always over /Under absorbtion
No Revaluation Functionality to
Create Costing sheet for Production Orders
Row Base OH RateDescription

10 ZY10 Material cost
20 ZY11 Conversion cost
30 ZY20 Mat OH @10% on Mat cost
40 ZY30 Utilities OH @20% on Conversio
50 ZY30 Admin OH @ 20% on Conversion
60 Total cost
Costing Sheet to Calculate Indirect OH

Costing sheet specifies what OH % or Qty Based OH rate to be a
Below are the Key Termnalogies of Costing Sheet

1 Base
2 OH Rate
3 Dependency Key
4 Type of the Overhead
5 Credit Key
Material Overhead to be calculated @10% if plant =Y10
Admin Overhead to be calculated @20% if PC(Profit cen
Utilities Overhead to be calculated @20% if PC=X,@12%
Base Grouping of cost elements on which OH

ZY10 Material cost (Grouping of Mate
ZY11 Conversion cost (DOH)
OH Rate ( Overhead Rate)------------> Represents OH %

OH rate OH % or Qty based OH rate
10% if plant Y100 or 12% if Plant = Y101
Material OH rate
ZY20
ZY30 Admin /Uti OH

Dependency Ke It represent the Conditions
The OH rate or % to be applied
D020 Dependency key = Plant
Example for Dependency Key = C
D080 Dependency key = Profit center
Type of the Ov To maintain different OH rate for Plan an

2 Plan OH rate
1 Actual OH rate
Credit Key OH to be allocated from which cost cen
Z11 Procurement CC and OH CE 941

Z12 Admin Cost center and OH CE 9
Z13 Utilities Cost center and OH CE 9
Define Costing Sheet Parameters
Define Base
Define Calculation Bases Referring to Cost Element and
Grouping of CE to apply OH on the Base

Define Percentage Overhead Rates
MateriaPlant Y100=10%
ZY20 Plant Y101 =12%
Overhead Type
1 Actual oH Rate
it appilies in actual OH calculation for the Order
2 Planned Overhead Rate

It appilies in the Standard cost estimate calculation and also planned cos
CE Category
94101 Materia 41
94102 Admin 41
94103 Utilitie 41
Procurement DepY10005
Admin Dept CC Y10000
Utilities Dept CC Y10004
CC CE
Y11 Procurement OHY10005 94101
Y12 Admin OH Y10000 94102
Y13 Utilities OH Y10004 94103
save
save
new entry
Y13 Utilities OH Y10004 94103
Save
Fixed % in Credit Key
Purpose :
To split into fixed and varible OH as per Credit Key Fixed %
Example:
Base Total Co 10000 INR
Fixed % in Credit 35%
Total OH rate @10% on Material cost(Base)
First system calculates OH rate then Fixed % applies on OH rate amount
Base 10000 INR

Total OH Rate@10% on 1000 INR
Fixed OH rate 35% on O 350 INR
Varible OH =Total OH a 650 INR
Note : Fixed % in Credit key relevant only Base follows the Total amount
If Specified * in fixed % field in credit key====> then it follows fixed and varible
Event Based
It calculates Overhead on Real time basis ( Transactions based)
Overhead calculated while performing Goods issue , Confirmation of Activities
Example :
1 Goods issue to Order
RMX == 500
Dr . Ma 500 Dr. IO or 500

Cr. Sto 500
It calls event based Costing sheet
Dr. Ma 50 Dr. IO or 50
Cr. Ma 50 Cr CC(Pu 50
2 Labour Hrs 10hrs X200EUR booked
Dr. Lab 2000 Dr.IO or 2000

Cr. Lab 2000 Cr. Mfg 2000
It calls event based Costing sheet
Dr. Ad 400 Dr.IO or 400
Cr. Ad 400 Cr.Admin 400
Note : If event based Costing sheet Indicator Not Activated Then you need to run Tran
Event based functionality available only in S/4 HANA
costing type NO action
Costing Type
1 Purpose and usase of the cost estimate
It also clasifies the type of the cost estimate
Example : STD cost estimate , Plan
2 Allow or not allow to update price to the MM a
3 Which valuation views to be costed ( Example : L
4 Partner cost split break up in the cost estimate
5 Which cost Component base (view)-COGM or cO
Each Costing type permites maximum one valuati

Example :
Costing Type == 01===> only allowed to up
For other costing purpose , we can define o
ZA1 Costing type for Quotation o
Below are SAP predefined costing types
Costing Type == 01===> only allowed to up
Costing Type Name

01 Std cost
K1 Std cost in Grp valu
P1 Std cost in PC(Profit
06 Plan cost
07 Actual cost
18 SO Cost estimate in
19 Preliminary Cost es
Cost Portion for Overhead Appilication

Which Cost component view(Base)
Example
Generating cost estimate of FG
SFG
Mat 1000
DOH 3000
IOH 1000
5000
10% 0f Mfg SOH 500
5500
In cost estimate of FG , OH to be calculated
We would prefe
5% OH on 5000
Partner Cost Component Split
To view the Partners(

We can set / define pa
Cost estimate With Qty Str / Without Qty str
In case of Std cost : Always Std cost
1 Without Date
Cannot be used for Material
Can be used for plan cost of
2 With Date
Cannot be used for Material
Can be used for plan cost of
Can be used for Preliminary c
Can be used fo SO cost estiat
NO action
:01" Always updates to the MM Standard Price field
01" Always is used to generate cost estimate in Legal Valuation
in case of Standard cost estimate======> Cost estimate always save wit
Example :
Current date 19.07.2022
Running cost estimate on 19.07.2022 but cost estimate
Aditive cost with start of period

Cost estimate always saves from begging of the period
Cost Portion for Overhead Appilication
Which Cost component view(Base) ( Example : COGM or C
Example
Generating coFG X In cost estimate FG ===> 5%
Plant Y SFG
Mat 1000
DOH 3000
IOH 1000
COGMof SFG 5000 COGM
COGS oSOH-10% 0f MSOH 500
5500 COGS
In cost estimate of FG , OH to be calculated on lower level comp

We would prefer COGM as base to
5% OH on 5000 COGM =250
Partner Cost Component Split
To view the Partners( Profit center , Plant, Company code ) cost brek u
We can set / define parner split for the combination of Company code
Save
Save
Note : Always must use costing type 1 for Standard cost estimate in Leg
Don't create your Own
19 Preliminary Cost estimate

It is type of plan cost estimate for PCC
Estimated plan cost for PCC ( Product cost collector)
Save
K1 Costing type-Grp Valuation

It defined at Client Level
Don't create Your Own
Save
P1 Costing Type-Profit center Valuation
Save
Valuation Variant
It specifies which sequence of priority of the source of the price to be us
External operations and also it specifies which costing sheet to be used t
The Valuation variant it contains the below componentsas below

