Manufacturing Standard Cost Rollup functionality for Microsoft Dynamics GP

Hi everyone! 

I wanted to take some time to provide some additional information as to why a rollup and revalue of your items in Manufacturing may not be updating the standard cost of your items.   In the past I have written a blog to provide some of the more common reasons we see this process not working. 

Please review my previous blog for some of the more common reasons.

https://community.dynamics.com/gp/b/dynamicsgp/archive/2017/06/13/standard-costing-rollup-revalue-issues

Recently I have had a few cases where I have come to find out that it wasn’t necessarily a missing record that was causing the issue or a checkbox that was accidentally marked, but instead its where the Rollup and Revalue is being performed in relation to where the pending/proposed costs were entered.  I wanted to provide a quick overview of the actual windows that could be used in this process and which rollup/revalue window you should be using depending on where you entered the new costs.

There are 4 windows that you could be using to rollup and revalue your pending/proposed costs. 

1) Standard Item Material Cost (Cards > Manufacturing > Inventory > Std Item Mat Costs)

2) Standard Cost Maintenance (Cards > Manufacturing > Inventory > Std Cost Maintenance)

3) Standard Cost Changes (Cards > Manufacturing > Inventory > Standard Cost Changes)

4) Roll Up and Revalue Inventory (Manufacturing > Routines > Rollup and Revalue)

To break it down there are actually two ways to roll up costs in Microsoft Dynamics GP Manufacturing.   I will refer to them as the Old tool and New tool to help distinguish between them. 

1) Old tool - Rollup and Revalue tool

2) New tool - Standard Cost Changes

Both are useful and work great.  The only reason I call one “old” is because this tool was the original Rollup and Revalue feature in Manufacturing.  It wasn’t until a later version of the product that a second tool was added, which is why I call that one the “New” tool. 

One would typically use what we call the “old” tool during the initial stages of setting up manufacturing. Or at least that is what the majority of our customers use that tool for.  The old tool was a way to rollup costs to ALL of your inventory items at one time. This tool uses information entered in the 2 windows below located under Cards. 

1. a) Standard cost maintenance (Cards > Mfg > Inventory > Standard cost maintenance)
2. b) Std Item material Costs (Cards > Mfg > Inventory > Std Item material Costs)

The “new” tool is used to rollup up one item only. The new tool only uses information entered under Cards > Manufacturing > Inventory > Standard Cost Changes. The new tool does not look at the other two windows above for the information.  So, if you use Standard cost maintenance and/or Std Item material Costs to populate your new costs and then use the Standard Cost changes window to roll up and revalue, the cost will not roll up.   The same goes if you enter costs in the Standard Cost Changes window and use the ‘Old’ tool under Utilities to rollup and revalue.

MORE INFORMATION:

1) Rollup and Revalue tool – Old tool

Once you enter the updated costs in one of the two windows, Standard cost maintenance or Std Item material Costs, to rollup and revalue your costs you would use the tool located under Tools > Manufacturing > Routines > Rollup and Revalue.  Again, this will NOT look at anything entered as a Proposed cost in the Standard Cost Changes window (new tool). This only looks at Pending values in the two windows mentioned above (and the routing of course)

2) Standard Cost Changes – Newer tool.

This tool is located under Cards > Manufacturing > Inventory > Standard Cost changes.  Here you can enter a value in the Proposed Cost field for Material. The system only looks at the 3 fields in this window for Material costs and then it looks at the primary routing to update labor/machine info. You highlight the component that makes up the goods and enter a value. When you roll up and then replace in this window, the system should be updating the Standard cost of the finished goods based on information provided for the material costs. Again, the system does NOT look at any other value entered in the Pending fields in the Standard cost maintenance and the Std Item material cost windows.

Hopefully this helps provide another reason as to why values may not be rolling up and revaluing.  You will want to make sure you are entering the Pending/Proposed costs in the appropriate windows depending on which utility you use to perform the rollup and revalue.

Have a great one everyone!

Angela Ebensteiner | Sr. Technical Advisor | Microsoft Dynamics GP