Variances in the Profitability Analysis 

Use

For a complete analysis of the results, you must include not only the planned costs, but also the variances from the planned costs. You can therefore transfer the variances of the production orders to the profitability analysis, as well as the planned costs that are determined when an incoming sales order or invoice is valuated.

Prerequisites

The prerequisite for the settlement of variances in the profitability analysis is that the “Variances” indicator is set in the relevant settlement profile. The profitability segment must be selected as the permitted settlement receiver.

The settlement profile is assigned to the order type.

Features

The R/3 System settles the variances of a production order to an expense/revenue account (see Variance Analysis and Settlement of Production Orders). A corresponding CO-PA document can be created during this process.

The AFS System and the R/3 Standard System both support the settlement interface for the profitability analysis. If the variance analysis has been performed, you can transfer the variances according to variance category to different value fields in the CO-PA document.

Please note that the AFS-specific CO-PA characteristics “valuation type”, “grid value”, “category”, and “season” are not automatically supplied with values when price variances are settled for profitability analysis (see AFS Characteristics in the Profitability Analysis). The same applies to variances caused by the settlement of production orders or by procuring AFS materials externally with standard pricing.