Friday, October 11, 2013

Product costing related errors



Introduction
This document is about how we can manage costing of materials effectively through CK40N transaction. In this I will explain what are the key points that need to be taken care while doing the costing at plant or co. code level. From when we create a costing run till the release of cost estimate, the system can give different types of error messages, so here we will see how can avoid or resolved such issues.  

Costing Run Name:
In CK40N first of all we need to define eight digits (alpha numerical number) as costing run name with costing run date. This is used to execute the costing at plant or company code level. While defining the costing run name we need to be careful for the name of costing run keeping last six digits as unique, otherwise at the time of executing Analysis step in CK40N the system could overwrite the details of some other costing run.

For example if we create two costing run at the same date (e.g. first run as “AA110000” & second run as “BB110000”.) In both the costing run the last six digits are same and if we run both the costing run on the same date then whichever costing run executed last will overwrite the Analysis of first costing run. So as a result the cost analysis becomes inconsistent in first costing run and if we are using more than two costing runs then only one costing run will give correct analysis and remaining will give wrong analysis of materials. In that situation the details can be displayed for material of other plant and other company codes. 
So to avoid the issues at the time of Analysis step; need to use last six digits as unique for costing run name (for more details please refer SAP Note 853273) 
3.  
3.         Errors handling at Costing step:  
When we execute costing in CK40N, then system calculates the cost estimate for all the materials selected at the step “Structure Explosion”. Here system calculates the standard cost of materials on the basis of strategic sequence mentioned in the “Valuation variant” in costing variant. It considers the planned price and additive cost for external procured materials and in addition BOM, production version, routing and recipe for in-house produced materials.  The most of the costing errors occurred at this step.
i.                    CK694: No structure could be determined for cost element:
CK694 is generally a program error. But need to check for which cost element the issue has occurred. First of all check the cost component structure whether the said cost element is assigned in structure or not. Generally if a cost element is newly created then it can be issue of cost component structure, otherwise not. If everything is correct in cost component structure then check type of cost element, if it’s a secondary cost element and representing an internal activity then check whether Plan activity price has been calculated or not. For maintaining plan activity price we may need to maintain capacity in KP26 and plan expenses in KP06. If activity price is already maintained for the cost center and activity then check whether cost component structure is working fine or not.
Check the report S_ALR_87013644, whether the cost component split is working or not for the activity and cost center. Here if we don’t find the split of cost into cost component that indicates the program error. To resolve the error get OSS note 1872228 “No Cost Component Split in Plan Price Calculation” implemented.
ii.                  CK168 Cost estimate for material /plant is incorrect
CK168 error generally occurs at main materials due to the issues in raw material or semi-finished goods of lower level. 
Check the material types of all the lower level materials from BOM of material xxxxx. If the lower level material is external procured “F”, then planned prices could be missing or with invalid date. To resolve the issue for “F” material check the valuation strategy of costing variant, see the priorities maintained for calculating the material cost, like Planned Price 1/2/3 etc and then validate in the material master data whether a proper price is maintained or not. Always keep in mind that the date of planned price should always be equal or less than the costing run date.  
If the materials are in-house produced materials then check whether any activity price is missing or not or the issue can be because of Bill of materials.
iii.                CK239 Cost element is not assigned to cost component
If the cost element is newly created then check cost element in cost component structure and see whether the cost element is properly maintained or not.
If the cost element is representing an internal activity then the issue is relating to Plan activity rate calculation. Cross verify with activity rate report KSBT, whether a valid plan activity rate exist or not, if not then maintained the plan activity rate through the standard process. 
iv.                 CK 466 No price could be determined for internal activity
CK466 is occurred because of missing plan activity price. The same process need to be followed as that in case of CK239. First check KSBT report, whether a valid plan price exist for cost center and activity if not then maintained capacity in KP26 and plan expenses in KP06. After entering the data need to execute the Plan cost split through KSS4 and then Plan activity rate calculation through KSPI.
v.                   CK465 No price could be determined for material/batch /plant           
CK465 occurred for in-house produced materials. The reason could be the missing planned price or fixed values for materials from material master data.  To resolve first check the valuation strategy of costing variant, see the priorities maintained for calculating the material cost, like Planned Price 1/2/3 etc and then validate in the material master data whether a proper price is maintained or not with correct date.
vi.                 CK256 No cost field for fixed costs has been defined

Solution for error is same as that of CK465. This issue also occurred in external procured materials. 
vii.               CK424 Material in plant has no BOM

CK245 errors occurred due to the incorrect BOM for in-house produced materials. To resolve the issues check whether the Bill of material is maintained correctly or not. In some of the cases this error can arise to a sub-contracting materials i.e. procurement type “F” with special procurement key as “30”.
viii.             CK476 Recipe group does not match selection ID