1. Material
2. Activity
3. Subcontracting
4. External Operations
5 Overhead
1 Purchase Info Records 1 Plan Avg Acty R 1 PO Price
Sub Contract :
Outsourcing entire components by supplying key components to
Y10company====>SFGX Outsourcing along with supply
Keycomponents (BOM)
RMX 1
RMY 3
Sub contract vendor will charge process charges
Cost estimat for SFGX

BOM Components
RMX 1
RMY 3
Sub Contract charges 1
Cost of the product
External Operations :
It is also type of subcontract the service
Outsourcing the service / Task / Activities can be called
Example :
Outsourcing Cleaning Activity , Painting Activity
How you are valuating these external activity in
FGY
BOM Price picks as per
RMX 1 Kg 100
RMY 3 Kg 200
Routing
Op10 Cleanin 1 PC 500
Op20 Lab Acty 5 Hr 800
Valuation variant is used for valuate the material, Internal Resource (Acti
Valuation variant specifies valuation strategy, that is what strategy of se

material, Activity, Sub-Contract, External operations and also which costi
NOTE1: One Valuation variant is sufficient for Standard cost estimate, Pl

Note2 : In case of actual goods movements , It ignores valuatiion variant
Purchase Info Records à SUB-STRATEGY:-
GROSS PRICE = NOT DEDUCTED DISCOUNT AND REBATE ( Before

NET PRICE = DEDUCTED DISCOUNT AND REBATE FROM THE GRO
EFFECTIVE PRICE = (Gross Price – Discount – Rebate) + Fright /De
EFFECTIVE PRICE without Fixed Cost = Effective price - Fixed Cos
Quota
tion/ CONDITION TABLES à Assign the MM Condition types to the Ori
PO (Reading the Values from MM Condition Types)
SUBCONTRACTING:
Subcontracting means out sourcing the total component to the v
The vendor will perform the work and complete the product and
EXTERNAL PROCESSING:
External Processing is also like Subcontracting process here Outs
OVERHEAD: In this case we need to specify which Costing Sheet we will use to a
OVERHEAD on FINISHED & SEMI FINISHED MATERIALS:

The Costing sheet is used for calculation of Overhead for Finishe
Overhead on Material Components

This Costing sheet is used to calculate the Overhead for the Exte
OVERHEAD SUB CONTRACTING MATERIAL:

To apply the Overhead on Sub Contracting Material.
Project Example :
External Procurement Material
Method Std Price = Purchase info record price +
RMX S
RMY S
Costing Sheet1 in Costing sheet for RM ( external Procurement)
Base Mat
OH 10% on Mat cost
Costing sheet 2- SFG & FG

Not calculated OH on material cost
Base Lab & Machine cost
OH 30% on Lab & Machine
Valuation strategy plant independent
Plant dependent valuation strategy
To maintain different pricing stragey and different costing sheet depending on p
System it picks first priority as per plant depent strategy then it follows the Glob
How to maintain Plant depent valuation strategies

in the above case , System follows Global level valuation strategy for Plant Y101
in case of Plant Y100, It follows the plant dependent valuation strategies
Define Date Control
Date Control:
1 Date control specifies (Proposes)the validity of the cost
2 In case of Std cost estimate , cost estimate validity start
Case1 Validity date from past date , inthis case
Case2 Validity date from current date , in this c
Case3 Validity date from Future date , in this c
3 In case of Std cost estimate , cost estimate end date of

The System Requires the Cost Estim
4 Date control also specifies which date BOM and Routing

5 Date control also specifies which date price to be picke
6 Date control proposes the below default dates but we

Costing Date validity From
Costing Date validity Till
Qty Structure Date
Valuation Date

Case1 Validity date from

1 In case of Std cos
Qty Structure Date

1 Date control also
Valuation Date
1 Date control also
Default Manual entry

Date control proposes th
Costing Date valid

Costing Date valid
Qty Structure Dat
Valuation Date
Recommendation :
We would recommend to create separate set of
th Date control -Yearly Costing Run
Save
explanation on valuation variant along with date control
Valuation Date : Which date Price to be consider in the cost estim
valuation variant====> prioity of sequence of source of price
purchase info record on 01.03.2022 --rmx--100inr

purchase info record on 01.4.2022 --rmx--110inr
running cost estimate ===>valuation v

cost estimate valid from 01.03.2022
which price to be consider rmx 100inr
runiing cost estimate ===>valuation v

cost estimate valid from 01.04.2022
which price to be consider rmx 110inr
Qty Structure Control
It contains strategy which BOM and Routing to be conside
BOM Strategy
We can define priority of strategy of BOM
Usase of the BOM===> BOM can be used i

Application areas like
Production area
Costing Area
Engineering & D
Sales Area
PM Area
Usase of the BOM assigned / specified in th
BOM Strategy
Sequence of PrUsase of BOM
1 6 Costing BOM
2 1 Production
3 5 SO BOM
4 3 Univesal BOM
Example :
FGX
BOM1 Production area
BOM2 Production area

If Product having multiple BOM with same applic
We need to follow below settings to use speific B
Option 1 Need to assigne Relevant BOM whic
or
Option2 in Configuration level===>Check Al
Recommendation Approachis Option1===> MM costing

Usase of the BOM
Check BOM Selection
Here We need to specify strategy of the sequence of prio
Selection iD Selection Priority BOM Usage
1 6
2 1
3 3
Y0 4 5
Save
Costing BOM====> Product having multiple Production bOM, in
Normally we wouldn't define separate B
Same Production BOM is used for costin
Selection ID need to be assigned in Qty Structure Control ( BOM

Save
Override Alternative selection from Material Master
Alternative Determination BOM
When alternatives are selected automatically according to applic
Ignore Material master selection then follow the settings as per -
Production Versions
if indicator shows that, when alternatives are selected au
Define Qty Structure cpntrol

It specifies strategy Which BOM and Routing to be selecte
BOM Application need to be assigned in the Qty Structure

save
Rounding for Component Quantities :
Option1 : No Round Up
Option2 Rounding for Com
Recommendation:
Routing Selection :
Priority of sequence of source of routing selected based on com
Tast list Type

It specifies the type of Routing and in whi
N Routing===> Descre mfg Process ( P
R Rate Routing====> Used in Repete
2 Receipe=======> Used in Process i
Usase
It specifies in which appilication areas allo
Status of Routing:
Release for costng
Released for Production
Tast list Type ===> Mat Type===> Material

Routing created for combination of Mater
Task list type indirectly linked to the Routi
Usase of Routing and also status of routing directly assig
Priority of sequence routing specified for comination of Task List
Selectio Seq of PriorityTask Li UsaseStatus

