Period-End Closing - Plant
This scope item helps you to ensure that the costs incurred during production activities (such as materials manufactured in-house) are assigned to those activities. The costs are allocated to the corresponding products in profitability analysis.
Key Process Steps Covered
- Run assessment cycle for quality costs
- Record purchase-order-related accounts payable transactions
- Release blocked invoices
- Ensure that goods movements are complete - postprocess faulty goods movements
- Open new materials management (MM) period
- Run actual overheads calculation for production and process orders
- Perform preliminary settlement for co-product
- Calculate work in progress (WIP)
- Run production, process order, and product cost collector variance calculation
- Settle variances
- Analyze variances
- Close completed production orders
- Analyze production costs
Benefits
- Get transparent view of production costs for materials manufactured in-house
- Process automatically and efficiently