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Production Categories having Different costs simultaneously for different Production orders / Projects

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Posted on by 139

Hi Guys

This is an advanced question for those who have implemented Project-based productions.

I have a situation where a company does everything for a Project with simultaneously so many projects in hand.

1- There is production and hence Categories are to be used for Operations in Route cards against Production orders generated from Project in Project module. Every Project can have unique cost per operation and per same category. How to manage this in category wise costing and Estimate run for production order?

2- Company maintains Project Budgets. and hence all Production orders created from Projects also have a budget. I know there is a configuration of posting Production costs to Projects by using Consumption method but it does not work if we maintain Production Costing sheets etc. How to resolve this to have strong budget overview always for whole Project?

Your suggestions shall be highly appreciated.

  • Suggested answer
    Mubeen Faizullah Profile Picture
    Mubeen Faizullah 139 on at
    RE: Production Categories having Different costs simultaneously for different Production orders / Projects

    Answering to second finding before closing:

    If cost sheets are configured in system, we cannot have Production order linked to Project on Consumed based method.

  • Suggested answer
    Ludwig Reinhard Profile Picture
    Ludwig Reinhard Microsoft Employee on at
    RE: Production Categories having Different costs simultaneously for different Production orders / Projects

    Hi Mubeen,

    That is right. If you don't like this standard AX behavior then you need to consider making a system modification. Alternatively, you can suggest a new product idea via the ideas portal that you can access from the top of this page.

    Best regards,

    Ludwig

  • Suggested answer
    Mubeen Faizullah Profile Picture
    Mubeen Faizullah 139 on at
    RE: Production Categories having Different costs simultaneously for different Production orders / Projects

    Hi Ludwig

    Thanks for contributing. My findings are below:

    1- We cannot have Category wise different costs simultaneously and hence only option is to make a new category in this scenario.

    2- Through Consumption based method in Project parameters, we can only transfer cost to Project WIP by production if we don't use Costsheets.

  • Suggested answer
    Ludwig Reinhard Profile Picture
    Ludwig Reinhard Microsoft Employee on at
    RE: Production Categories having Different costs simultaneously for different Production orders / Projects

    Hi Mubeen,

    I see.

    Seems that there is no standard feature available that serves exactly what you try to achieve.

    Did you already have a chat with a developer?

    Best regards,

    Ludwig

  • Mubeen Faizullah Profile Picture
    Mubeen Faizullah 139 on at
    RE: Production Categories having Different costs simultaneously for different Production orders / Projects

    Hi Ludwig

    Thanks for response.

    For No 1:

    By financial dimensions, costs don't transfer. these are only for info and categorization in GL.

    For No 2:

    Committed costs are for item or hours expenses in Project against which you create PO.

    These don't serve the purpose.

  • Suggested answer
    Ludwig Reinhard Profile Picture
    Ludwig Reinhard Microsoft Employee on at
    RE: Production Categories having Different costs simultaneously for different Production orders / Projects

    Hi Mubeen,

    For No 1:

    Can you check that the financial dimension for your project is transferred into the production order that is created from your project? Doing that will allow you tracking the costs.

    For No 2:

    Have you enabled the committed cost functionality? Even for long-running projects you should be able to see some cost commitments for your project if it is enabled.

    Best regards,

    Ludwig

  • Mubeen Faizullah Profile Picture
    Mubeen Faizullah 139 on at
    RE: Production Categories having Different costs simultaneously for different Production orders / Projects

    Hi Ludwig

    Thanks for responding.

    1- Sorry Couldn't understand the first answer of yours, but if you are telling about Category wise and Project wise pricing we can maintain in Project management, that is understood. But issue is that we cannot use these categories in Project or kind of duplicating the route card of production in Project management.

    2- Yes, we have long running Production orders, reaching to even an year. and this way we cannot see the Actual vs budget to control budget through project management.

    Actually project based manufacturing is not well supported in microsoft as per my findings and testing.

  • Suggested answer
    Ludwig Reinhard Profile Picture
    Ludwig Reinhard Microsoft Employee on at
    RE: Production Categories having Different costs simultaneously for different Production orders / Projects

    Hi Mubeen,

    For No 1:

    Don't you have a project findim that is used for your transactions and that can help you identifying the costs for your production order?

    For No2:

    You are right with the costing sheet. If you have it in place the consumption for the project is posted at the time the production order is completed. Do you have long-running production orders that this might be a problem?

    Best regards,

    Ludwig

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