Table of Contents

Open all
Close all
Preface
13
How This Book Is Organized
13
Acknowledgments
15
1 Initial Planning
17
1.1 Sales and Operations Planning
18
1.2 Long-Term Planning
20
1.2.1 Change Planned Independent Requirements
20
1.2.2 Create Planning Scenario
21
1.2.3 Long-Term Planning Run
23
1.2.4 Transfer Requirements to Purchasing
25
1.2.5 Transfer Activity Quantities to Cost Center Accounting
27
1.3 Cost Center Planning
29
1.3.1 Primary Costs
29
1.3.2 Review Planning Data
31
1.3.3 Activity Pricing
32
1.4 Summary
35
2 Cost Estimates
37
2.1 Master Data
38
2.1.1 Material Master
38
2.1.2 Bill of Material
49
2.1.3 Work Center
51
2.1.4 Routing
52
2.1.5 Product Cost Collector
53
2.2 Overhead Costs
55
2.2.1 Activities
55
2.2.2 Templates
56
2.2.3 Costing Sheets
57
2.3 Cost Components
61
2.3.1 Primary Cost Component Split
62
2.3.2 Assign Cost Elements
63
2.3.3 Assign Origin Groups
63
2.4 Costing Variant
64
2.4.1 Costing Type
65
2.4.2 Valuation Variant
66
2.4.3 Date Control
68
2.4.4 Transfer Control
69
2.5 Standard Cost Estimate
70
2.5.1 Create
70
2.5.2 Mark and Release
73
2.6 Costing Run
76
2.6.1 Selection
78
2.6.2 Costing
81
2.6.3 Analysis
82
2.6.4 Marking
84
2.6.5 Release
86
2.7 Preliminary Cost Estimate
87
2.7.1 Product Cost Collector
87
2.7.2 Production Order
92
2.8 Mixed Cost Estimate
93
2.8.1 Quantity Structure and Costing Version
94
2.8.2 Create Procurement Alternative
94
2.8.3 Define Mixing Ratios
96
2.8.4 Create Mixed Cost Estimate
97
2.9 Summary
98
3 Actual Costs
99
3.1 Primary Costs
99
3.1.1 General Ledger Account Type
100
3.1.2 Cost Element Category
101
3.1.3 Cost Object Assignment
102
3.2 Secondary Costs
103
3.2.1 Assessment
104
3.2.2 Activity Confirmation
104
3.3 Credits
105
3.3.1 Primary Credits
105
3.3.2 Secondary Credits
106
3.4 Post Actual Costs
107
3.4.1 Create Production Order
107
3.4.2 Confirm Activities
108
3.4.3 Default Activities
110
3.4.4 Operation Sequence
111
3.5 Report Actual Costs
112
3.5.1 SAP GUI Transactions
113
3.5.2 SAP Fiori Apps
114
3.6 Summary
118
4 Period-End Processing
119
4.1 Types of Variance Calculation
119
4.1.1 Total Variance
119
4.1.2 Production Variance
120
4.1.3 Planning Variance
120
4.2 Variance Configuration
121
4.2.1 Define Variance Keys
121
4.2.2 Define Default Variance Keys for Plants
122
4.2.3 Define Variance Variants
123
4.2.4 Define Valuation Variant for Scrap and Work in Process
124
4.2.5 Define Target Cost Versions
126
4.3 Variance Categories
130
4.3.1 Input Variances
131
4.3.2 Output Variances
133
4.4 Period End
135
4.4.1 Overhead
135
4.4.2 Work in Process
138
4.4.3 Variance Calculation
142
4.4.4 Settlement
151
4.5 Cost Center Variances
154
4.5.1 Information System
155
4.5.2 Target Cost Analysis
158
4.5.3 Variance Analysis
161
4.5.4 Actual Price Calculation
165
4.6 Purchase Price Variance
169
4.6.1 Configuration
169
4.6.2 Reporting
170
4.7 Actual Costing
175
4.8 Summary
178
5 Scrap Variance
179
5.1 Scrap Basics
179
5.2 Assembly Scrap
180
5.2.1 Assembly Scrap Definition
181
5.2.2 Assembly Scrap Quantities
181
5.2.3 Assembly Scrap Master Data
182
5.2.4 Planned Assembly Scrap Costs
183
5.2.5 Actual Assembly Scrap Costs
186
5.2.6 Variance Calculation
187
5.2.7 Assembly Scrap Target/Actual
188
5.3 Component Scrap
189
5.3.1 Component Scrap Definition
189
5.3.2 Component Scrap Quantities
189
5.3.3 Component Scrap Master Data
190
5.3.4 Planned Component Scrap Costs
192
5.3.5 Actual Component Scrap Costs
192
5.3.6 Variance Calculation
194
5.3.7 Component Scrap Target/Actual
195
5.4 Operation Scrap
196
5.4.1 Operation Scrap Definition
196
5.4.2 Operation Scrap Quantities
197
5.4.3 Operation Scrap Master Data
198
5.4.4 Planned Operation Scrap Costs
200
5.4.5 Actual Operation Scrap Costs
201
5.4.6 Variance Calculation
204
5.4.7 Operation Scrap Target/Actual
205
5.5 Combined Scrap
205
5.5.1 Component Scrap
206
5.5.2 Component and Operation Scrap
206
5.5.3 Component, Operation, and Assembly Scrap
207
5.5.4 BOM Item Operation Scrap
208
5.5.5 Operation and Assembly Scrap
209
5.5.6 Calculate Assembly Scrap
209
5.6 Summary
211
6 Reporting
213
6.1 Margin Analysis
215
6.2 Summarized Analysis Reports
217
6.2.1 Product Drilldown Reports
218
6.2.2 Summarization Hierarchy Reports
221
6.3 Detailed Reports
229
6.4 Line-Item Reports
231
6.4.1 Display Actual Costs Report
232
6.4.2 Display Line Items – Controlling App
232
6.5 Production Order Reports
234
6.5.1 Order Information System
234
6.5.2 Order Selection
236
6.6 Cost Center Reports
238
6.6.1 Cost Centers: Actual/Plan/Variance Report
238
6.6.2 Cost Centers – Plan/Actual App
240
6.7 Summary
242
7 Future Direction of Variance Analysis
245
7.1 Event-Based Production Orders
246
7.2 Variance Categories
252
7.3 Production Variance in Margin Analysis
254
7.4 Summary
256
Appendices
257
A Glossary
259
B Additional Resources
285
B.1 More from the Authors
285
B.2 SAP Conferences
285
B.3 ERP Corp
285
C The Authors
287
Index
289