Assignment of work centers to cost centers

[Former Member]

Hi Friends

In our project, product costing is carried out in 2nd phase which is yet to start. In 1st phase we just have to configure controlling area, cost elements, cost centres etc.

In PP we have to assign each work center to cost center.

Our PP guy wants to assign activity types to work centers also.

these activity types are Labor hours & Machine Hours.

Suppose we dont want to plan activity prices for cost centers now i.e. KP26,then whether it will affect any operations in PP module??

It means will it show any errors in PP while doing order creation, or order settlement???

[Former Member · Accepted solution]

Hi rahul

if you want to assingn activty type to workcenter then you have to plan the activity type in KP26 with repect to cost center OR if you dont want to plan the activity then in the workcenter maintain NO activity in costing tab page. but you cannot carry out the cost estimate for the activities in the order.

regards,

ansuman

[Former Member]

answered

[Former Member]

Hi,

Assignment of Work Center to Cost center is done in PP.

T.Code: CR01- Create Work Center

CR02: Change work Center

CR03: Deisplay Work Center

Hope this helps.

Please assign points as a way to say thanks.

Regards,

[Former Member]

Hi Rahul,

First plan the activity for the cost center in KP26. In the work center , costing tab select the cost center and activity type in that tab. Maximum 6 activity types can be assigned.

In Routing, you need to identify for each unit of production how many activity units are consuming.

At the time of production order generation, system will calculate the prices, based on your activity units * the price maintained in KP26.

Hope this helps.

Assign points as way of thanks.

Thanks

Dasa