YR 1 N(Routi1(Prd) 4 ( release for general
YR 2 N 2(Eng/ 4
YR 3 2( Rece 1 4
YR 4 R ( Rat 1 4
What is the Task List Type

It clasifies the type ( Category) of the routin
PP Settings
Define / Maintain Task List Types
Maintain number ranges for Routing
Save
Task list type need to be assigned to the Material Type

Which Task list types allow to permite for Which Material Types
Permited all task list types for material type.
Save
Define Routing Statuses
It Indicates the status of Routing
Routing status specified / assigned directly in the routing
Define Task List Usage
Usase of the Routing
CO settings
Define Priority of sequence of Rout CO settings
Check Automatic Routing Selection
We can define priority based on Task list Type +Plan Usase+Status
Save
Routing selection ID need to be assgned in the Qty strcture cont

Costing Variant for Std Cost Estimate
Control Parameters
Costing Type
Valuation Variant
Date Control
Qty Structure Control
Transfer Control
Costing variant contains the grouping costng control para

Cost estimate program calls the cosing variant control par
Based on costing type , We can update to the MM pricing
OKKN
Pass On Lot size
Lower level components cost estimate tobe gene
Options
NO Lower level components cost estimate generates
2 AlwaysAll the components of the product (Component)
This approach recomendable in Sales order costi
1 Only With Individual Requirement
in this case , System generates cost estimate bas
Example for Individul requirement
FGX
SFGX Individual require
SFGZ Individual require
SFG1 Collective
in the above , SFGX and SFGZ generates cost estim

SFG1 genrates cost estimate based
Ignore Product cost estimate Without qty structure

if indi It ignores costing infrmation which is generated without qty str
In ths case always uses the qty str to genrate cost estima
If No qty str , then it follows the valuation variant to pick
SFGX without BOM FGX

SFGY with BOM SFGX
SFGY
Transfer active Std cost estimate if material costed with errors
Option1 Indicator Activted

Then follows the below strategy
1 It looks for alternative existing cost estimate===>
2 If No alternative existing cost estimate exists====
3 If no price exists as per valuation variant then it p
Note : Not posible to release cost estimate of higher level
Option2 Indicator Not activated

Then follows the below strategy
1 If Lower level component having costing errors th
3 If no price exists as per valuation variant then it p
Note : Not posible to release cost estimate of higher level
Transfer Control Can be changed

If indicator activated===> then possible to change default trans
If indicator not activated===> then not possible to change defau
Saving Allowed :
It allow to save the cost estimate
Saved cost estimated required for the below purp
1 Saved cost estimate only possible to updat
2 Saved cost estimated required in Result an
Save Error Log :

It allow to save error log while generating cost es
Defaults can be changed by User
If Indicator Activated : Then it gives the option to the user
Always these indicators need to upd
Hence Don't activate indicator
If Indicator Not activated :
By defaults it updates Costin
Conclusion : Don't activate Default indicator
Itemisation :
Possible get costing information at line item leve
This indicator is no relevant in the std cost estima
Conclusion : Always better to select the indicator
Note: Assinement costing variant to the cost component structure alre

Remaining Assignements will be done separately ( Costing versio
Misc Tab
How to record the error log if any errors while generating
Message Online ===> Not possible to save error l

Log and Save message , Mail Active===> It saves l
Log and Save message , Mail Inactive===> It saves
Log messages,but don't save, mail inactive===> N
Activate Cost Component Split in Controlling Area Currency
To get component split in controlling area currency in addition t

This settings required to calculate variance category wise
Activate Cross-Company Costing
Purpose : To read cost estimate across plants which belon
Costing Version
Generated cost estimate saves in costing versions
possible to generate multiple cost estimates by using costing ver
in case of std cost estimate , We need to specify which costing ve
system permites single costing version to updates Material Mast
Costing version need to be select in the cost estimate selection s
save
bike
ck11n
planning again work centers cost center
pg-cut pro qunatity total divide common rate activity

common total/kss4 3
11005 1000 2500
11010 1500
clean 200
11011 2000 2000 714.28571 2714.286 13.57143
labour 100
11000 5000 6000 357.14286 6357.143 63.57143
11001 1000
machine 400
11013 3000 3000 1428.5714 4428.571 11.07143
44000
5280
planning
pg-des p total divide kss4/amo rate activity
common qunatity
11005 5000 6000
11010 1000
clean 500
11011 5000 5000 3333.3 8333.333 16.66667 no
labour 300
11000 1000 3000 2000 5000 16.66667 yes
11001 2000
machine 100
11013 6000 6000 666.66667 6666.667 66.66667 yes
rounting missing
inventory not relevent
ck24
execute
mm02
OH , Direct OH
@10% on material Cost)

along with Formulas)
enter to the Order
Approach
Approach
Method ( Not based on Activity approach)
=> We can recover 100% OH that means it wouldn't arise any over / Under absorbtion
Method ( Not based on Activity approach)
cation from cost center to any cost object( CC/IO/Mfg Order/SO/ WBS/Any type of order)
ed to allocate both Direct OH and Indirect OH from cost center to any cost object
n use Acty type along with flexible simple / complex formulas to allocate OH from CC to the any
ocation , We can adderes any business requirement
o be recovered based on Material consumtion Qty or material cost or yield confirmation

Orders , Material oH to be recovered based on Output of Production
Dept====> Procurement Acty==========> Order
end, We will determine actual acty rate 60/PC

revaluation of acty = 10Pc X(60-50)=100INR
Activity approach)
ating fixed based OH to the Order
Admin Cost center)====> allocate OH 20% on total cost of Order

Dept ( Cost center)=====> Allocate OH 10% on Material cost of the order
ach to maintain formulas and allocate OH
ixed OH rate So not possible to recover 100% OH

Under absorbtion
n Functionality to recover Over / Under absorbed OH as not using the Acty type
% on Mat cost
20% on Conversion Cost
20% on Conversion cost
d OH rate to be applied under which condtions on which amount and from which cost center
osting Sheet
@10% if plant =Y100,@12% if Plant=Y101 based on material cost of the order from Procuremen
20% if PC(Profit center)=X,@12% if profit center=Y based on conversion(acty) cost of the order
20% if PC=X,@12% if profit center=Y based on conversion cost of the order from Utilities Cost
ents on which OH rate to be applied

