Process: RtR

Macro-Process: Costing / Product costing

Scope: Level 1

Risk

FRA justifies the usage of manual costing vs a reference list validated by plant manager and GCCO, controls inventory revaluation and analyzes variances   

Control owner

FRA

Due date

D5 

Frequency
Process description

Standard costs are updated every month to ensure inventory valuation and cost of sales accuracy.

Control description

FRA:

  1. compares list of manual costing vs result of ZWOCO50 transaction 
  2. analyzes product costing variances month over month and checks that there were no blocking errors (CK40N reports) 
  3. analyses variable costs and production fixed costs (ZWPP40A reports)
Control evidence

IAC 01.02 Monthly variance analysis, CCR, manual costing.xls 

Former Controls: IAC 03.08.05 / IAC 03.08.06 / IAC 03.09.00.01

Guideline