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Dynamics 365 Community / Forums / Microsoft Dynamics AX (Archived) / Production Variance - ...
Microsoft Dynamics AX (Archived)

Production Variance - amount shows for var cannot find the detail

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Posted on by Community Member

Production  Price Var,   $ 9598.31

Production Qty Var  $ 8971.62

net var $ 626.69

understand where this var coming from diff between Price and Qty = 626.99

Production Price Estimated Cost 15901.79

Production Realized cost $ 15275.10 

diff between =626.69

have looked all the detail and qty and price  to find out how price and qty var calculated amount

9598.31, 8971.62  ,  cannot find the detail of these amount any where in ax2009

any suggestion will be greatly appreciated .

have gone thru all the report , Raw mat in process, Finished items in Process , cannot find anything direct me to find these amount

please help

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  • Suggested answer
    Weaveriski Profile Picture
    Weaveriski 23,620 Moderator on at

    The common sources for a production-price variance include the following:

    • The cost category (and its cost-category price) for the reported consumption of a routing operation differs from the cost category that is used in standard cost calculation.
    • The active cost for the cost-category price differs from the cost-category price that is used in standard cost calculation.

    So you need to look at the routing roll up element of the standard cost and compare to the actual. 

    The common sources for a production-quantity variance include the following:

    • Over-issue a material component or under-issue a material component.
    • Over-report time for a routing operation or under-report time for a routing operation.
    • Over-receive or under-receive the good quantity of the parent item relative to the order quantity, but issue components and report operations completely, based on the order quantity for the production order.

    So again it is extracting the construction of the standard cost and the reporting of the actual elements that create the variance. 

    Explanation taken from TechNet

    https://technet.microsoft.com/en-us/library/gg213654.aspx

  • Community Member Profile Picture
    Community Member on at

    Thanks Steven

    I have compared with std cost vs Consumption qty and Price and with Bom , still cannot tie to amount what ax shows how its calculates,  there is no extra qty issue and to this work order , and checked the price also,

    no idea how Ax std cost does this calculation,  its amazing there are no detail  report either to look at it,

    if any one has any suggestion, please help.

  • Suggested answer
    Weaveriski Profile Picture
    Weaveriski 23,620 Moderator on at

    It is not just the consumption quantity, it is the route element as well.

    Have you looked at

    Production Control - Reports - Analysis - Cost estimates and costing

    Alternatively go to the production order

    View tab and select Price calculation, this will open Calculation form. Click the Variance button to open Production variance form and here click Print button and generate a production variance report. (Caveat being I cannot remember if this is in AX2009).

  • Community Member Profile Picture
    Community Member on at

    yes,  did looked at Cost estimate and costing analysis Report, did not help,  also used the

    price Calculation tab and  tab Variance shows only total amount , I click on detail and print , still does  not give me detail,  still show the total amount ,  I understand its routes also,  I checked that also,  I wish I understand how its adds  up the total amount of variance .

    that will be helpful.  I even used  inquires, Production posting,  I used all the function I can think of to get the detail , thought some where I will find the detail,  no luck.

    I guess Ax2009  does not provide the production Variance detail.

  • Weaveriski Profile Picture
    Weaveriski 23,620 Moderator on at

    Well it should provide it if it is configured to provide it - what is the structure of your costing sheet and how is the cost structured in the costing version when you analyse it? What is your cost group division for material and resources? Do you use indirect costs in the costing sheet or cost categories on routes or both? What is the configuration in inventory parameters on the BOM section relating to cost breakdown and variance to standard?

    What you would need to do is extract from the costing version the complete costing by line, you will then need to compare every line to every material cost consumed and labour cost posted. You should still be able to do this manually item by item, even if you absorb misc. costs or have configured they costing sheet to handle indirect costs.

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