(Grouping of Material consumtion CE)
st (DOH)
2% if Plant = Y101
r % to be applied under which conditions
ey = Plant
ependency Key = Co.code , Plant , Order type,Profit center etc
ey = Profit center
OH rate for Plan and Actuals
om which cost center (Recovery CC) and which CE(41) (Recovery CE) to be used to credit from c
CC and OH CE 94100
nter and OH CE 94102
enter and OH CE 94101
Cost Element and Origin
n the Base
profit center assprofit ce
nd also planned cost calculation of the Order
date galt hai
01.01.2999
t Key Fixed %
n OH rate amount and balance amount will show as varible
otal amount
s fixed and varible split as per Base

ation of Activities ( Example : Labour Hour booking , Machn Hour time booking)
u need to run Transaction Overhead calculation KGI2, KGI4,CO43 to calculate Overhead
st estimate
estimate , Plan cost , Actual cost , SO Order cost estimate , Preliminary cost (Plan cos
ce to the MM and which price field to be updated in the Material master ( Example
ted ( Example : Legal valuation , PC valuation , Grp valuation , parallel valuation etc)
e cost estimate
ew)-COGM or cOGS can be used for OH calculation of SFG in the cost estimate of FG
mum one valuatin view so we need to define separate costing type for each valuation
nly allowed to update MM Std price field in the legal valuation . In this case not possib
, we can define our own costing types
for Quotation or Planning
nly allowed to update MM Std price field in the legal valuation . In this case not possib
Purpose
To Update MM Std price field in Legal valuation
To Update MM Std price field in Grp valuation ====>Prereques
To Update MM Std price field in Profit center valuation
To generate plan cost for order ( Production order, Process order)
To calculate Actual cost for Order ( Production order , Process order , PCC)
To generate SO cost estimate in Legal valuation and can be used to valuate SO
To generate plan cost for PCC order ( Product cost collector)
nent view(Base) ( Example : COGM or COGS) can be used to calculate OH ( If used Co
In cost estimate FG ===> 10% on OH Now ? Do we need to consider COG

Normally consider COGM as a Base for OH cal of SFG(Low
COGM
COGS
to be calculated on lower level components (SFG) either based on COGM base or CO
We would prefer COGM as base to calculate OH on lowerlevel components in the co
5% OH on 5000 COGM =250
w the Partners( Profit center , Plant, Company code ) cost brek up details in the cost
an set / define parner split for the combination of Company code , Plant and profit ce
hout Qty str
Always Std cost estimate saves from the beginning of the period (3 With Sart of peri
sed for Material cost estimate

for plan cost of theorder but can not be saved and not available for analysis purpose
sed for Material cost estimate
for plan cost of theorder and possible to save.
for Preliminary cost( Type of Plan cost) for PCC
fo SO cost estiate
gal Valuation
te always save with beginning of the period
but cost estimate always saves from begging of the period 01.07.2022
ging of the period 01.07.2022

mple : COGM or COGS) can be used to calculate OH ( If used Costing sheet) for SFG(L
mate FG ===> 5% on OH
Normally consider COGM as a Base for OH cal of SFG(Lower level component
ower level components (SFG) either based on COGM base or COGS base ?
OGM as base to calculate OH on lowerlevel components in the cost estimate of Highe
GM =250
ode ) cost brek up details in the cost estimate of the product

f Company code , Plant and profit center
ost estimate in Legal Valuation
f the price to be used while valuating materials(BOM Components), sub contract material, Activ
sheet to be used to calculate the Indirect OH in the Cost Estimate.
mponentsas below.
PO Price 1 PO Price
ey components to the subcontract vendor

along with supplying key components RMX , RMY========> subcontract Vendor X=====> Com
ents (BOM)
kg
Kg
ge process charges ( sub contract chages) to Y100
Price picks as per valuation variant Mat tab for BOM Components ( Example PO
kg 100 INR 100
Kg 200 INR 600
pc 5000 inr 5000 Price picks as per valuation variant subcontract tab for s
5700
ities can be called as Extrnal Operations.
, Painting Activity , Assembled activity , Packing activity=====> Can be called as external operati
external activity in the cost estmate===> Strategy specified through Valuation variant External O
Price picks as per valuation variant Mat tab for BOM Components ( Example PO price)
INR 100
INR 600
INR 500 External Process (Outsourced)

Price picks as per valuation variant External Operation tab
INR 4000 Internal Process
Price picks as per valuation variant Activity tab
rnal Resource (Activity types), Sub-Contracting, External Operations and also it specifies which
what strategy of sequence of priority of source of price to be considered while valuating

nd also which costing sheet to be used to apply indirect Overhead.
d cost estimate, Plan cost and Actual Cost purpose.

s valuatiion variant strategy and follows price as per MM Price control
D REBATE ( Before deducting discount ad Rebate)

TE FROM THE GROSS PRICE ( Gross price-Discount-Rebate =Net Price)
ebate) + Fright /Delivery charges +Oth or Net Price +Freight and Delevery charges +Insuran
e price - Fixed Cost ( example Aditive cost etc)
on types to the Origin Groups
tion Types) Example : Read freight charges from MM Condition Types
Read Inrercompany mark up price from MM Condition Types
omponent to the vendor instead of the manufacturing product.
te the product and supply the full product for that purpose, vendor will charge the subcontracti
process here Outsources Particular part (or) Activity (Ex: Painting, Cleaning, Packing, and Assem
eet we will use to apply the Overhead.
erhead for Finished and Semi finished goods (or) Assembly.
rhead for the External Procurement material cost estimates

nfo record price +Overheads ( Separate costing sheet for RM)
ocurement)
1
eet depending on plant
it follows the Global valuation strategy incase if not maintained plant dependent valuation stra
egy for Plant Y101 as not maintained plant dependent valuation strategy
n strategies
validity of the cost estimate that it specifies cost estimate valid from which date to till which da
mate validity start date should be from either with current date or future date.
t date , inthis case , we can generate cost estimate but not possible to save cost estimate hence
rent date , in this case , we can generate cost estimate , possible to save cost estimate , possib
ure date , in this case , we can generate cost estimate , possible to save cost estimate and poss
mate end date of validity should be atleast end of the FY or Maximum date (31.03.9999)
es the Cost Estimate End of valiity should be minimum at least the end of the curreny
e BOM and Routing to be picked in the cost estimate. We would recommend to pick as per costi
e price to be picked to valuate BOM components , activitities in the cost estimate. We would re
ault dates but we can modify the proposed default dates by activating manual entry allowed
Validity date from past date , inthis case , we can generate cost estimate but not possible to sa
Validity date from current date , in this case , we can generate cost estimate , possible to save
Validity date from Future date , in this case , we can generate cost estimate , possible to save c
In case of Std cost estimate , cost estimate end date of validity should be atleast end of the FY
The System Requires the Cost Estimate End of valiity should be minimu
Date control also specifies which date BOM and Routing to be picked in the cost estimate. We
Date control also specifies which date price to be picked to valuate BOM components , activiti
ontrol proposes the below default dates but we can modify the proposed default dates by activ

