Production Order Periodic Settlement
A settlement up to a date: for each confirmation of a closed manufacturing order not yet settled, the actual material, labour and machine cost against the standard cost, and the variance. Save posts it.
What it is for
Enter Till Date, Posting Date and the Transaction Journal and press Create. The lines are filled with every confirmation dated up to Till Date, of a Closed order, not yet on a settlement that is not reversed:
- Actual Item Cost: the value of the components the confirmation issued.
- Actual Labor Cost: the resource cost of resources of type W; Actual Machine Cost: of the other resource types.
- Standard Cost: the value of the output received.
- Total Actual Cost is the sum of the three, Cost Variance is Standard Cost minus Total Actual Cost, and Cost Variance % is that difference over Total Actual Cost, shown as a positive percentage.
The header is fixed after Create. Save posts a voucher through the journal, using the posting keys set up for this screen in the general ledger. The business layer can reverse a posted settlement (with a reverse date not before the posting date), but Reverse is not switched on for this screen in the standard configuration.
Every field in plain words
Header
| Field | What it means | What to put |
|---|---|---|
| Transaction | The settlement number. | Given on Create. Required |
| Posting Date | Posting date. | A date. Required |
| Till Date | Confirmations up to this date. | A date. Required |
| Notes | Notes. | Any text |
| Transaction Journal | The voucher journal. | A JV journal. Required |
| Journal | Its nature. | Filled in |
Lines
One line per confirmation.
| Field | What it means | What to put |
|---|---|---|
| Manufacturing Order | Order. | Filled in by the system |
| Confirmation | Confirmation. | Filled in by the system |
| Item No | Item. | Filled in by the system |
| Item Variant | Variant. | Filled in by the system |
| Name | Name. | Filled in by the system |
| Actual Item Cost | Components issued. | Calculated |
| Actual Labor Cost | Resources of type W. | Calculated |
| Actual Machine Cost | Other resources. | Calculated |
| Total Actual Cost | Sum. | Calculated |
| Standard Cost | Output received. | Calculated |
| Cost Variance | Standard minus actual. | Calculated |
| Cost Variance % | Variance over actual. | Calculated |
| Line Text | A note on the line. | Any text. Filled in by the system |
How to configure it
The accounts come from the posting keys of this screen in the general ledger setup.
Scenarios
- A plant values finished goods at standard and wants the month's variance in the books. At month end, one settlement up to the last day.
What it is connected to
- Manufacture Order Confirmation - the costs settled
- Transaction Journal and Process Post Key - journals and posting keys
- Month-end close - the month-end process this settlement is part of
- Plan to produce - the whole chain
If something looks wrong
- "No Production Order Confirmation found" on Create. No confirmation of a closed order up to that date is left to settle.
- "Lines cannot be empty" Nothing to settle.
- "Only Posted Vouchers can be reversed" Only a posted settlement can be reversed.
- "Reverse Date: ... cannot be less than Posting Date: ..." Use a later date.
- "Journal: ... does not exists." / "Journal: ... is not defined." Pick a valid journal.