STEP 1.

DEFINING CONTROLLING AREA – PATH – ⇒ ⇒ ⇒ ⇒ SAP EASY ACCESS ACCELERATED SAP CUSTOMISING ENTERPRISE STRUCTURE

NEW ENTRIES – give new controlling area no., name & persons responsible Assignment control 1st choice if company code = co area. 2nd choice if company code different than co area Currency 10 when only one currency is used throughout the Co. 20 when different branches in different countries use different currencies Assign COA Fiscal year variant – fiscal year definition All the above four elements come from Company code settings.

STEP 2 – ASSIGMENT OF COMPANY CODE TO CONTROLLING AREA

⇒ Assign CO code to CO area ⇒ Go to new entries to assign CO code to controlling area

STEP 3 –CONTROLLING GENERAL PATH General controlling Organisation Maintain controlling area Maintain number ranges Maintain versions

1. MAINTAIN CONTROLLING AREA A. Under BASIC DATA enter standard hierarchy for CO

B. active the necessary components like cost centres. order etc. . profit centre. Under ACTIVATE COMPONENTS/CONTROL INDICATORS fill up the following System will ask for fiscal year – 2000 to 9999 Then.

create 4 number ranges) ⇒ Then assign the transaction groups (elements) to the group .2. MAINTAIN NUMBER RANGES Number ranges are given number to the dox created in CO ⇒ Maintain number ranges ⇒ Enter controlling area & go to GROUP ⇒ Insert GROUPS & assign number ranges. (if 4 groups are created.

Set years in profit centres .3. Go to “new entries” for more versions. MAINTAIN VERSIONS Settings in controlling area – set the plan/act version A new version can also be created. For actual data version 0 is always used by system. But it can have only plan data.

Set years. click on years and set other data in fiscal years .

With the above settings. the system is ready for cost centre accounting. Following master data can be created now – Cost centre groups Cost centres Cost element group Cost elements Activity types SKF .

With the above settings. total cost collected under a particular cost centre are distributed to cost centres. individual cost elements under a cost centre are distributed to cost centres whereas in assessment.STEP 4 – DEFINING DISTRIBUTION CYCLE To define distribution cycle – attach segments . system is ready to perform cost centre accounting .define sender & receiver cost centres & cost elements receiving tracing factors In distribution.define sender & receiver cost centres & cost elements receiving tracing factors To define assessment cycle – define assessment element attach segments .

PRODUCT COSTING PATH Controlling Product cost controlling Product cost planning Basic setting for material costing Define cost component STEP 1 – DEFINE COST COMPONENT STRUCTURE In this we define how costs will broken up in various components in product costing .

Otherwise system gives message “cost component structure not defined”. cost component structure is a prerequisite.For calculating cost estimates. system gives error message “cost element not assigned to cost component” . If the above setting is not defined.

It means the function is valid for all the compony codes under that particular co area. ++++ denotes masking. After the components are assigned to organisation units.After cost elements are assigned to cost components. activate the cost component structure (1st screen tick) . they should be assigned to organisation units.

STEP 2 – DEFINE COSTING VARIANT The following are defined in this – Costing type – the main function is to determine which price to update on material master .

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.Valuation variant – determines the valuation strategies for material valuation If system is unable to find price as per valuation strategy. To correct it. acct view of mat pric. check valuation variant. system gives error message “no price could be determined as per valuation strategy as per valuation variant”.

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Date control id – determines quantity structure date & value structure date .

Quantity structure control – determines the boms & routings .

only 6 activities can be planned.STEP 3 – Checking settings in “production” Check settings in “WORK CENTRE”.tick in the “cost” indicator is necessary. These are SAP defined formulae. Cost centre assignment of work centre .) are planned.every work centre is assigned to a cost centre where activities (machine hour. activities are attached to the parameters in SV key and formulae are attached to the activities. Without this tick. If the formulae are not attached to work centre. are defined in parameters SV key is defined after the parameters are defined. “ORDER” WORK CENTRE PATH – PRODUCTION BASIC DATA WORK CENTRE GENERAL DATA STANDARD VALUE Here parameters for SV are defined. set up time etc. SV key defines the activities to be performed in the operations. labour. Parameters like machine hour. “ROUTING”. labour etc. following error message comes – “MISSING FORMULA IN WORK CENTRE” ROUTING . In a work centre. the operation defined in the routing will not be taken into costing. Since only 6 activities are allowed in SV key. SAP allows user to define his own formulae. SV key contains the parameters. It can contain max 6 parameters. .

default rule. The same BOM application is used in quantity structure determination in costing variant. costing variant & result analysis key.ORDER .Things to be checked in PP – BOM application. .

STEP 4 – CHECKING CUSTOMISING IN PRODUCTION ORDER 1. Check the costing variant for plan & actual production .

check valuation variant in the costing variant 3.2. check default values for order cost estimate .

.STEP 5 – DEFINE GOODS RECD VALUATION FOR ORDER DELIVERY ASSIGNING VALUATION VARIANT FOR ORDER COSTING PATH – CONTROLLING PRODUCT COST CONTROLLING PRODUCT COST BY ORDER DEFINE GOODS RECD VALUATION FOR ORDER DELIVERY Valuation variant as it appears in PPP2 (costing variant for order costing – actual) should appear for all the valuation areas defined in the COMPANY CODES.

VARIANCE CALCULATION FOR PRODUCTION ORDER Variance keys & variants are defined to calculate the variances on production orders Variance key is attached to the plant and variance variant is attached to the target cost. .

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it is created with this settlement profile. .SETTLEMENT PROFILE FOR PRODUCT ORDER – SD1 The settlement profile SD1 is assigned to order type PP01. That means when a production order is created.

.Settlement profile SD1 contains allocation structure A1 that receives the cost on the order and on the other hand it contains the permitted settlement receiver.

all costs. By “all costs” it means the balance on production order when settled will be a total figure. .ALLOCATION STRUCTURE A1 For intertrade assigement chosen is 60 . One may choose different types of assignments by which the balance on production will be segregated costwise.

If any new cost element is created. system gives following error message while settling the production order – cost element not attached to settlement profile” In such case. .The above screen defines the receiving categories. attach the cost element to cost element group “all” For internal order settlement . profile “20” is used.

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For service order. settlement profile 80E is used. .