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Product Costing: Enable Future price of raw materials for Standard Cost Estimates

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1.  Introduction

Company finalizes standard cost estimates for a given period in advance. That means all costs, including raw material, in the costing run need to be considered as applicable in future date. Standard Cost Estimates Transactions CK40N and CK11N read standard cost of raw material at the time of executing Standard Cost Estimates. So we need to develop process to load future standard cost and configure product costing valuation variant to read future standard cost from accounting view.


2.  Configuration and Development


2.1  Create LSMW to load future standard cost of Raw Material


2.1.1       Use Business Object Method (BAPI)


Business Object

BUS1001006

Method

SAVEDATA

Message Type

MATMAS_BAPI

Basic Type

MATMAS_BAPI01

 

2.1.2       Source Fields

MATNO

C(018)

material number

VALID

DMDY(010)

Valid from

PLANT

C(004)

Plant

PRICE

AMT1(015)

Price

PUNIT

N(006)

Price unit

 

2.1.3       Structure Relations

E1BPMATHEAD

Header Segment with Control Information

<<<< MAT_PRICES Material prices

E1BP_MARA

Material Data at Client Level

E1BP_MARAX

Checkbox Structure for BAPI_MARA

E1BP_MARC

Material Data at Plant Level

E1BP_MARCX

Checkbox Structure for BAPI_MARC

E1BP_MPOP

Forecast Parameters

E1BP_MPOPX

Checkbox Structure for BAPI_MPOP

E1BP_MPGD

Change Document Structure for Material Master / Produc Group

E1BP_MPGDX

Checkbox Structure for BAPI_MPGD

E1BP_MARD

Material Data at Storage Location Level

E1BP_MARDX

Checkbox Structure for BAPI_MARD

E1BP_MBEW

Valuation Data

<<<< MAT_PRICES Material prices

E1BP_MBEWX

Checkbox Structure for BAPI_MBEW

<<<< MAT_PRICES Material prices

E1BP_MLGN

Warehouse Number Data

E1BP_MLGNX

Checkbox Structure for BAPI_MLGN

E1BP_MVKE

Sales Data

E1BP_MVKEX

Checkbox Structure for BAPI_MVKE

E1BP_MLGT

Storage Type Data

E1BP_MLGTX

Checkbox Structure for BAPI_MLGT

E1BP_MAKT

Material Descriptions

E1BP_MARM

Units of Measure

E1BP_MARMX

Checkbox Structure for BAPI_MARM

E1BP_MEAN

International Article Numbers (EANs)

E1BP_MLTX

Long Texts

E1BP_MLAN

Tax Data

E1BP_MATRETURN2

Substitute Structure for Return Parameter BAPIRET2

E1BP_MFHM

Production Resource Tool (PRT) Fields in the Material Master

E1BP_MFHMX

Checkbox Structure for BAPI_MFHM

E1BPPAREX

  1. Ref. Structure for BAPI Parameter EXTENSIONIN / EXTENSIONOUT

E1BPPAREXX

Checkbox Structure for Extension In/Extension Out

 

2.1.4       Field Mapping and Conversion Rules

 

E1BPMATHEAD

MATERIAL

Material Number

Source:  MAT_PRICES-MATNO (material number)

Code:   

E1BPMATHEAD-MATERIAL = MAT_PRICES-MATNO.

CALL FUNCTION 'CONVERSION_EXIT_ALPHA_INPUT'

    EXPORTING

         INPUT         = MAT_PRICES-MATNO

     IMPORTING

          OUTPUT        = E1BPMATHEAD-MATERIAL

                    .

E1BPMATHEAD

ACCOUNT_VIEW

Accounting View

Rule:  Constant

Code:   

E1BPMATHEAD-ACCOUNT_VIEW = 'X'.

E1BPMATHEAD

VAL_AREA

Valuation Area

Code:   

E1BP_MBEW-VAL_AREA = MAT_PRICES-PLANT.

E1BP_MBEW

VAL_AREA

Code:

E1BP_MBEW-VAL_AREA = MAT_PRICES-PLANT.

E1BP_MBEW

 

PRICE_UNIT

Code:

E1BP_MBEW-PRICE_UNIT = MAT_PRICES-PUNIT.

E1BP_MBEW

 

FUTURE_PR

Code:

* Keep computing format for amount value (1234.56-)

E1BP_MBEW-FUTURE_PR = MAT_PRICES-PRICE.

translate E1BP_MBEW-FUTURE_PR using '" , '.

condense E1BP_MBEW-FUTURE_PR no-gaps.

E1BP_MBEW

 

VALID_FROM

Date as of which the price is valid

Code:

* date as MMDDYYYY

E1BP_MBEW-VALID_FROM = MAT_PRICES-VALID.

 

2.2  Create a background job to perform mass load from a flat file

2.2.1       Use Program /SAPDMC/SAP_LSMW_INTERFACE to create a job which will need to create a variant to reference the LSMW.

 

2.3  Proposed configuration

2.3.1       Change Valuation Variant assigned to the costing variant

               Product Cost Controlling --> Product Cost Planning --> Material Cost Estimate with Quantity Structure --> Define Costing Variants

 

Future 1.png

 

Future 2.png

 

 

 

Future 3.png

Strategy G should be maintained as priority 1. It means System would read future price first. if future standard price is not available then it would look for current standard Price. Standard Cost Estimates Execution When we execute CK40N or CK11N, we have to specify various dates based on Valuation Date, system derives Standard cost from MBEW .


Scenario A: MBEW Table

Materials Number

Valuation Area

Pricing Indicator

per

Moving Avg

Standard Prce

Future Price

Valid From

A110001

1001

S

100

0

1,103,443.00

1,104,554.00

2/1/2014

 

Future 4.png

 

Above Costing Run in Scenario A for a Material# A110001 would read Future Standard Price 1,104,554.00 which is valid effective 02/01/2014 from the table MBEW: This is because Valuation date in the costing variant if 02/01/2014

 

Scenario B: MBEW Table

Materials Number

Valuation Area

Pricing Indicator

per

Moving Avg

Standard Prce

Future Price

Valid From

A110001

1001

S

100

0

1,103,443.00

1,104,554.00

3/1/2014

 

Future 4.png

 

Above Costing Run in Scenario B for a Material# A110001 would read Standard Price 1,103,443.00 which is valid effective 02/01/2014 as current price from the table MBEW: This is because Future Price Valid from date is out of range for the valuation date in the costing variant if 02/01/2014.


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