Define Variance Variants

In this step you define the variance variants . Variance variants determine what categories are calculated.

The following variance categories can be calculated:

Variances on the input side:

Input price variances are the differences between the planned prices and the actual prices of the resources used. If this indicator is set, you should make sure that:
Input quantity variances are differences between the planned and actual input quantities of the resources. If this indicator is set, you should make sure that:
A resource-usage variance arises when a different resource is used than was planned.
Remaining input variances are differences on the input side that cannot be assigned to any other variance category on the input side (such as overhead).

Variances on the output side:

Lot size variances are differences between the planned fixed costs and the charged fixed actual costs. Lot size variances can only be calculated for target cost version 0.
Output price variances are differences between the target credit (at the standard price) and the actual credit (for example at the moving average price). Output price variances can only occur for materials whose price control indicator is set to V.
Remaining variances are variances that cannot be assigned to any other variance category (for example, rounding differences). If the system cannot calculate any target costs, only remaining variances will be calculated.

Variances are calculated for all variance categories that are selected in this view.

The Minor Differences field enables you to have small amounts charged and settled as remaining variances, although they are still assigned to the relevant variance category in the detail screen of variance calulation.

Standard Settings

The standard system contains a predefined variance variant.

Actions

Check whether the standard variance variant meets your requirements. If you require a new variance variant, proceed as follows:

1. Select New entries and enter a key and a name for the new variance variant.
2. Select the desired variance categories.
3. Save the variance variant.