Please Wait a Moment
X

Infor LX Tips, Infor LN Tips, BPCS Tips, Baan Tips, Infor M3 Tips & Infor ERP News

Resources Infor ERP Tips & News

Crossroads Connections

Infor ERP Tips & News from the Experts

Infor LX | Infor LN | BPCS | Baan | Infor M3

Subscribe to newsletter

Kathy Barthelt
/ Categories: Infor LN & Baan Tips

Infor LN & Baan Tip: Cost Component Setup

To break down an item’s standard cost, sales price, or valuation price, use cost components. With cost components, you can compare estimated and actual costs, calculate production variances, and analyze costs in Standard Cost Calculation.

If cost components are set up in a detailed way, detailed records exist in the Item - Calculated Valuation Prices (ticpr2540m000) session and the Item - Standard Valuation Prices (ticpr3540m000) session. Additional financial integration transactions are created because integration transactions are logged by cost component. A detailed cost component setup also causes additional cost details in domains such as Sales and Warehousing. This increases database growth and makes performance worse, especially during production completion and the item receipt process.

Reduce the number of cost components in the effective cost component structure, which is displayed in the Effective Cost Component Structure (ticpr0112m000) session, as much as possible. The minimum number is three aggregated cost components: one for material, one for operation, and one for surcharges. From a performance point of view, the following is advised:

Reduce the number of cost components

  • One operation cost component for all operation rates.
  • One cost component for all subcontracting rates.
  • One cost component for item and warehouse surcharges.
  • One cost component for actual labor rates (in People). Ensure you only use cost components that are required.

Use aggregated cost components
The standard cost is calculated by (detailed) cost component for a multilevel BOM. A similar calculation of valuation prices (actual prices) would result in a price structure with many cost components, especially for manufactured items. In case of a warehouse transfer, issue to WIP, and so on, postings are made for every cost component. However, this detailed cost information does not add functional value in Warehousing. If you aggregate cost components, the number of cost components in financial transactions is reduced. Therefore, aggregate operation cost, material cost, and surcharges to the three cost components that are defined in the Item - Costing (ticpr0107m000) session

If you do not enter a Standard Cost Component Scheme in the Item - Costing (ticpr0107m000) session, production order costs, production order variances, and surcharges are posted by aggregated cost component. This improves performance and decreases database growth.

Previous Article Manual Processes Are Killing Your Productivity
Next Article Infor ERP Tip: Top 5 Ways Modern Analytics Reduces Spreadsheet Risk & Inefficiency
Print
20515 Rate this article:
5.0
Kathy Barthelt

Kathy BartheltKathy Barthelt

Other posts by Kathy Barthelt
Contact author

Theme picker

Contact author

Please solve captcha
x

Tips:  LX | BPCS | M3

TECHNOLOGY: Facility Security Ranges

Previously, a user could complete the Cost Transfer (CST920) process for any range of facilities regardless of their security settings established in SYS600. This enhancement verifies the user security settings set up in SYS600 before processing cost transfers for a range of facilities in CST920. If the user has authority for a facility range, but there are facilities within that range that are not authorized, the program skips those facilities and completes the cost transfer process.

FINANCE: Expiration Date for Quotes and RMAs

A Cancel-by-Date has been added to the Quote Header and RMA Header panels. This optional field can limit how long a quote or authorization to return items for credit is valid.  

For quotes, this enhancement provides an optional end date for the quote. For RMAs, it provides an optional date by which the customer must return the items to receive the credit listed on the RMA.

The Cancel-By-Date prints on the Order Acknowledgement and RMA Acknowledgement to inform the customer of this important limitation to the quote or return authorization. 

An Order Entry user cannot copy the quote to create a new order if the Cancel By Date has caused the quote to expire.

OPERATIONS: Default Split Salesperson to Customer Orders

Sales commissions are based on combinations of the Primary, Split, and Line-Level salesperson and the commission codes defined for the customer and item. You can now define the Split Salesperson in the same master files as the Primary Salesperson. While the Primary Salesperson is mandatory, the Split Salesperson is optional. It defaults during Order Create using the identical hierarchy as Primary Salesperson. Using Split Salesperson provides more flexibility in the calculation of sales commissions. The ability to define a default Split Salesperson improves the accuracy of sales commission qualification and calculation and reduces maintenance and adjustments necessitated by corrections.

Read more

Previously, a user could complete the Cost Transfer (CST920) process for any range of facilities regardless of their security settings established in SYS600. This enhancement verifies the user security settings set up in SYS600 before processing cost transfers for a range of facilities in CST920. If the user has authority for a facility range, but there are facilities within that range that are not authorized, the program skips those facilities and completes the cost transfer process.

Read more
12345678910Last

Theme picker

Tips: LN | Baan

In LN, you can differentiate between items at various suppliers:

  • Locations (warehouses),
  • Purpose (planning, purchase)
  • Origin (supplier, warehouse)

Example

An item is supplied by two different suppliers. Supplier A ships in lots of 100 pieces due to how the item is packed. Supplier B ships the goods in units of 60 pieces.

You can define specific parameters for each supplier. The following sessions can be used to define these characteristics:
 
  • Items - Planning (cprpd1100m000)
  • Check Item Data by Warehouse (whwmd2210m000)
  • Item Supplier Plan (cpvmi0530m000)
These sessions define entities that have an n-to-1 relationship with the general item data.

 

Read more

Project templates are useful because you can specify all of the information that you would normally want to include when creating a new project such as project structure, budget, and so on.

In Baan IV/V, project templates do not exist, but you can set up a project template by creating a regular project, and setting the status to simulated or free. This is done so that the project does not create plans. Under this scenario, you can easily copy one project to another.

In LN, when you create a new project, a template can be used as the starting point. This is similar to copying a normal project, but unlike normal projects, no costs or revenues can be posted on a template.

Read more
First154155156157159161162163Last

Theme picker

Categories