Go Live Without Standard Cost Estimate

[Former Member]

Dear All SAP Experts,

Please Help me and Suggest me,

GOLIVE 19th August 2010. ( Inidan Client)

Client is not supposed to closed production and sales activities for 7 working day to Run Standard cost estimate for 32 plants in details.

So What are nagative implecation i and client can face in support phase.

From the point of

-Inventory valuation.

-Production Activity

-Sales point

-variance calculation

-Settlement

-WIP

-if any please.

We implemented in Production ( PI,REM,Production process, and COPA with Planning), we are going live for all modules (PP,SD,MM,CO,FI,PS,PM,QM,BI,CS,HR)

please let me know in advance

this is one of the major challanges for me.

Thanks & Regards.

Vinu.

[ajaycwa1981]

Hi Vinu

1. If you dont release cost estimate for Price control S materials, you need to maintain a manual price in MR21. Else, your inventory will be uploaded at zero value

.2. Later on, when you release cost through CK11N, it would throw a price difference. You should be ready for this

3. You should have started your cost estimate process way in advance if your go live is on 19th.

4. Your variance analysis will go for a toss. Till the time you release cost estimate, you will only get "remaining variances" in the variance calculation. system wont be able to bifurcate the same

5. It wont have any impact on WIP. However, if you are in prod cost by period, WIP is dependant on target cost. So, absence of std cost may also affect WIP

6. Your cost breakup wont flow to COPA if you do not release the cost estimate. And if you have configured costing key in COPA to issue an error msg in the absence of released cost estimate, you should be ready to face the error or temporarily deactivate the tick in costing key

Regards

Ajay M

[Former Member]

Hi Ajay,

Thanks for the valuable information.

1. I am not getting production System before 19th inventory all most 60 thousand FG Inventory .if not consider 110 Depots. still inventory loading not yet completed. so no chance i will get system prier to 19th.

2.FG inventory we kept MAP Price because seasonable production stock keep will be longer days and other requirements so this is accepted by client.

Non seasonable products we kept FG price indicator is Standard price. Price difference will be consumption a/c as per client requirement we are not kept price difference a/c separately it will a consumption a/c...please let me know pros and concern about it

While uploading Material master Inventory price also taken in consider.

3.Already we communicated about production variance part it will be MAP loaded to same material while settle the PRD order .

4.daily production order confirmation will be on daily basis...not an issue about it ..still i have taken consideration.

5.I have created costing key but i have not activated Dervation rule in maintain version if any thinkg more please let me know

and i am not activated error message in costing key .

Regards

Vinu.

[ajaycwa1981]

Hi

If you have taken care of all concerns, it is OK

But you are doing a serious mistake, it seems. You said you have price control V for FG-Seasonable materials. Are these manufactured by the client? If yes, kindly go and change price control to S. Else, you will impair the inventory valuation for good

Few days back it was explained in one of the threads, in case you are interested to see, here is the link

I strongly recommend to change it to S if it is manufactured in house

Ajay M

[Former Member]

Hi Ajay.

Thanks for the valuble replay,

We have taken necessary action about price indicator V.

our initial discussion was with client about price indicotar S strongly recomanded ...long debate....finally ..they we have agreed .provide that conditions are ..actual overhead rate will not be loaded..and no partialy production order comfirmation if so day end all partial order will be Teco and immedite settlement should be done and .daily production order settlement for food items...authorisation will be given to Production person only few case...and daily monitor the staus of production oders...

Further we trying for auto settlement of food order types...

Thanks & Regards.

Vinu

[Former Member]

Hi,

GOlive has completed....

now we are in suppor phase.

Thanks & Regards.

Vinu.