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In Average Costing Scenario Can We Include Overheads Through Overhead Accounting rule alone? The Work Defition Is Without Material, Resources(Process Manufacturing Scenario) (Doc ID 2660929.1)

Last updated on APRIL 19, 2020

Applies to:

Oracle Fusion Manufacturing Cloud Service - Version and later
Information in this document applies to any platform.


For one of the manufacturing organizations, the following scenario of how the business would like to model the 'Work Definitions' (Process manufacturing):
1. One operation.
2. The operation has no resources.
3. The operation has no raw materials.
4. The operation yields one (or more) outputs. We are a process manufacturing environment.
5. The user like to charge overhead by using an 'Overhead Rule' (perpetual average costing environment).

When the user create a work definition and execute a work order with the above information, after running the 'Create Cost Distributions' process we could see few exceptions

The above approach will primarily be utilized for the business' aggregates operations.


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