Qty Structure Date
Valuation Date
ate separate set of date controls for Yearly cost estimate and separate set of date controls for c
osting Run
er in the cost estimate
-rmx--100inr
mx--110inr
===>valuation var priority purchase info record price + date control valuation date(01.03.20
rmx 100inr
===>valuation var priority purchase info record price + date control valuation date(01.04.20
rmx 110inr
FGX
ting to be consider in the cost estimate BOM1 BOM2
PRd Prd
trategy of BOM based on usase of the BOM
M can be used in which application area

cation areas like
Production area
Costing Area
Engineering & Design
Sales Area
PM Area
d / specified in the BOM while creating BOM
ng BOM
sal BOM
uction area Alternative Bom==>1
uction area Alternative Bom==>2

with same application area then as per standard functionality , System takes 1st BOM
s to use speific BOM in the cost estimate if you don't want to use 1st BOM
evant BOM which need to be consider in the cost estimate in the MM Costing 1 tab
vel===>Check Alternative Selection for Multiple BOM
1===> MM costing1 Tab option

equence of priority of bOM to be consider in the cost estimate
BOM Usage
Costing
Production
Universal
Sales BOM
oduction bOM, in such cases you can design separate BOM for costing Purpose
define separate BOM for costig purpose
M is used for costing purpose also
e Control ( BOM Apilication)

according to application, this indicator determines that the SAP System is to select a specific alt
he settings as per -> Define alternative determination for multiple BOMs step.
s are selected automatically according to application, the production versions mainta
ting to be selected
he Qty Structure control

date control tg
th
quantity stucture tg00

No Round Up
It wouldn't round up of the quantities
Example :
RMX UOM PC
As per Lot size calclation====> Calculated qty required as = 1.1pc
System takes same qty 1.1PC in the cost calculations
Rounding for Component Quantities

Example :
RMX UOM PC
As per Lot size calclation====> Calculated qty required as = 1.1pc
System takes round up qty from 1.1PC to 2PC in the cost calculations
Option2 Rounding for Component Quantities
ed based on combination of Tast List Type(type of Routing) + Usase + Status
uting and in which application area ( Process) allow tobe used

e mfg Process ( Production orders)
Used in Repetetive Mfg ( Product cost collectors)
Used in Process industries ( Process Orders)
cation areas allow to be used

ination of Material /plant Mat type(Y30)
ked to the Routing through the Material master Which task listtype to be
N
ting directly assigned in the Routing while creation ofRouting R
Mat-FGX
ation of Task List Type + Usase + Status
Work Center
ease for general)
ory) of the routings and also it specifies in which apllication areas ( process) allow to
erial Types
op50
tly in the routing

save
Qty strcture control

quantity structure is tg00
tng control parameters i.e costing type , valuation var, Date control ,Qty Str control a
riant control parameters and reads the BOM and Routing and pricing strategy as per
o the MM pricing field.
timate tobe generated either based on Component Lot size or Final Component Lot si
timate generates based on Component lot size

ct (Component)generates cost estimate based on Final componentLot Size
Sales order costing (MTO)
ost estimate based on Final componet lot size for those components having individua
====> Cost estimate based on final component lot size(FGX)

====> Cost estimate based on final component lot size (FGX)
====> Cost estimate based on component lot size(SFG1)
nerates cost estimate based on Final component lot size i.eFGX

estimate based on component Lot Size i.e SFG1
d without qty str in the cost estimate of product with qty str,
rate cost estimate .
n variant to pick the price
with Qty str

ExistinGenerated cost estimate W/O qty str it ignores existing costing infor
ExistinGenerated cost estimate with Qty Str it uses the existing cost estima
FGX
SFGX
SFGY Costing errors
st estimate===> it pass to the higher level components
mate exists====> It picks price from material master as per valation variant strategy
variant then it pass the costing error to the higher level components
te of higher level unless remove the errors in lower level component cost estimate
FGX
SFGX
SFGY Costing errors
costing errors then It picks price from material master as per valation variant strateg
variant then it pass the costing error to the higher level components
te of higher level unless remove the errors in lower level component cost estimate
nge default transfer control while generating cost estimate

to change default transfer control while generating cost estimate
r the below purpose
ossible to update MM
ired in Result analysis , WIP and Variance calculation and analysis purpose
enerating cost estimate if any error

ption to the user wether cost estimate allow to save log , to update Itemisation and T
tors need to update hence always should update
e indicator
it updates Costing Log, Itemisation and Cost compoent split
at line item level i.e means BOM item wise , Receipe each acty wise and costing shee
e std cost estimate and its relevant for preliminary cost estimate and plan cost
e indicator
ent structure alreay done while creating cost component structure

y ( Costing version , Cost component split in controlling area currency , Cross compan
while generating cost estimate
e to save error log

ve===> It saves log and sent mail to the responsable users
tive===> It saves log and No mail to the user
il inactive===> Not possible to save error log
ncy in addition to Company code currecy

gory wise
save
plants which belongs to different Company Code
y using costing versions and can be save cost estimate in the different versions
fy which costing versions results can be permited to update material master for specific period
ates Material Master
stimate selection screen.
pg-fin total divide kss4 rate activity
common qunatity
11005 800 2000
11010 1200 88.21429
134.881
clean 50
11011 9000 9000 333.3333 9333.333 186.6667 no
labour 100
11000 4000 4600 666.6667 5266.667 52.66667 no
11001 600
machine 150 yes

11013 6000 6000 1000 7000 46.66667
5280
pg-packing total divide kss4 rate activity

common quantity
11005 4000 7000
11010 3000 4715.79
clean 150 47157.9

11011 5000 5000 1105.263 6105.263 40.70175 no
labour 500
11000 5000 6000 3684.211 9684.211 19.36842 no
11001 1000
machine 300
11013 18000 18000 2210.526 20210.53 67.36842 yes
673.6842
134.881
cost commponent structure me 41 catergorey k cost element add kiye

r absorbtion
y type of order)
OH from CC to the any cost object
confirmation
m which cost center to be allocated
er from Procurement Cost center to the order

ty) cost of the order from Admin Cost center to the order
r from Utilities Cost center to the order
used to credit from cost center and to debit in the recever side
profit center assign
te Overhead
inary cost (Plan cost)

master ( Example : Udate MM STd price feld , Tax Inventory field, Other Price fields e
allel valuation etc)
ost estimate of FG
e for each valuation view

this case not possible to define user dfine costing type for legal valuation to update M
this case not possible to define user dfine costing type for legal valuation to update M
====>Prerequest is that ML Multiple valuation should be activated
s order)
cess order , PCC)
used to valuate SO Stock in legal valuation
ate OH ( If used Costing sheet) for SFG(Lower level compent)in the cost estimate of F
d to consider COGM s base or cOGS as a base

