Product costing for 2 BOM

[Former Member]

Hai gurus,

I have one issue in my PI process:

My client is whisky manufacturer, They use old recycled bottle and new imported bottle for their whisky filling process.

1) The cost of old bottles is for example Rs10/-

2) The cost of new bottles for example Rs 25/-

3) So daily they use old and new bottle for filling in the shop floor( under non SAP situation)

4) If i Map SAP for the above situation how to confirm the qty produced as they mix both old and new bottles and do

the costing.

5) As per my knowledge can i use Two BOM one with old bottle and one with new bottle and Run MRP and create

planned order for 'X' qty for new bottle and 'Y" qty for old bottle.

6) convert the planned order partially under new bottle (X) on daily basis to process order and confirm the daily production.

7) Convert the planned order partially under old bottle (Y) on daily basis to process order and confirm the daily production.

Kindly confirm whether i am right and also suggest me the right process for the same

regards,

sekar chand

[rupesh_brahmankar3 · Accepted solution]

Dear,

You can use the Mixed costing fro this,

You have to maintain production versions on the material master (view MRP4)

Then you open this versions in ck91n

Then you enter mixed ratios in ck94

Then you run ck11n

Please also refer my reply from this link,

Regards,

R.Brahmankar

[Former Member · Accepted solution]

Hai Mr Brahmankar and Mangal,

Thanks for your valuable reply, My understanding on your reply is that we have to do std cost estimate for the old and new bottles.

That is based on the BOM or Production version.

So once the standard costing is done i will mark and release the same.

so while running MRP how to select the BOM , because in shop floor they use both Recycled and new bottles based on the

availability at stores, and production persons are not concerned with the bottle where it is coming from , if that is the case how

to select the BOM and run MRP.

The MRP running is done at starting of the month and the plant people will convert the planned order partially to process order and confirm the qty on daily basis.

so if that is the case how the costing will be calculated for new and old recycled bottles consumed .

waiting for the positive reply.

Regards,

sekar chand

[Former Member · Accepted solution]

Dear Sekar,

in MD04 itself go to change plan order &

change the production version if required (manually) & convert partially to process order

Regards

kumar

[Former Member · Accepted solution]

Hai gurus,

Based on the Reply so far, kindly confirm the process and correct if I am wrong.

1) I create a Material master for New bottle with Price as Rs25/-( For E.g.)

2) I create a Material master for Recycle bottle with price as Rs10/-( For E.g.)

3) I will create a production version based on the BOM1( New bottle) and

Enter the version (1) in the Material master (MRP view 4).

4) I will create a production version based on the BOM2( Recycle bottle) and

Enter the version (2) in the Material master (MRP view 4).

5) Then open the version in T.C = CK91N and enter mixed ratios in T.C = CK94.

6) Then run standard costing using T.C = Ck11N.

7) Create PIR and run MRP using BOM1 ( Production Version 1)

😎 Convert planned order to process order partially ( on daily basis) based

On the Production version 1(BOM using new bottle)

Or Production version 2(BOM using recycle bottle) based on bottle usage.

9) Process order confirmation once the quantity is completed and settle the

the order accordingly.

Regards,

sekar chand

[Former Member · Accepted solution]

Hi

After creating new bottle and recycle bottles as materials. Use both materials in the bom and just backflush the quantities used. This is more practical approach and help in acheiving more realistic costing

krishna

[Former Member · Accepted solution]

Hai krishna prasad,

Thanks for your reply, so ur suggeston seems to be good, but when we create the old and new bottle in the BOM and run

MRP the requirement will be created both for new and old bottle which is double the requirement qty.

For eg : Actual bottle requirement is 1000, so after MRP requirement will be 1000 for new bottle and 1000 for old bottle , how to

solve this issue.

Waiting for the positive feed back.

Regards,

sekar chand.

Edited by: sekar chand on Aug 3, 2009 5:56 AM

[former_member184655]

Dear Chand,

Check this link,

Regards

Mangalraj.S