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what is routing in product costing

Former Member
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Hello Gurus,

What is routing ? can you explain clearly i dont know about this? what is the purpose and where it will be used ?

Accepted Solutions (1)

Accepted Solutions (1)

Former Member
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did u already search the forum before posting??

Former Member
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hello Santhosh,

I checked before posting but i didnt get answer for my query. thats why i posted. Pls can you explain what is routing ? where it will be used and how?

can you provide good material link for the product costing?

Former Member
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ROUTING :

IT IS PART OF PRODUCT COSTING AND PRODUCTION PLANNING.

ROUTING IS NOTHING BUT LIST OF / SEQUENCE OF ACTIVITIES WHICH ARE REQUIRED TO PERFORM TO PRODUCE ANY MATERIAL.

ROUTING FOR A MATERIL WILL BE MAINTAINED IN PP MODULE .

RATES / COST'S FOR ALL THOSE ACTIVITIES WILL BE MAINTAINED IN CO.

WHEN YOU DO COST ESTIMATE FOR THAT MATERIAL, SYSTEM TRIGERRS THE RELEVANT ROUNTING , AND ACTIVITY RATES FOR ALL THOSE , MENTIONED IN ROUTING, AND ADDS TO THE COST OF THE MATERIAL.

Answers (2)

Answers (2)

Former Member
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Hi,

Routing is the sequence of operation/activites through which production takes place across the work centers which is created by pp consultant.

Former Member
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Hi,

Routing is the sequence of operation/activites through which production takes place.

The master data will be created through CA01. Here you assign work center also.

To this work center on can assign cost center and activities rates.Which will helpful to calculate procesing cost in prodcut costing.

Best Regards,

Sainath

Former Member
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Thanks santhosh,

Pls can you provide any material or link for product costing ?

Former Member