BOM, Routing, Material Documents

Hello everyone, in today’s session, we will learn about controlling and costing in SAP Finance. Now before moving ahead with this session, let us summarize what we have learnt from our previous session which was on Dunning Process. As we all know that dunning is a process of reminding the customers about the outstanding payments period wise. Now, under that Dunning Process session we have learnt how to calculate the interest based on MSMAD, then how to calculate the interest on areas without posting. Then, we have learnt how to do interest rate maintenance. Then further we have learnt about letters, like letters sending to the vendors based on account statement, open line items and restrictions in payment terms, etc. So these were the topics which we explored under dunning process session. 

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Now under this controlling and costing session, we will cover how to display BOM, that is Bill of material. Then we will see how to display routing, how to view the cost of a final product, display production order, then production order confirmation. We will see how to view or display a material document then how to get the actual cost of production order settlement. Then what is overheads assessment cycle, executing assessment cycle, then we’ll see month and process WIP calculation. Then settlement of orders which are in WIP and last we will see changing the cut off period. So this is the course content for this particular session on controlling and costing. 

Now let us see the first part, which is display of BOM, that is Bill of material. Now here for displaying a bill of material, we use transaction code CS03 and for multi level display of bill of material we will use transaction code CS11.

So here, for viewing the bill of material we have used the transaction code CS03. So this is the display view of bill of material. Here we will have to provide the material code, plant and we’ll provide the usage of bill of material as 1. After providing this entries we will press the enter button. So here remember that the plant which we have used for an example is 1310. So after pressing enter we will get a screen that is a display view of the bill of material.

So, it will contain the line items which are there in that particular bill. So this is how we get the display view. And after that we’ll have to double click on this particular line item which is shown here. so we will double click on this line item. After that we will get a description where we have tabs like basic data status/ long text, then administration and document assignment.

So we will get some details where it will show the status of the bill of material, the document assignment and the basic data for that particular bill. 

Next, we’ll see how to display routing. Now here we’ll use a transaction code CA03.

So this is the screen for displaying routing here we’ll have to provide the material and plant and we’ll click on the routing or operation button. So here we’ll use the same example as our previous one. So here this is the material and plant as 1310. After providing this, either we’ll click on this routings button or operations button. So once we click on those buttons we’ll get a routing operation overview screen. 

So this is the operation overview. It has operations, work, planned company code and description. So here it is giving an overview of the routing operation. So this is how we display routing. 

Next, we have how to view the cost of a final product. For viewing the cost of the final product we’ll use the transaction code CK11N.

So, this is the screen for material cost estimate with quantity structure. Now here for viewing the cost after maintaining the bill of material and routing, we’ll provide the costing variant and costing lot size, and we’ll press enter. So here for viewing the cost of the final product this is the transaction code which we will use. After maintaining the bill of material and routing, we can provide the cost variant. So here this is the cost variant and we have to provide a costing lot size. So this is the costing lot size, and after providing this we will press the enter button and again we will get a screen where we have to again press the enter button. So after that we will get a costing structure screen.

So we have to press the enter button two times. So, this is the costing structure screen. This is the material which we have created and this is the line item for that so we’ll double click on this material we’ll get this detailed description that is a costing structure. So here we have costing data, dates, quantity structure, valuation, history and cost. So here we have clicked on the cost tab and we have got the detailed description of the costing lot size. Then here this is the component view where it is containing total cost and fixed cost. This is a variable which we are getting and this is the currency rate. These are the line items, that is the items in under this material implant 1310. So for this we do not need to save any transaction. We can directly come back to the original screen. So this is how we can view the final cost. 

After viewing the cost for the final product, we’ll see how to display a production order. Now a vendor has placed an order into the production system, so we need to display that. So we will view that particular production order by using the transaction code CS03.

So this is the production order display screen. Here we’ll have to provide the order number which is generated in the production, and we’ll have to select the radio button as display overview. So after selecting that, we’ll press the enter button. After that we’ll get this screen where it will give the details of the general data, assignment, goods, receipts, control data, dates and quantities, master data, etc. 

So this is the display view for the materials, that is the order which is been placed in production by the vendor. So this was the production order display. This is how we get the display view for the production order. That is we can check how the order or what is the order placed by the vendor.

Now after that we have to get the confirmation. So we need to check the production order confirmation. For that we will use the transaction code CO11N. So after displaying production order we will see the confirmation for the production order. So This is the transaction code CO11N screen.

So here we’ll have to enter the order number and the operations. So here this is the order number which we have used in our previous example and we have to provide the operation in this field. So after providing this data we’ll have to click on the save button, so this entries will be saved in the production. So this is how we provide an order confirmation to the vendor. 

Now after the order confirmation, we have to view the material document which we have generated. So for that we will use a transaction code MB03.

So MB03 we’ll enter and we’ll get the display view of the material document. So this is the data entry display view for that particular document. And if you click on the general ledger view, we’ll get the general ledger view for that particular document. Now, here system will take last updated price for goods receipts of FG. So, here for getting the actual price on product, we need to settle the production order.