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Former Member

Costing lots size affect in BOM

If I maintain costing lot size in COSTING 1 view, is that affect in BOM component, routing?

If it is affect, where it can be?

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3 Answers

  • Best Answer
    Nov 06, 2017 at 01:41 PM

    Costing lot size is used in material cost estimate CK11N and CK40N. although you can change it manually while running CK11N T-code but this manual change option is not available in CK40N.

    costing lot size has direct impact on Lot size variance. it is recommended that costing lot size should be near to your production quantities. if a production order is created for a quantity smaller then the lost size then this will result in unfavorable variance. please note that it must be greater then the price unit. otherwise system will post error message.

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    • Former Member

      hi Muhammad

      thank you for answer

      when I am taking cost CK11N that time it is affect on setup time only which I maintain routing.

      but question is this costing lot also divided to BOM component?



  • Nov 06, 2017 at 06:10 AM

    Hi Akash,

    Costing lot size in costing view 1 is the default lot size for CK11N and CK40N. Example.

    MM03 - costing lot size is 100

    BOM - base quantity is 1 and component material A quantity is 1

    Routing - base quantity is 10, labour hour is 10 and overhead unit is 5

    When you run CK11N with default costing lot size 100. you will notice, material A quantity 100, labour hour 100 and overhead 50.


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  • Nov 07, 2017 at 02:33 AM

    Hi Akash,

    Since Muhammad mentioned about lot size variance. You can check these helpful link

    Lot size variance will only happen when you have fixed setup activity time or costs that do not vary with the lot size for standard cost and actual cost. If you do not have this prerequisite even though CK11N lot size bigger than production order lot size you won't have lot size variance


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