http://scn.sap.com/community/erp/manufacturing-pp/blog/2012/03/13/understanding-production-order-variance–part-1
Understanding Production Order Variance – Part 2 The SAP Perspective
Author: Ranjit Simon John
Every PP, FI and CO user in any Manufacturing Industry will be having a tough time while processing month-end activities. Production Order Variance posted against each process orders will have to be examined, explained & investigated thoroughly. Major questions arising will be;
- Origin of Variance has come
- How to Categorize the variance
- How to cut down the variance.
- Impact of variance on COGM, COGS & Closing Stock.
Answering these will be really tough.
We have faced all these scenarios and after months of deep research in this field I came across few conclusions.
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