Lot Cost Process Generates Inconsistent Unit Cost When Multiple WIP Completion Transactions are Created
(Doc ID 2929578.1)
Last updated on FEBRUARY 20, 2023
Applies to:Oracle Process Manufacturing Financials - Version 12.2.12 and later
Information in this document applies to any platform.
Customer enters 2 WIP Completion transactions for the only product in a batch. The transaction quantities are different.
If the profile "GMF: Use Cost Alloc Factor in Lot Costing" is set to Yes, then the lot costs computed for these two transactions are different. Customer believes that one of them is incorrect.
If the profile is set to No, then the lot costs computed for these two transactions are the same, both having the correct cost.
Since this profile is supposed to affect how multiple coproducts are handled, not transactions for a single product, customer expects that the results should be the same and correct in both cases
The issue can be reproduced at will with the following steps:
1. Enter ingredient transactions on batch Material Transactions form (Production Supervisor > Batch Details > Transact Material button
2. Enter a WIP Completion transaction for 8000 with transaction date after ingredient transaction dates
3. Enter a WIP Completion transaction with a later transaction date for 6000
4. Run Lot Costing (OPM Financials > Lot Costs > Lot Cost Process) with profile GMF: Use Cost Alloc Factor in Lot Costing set to Yes. Lot costs are different for the two transactions (OPM Financials > Lot Costs > Lot Cost Details).
5. Run Lot Costing with profile GMF: Use Cost Alloc Factor in Lot Costing set to No. Lot costs are the same for the two transactions (OPM Financials > Lot Costs > Lot Cost Details).
To view full details, sign in with your My Oracle Support account.
Don't have a My Oracle Support account? Click to get started!
In this Document