What is costing structure in SAP PLM-PLC - Product Lifecycle Costing?

SAP Term: costing structure

• Component: PLM-PLC

• Component Name: Product Lifecycle Costing

• Description: A hierarchical structure that forms the basis for calculating costs in a calculation version. A costing structure consists of items to be costed. These items can be part of different types of product-related structures such as document structures, bills of materials BOMs, and routings.

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• Key Concepts: 
  The costing structure in SAP PLM-PLC Product Lifecycle Costing is a set of rules and parameters that define how costs are calculated and allocated throughout the product lifecycle. It includes cost elements such as material costs, labor costs, overhead costs, and other costs associated with the product. The costing structure also defines how these costs are allocated to different stages of the product lifecycle, such as design, production, and distribution.
  
  How to use it: 
  The costing structure in SAP PLM-PLC Product Lifecycle Costing is used to accurately calculate and allocate costs throughout the product lifecycle. This helps to ensure that the cost of each stage of the product lifecycle is accurately accounted for and that the total cost of the product is accurately calculated. The costing structure can be used to analyze the cost of different stages of the product lifecycle and identify areas where cost savings can be made.
  
  Tips & Tricks: 
  When setting up a costing structure in SAP PLM-PLC Product Lifecycle Costing, it is important to ensure that all cost elements are accurately accounted for. It is also important to ensure that all cost elements are allocated correctly to each stage of the product lifecycle. This will help to ensure that the total cost of the product is accurately calculated.
  
  Related Information: 
  The costing structure in SAP PLM-PLC Product Lifecycle Costing is closely related to other aspects of product lifecycle management such as pricing, inventory management, and supply chain management. It is important to understand how these aspects interact with each other in order to effectively manage costs throughout the product lifecycle.