Responsibility area: Monitor the consistency of the monthly cost calculation
The analysis must be performed by the FRA every month between D-5 and D-1 12pm
Scope
WW
WP2
PF2
Frequency
Monthly
References
Attachments
Guideline
STEP 1
Start the transaction using the menu path or transaction code CK40N
Double-click 
STEP 2
- enter the costing run of the month and
STEP 3
Expand
STEP 4
All error messages must be cleared
When there is a warning message, it often happens that there is a mistake in the costing. So even if it is not compulsory, it is recommended to check the warning messages and try to correct it.
Note: Sometimes, despite not having any error, some materials remain in column "Still Open". This is related with a technical issue linked to the mixed-costing materials. In order to correct the display table it's necessary to execute transaction CKSU.
STEP 1
WP2 + PF2
When there are error 
or warning 
messages, you must click on 
to analyse and clear them
STEP 2
WP2 + PF2
Click on 
to have the list of messages
STEP 3
WP2 + PF2
1 - Type of message
Error messages, must be cleared
Warning messages, must be analysed and cleared as much as possible
Information messages
2 - Message code
3 - Plant code
4 - Material code
5 - Message description
STEP 4
WP2 + PF2
You can double-click on a message to have a more detailed description of the issue
CK249 - Cost component split for material not saved
CK310 - Material is marked for deletion
CK380 - No valid source of supply could be found
CK468 - No price could be determined for subcontracting
CK354 - Material XXXX in plant YYY has material status Z4 : Material deleted
CK430 - Missing formula in work center xxxxx
CK862 - Material XXX in plant XXX does not contain any segment for in-house production
STEP 5
When errors are corrected and warning messages checked , costing analysis can begin. Click on 
STEP 6
Select the variant. In this example, we are using the variant /IAC0102
STEP 7
Filter the plant you are responsible for
STEP 8
Save in excel : local file => spreadsheet
STEP 9
Enter the directory & the file name and generate the file
STEP 10
All variances above a defined threshold must be commented. The threshold is defined by the FRA :
- Unit cost variance %
- Inventory revaluation value.
If the threshold is above +/- 10% at unit cost level or +/- 50 k€ at item inventory revaluation level should be authorized by RCOM.
Open the file
If:
- the unit variation is > 10% (or local threshold)
- or Anticipated reval is > 50 kEUR (or local threshold),
a deeper analysis is requested
In this example, the costing of the following materials 60444, 64151, 64158, 64235, 64248 have to be checked and validated
as the variance is above 10% or/and the revaluation above 50 k€
STEP 1
Ex : 64235 BASE DE NIGROSINE/SOLVANT NOIR 7 FUT
- We have to validate the MAP (Moving Average Price) by checking purchase orders of the month.
- It can also help to check the purchase variance of this material (KE30) to define where does the increase come from.
STEP 2
Display purchase orders with the transaction ME2M
Enter
- the material code & the plant
- the period
STEP 3
There is one purchase order to check.
=> Double-click on it
In march, the purchase price is 16,55 € / KG
It corresponds to the price invoiced
= 1 324 € / 80 kg
= 16,55 € / kg
At the end of M-1, the MAP was 6,64 € / kg. As the purchase price of M is 16,55 € / kg, it is normal that the MAP increases in M.
If there is a mistake in the calculation of the new MAP due to an error in the purchase order, invoice price etc:
- Ask to correct the purchase order,
- If the MAP is still not correct => use the field Commercial 1 in view accounting 2 to correct it manually,
- Prepare a documentation for control IAC 01.02
STEP 11
When the analysis is completed, insert the file with your comments in the file IAC 01.02 of the month (sheet "CK40N").
- Select "insert"
Click on “Object”
Select “Create from File”
Click on “Browse” and select the file
Check “Display as icon”
Click on OK
