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Tip 100 from 100 Things You Should Know About Controlling with SAP (2nd Edition) by John Jordan:

You can reference SAP Note 552486 for answers to frequently asked questions about Product Cost Controlling (CO-PC). Process orders provide you with extra functionality, such as phases and process instructions for process industries. 

The Online Service System (OSS) contains a database of useful information and advice on fixes for SAP system issues, consulting notes, and frequently asked questions. OSS Note 552486 contains advice on 14 SAP Controlling frequently asked questions. In this tip, we'll discuss how to access OSS Note 552486 adn we'll go over the note's first couple of questions and answers. 

I wasn't planning on publishing an SAP user guide. But when respected SAP writer Rehan Zaidi approached me, I realized he was right: SAP users need a clear and effective guide for getting started with SAP. They also need tips and tricks that can go undiscovered for years; Zaidi has plenty of those! So we embarked on our book project. The end result, The Ultimate SAP User Guide, is now available. 

Excerpt from 100 Things You Should Know About Controlling with SAP (2nd Edition) by John Jordan:

With the material ledger, you can carry inventory in up to two additional valuations and at actual costs, described as follows:

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Carry material prices in multiple currencies and valuations

Material inventory values are normally carried in only company code currency. The material ledger enables the system to carry inventory values in two additional currencies/valuations. This is achieved by updating all goods movements in the material ledger in up to three currencies or valuations. Currency amounts are translated into foreign currencies at historical exchange rates directly at the time of posting. 

Value inventory at actual costs

Actual costing valuates all goods movements within a period at the standard price (preliminary valuation). All price and exchange rate differences for the material are collected in the material ledger.

At the end of the period, an actual price is calculated for each material based on the actual costs of the period. This actual price is called the periodic unit price and can be used to revaluate the inventory for the period to be closed. You can use this actual price as the standard price for the next period.

Actual costing determines what portion of the variance is to be debited to the next-highest level using material consumption. The actual bill of materials enables variances to be rolled up over multiple production levels all the way to the finished product. You can choose to have cost center variances also taken into account. 

This category of tips describes how multiple valuations and actual costing work, and the material ledger period-end closing process. It also describes the implementation steps needed during production startup. The actual cost component split and deactivating the material ledger are also explained. 

Keep reading in Things You Should Know About Controlling with SAP (2nd Edition). Use coupon code CTLSP10 for 10% off on www.sap-press.com.

New users have traditionally struggled to understand the way SAP separates Financial Accounting and Management Accounting where most legacy systems see the two as one. While it’s easy enough to understand how a payroll account flows from the profit and loss statement into cost center accounting because the account information stays the same, the situation becomes more challenging as a revenue account flows into profitability analysis and is transformed into a value field, or a cost of goods sold account becomes multiple value fields depending on the cost components involved. In its latest product release, SAP is bringing the two worlds closer together.

New users have traditionally struggled to understand the way SAP separates Financial Accounting and Management Accounting where most legacy systems see the two as one. While it’s easy enough to understand how a payroll account flows from the profit and loss statement into cost center accounting because the account information stays the same, the situation becomes more challenging as a revenue account flows into profitability analysis and is transformed into a value field, or a cost of goods sold account becomes multiple value fields depending on the cost components involved. In its latest product release, SAP is bringing the two worlds closer together.

New users have traditionally struggled to understand the way SAP separates Financial Accounting and Management Accounting where most legacy systems see the two as one. While it’s easy enough to understand how a payroll account flows from the profit and loss statement into cost center accounting because the account information stays the same, the situation becomes more challenging as a revenue account flows into profitability analysis and is transformed into a value field, or a cost of goods sold account becomes multiple value fields depending on the cost components involved. In its latest product release, SAP is bringing the two worlds closer together.

At the Controlling 2014 conference keynote address, Michael DeLeo, Director of Cost Accounting for CareFusion, presented a keynote address on BPC 10 on SAP HANA: How Speed Unlocks Innovation at CareFusion. Michael addressed the following topics:

Today, we are profiling Controlling 2015 speaker Kay Reisenauer. Kay Reisenauer is a Senior SAP Consultant at consolut, an international SAP consulting company, and has more than 7 years of SAP experience. After several successful SAP implementations in Europe and North America, Kay has expert insight and knowledge of SAP Controlling, Project Systems, and Business Intelligence. He is also an expert in SAP Security Management and regularly provides SAP training. He recently moved from Germany to the United States and is currently working on establishing consolut International LLC in the North American market. Learn more about Kay. 

Popular SAP Controlling speaker Paul Ovigele will present several sessions at Controlling 2015. Based on feedback from Controlling 2014, Paul has developed sessions on the topics attendees want to learn more about. Paul will present sessions on:

On Friday, March 13 Paul Ovigele presented a webinar on Five Expert Tips and Tricks for SAP Controlling and Financials.