OH cal of SFG(Lower level component) in cost estimate of FG( Higher level compone
n COGM base or COGS base ?
mponents in the cost estimate of Higher level components.
details in the cost estimate of the product

Plant and profit center
3 With Sart of period)
or analysis purpose
ng sheet) for SFG(Lower level compent)in the cost estimate of Final Product(FG)
er level component) in cost estimate of FG( Higher level component)

S base ?
t estimate of Higher level components.
ntract material, Activities,
Vendor X=====> Complete work=====> send SFGX=============>Company Y100
ponents ( Example PO price)
ubcontract tab for subcontact charges ( example PO price is 5000INR)
ed as external operations
tion variant External Operations Tab
ple PO price)
so it specifies which costing sheet to be used to apply the Overhead.
hile valuating
ery charges +Insurance + any additive cost - Payment terms cash discount
M Condition Types
arge the subcontracting charges. This entire process called Subcontracting.
g, Packing, and Assembling)

endent valuation strategy
date to till which date
e cost estimate hence not possible to mark and release cost estimate
ost estimate , possible to mark and release cost estimate
st estimate and possible to mark cost estimate but cost estimate possible to release once reach
te (31.03.9999)
end of the curreny fiscal year to calculate variance
nd to pick as per costing date validity from

stimate. We would recommend to pick as per costing date validity from
nual entry allowed

but not possible to save cost estimate hence not possible o mark and release cost estimate
ate , possible to save cost estimate , possible to mark and release cost estimate
te , possible to save cost estimate and possible to mark cost estimate but cost estimate possible
atleast end of the FY or Maximum date (31.03.9999)

y should be minimum at least the end of the curreny fiscal year to calculat variance
he cost estimate. We would recommend to pick as per costing date validity from
components , activitities in the cost estimate. We would recommend to pick as per costing date
default dates by activating manual entry allowed
of date controls for current cost estimates during the year.

uation date(01.03.2022)
uation date(01.04.2022)
BOM3
Costing
tem takes 1st BOM in the cost estimate of the product
1st BOM
MM Costing 1 tab under Alternative BOM and usase field need to be specified
o select a specific alternative as of a certain date
on versions maintained in the material master record are used as selection criteria.
e cost calculations
e + Status
h task listtype to be permited
Work Center
Task list Type
( process) allow to be used

ol ,Qty Str control and transfer control.
ing strategy as per costing variant parameters then it generates the cost estmate.
Component Lot size FGX Lot siz===>2PC
MTS===> SFGX Lot size===>100pc
5pC 500 2500
tLot Size MTO===> ===>2PC
5pc 700 3500
nts having individual requiremet indicator in MM MRP4 tab
isting costing information and it picks the price as per valuation variant strategy
xisting cost estimate
on variant strategy==> it pass to the Higher level components
nt cost estimate
tion variant strategy==> it pass to the Higher level components
nt cost estimate
purpose
e Itemisation and To update Cost Component split
se and costing sheet iem wise

nd plan cost
ncy , Cross company coting)

er for specific period for specific company code
pg-cut pro
pg-fin
pg-des p
pg-packing
Other Price fields etc)
uation to update MM Std price field
uation to update MM Std price field
e cost estimate of Final Product(FG)
her level component)

l Product(FG)
o release once reach the future period
se cost estimate
cost estimate possible to release once reach the future period
calculat variance
ck as per costing date validity from

be specified
election criteria.
he cost estmate.
>100pc 500 As per Component level Lot size
700 As per final component lot size
ariant strategy
1E PG-FIN 94311 32,666.70 32,666.70 INR 10 HR
2M PG10 PG-S 10072 ### ### INR 5 PC
3M PG10 PG-T 10003 500 0 INR 5 PC
4E PG-PACKING 94303 56,982.40 56,982.40 INR 20 HR
5E PG-PACKING 94311 47,157.90 47,157.90 INR 10 HR
6E PG-DES P 94311 ### ### INR 50 HR
7E PG-DES P 94300 70,000.20 70,000.20 INR 60 HR
8G PG-FINANC 94101 ### ### INR
9G PG-ADMIN 94102 7,000.02 7,000.02 INR
10 G PG-HR 941 94103 7,000.02 7,000.02 INR
11 G PG-SALES 94104 0 0 INR
### ### INR
amount rate
work center ce
pg-cut pro pg1 clean 11011 2714.286 13.57143
machine 11013 6357.143 11.07143
labour 11000 4428.571 63.57143
11001
pg-des p pg2
machine 11013 6666.667 66.66667 50 3333.333 ok
labour 11000 5000 16.66667 60 1000 ok
11001
pg-fin pg3
machine 11000 7000 46.66667 10 466.6667 ok
11001
pg-packing pg4 clean shou 11011 6105.263 40.70175 20 814.0351 ok

machine 11013 20210.53 67.36842 10 673.6842 ok
Cost Estimate Without Qty Structure

The Cost Estimate without Qty Structure enables calculation of cost of goods mfg & Cost of Goods Sold for products
Instead the resource to manufacture the product is directly entered at the time of Calculation of cost estimate.
Front End
1.Create MMM01 watch
watch material created costing veriant
Cost Estimate WithoutKKPAN

Path : Logistics --> Production process --> Product cost Planning --> Material Costing --> Cost Estimate with out qty
valution veriant & costing sheet also created
ck24
go mm02
and see
ckr1 ck44
44982.46
4498.246
3270250
6287.719
628.7719
6287.719
ost of Goods Sold for products which does not have BOM & Routing.
lculation of cost estimate.
--> Cost Estimate with out qty structure --> Create
watch -raw create material

mmpv se 6th period close karengey
Sub Contract
1.Sub Contract is an arrangement where in certain components are mfg by external orders.
2.However the company that subcontract would provide key component of the subcontract material to the vendor
3.The Vendor is paid a fee for performing the activites of assy the component.
4.The Subcontract material is created by assign the special procurement indicator in MM Mrp 2 tab.
5.Subsequently a subcontract purchase order was created for the material.
6.The Item categeory of Po line item needs to be set "L" this makes the Po a subcontract order
It is applicable two levels.

