Costing run for MRP-MPN set

[Former Member]

Hai,

I am using MPN concept in my process.

Here I am getting one problem while going for Costing Run.

1. In BOM component for FERT is maintained as leading part. on which there is no Inventory maintained or no value for this material in Material Master so in costing run it is taking that value.

2. How costing run consider the MPN materials for Costing.

Thank & regards

KM

[Former Member]

Hi,

Normally while creating the material master, we will maintain some approximate value in the accounting view. Then later while running the cost estimation, it will explode the BOM, routing it will calculate the BOM item component costs and the activity costs and the same it will update in the costing 2 view. This is the concept of standard cost estimation.

MPN material is the manufacturer part no. While procuring the component or while supplying the components to the supplier we need to supply the material as per their material no we need to supply them or procure them. But for our easy handling or to follow our own system we will me maintain the different material no. This 2 things we need to link MPN profile and the MPN material no. When u order your own material, the system in turn will create a purchase order with the vendor material no. This is the MPN material logic.

regards,

V. Suresh