Define Cost Bucket

Explanation

Use this function to create and maintain cost buckets by site. When a user creates a site, 17 predefined cost buckets will be available. This mandatory task is to be performed by a system administrator or equivalent person.

Cost Bucket ID	Cost Bucket Description
110	Estimated Material Cost
120	Latest Purchase Price
130	Average Purchase Price
140	Planned Purchase Price
150	DOP Purchased Material Cost
160	Purchase Additional Cost Amount
170	Purch Charge on Supplier for Part
200	Labor Runtime Cost
201	Labor Setup Cost
221	Labor Overhead Cost
250	Contract Labor Cost
300	Machine Cost
321	Machine Overhead1 Cost
322	Machine Overhead2 Cost
400	Sub-contracting Cost
421	Sub-contracting Overhead Cost
510	Inter-site Material Cost

A cost bucket defines how part costs are displayed in the system and combines other lower level cost details.
Note: It is not possible to connect the below mentioned Cost Elements directly into a cost bucket.

141-Purchase Delivery OH Trigger

501-Material OH Trigger

502-General OH Trigger

601 - Sales OH Trigger

Prerequisites

This activity has the following prerequisites:

Cost elements must be defined.
Sites must be defined.

System Effects

As a result of this activity:

A cost bucket is created.
The part cost displays the cost breakdown against a part.
Cost buckets can be assigned to different cost elements.

Window

Cost Bucket

Related Window Descriptions

Cost Bucket

Procedure

To perform this activity, follow these steps:

Open the Cost Bucket or Cost Buckets window.
Create a new record.
In the Bucket ID field, enter up to five alphanumeric characters for the cost bucket ID.
In the Description field, enter a description of the cost bucket.
In the Site field, select the site to which you want to connect the cost bucket from the List of Values. The Last Activity Date field is populated with the date, if any, when the part was processed at the site.
In the Bucket Type list, click the type of bucket. The bucket type you select determines which tabs are available in this window.
In the Sunk/Relevant Cost field, click either Relevant or Sunk costs to associate with the bucket.
In the Direct/Indirect Cost field, click either Indirect or Direct costs to associate with the bucket.
In the Fixed/Variable Cost field, click either Variable or Fixed costs to associate with the bucket.
In the Posting Cost Group field, select the posting cost group to which you want to connect the cost bucket. Note that if you had selected the Mandatory to Use Posting Cost Groups check box on the Cost Details Basic Data window header, it will not be possible to create new cost buckets without connecting to posting cost groups.
Save the changes.