Template allocation to production orders

[Former Member]

Hello

Can somebody please help me about CO template allocations?

I want to make a template that will allocate costs from some internal orders to production orders proportional to the amount of materials that were confirmed as resources for that production orders. For example: I will have an internal order A that will have some costs on it, and production orders B and C that used material D for production. Can I make a template that will send more costs proportionally to the production order that used more of the material D?

Thank you.

[ajaycwa1981]

Hi

Allocations from Internal Orders can not be that flexible... YOu can only settle an IO, not allocate it

1. First settle the IO to a cost center..

2. Then create an assessment cycle where in Sender = This COst Center and Receivers will be Prod Orders

3. In Receiver Tracing Factor, you can choose "Actual Costs".. When you choose this, you will have to specify the cost element based on which values need to be allocated... here, choose your consumption cost element of Material D which is posted to in the Prod Order

4. based on this, values can be allocated in the ratio of consumption...

But the -ve side of this is that you may have huge no of cost centers... But that seems to be the only option in this case

Regards

Ajay M

[Former Member]

Thank you for the answer

As much ad I understanded, by using this system I also need to have a different cost element for every type of consumed material that i want to follow for production orders?

I can have different internal orders and settle them to a single cost center using different assessment secondary cost elements according to material type, in this way I don't need to have many cost centers as much as I understand.

This looks plausible.

[ajaycwa1981]

Hi

I cant comment on that.. What does your IO represent? and what costs are collected on them?

Using sec cost ele per mat type seems a manual control... are your IOs as per mat types?

Ajay M

[Former Member]

Maybe i haven't explained my problem good enough so I will try little better.

I am working on a project where a company is producing products without knowing the actual price of raw materials that they are going to use on production orders. They use a planned price and put this planned price on materials on stock. The actual price of materials gets known only after a month of production but they need to use the raw materials immediately because it is fruits and vegetables and they will get rotten if not used for production.

After production they will pay the suppliers additional amounts of money for bought materials and that will be additional expenses that need to be put on production orders proportional to the amounts of material they used. I can't put these expenses to raw material stock because there is no more of them on stock.

My idea was to collect these additional expenses on internal orders and then use some form of template allocation to send them to production order using a connection: material number - internal order - secondary cost element - amount of material confirmed for production order.

Also when i try to use Assessment for production orders i get a following error:

Actual Overhead Assessment' is not allowed for object type 'PP/PM: order header.

Is there a way to unlock this for production orders ?

[Former Member]

i found a way of disabling the error message by using transaction BS12, object type ORH, business function RKIU

[ajaycwa1981]

Hi

1. For the error Actual Overhead Assessment' is not allowed for object type 'PP/PM: order header - Go to BS12, select your Object Type PP/PM order and see if you can allow Assessment for it...

2. For your primary requirement - I think you will have to opt for a customization i.e. ABAP development...

a. Is the differential amount getting posted as Price difference (i.e. the difference between the planned price and the actual price)?

b. While posting this amount, if you can capture the Material No / batch No (If applicable) in some Ref field in FI it will be of great help..If the posting of this differential amount is in releation to some MM document, MATNR would be already populated in your FI document... If not, you can copy the MATNR / BATCH No from MM doc and update it in FI document using some userexits..

You can use Enhancement (SMOD) MBCF0002 and populate SGTXT (Short Text) in MM doc and the same will be passed on to SGTXT in FI doc.. Or using RGGBS000 substitution in FI, you can code user exit U100 and populate the MATNR, etc

c. Once you have achieved this, you can develop a program which will read relevant documents, identify the MATNR Qty/Value consumed in Prod Orders and the Price difference posted per MATNR...

d. based on this info you can get the value to be transferred to each production order...

e. If the above design is OK with you, you can do with one single cost center as well, provided you are capturing required info in Text fields..

Regards

Ajay M

[ajaycwa1981]

Hi

Note that there is a standard feature available known as Cost Object Hierarchy.. Where in you create a hierarchy just like Cost Center Hierarchy

You assign child nodes to this hierarchy and finally your Material to These nodes... Your Prod orders then get attached to these nodes...

For eg: If you make Apple Juice and Pineapple juice - You can create 2 nodes in this hierarchy... YOur Finished material LIke Apple Juice and Pinrapple Juice will be attached to these nodes and so does your prod orders

Common expenses can be posted at a higher level node which will be above these 2 nodes... You can assign your Input Materials like Apple and Pine apple lto this higher node

From this node, you can distribute such expenses to the lower level nodes based on target cost, i guess.... . The logic can not be as what you want... But the complexity of creating so many IOs and Cost Centers go away....

The crux of this lies in how you design your hierarchy... If you can design it in a way that Common expenses from one higher node go only to the respective lower nodes it will be great.. i.e. If your hierarchy is designed in way that Price diff pertaining to apple gets distributed easily only to Apple Juices, it will be great....

You can create multiple hierarchies as well in the system... Not a compulsion to have only one hierarchy.... If your Finished products are not many, you can think of one hierarchy for all related products...

Regards

Ajay M

[Former Member]

Thank you again for the answers they are inspirational.

I am trying to use as less ABAP code as possible. So far the solution with assessment seems the simplest and most elegant one, the only problem being that i need to consult the MM team about making different accounts for material consumption based on raw materials that i need.

I have never used cost object hierarchies but I will look at them also.