Variances at Operation level?

[Former Member]

Dear Experts,

Can someone throw some light on how to acheive variances at operation level. I need to understand the tables and their relationships to resolve some reporting issues.

Thanks and regards,

Vishal.

[Janet_Salmon]

In current versions of the software the CO tables do not store data at the operation level. Data enters CO during confirmation by operation but is written to the tables by order with the combination cost center/activity type. So, the only way to do variance analysis at operation level is to ensure that the activity types at each operation are unique. However, during the online calculation of variances (transaction KKS2), if you set the detail list flag, you will see data by operation at run time (see documentation on Scrap Variance in SAP Library).

We are currently investigating the possibility of operation level costing in SAP ERP 6.0.5.

[Former Member]

Janet,

Thank you for your reply. I confirmed, that our activity types are not unique at the operation level. We've already finalized our design and are about to enter into unit testing phase. And our industry necessitates reporting at operation level.

You mentioned, that KKS2 calculates operation level details at run-time. I guess the information is derived from somewhere. Would you have knowledge of this as to how can we imitate the system? Primarily, our requirement is to put this reporting into BW so that management can make use of them.

Let me know your thoughts. Thank you once again.

Vishal Thakur

[Janet_Salmon]

Sorry for the delay. The operation level costing takes place during planning (you see it in transaction CK11N and if you choose "calculate costs" in the production order). However, as I said, because of the structure of the CO tables, the actual costs are not assigned at that level. When the system calculates WIP at target (transaction KKAX with appropriate configuration) and scrap (during variance analysis in KKS2), it reads the operation details. You might be able to simulate this for reporting purposes.

[BarbaraMcCourt]

Dear Janet,

You were mentioning in this post from 2008 that variance analysis at operation level might be available with enhancement package 5.

My understanding is that this was not done, could you please kindly confirm? Is there any further plan to have this available?

Thanks a lot for your feedback,

Kind regards,

Gregory

[Janet_Salmon]

Hi Gregory,

Operation level costing is available for maintenance and service orders from EhP5. You'll have to activate the business function LOG_EAM_OLC (Operation Account Assignment) to make it work. This will mean that the operation becomes the account assignment rather than the order header.

More recently in SAP HANA Live we created a link between the CO line items and the PP confirmations so you can report off them as if they were one line. This effectively means that you can report on the operation costs without changing the underlying structures in the ERP tables.