SAP Product Costing – Finance Functional
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Job Location:
St. Louis, MO - USA
Monthly Salary:
Not Disclosed
Posted on:
16 hours ago
Vacancies:
1 Vacancy
Job Summary
Requirement
1. Business Objective
The organization requires accurate and transparent product cost calculations to support pricing decisions profitability analysis inventory valuation and financial reporting. SAP Product Costing (CO-PC) must calculate standard actual and planned product costs in alignment with corporate finance policies.
2. In-Scope Processes
Material Standard Cost Estimation (CK11N/CK40N)
Cost Component Structure
Activity Type Planning (KP26)
Overhead Calculation via Costing Sheets
Work Center/Resource Rates
WIP Calculation and Settlement
Variance Calculation (KKS1/KKS2)
Material Ledger Actual Costing (Optional depending on requirement)
Integration with FI CO PP MM and SD
3. Functional Requirements
3.1 Master Data Requirements
The system must allow the creation and maintenance of:
Cost Component Structure (CCS)
Costing Variants for Standard Planned and Actual cost estimates
Overhead Groups and Costing Sheets
Activity Types with planned rates (labor machine setup)
Each material must have:
A costing lot size
Valid BOM and routing (or recipe/master recipe for process industries)
Assigned costing view in material master
3.2 Standard Cost Estimate
The system must calculate standard costs annually (or monthly if required) using CK40N for:
Raw materials (purchased)
Semi-finished goods
Finished goods
The cost estimate must:
Break down the cost into defined components (materials labor machine overhead subcontracting)
Pick valid BOM and routing data
Use activity rates from Cost Center Accounting (CCA)
The system must allow mass release of standard costs with automated FI revaluation postings (OBYC PRD).
3.3 Overhead Calculation
The system must apply overheads based on:
Costing sheet (percentage-based or fixed rates)
Material origin indicator
Production plant
Overheads must be broken down by:
Material overhead
Production overhead
Administrative and sales overhead (optional)
3.4 Actual Costing / Material Ledger (If Required)
The system must capture actual price differences (PPV exchange rate freight etc.).
Material Ledger must calculate:
Actual periodic unit price (PUP)
Leveling and revaluation of ending inventory
The system must generate FI/CO postings for variances and closing entries.
3.5 WIP & Variance Calculation
The system must calculate:
Work In Process (WIP) for orders not yet delivered
Variances for orders delivered (mix qty price scrap overhead variances)
The system must settle:
WIP to balance sheet accounts
Variances to P&L accounts
Settlement rules must be automatically derived based on material type and order type.
3.6 Integration Requirements
Posting of goods issue must update cost of goods manufactured using standard cost.
Production order confirmations must:
Post activity costs based on planned or actual activity rates
Capture scrap quantities and rework
Goods receipt from production must:
Credit production orders
Debit inventory at standard cost
In case of Material Ledger activation system must revalue inventory and COGS at period-end closing.
4. Reporting Requirements
The system must provide:
Cost Component Reports (CK13N CK11N)
Standard Cost Roll-up comparison
Production variances by plant cost center work center
WIP report by order
Actual vs Standard cost comparison
Reports must be accessible in SAP ECC/S4HANA SAP Fiori or BW (as defined).
5. Controls and Audit Requirements
Release of standard cost estimates must be restricted to authorized finance users.
Changes to BOM routing activity rates costing sheets must be logged.
System must prevent cost estimate release if prerequisite master data is missing or inconsistent.
All FI postings related to product costing must flow to defined G/L accounts as per the chart of accounts.
6. Non-Functional Requirements
System must support multi-plant multi-company costing.
Performance: Costing run (CK40N) must support batch execution and complete within defined batch window.
Compliance with IFRS/GAAP inventory valuation rules.
Key Skills
- P2P
- Business Process
- Interface & EDI
- BAPI/BADI
- Communications
- SAP Customizing
- SAP Tables
- Z T-Codes
- Profitability Analysis
- LSMW/BDC
- Query
- SAP FI
- Uat
- Smartforms
