Standard Cost Variances: Material Cost

["aldg" <aldg@xxxxxxxxxxxx>]

Environment: Mapics DB/Y2K (Mod 4)
PDM, IM and PCC

Hi group:

Background: We do not populate the UCDEF field for Item Type 1 (Finished Goods) 
and Item Type 2 (Manufactured Components) because these fields interfere with 
our Bill of Materials (BOM) created by inhouse software by our Sales Cost 
Estimating Department.  If the fields were used, the BOM ends up overstated: It 
shows costs related to the original raw materials and components (purchased and 
manufactured lower level) and the total Standard Cost of the manufactured this 
level component.

We also do no populate the ITEMBL's Standard Unit Cost (STDUC) field for 
reasons which I am not aware of (and this probably contributes to the problem 
described below).

Problem:  I'm glancing at a Manufacturing "Order History - Accounting Detail 
Report" (AMIH34) for a simple manufactured component (its BOM consists of one 
lower level Type 2 Manufactured Component) and in the BOM section of the 
report, it shows the following:

Unit Cost:  $0.0000

Standard Cost:  $0.0000

Therefore, the Variance for Material Cost on the Manufacturing "Order History 
Accounting Summary" screen (AMIH14) come up at $0.00.

Here are my questions:

1. How is Unit Cost and Standard Cost populated on the AMIH34 report?

I assume that the Unit Cost comes from the UCDEF field and that the Standard 
Cost comes from the STDUC field....both of which we have populated at zero for 
Item Types 1 and 2.

2. If I populate the STDUC field with information from PDM (the Standard, not 
Current, Unit Cost), what will the result be?

It seems that I'll end up with a full cost varience because the Unit Cost will 
remain at zero and Standard Cost will be correct.

3. Why doesn't Mapics populate the STDUC field automatically as part of its PDM 
Standard Costing or at least offer this as an option?

My goal is to come up with correct Material Cost Variances by populating STDUC 
but leaving UCDEF at zero for Item Type 1 and 2 products.

4. Can this be done?

I look forward to your useful comments and suggestions and I wish you all 
(mainly to the ladies) a very nice Valentines Day.

Regards,
Al Gershen
Grants Pass, OR
aldg@mail.rvi.net