important of costing run

[Former Member]

hi,

i would like to get advice from the forum.

say i have HALB or ROH material type and i do not cost run both of them.

1) what is the importance of cost run? if without cost run but just update standard price, what is the impact?

2) for HALB, i just update the standard price without cost run. May I know any issue during PGI?  or any issue when there is a stock movement?

3) for ROH, i also just update the standard price without cost run. May I know if I can buy this material? any issue during GR?

Thank you

[rajneesh_saxena · Accepted solution]

Dear Friend (your name)

Standard cost is used to analyse the performance through variance analysis and control your system. It is useful to increase your cost effectiveness through control on your unfavorable variances.

1.     If you don't do it you will not be able to analyse variances category-wise. The variance will be reported only in 'Remaining variance'.

2.     No, there will be no problem during any stock movements.

3.     ROH materials are maintained with price control 'V' (as per SAP recommendation), hence Costing run is not at all required for them. Yes you can buy these materials without any hassle.

Regards

Rajneesh Saxena

[Former Member · Accepted solution]

Hi Raj,

Thanks.

Can I confirm?

1 Meaning the cost run ck40n is basically meant for variance? if no cost run, cannot run KKS2. Correct?

2 Meaning any movement or pgi or pgr as long there is standard cost updated in accounting view, will not have any problem. costing run is not necessary. Correct?

thanks

[rajneesh_saxena · Accepted solution]

Dear Friend

Q.1 Meaning the cost run ck40n is basically meant for variance? if no cost run, cannot run KKS2. Correct?

Yes, as I said Std Cost is meant to compare your actual cost performance by way of variance analysis. Secondly, you can even do KKS2 without std cost run if you have updated the material standard price otherwise (say MR21). But in that case variance will not be broken into categories, which in turn gives you help in analysis.

Q. 2  Meaning any movement or pgi or pgr as long there is standard cost updated in accounting view, will not have any problem. costing run is not necessary. Correct?

Material movements depend on your valuation variant (under material val. tab) there you define strategy sequence. Normally ,for example GI for order, are done at the prices maintained in material master accounting views MAP, if price control of material is 'V'. and price for GR to order is (If price control is 'S') picked from 'STPRS' field in material master (Costing 2 view standard price).

Regards

Rajneesh Saxena

[former_member182339]

Hello Sapask,

First of all for HALB you may or may not required to have a costing run and for ROH you dont require costing run. See the answer below

1) what is the importance of cost run? if without cost run but just update standard price, what is the impact?

Ans-You can use the costing run to process mass data. It enables you to cost, mark, and release more than one material at the same time. there is no impact as such.

http://help.sap.com/saphelp_46c/helpdata/en/7e/cb822e43a311d189ee0000e81ddfac/content.htm

2) for HALB, i just update the standard price without cost run. May I know any issue during PGI?  or any issue when there is a stock movement?

Ans- No issues at all.

3) for ROH, i also just update the standard price without cost run. May I know if I can buy this material? any issue during GR?

Ans- No issues at all.

Go through the help link you will find all your answer

Best regards

Hrusikesh