Group Costing for Materials

Description

Group costing provides a detailed analysis of the costs incurred in complex procurement, production and sales relationships. Cost structures and value-added portions for each partner are retained and passed on to the next level.

Group costing can be used for the following:

Group costing is used with and without quantity structure.

Detailed breakdown of the value-added chain

The purchased materials and services of the enterprise areas in the value-added chain can be displayed in detail throughout the production process. The system can tell you which partner has provided a particular resource.

If a detailed breakdown is not required, the value-added portions of the other partners can be subsumed under the value added by the direct partner.

Multiple valuation methods

For material movements, three parallel valuations are possible:

The standard prices in the material master can be updated for all three valuation views.

Change system parameters in customizing

In Customizing for Product Cost Controlling, define partner versions and assign them to a costing type:

Define partner versions

Determine costing type

Further notes

Further information is available in the Implementation Guide to Product Cost Controlling and in the R/3 library under CO - Product Cost Planning.