Does the record in the maintain project parts table have anything to do with project costing? I heard a long time ago that it can affect estimated costing, but am unsure how this can happen.

Does anyone know if there is any financial impact of having/not having project parts?

Hi,
As far as I can recall there is no financial impact or costing by project part...therefore its purpose is just to organize project manufacturing.
Regards,
Pedro

The project parts are used to calculate the estimated cost. If you have no project parts or a quantity not matching the actual sales order you will get an estimate based on the quantity in paroject parts. The actual cost is based on the actual costs of the project. If you are using Estimated costs for posting to Cost of goods this becomes more critical than if you are using actual costs since the variance will be based on the actual vs the variance. Hope this makes sense.

Thanks for your response. I understand it now. I have one question: Do you need project parts for all items? Or if you have the high level as a project part only, then the customized items below it will be included in the calculation?

The items that are in the BOM of the projectpart will be included in the calculation.

Project parts are only the shippable parts (normally top level). They should not be parts lower in the bill of material unless there is a separate line for them on the sales order.