I find a difference in the estimated and actual costs when I run one of the SFC costing reports, for a Production Order. Our integration account for 'production result' has a different amount.

How is 'Production Result', for material costs, calculated in baan IV c?

The Baan online help documentation on this issue is pretty good. Production Result is the differenece between ACTUAL and STANDARD Costs. Estimated costs are not part of this calculation.

Hi,

Production Result is calculated as difference of financial value (cost price*qty) of received product and the charged actual costs. Actual costs are coming from actual hours, actual materials and surcharges.

You can find differences between value of 'Estimated-Actual' and Production Result in several cases, e.g.
- produced quantity does not equal to Econ. qty. defined in item master (setup times shared to different qties during cost price calc. and prod. order calc.)
- Cost Price has not been refreshed although BOM or ROU were changed
- Changes in Estimated Mat. List (tisfc0110m000)
- etc.

In this cases, you will find non-zero Prod. Result although you did not produce any rejects and you booked only estimated quties (hours and mats.)

Hi Suresh/pergrep:
I am trying to filter only the Material Usage variance from the Production Result transaction but I have few closed work orders where these does not tie-up. Here is what I am doing:

A. Standard Material Cost = Material Cost (from Item Master) x Quantity Delivered on the production order
B. Actual Material Cost = Total dollar of all Material Issues to the production order

Material Usage Variance = A - B.

In certain cases, this Material Usage Variance does not tie to the Production(SFC)/Production Result entries that are posted in the integrations.

Ram.

Hello Ram,

It is better to get the Standard cost from ticpr300. Because
1) Material Surcharges may be part of Standard Cost but not part of the material cost used while posting integrations to that account.
2) If there was a Standard Cost roll after the order was closed you will have a different standard cost that was posted while closing the order.

The reports ticst0401m000,ticst0402m000,ticst1401m000,ticst1402m000 might of good help too.

Hello Ram,
look on integration lines (tfgld4510m000) of those closed production orders and
- check calculation by integration lines and you can see which cost prices were applied, by transactions.
- check if you had "Revaluation" lines; these can modify production result.
- you can check formula, by Cost Components:
Receipt - Issue + Reval.(+/-). = Prod Result

Note that Revaluation can be appied on received and issued materials as well.