1. Component Based
There is no consumption entry at the time of goods issue to the vendor for processing Goods Movement entry (MM
Issue raw material to subcontract (Vendor) through MB1B WithMovement type 541.
As material remains ubder your ownership system does not make any value entry.
But Qty is shown as material provided to vendor.
There is no Fi Entry generated at the time of goods sent to vendor and the consumption entry generates at the time
Sub Contract (Operational )

Front End
Steps :
1.Create G/L A/Cs FS00
a)RM Consumption Local Subcontract
b)RM Consumption Import Subcontract
c) Change in Stock (SFG)
d)Process Charges
Go to OBYCOBYC
oktz cost component structure
valuation veriant pgn pgn1 costing veriant pgn
SPRO-> PRODUCTION-> MATERIAL REQUIREMENT PLANNING- DEFINE SPECIAL PROCUREMENT

30
create BOM cs01

ME21N Create Sub Contract PO
Check Costing Variant OKKN
1111
11111
It can beused in different alternative production process or alternative procurement process is used to procure a material the
The Mixed Cost Estimate is also called as weighted avg cost estimate.
The Variance always can be more or less in case of mixed cost estimate.
The Mixed Cost estimate is only for std cost estimate purpose and cannot be used in actual costing.
Qty Structure Type
The Qty Structure type it controls how the mixed ratio is applied and how it is defined / Executed.
It determines which procurement alternatives are to be used and what ratios for the materials in the cost estimate.
Define Costing Versions :
Costing versions enables the creation of multiple cost estimates for the same material .
This can be helpful for analyzing different results for information purpose.
It specify which qty structure to be applied in mixed cost estimate.
Edit Procurement Alternatives :
The procurement alternatives are used to define the different options are available for procuring the material .
Here we maintain the procurement alternatives by using the process categeory.
Once the procurement alternatives defined then we need to define the mixed ratio.
Mixed ratio :
The Mixed ratio defines the percentage weight that each alternative has when the mixed cost estimate calculated.
Here we maintain the Mixed ratio for the procurement alternatives.
Configuration :
1.Define Qty Structure types for Mixed Costing
Path : SPRO --> Controlling --> Product Cost Controlling --> Product Cost Planning --> Selected functions in material Costing -->
Define CostOKYD
PATH : IMG --> Controlling --> Product cost Controlling --> Product cost planning --> Selected Functions in Material Costing -->
Front End
Create MatMM01
Create 1st CS01
Create 2n CS01
Create RouCA01
then click operation
again ca01
Edit Procu CK91N
Path : Accounting --> Controlling --> Product Cost Controlling --> Product Cost Planning --> Material Costing --> mas
again create
Click on Confirm
Create / C CK94
Path : Accounting --> Controlling --> Product Cost Controlling --> Product Cost Planning --> Material Costing --> mas
Enter
ontract material to the vendor.
MM Mrp 2 tab.
g Goods Movement entry (MM Entry) will be generated.
on entry generates at the time of goods received from the subcontract vendor to stock.
SPECIAL PROCUREMENT TYPE (OMD9)
sed to procure a material the costing of either of these alternatives result in different mfg cost or purchase price, in that case the mixed co
n the cost estimate.
g the material .
stimate calculated.
nctions in material Costing --> Mixed Costing --> Define Qty structure types --> Define Qty Structure types for Mixed Costing
nctions in Material Costing --> Define Costin Versions
reate valuaton veriant pgm

pensemi
g --> Material Costing --> master data for mixed cost estimate --> Edit Procurement alternatives
g --> Material Costing --> master data for mixed cost estimate --> Mixed ratios --> Create
price, in that case the mixed costing can be used to calculate the mixed cost estimate.
or Mixed Costing
Cost Object Controlling
Support Below functionalities
1 Plan cost calculation for the Order
2 Actual cost calculation for the Order
3 Result Analysis (WIP calculation)
4 Variance Calculation
5 Settelemement of the Order
6 Integartion with PP
7 Integartion with MM
Cost Object Controlling

1 Product Cost By Order
Production Orders
Process Orders
CO Production Order
2 Product Cost By Period

PCC with Repetetive Mfg
PCC with Descretive Mfg
3 Product Cost By Sales Order

SO is not a cost Object With Valuated Stock
SO is a cost Object With Valuated Stock
SO is a cost Object With Non Valuated Stock
Production Order
Costing Variant for Plan
Estimated plan cost for the production order to complete production
Configuraton:
pgp Costing variant for Plan
Costing type
Valuation variant
Save
Y2 Costing Variant For actual
Purpose :
PGA Generating Actual cost for Production Order
Assignment aur misc blank
Settelement
Settelement Profile
Allocation Structure ====> Required in
Source Structure ====> Required in
PA transfer Structure =====>To transfer
PA==>Profitability Analysis
Define Settelement Profile for Production Orders

Receivers :
Order Item ====> to settele order to Joint and By Product( To di
Sales Order====> MTO( Non valuated SO Stock)===> Prd order s
Material======> Always receiver is material for all mfg orders o
PSG==========> To transfer variances from Mfg Orders to the
GL===========> To post WIP and variance
Actual Cost / Cost of Sales

Which Cost to be setteled like actual cost Or Cost o
To Be setteled in Full
Settelement is manadatory and cost need to
Not possible to close the order or not possib
Normally selected To be setteled in Ful for a
Can be settele
Settelement becomes optional that means
Possible to close the order or possible to se
Business Use Case :
Few Historical order ( Old orde
In such case , now not possib
So Not possible to
Proposed solution to close the
1 Keep the option C
2 Then Close the Hi
3 Keep the option T
Responsabilty====> PP Consultant
PP Settings
Define Order Types
save
Note:
PP Order type controls the Order creation and Orde
PP Order types assignes number to the Order
PP Order Type contains the default parameters like
these default parameters by default copies fro
Order Category :
Order Category it specifies in which app
Order category controls the screen layo
Below is the SAP Pedefined Order Categ
Below are the Production Order categories
10 Production Order
04 CO Production Order
05 PCC Order ( Product Cost collector)
40 Process Order
Define order type-dependent parameters

Same path
save >copy>save
Save
Define Scheduling Parameters for Production Ordert.codeopu3
img--> Production--> Shop Floor Control--> Operations--> Scheduling--> Defin
Save
Extend to other Plants
save
Define Confirmation Parameters t.code
img--> production--> shop floor control--> operations--> confirmations
save
Save
Define Checking Control t.code

img--> production--> shop floor control--> operations--> availability ch
It checks the availability of the material and also specifies how the syst
It checks while creating order and also at the time realising Order
Save
save
Save
Maintain Task List Type for Material Type(OP50)
IMG>Production>Basic data>Routing>General Data>Defn Material Type assig
We are which type of Type Task list type ( Type of routing) to be permitt
Save
Which task list type allowed for which material typ
Task List Type : It specifies which application areas allow t
N Routing ====> Used in Production order
2Receipe ====> Used in Process Order ( Pr
R Rate Routin ====> Used in PCC ( Repetetive m

PCC===> Product Cos
Maintain Overall plant Maintaince Parameters (OPPQ)

