Skip to Content

Maintenance cost for outsourcing services

Hi all,

Our client buys an outsourcing service to maintain their equipment.

Period of the contract is 1 year and they will maintain every month. They will pay 50% at the beginning and 50% at the end of the period.

A maintenance plan will be created and SAP will generate maintenance order every month.

How can I record the actual cost for each maintenance order = total cost of the contract / 12

Thanks

Add a comment
10|10000 characters needed characters exceeded

Related questions

3 Answers

  • Posted on Jul 08, 2019 at 11:42 AM

    Support ETS

    How do you purchase these services from the vendor (e.g. PO, Contract, schedule agreement etc)?

    PeteA

    Add a comment
    10|10000 characters needed characters exceeded

  • Posted on Jun 17, 2020 at 07:00 AM

    support ets

    As Kayley states above, the costs will be consumed via the MM contract.

    However, since 50% of the costs will not be posted until the contract ends, then you cannot do anything with these costs.

    Ther is functionality in SD called revenue recognition which can be used in billing customers, but I dont think there is anything similar for MM..

    Try talking to you MM and FICO teams.

    .

    PeteA

    Add a comment
    10|10000 characters needed characters exceeded

  • Posted on Jul 28, 2020 at 08:32 AM

    Hi,

    They are already using Contracts for costs management. Actual cost capturing though maintenance order level would not be possible in this case as total costs are actually being posted at the completion of Contract. Also, actual cost for each maintenance order would not give a clear picture of 'actual' costs incurred every month, you can take this as reference (i.e., total cost of the contract / 12) to show 'Average' costs, however.

    Regards,

    Ankur

    Add a comment
    10|10000 characters needed characters exceeded

Before answering

You should only submit an answer when you are proposing a solution to the poster's problem. If you want the poster to clarify the question or provide more information, please leave a comment instead, requesting additional details. When answering, please include specifics, such as step-by-step instructions, context for the solution, and links to useful resources. Also, please make sure that you answer complies with our Rules of Engagement.
You must be Logged in to submit an answer.

Up to 10 attachments (including images) can be used with a maximum of 1.0 MB each and 10.5 MB total.