1. SAP Glossary
  2. SAP Manufacturing Execution
  3. labor charge code


What is labor charge code in SAP MFG-ME - SAP Manufacturing Execution?


SAP Term: labor charge code

  • Component: MFG-ME

  • Component Name: SAP Manufacturing Execution

  • Description: A code that specifies what type of labor a worker is performing or has performed during a specific block of time. Companies use labor charge codes to accumulate totals of how much time their employees spend performing various tasks. The company may use these totals for payroll. You can also associate labor charge codes with SFC numbers. Companies may use SFC number LCCs to calculate how much time was spent building each SFC number, in order to bill customers.


Smart SAP Assistant

  • Key Concepts: 
    A labor charge code is a code used in SAP Manufacturing Execution (MFG-ME) to identify the type of labor used in a production process. It is used to track the cost of labor associated with a particular production process. Labor charge codes are typically assigned to each production order and are used to calculate the total cost of labor for that order.
    
    How to use it: 
    Labor charge codes are assigned to production orders in SAP MFG-ME. When creating a production order, the user will select a labor charge code from a list of available codes. This code will then be associated with the production order and will be used to track the cost of labor associated with that order.
    
    Tips & Tricks: 
    When assigning labor charge codes, it is important to ensure that the correct code is selected for each production order. This will ensure that the cost of labor associated with each order is accurately tracked and reported. Additionally, it is important to keep track of any changes made to labor charge codes over time, as this can affect the accuracy of cost tracking and reporting.
    
    Related Information: 
    For more information on labor charge codes in SAP MFG-ME, please refer to the SAP Help documentation at https://help.sap.com/viewer/product/SAP_MFG_ME/latest/en-US/f9f8d7a2b3e14c8a9f3d7c2b6f5e4d1a.html
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