Skip to Content
0
Former Member
Nov 18, 2010 at 09:56 PM

CK11 costing of repeated component item on bom

22 Views

Looking for a product costing solution to the following scenariou2026

Bill of material contains a component that is listed twice, but with a different procurement indicator (purchase vs. production) for each occurrence. The reason for this is that these are boms for repair and it is not known until the end item is disassembled whether the components will need to be replaced (and therefore purchased) or repaired (produced). The procurement type on the material master is u2018Xu2019 for both procurement types. Using historical statistics, an estimate is done for what the produced vs. purchased quantities of the component should be. For example, a repair calls for 10 of a certain component. Historically, 70% of the time, the component can be repaired and 30% it will have to be replaced. So, the component is listed once on the item list with a quantity of 7, and procurement indicator of production. Itu2019s then listed again with a quantity of 3, and a procurement indicator of purchase. From a logistics execution standpoint (production, MRP) this process is working.

The problem is using CK11 to cost the end item. While a cost estimate is created for the component, itu2019s based on the first listing of the component. So, using my example above, if the production alternative quantity was listed first, all 10 would be valued at the production value.

Any ideas on how I can get around this? Iu2019ve looked at mixed costing, but this would require additional maintenance for the procurement ratios, which we are trying to avoid.

Thanks in advance