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Refurbishment Order Cost to be posted to WBS Element - not to Material moving average price

Former Member
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In our Business Scenario,

Refurbishment Order costs are to be posted to WBS element.

We configured the Settlement profile as Default Object type as WBS

The difference cost of Planned and Actual are settled to WBS, but before that when I do IW8W as per the standard, cost is getting updated in Moving average price.

For us this must not happen. The cost must not hit the Moving average price. While doing IW8W the cost has to be posted to WBS Element.

Can you please suggest

Raja


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Answers (1)

Answers (1)

sebastian_lenartowicz
Active Contributor
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Greetings Raja,

Approach this scenario like so:

Define a settlement profile with the Default Object Type = WBS and settlement allowed to WBS. Settlement to Material may be disallowed or optional. Plant Maintenance > Maintenance and Service Processing > Basic Settings > General Order Settlement > Maintain Settlement Profiles

Define an Order Type for your Refurbishment Orders, assign this settlement profile to it, and tag it as a Refurbishment order type under Plant Maintenance > Maintenance and Service Processing > Maintenance and Service Orders > Functions and Settings for Order Types > Configure Order Types & Indicate Order Types for Refurbishment Processing

This will allow you to process a refurbishment order while settling the costs to a WBS element.

Former Member
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Earlier, in my question, I have completed the activity, what you proposed.

For me now Settlement happens only to WBS. No issues on it.

But when I do IW8W, in Refurbishment Order, the cost hits the moving average price of the Material, not to WBS.

Any Idea please

Former Member
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Refurbishment order consists of not only costs but its having revenues. Once you do IW8W, revenue will be added to order with offsetting the material price.

While doing settlement, cost will be settled to WBS. If you don't want the price to be increased, then don't follow refurbishment process. Follow normal PM process.