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Distribution from Cost Center to Customer Project with Sales Integration

petermeid
Participant
0 Kudos

Dear all,

in the documentation I read that costs can be distributed from Cost Centers to Projects/Project Tasks by Distribution Rules for Cost Centers.

I tried to do so, but I was not able to select a Customer Project with Sales Integration as a receiver when defining the rule. And the documentation doesn't mention to which Project Types costs can be distributed.

Is it possible to distribute costs from cost center to a Customer Project with Sales Integration?

Thanks a lot for your support.

Best Regards

Peter Meid

All for One Steeb AG

Accepted Solutions (1)

Accepted Solutions (1)

lokesh2
Advisor
Advisor
0 Kudos

Hi Peter,

The project that can be used as receiver in cost distribution rule is of type Direct cost projects and Multi-customer projects

In case of customer projects : Costs are always posted as deferred costs which are not subject to cost distribution and revenues are posted to the sales order directly.So there would not be any real costs or revenues to be found on the customer project either.

In case of Overhead Projects : These are always immediately settled not leaving any costs to be assessed. Because of the instant settlement of costs to the requesting cost center at the time when the primary posting is made there is no net amount left for distribution on such a project at the end of the month.

Thanks

Lokesh Sharma

petermeid
Participant
0 Kudos

Thanks Lokesh,


just by the way: at our customer's system the costs of Customer Projects are not deferred since we didn't scope revenue recognition. Costs are directly posted to the COGS. But that was not my Intention to ask for the Distribution rules.


My Intention was the following:

Our customer has several customer projects. All costs (work, material, etc.) during the months are posted to the customer projects as direct costs into COGS. All general costs are posted to cost centers (e.g. salaries, depreciations, etc.). Those general costs must be distributed to the projects at the end of the month.


For example: The Customer has 2 Customer Projects and there is 1 Cost Center with a value of 100 EUR at the end of the month. The cost center should be relieved to 0 EUR and each project should be charged with 50 EUR each.


What is the best way to do that?


Thanks a lot & best Regards

Peter

Answers (1)

Answers (1)

HarshalVakil
Active Contributor
0 Kudos

Hello Peter,

in addition to 's reply, please check help center document : Configuration: Project Types for more details on the different project type and their behavour based on the assigned Process Variant Type.

I hope this will help you.

Regards,

Harshal