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  1. SAP Glossary
  2. Product Cost Controlling
  3. planned cost of goods manufactured


What is planned cost of goods manufactured in SAP CO-PC - Product Cost Controlling?


SAP Term: planned cost of goods manufactured

  • Component: CO-PC

  • Component Name: Product Cost Controlling

  • Description: The sum of the material costs and production costs of a material, calculated in a material cost estimate.


Smart SAP Assistant

  • Key Concepts: 
    Planned cost of goods manufactured (PCGM) is a term used in SAP's CO-PC Product Cost Controlling component. It is the total cost of all the materials, labor, and overhead costs that are expected to be incurred in the production of a certain product. This cost is calculated based on the planned quantity of the product to be produced and the planned costs associated with producing it. 
    
    How to use it: 
    In SAP, PCGM is used to calculate the total cost of producing a certain product. This cost is then used to determine the price of the product and to compare it with actual costs incurred during production. It can also be used to analyze production costs and identify areas where costs can be reduced. 
    
    Tips & Tricks: 
    When calculating PCGM, it is important to consider all costs associated with producing a product, including materials, labor, and overhead costs. It is also important to consider any discounts or other incentives that may be available when calculating PCGM. 
    
    Related Information: 
    For more information on PCGM and how it is used in SAP, please refer to SAP's CO-PC Product Cost Controlling documentation. Additionally, there are many online resources available that provide detailed information on how to calculate PCGM in SAP.
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