IMG>Production>Material Requirement Planning>Plant Parameters>C
Save
Plant pg20
same way
Save
Control Key
PP Consultant will take care
Control Key
It Specifies How the operational activities performed

that means confirmation is manadato
Mile stone confirmation :

All procedding operatio
Example :
Routing Operations
1 OP10
2 OP20
3 OP30 ==> Control key w
In the above case , If we confim

System it books t
Control key specifies wether relevant routin
Control key also controls wether operations
Control key also specifies wether to perform
Control key also specifies wether allow to p

Control key also specifies wether to conside
Purpose Config Required
To generate Plan Cost For Order Costing Variant for Plan ( Costing Type 06 ,
To generate Actual Cost For Order Costing Variant for Actual ( Costing Type 0
To Calculate WIP or Reserves WIP Settings to be done
To Calculation Variance along with Variance Variance Settings
To Post FI entry for WIP and Variance Settelement Profile , Allocation Structure,
PP Order Type
Settelement Profile
RA Key
Costing Variant for plan
Costing Variant for Actual
Default Variance Key-------> Plant
====> To address the different Industry requirements
Used in Descrete Mfg industries ( Eng Industries )

Used in Process industries ( Pharma , Chemical Industries )
Used in Descrete Mfg industries ( Eng Industries )
FMCG -Soaps
Automobile , Computer processors
Enginerring industries
ed Stock
omplete production
'06
Y0
6 for plan costing type
====> Required in Joint /By Product scenario
====> Required in Joint /By Product scenario
=====>To transfer the variance classification wise to costing based COPA ==> Relevant for Co
d By Product( To distribute total cost between Joint and By Product)
ck)===> Prd order setteled to the Sales order
or all mfg orders other than MTO with non vauated SO stock
Mfg Orders to the COPA
ctual cost Or Cost of sales ( SO costing)
ry and cost need to be setteled fully

order or not possible to set the deletion flag unless settele full cost of the order
etteled in Ful for all manufacture order settelements
ptional that means you may settele or not settele
er or possible to set the deletion flag Eventhough Orders having Balance and system
al order ( Old order) cost which belongs to previous years cost not setteled.
, now not possible to settele previous year order cost in the current year
So Not possible to close these orders unless the settele thecost fully
lution to close the order as below
Keep the option Can be settele in the Settelement Profile
Then Close the Historical orders which need to be closed
Keep the option To be settele in FULL in the Settelement Profile
reation and Order Master data fields
o the Order
parameters like Settelement Profile , Costing var and RA key
default copies from the order type to the Order
fies in which applicaion areas allow to be used

s the screen layout of the Order
fined Order Categories
cheduling--> Define Scheduling Parameters for Production Orders
opk4 or opk4n
ns--> confirmations--> Define Confirmation Parameters
opjk
ns--> availability check--> define checking control
cifies how the system should respond ====> Allow to create or not allow to create o
ealising Order
Material Type assignements
outing) to be permitted for Specific Mat Type

which material types
tion areas allow to be used
roduction order ( Descre Mfg)
rocess Order ( Process industries)
CC ( Repetetive mg)
===> Product Cost collector
ant Parameters>Carry out overall plant maintaince parameters

es performed
mation is manadatoy or optional or not required
ocedding operations will be confirmed automatically while confirming last operation

==> Control key with mile stone confirmation
case , If we confim last opertion 30 then system automatically confirms the precedin
System it books the activity time as per planned time
her relevant routing operations is relevant for costing or not
wether operations allow to be performed externally ( External operations) or Interna
wether to perform Auto GR during the confirmation of operations
wether allow to perform rework related operations

wether to consider scheduling , capacity determinations
an ( Costing Type 06 , Valuation Variant)
tual ( Costing Type 07 , Valuation Variant)
Allocation Structure, PA Transfer Structure , Source structure
nt for plan
nt for Actual
------> Plant
A ==> Relevant for Costing based cOPA
t of the order
alance and system gives warning message like order having balance but we can igno
setteled.
ent year
t allow to create order
ming last operation
nfirms the preceding operations like op 10 and op20
rations) or Internally processed or Both

ce but we can ignore warning message and possible to close te orders

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assigned company code to company

RETAINED EARNING ACCOUN

OBC4 FIELD STATUS VERIANT

CALENDER YEAR VERIANT NAME PG

ASSIGNED FISCAL YEAR TO COMPANY

POSTING PERIOD VERIANT

profit center accounting

assigned other ladger curruncies conversion

Maintain purchasing organization:

Responsible unit to procure the material fro

Assign purchasing organization to company code:

Mat type Description

Select the Mat type ROH and click on Copy or we ca

Material type for SFG

Maintain Company Codes for Materials Management

Maintain Company Codes for Materials Manageme

Click on save button

11.Group together Valuation Areas OMWD

Click on Account Categeory Reference

Click on valuation Class

Click on Material type/ account Categeory reference

13. Set Tolerance Limit OMC0

Click on save button

17. Maintain Default Values for Tax Codes OMR2

ure the material from the external vendor.

nt-->Assign purchasing organization to company code

k on Copy or we can create our own without copy.

Goods Receipt --> Set Tolerance Limit

--> Maintain Default Values for Tax Codes

endor / Supplying Plant Known

4 DEFINE SHIPING POINT

6 ASSIGN DISTRIBUTION CHANNE TO SAES ORGANIZATION

SETUP THESTORAGE OCATION DEPENDENT SHIPPING POING DETERMINATION

SET Customer Pricing procedures

PARTNER FUNCTION NO ACTION

PARTNER FUNCTION CONVERSION NO ACTION

Define Tax determination rues

difine the Access sequence and account determination types

NO ACTION FROM YOUR END

DEFINE AND ASSIGN ACCOUNT DETERMINATION PRECEDURES

KOFK CO ACCOUNT DETERMINATION TYPES

NO ACTION FROM YOUR END

ASSIGN ACCOUNT DETERMINATION PROCEDURE

ASSIGN ACCOUNT DETERMINATION TYPE TO THE SD BIING TYPE

DEFINE AND ASSIGN KEYS

VL01N GOODS DELEVERY TO THE CUSTOMER

ccount Key Level

maintained no ranges for co documents

manage posting period cost accounting open

Click on Save button

Departmental Expenditure Planning

Activity Independent Activity Dependent Planning

Cost Center Vs Cost ECost Elemeny Vs Activity

ASSIGN SPLITTING STRUCTURE OKEW

okew Assign splitting structure to costcenter

plannr profiles saapall

input plaaning cost center vs cost element planning

clean 5500 2200 7700 77

machine 3000 5500 8500 34

be called as activity dependent planning

Create Distribution KSV1

sing --> Distribution --> Define Distribution

2.Real Order Possible to collect real expenditure and used for