CK476 occurs when production version is not maintained properly. Check whether any production version maintained to consider the costing lot size in material master data. If the costing lot size of material in not in the range of different production version then system can issues this error. It may arise due to wrong recipe group. Cross verify the production version with material master data team. 
ix.                 CK740 Material in plant belongs to cycle xxxx costed with error                                       

This error generally arises due to error CK476. Same process need to be applied.
Check whether the system is picking “Alternative BOM” in place of “Main BOM”. If the system is picking alternative BOM then ask the production team to rectify the production version.
x.                   CKBK010 Field overflow in cost component split

This error can occur because the resulting quantity or value cannot be recorded in the corresponding data element field as it goes beyond the 999,999,999 max thresholds.
As an example, the program can select a Production Version rework (Alternative version) and not an ordinary one (main production version), with a material made up of the same material and quantity. This results in an exponential value after the cost estimate pre-defined iterations higher than the 999,999,999 limit.
Check with the master data management team to rectify the production version.

xi.                 CK692 Production Version x for material x in plant x does not exist

This error message means arise when Production Version (PV) is missing. So check PV, if it does not exist then create the production version or if it is existing then this error can be ignored and only analyzed the previous/subsequent errors ones referring to the same material/plant combination.

xii.                CK430 Missing formula in work center x

It happens seldom when an activity type’s quantity is entered in the recipe group’s operation and no formula has been maintained beforehand in the resource of the operation.
This error is to be corrected by MDM (master data management) team under the supervision business make team.
xiii.              CK240 Cost component split costed with value of zero

This error does not come alone. It only happens when other errors prevent the material from being costed. Focus should be on identifying another error belonging to the same material and resolving it. Once done, both errors will disappear.
This message can be ignored and only analyzed the previous/subsequent ones referring to the same material/plant.
xiv.              CK322 Consumption account cannot be determined

This error is caused by material master data issues i.e. assignment of the material to the temporarily valuation class. This message can be ignored and only analyzed the previous/subsequent ones referring to the same material/plant, normally CK597 Costing items for material x in plant x without cost element.

xv.               CK380 No valid source of supply could be found

This error occurs only for subcontracted materials, procurement type F-30. It means that source of supply (Transaction ME01) has not been maintained correctly or it expired (either validity dates, or fixed vendor). It may also mean that info record subcontracting (Transaction ME11) has been maintained incorrectly. When it happens, purchasing department must be contacted to check the source list and the correctness of master data and update the missing details such as validity dates or fixed vendor switch.
4.   Conclusion
With the help of this document, I have tried to explain how we can manage costing of products and how to overcome from different types of costing errors.

33 comments:

  1. extremely helpful! thanks for posting

    ReplyDelete
  2. Hi Rajesh, do you have explanation for error CK468? Thanks.

    ReplyDelete
  3. Great share. This is very helpful for who wants to learn professional Education. Product Cost estimates are the calculation of the cost of a material based on settings from the material master and additional master data such as BOM, routing or master recipe, and a production version. Thanks for explaining that how we can manage costing of materials effectively through CK40N transaction with Good Examples.

    ReplyDelete
  4. A lot of us resolves most of theQuickBooks Payroll Support Phone Number issue this type of a fashion that you will yourself believe that your issue is resolved without you wasting the time involved with it. We take toll on every issue by making use of our highly trained customer care

    ReplyDelete
  5. QuickBooks technical help is present at our QuickBooks Enterprise Technical Support Number this and gets your solution from our technical experts.

    ReplyDelete
  6. They move heaven and earth to offer you the best solution that they can.QuickBooks Enterprise Tech Support Numberservice executives have a lot of experience and therefore are sharp along side smart in finding out of the particular cause and optimal solution of every error that you may face.

    ReplyDelete
  7. As QuickBooks Payroll Support Contact Number we utilize the responsibility of resolving all the problems that hinder the performance associated with the exuberant software. There clearly was sometimes a number of errors that could bother your projects flow, nothing should be taken as burden with that said because the support team of Quickbooks Payroll customer service resolves every issue in minimal some time commendable expertise.

    ReplyDelete
  8. Account management, tax calculation, and deduction are not at all interesting things you can do in the field. It could even function as the most time consuming and confusing. In the event that you own any business and desires to grow its graph, you must have to carry out these tasks. AccountWizy offers the best QuickBooks Payroll customer services to our clients and solves your queries at QuickBooks Payroll Support Number.

    ReplyDelete
  9. These are generally surely working twenty-four hours a day to help and make suggestions if you run into any QuickBooks error/s. Our Intuit QuickBooks Phone Number
    surely have in-depth knowledge concerning the problems and issues of QuickBooks.

    ReplyDelete
  10. QuickBooks has been recognised around the globe as the most effective and useful accounting software. QuickBooks Tech Support Number customer service executives that really work with you on QuickBooks Support contact number are responsible to manage every Quickbook technical issue that creates in QuickBooks software.

