[Decision Expert Column] Chapter 7: How to maintain the standard cost of materials and labor for products with no BOM and no process route?
Time: 2023-10-26
Views: 597


[Foreword]


The reason why Decision is highly praised by enterprises during the implementation of digital transformation projects is because experts are escorting Decision during the project process to help enterprises gain new knowledge, grow new capabilities, and improve management during the implementation of digital transformation projects. To improve our vision and reduce project misunderstandings, we have specially set up a "Decision Expert Column" to share with you a series of articles on the implementation of digital transformation projects, so stay tuned.

This article is based on Mr. Yang Yongqing, Decision’s chief financial expert, who has 24 years of rich experience in the field of SAP ERP, and combines the common misunderstandings he found in the implementation of ERP projects to publish corresponding research insights and suggestions to protect your SAP financial implementation and delivery.


[Problem Description]


Products that have been discontinued at the beginning of the period have no inventory and no outstanding orders. BOM data and process data are no longer imported when online, and standard costs are not released. Returns of previously sold products occurred in the first month of launch. When returning goods to warehouse, the system prompts that there is no standard cost. The audit requires the release of standard costs with material, labor and component costs for this part of the product. How is this implemented in the system?

01 Problem Analysis

① In addition to standard costs that may be used for returns, standard costs may also be used for newly developed products. Newly developed products do not have a standard and stable BOM and process, and they also need standard costs of materials, labor, and component costs.

② In addition to publishing standard costs according to quantity structure (BOM and process structure), the system can also manually maintain standard costs without quantity structure (that is, directly maintaining the content and amount of standard cost items without using BOM and process structure). The functional transaction code is as follows:

 

[Solution]


① Transaction code KKPAN creates standard costs with no quantity structure
 



② Transaction code KKPBN Modifies or supplements the maintenance standard cost composition
 

③ Transaction code CK24 marks and publishes standard costs
④ Transaction code MM03 to view material master data
 

⑤ Transaction code MIGO, make a 701 profit test
⑥ Use transaction code CKM3N to view the material ledger. You can see the standard cost and the corresponding amounts of materials, labor and fees:

Supplement: For standard costs with no quantity structure, you can also refer to the existing standard costs with quantity, as follows:
 




 

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