Production-Order : Accounting

in MTS, production order settle to material or CO-PA, because the obj type is MAT, but in the settlement profile, the default object is Profit segment PSR


In make to stock production, though you maintain default object as PSG, it will settle to material as default rule PP1 will be maintained for that order type, check order type dependent parametrs OPL8 or OKZ3. For MTS always MAT will be default receiver

also pls help to check the allocation structure defined in production settlement profile, in the “source”, I have one assignment line ” expense”, a cost element group is defined, but to my surprise, that cost element group only have one cost element–salary expense, does it mean it doesn’t matter to assign any dummy cost element into the source of production order settlement profile?

As always Default receiver is MAT, Allocation structure for MTS does not make any sense, all the cost will be settled to material only. allocation structure will be used for MTO scenarios where cost may be settled to different cost objects other than material like sale order, WBS etc.. and for settling to COPA, PA transfer structure will be used.

also do we need to manually maintain settlement rule for each individual order or can any tcode to be used to generate settlement rule automatically?

No need to maintain for every order manually, it will be defaulted from order type settings, check KOT2 tcode for the order type

for WIP RA analysis cost element, is there any report to show the line item of RA cost element?, I try the standard co cost element report and it get no output

Check KKBC_ORD report which will show WIP calculated, change the layout and include work in process field

If your sales order is a CO object (MTO) – Then SDI (Sales Doc Item) is the Settlement receiver…

If your material is a non valuated material with non MTO scenario – Then settlement receivers are Cost Center / Order/WBS

In all other cases where Mat is valuated and non MTO – MAT is the receiver