    ReplyDelete
  11. Enterprise support number provides you with proper assistance whenever you want it. You can avail Enterprise Support using E-mail yet QuickBooks Enterprise Tech Support Number serves to be the best form of assistance. Here our experts will answer your call and supply you perfect solutions on QuickBooks Enterprise resolving most of the issues faced by you.

    ReplyDelete
  12. Enterprise support number provides you with proper assistance whenever you want it. You can avail Enterprise Support using E-mail yet QuickBooks Enterprise Support Number US serves to be the best form of assistance. Here our experts will answer your call and supply you perfect solutions on QuickBooks Enterprise resolving most of the issues faced by you.

    ReplyDelete
  13. For just about any issues like these, you could have commendable the help of our learned and experienced customer service executives at QuickBooks Enterprise Support . They move heaven and earth to offer you the best solution they can.

    ReplyDelete

  14. Our QuickBooks Technical Support Number channel- We comprehend the complexity and need using this accounting software in day to day life. You can’t look out for just about time for this to obtain a fix of each single QB error.

    ReplyDelete
  15. It is possible to dial the QuickBooks Tech Support Phone Number to possess a spoken language because of the QuickBooks Specialists or else you can even talk to them by victimization the chat choice on our internet site.

    ReplyDelete
  16. Any errors related to QuickBooks software may damage your computer data you could fix them through QuickBooks Support Number
    and QuickBooks 24/7 Support is always there to help. We solve, manage, which help you to deal with any technical problems and guarantees that this system works well.

    ReplyDelete
  17. If you want any help for QuickBooks errors from customer service to get the way to these errors and problems, it really is an easy task to see of QuickBooks Tech Support Number in order to find instant help with the guidance of your technical experts.

    ReplyDelete
  18. QuickBooks it is possible to manage your money, sales, business, profit, taxation and your expenses. You could get the updated information whenever and wherever you need. Support For QuickBooks version is made to manage business , financial & accounting requirements needs efficiently. By the inbuilt tools of marketing , inventory , products and supplies you can run your company according to your needs , So business can run smooth .

    ReplyDelete
  19. However, if you are facing any trouble or perhaps not in a position to perform the troubleshooting steps on your own own own, avail our QuickBooks Support Number available twenty-four hours every single day to solve any QuickBooks related issues instantly.

    ReplyDelete
  20. Unneeded to state, QuickBooks Tech Support Number has given its utmost support to entrepreneurs in decreasing the price otherwise we’ve seen earlier, however, an accountant wont to keep very different accounting record files.

    ReplyDelete
  21. In conclusion, don’t hesitate to call us on our QuickBooks Online Help Number. We have been surely here for you personally. In conclusion, any error, any problem, any bug or whatever else pertaining to QuickBooks related problem, just call our QuicKbooks Tech Support Phone Number.

    ReplyDelete
  22. Our specialist can surely do wonders as well as do it each and every day when a person comes to us with their QuickBooks problems. Our Support For QuickBooks team, especially, tackle every bugs and error of QuickBooks. Because of this, among others:

    ReplyDelete
  23. Our QuickBooks Tech Support Phone Numberteam is enthusiastic and makes best usage of its experience. They just do not let go any issue even if it is fairly complex.

    ReplyDelete
  24. Intuit publicized the production of QuickBooks 2015 with types that users have been completely demanding through the past versions. Amended income tracker, pinned notes, better registration process and understandings on homepage are among the list of general alterations for most versions of QuickBooks 2015. It can help for QuickBooks Enterprise Tech Support Phone Number to obtain technical help & support for QuickBooks.

    ReplyDelete
  25. You really need to decide the QuickBooks Support Phone Number. the terribly second you get a slip-up in your screen. it’s potential that you just may lose information, or get corruption in your record or company file if the error prolongs.

    ReplyDelete
  26. In the event, the QuickBooks Error 6000-301 still persists then immediately relate genuinely to the QuickBooks support team. They assure to rectify the cause of the error and deliver the right answer to resolve the problem along to required guidance.

    ReplyDelete
  27. QuickBooks Payroll Support Number on the net is the absolute most desired software when it comes to coping with one’s finances and managing it. This software has equipped almost all the QuickBooks user with so much strength which they feel accomplished.

    ReplyDelete
  28. Any QuickBooks Tech Support user faces any sort of identified errors in their daily accounting routine; these errors can differ in one another to a sizable degree, so our dedicated QuickBooks Customer Service Pro-Advisors are very well designed with their tools and expertise to produce most effective resolutions very quickly to the customers.

    ReplyDelete
  29. It is common to face banking errors like QuickBooks Error code 9999. When such an error takes place, the system tends to freeze for a couple of seconds on repeat. This situation can obviously affect business awfully. If you would like to learn How To Fix Quickbooks Error 9999, you can continue reading this blog.

    ReplyDelete
  30. This post is extremely radiant. I extremely like this post. It is outstanding amongst other posts that I’ve read in quite a while. Much obliged for this better than average post. I truly value it! best sap course training institutes in hyderabad

    ReplyDelete