What is material costs in SAP PP - Production Planning and Control?

SAP Term: material costs

• Component: PP

• Component Name: Production Planning and Control

• Description: The direct material costs and material overhead costs. They are part of production costs.

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• Key Concepts: 
  Material costs are the costs associated with the materials used in production. In SAP Production Planning and Control (PP), material costs are tracked and managed to ensure that the cost of production is kept within budget. This includes tracking the cost of raw materials, semi-finished goods, and finished goods. 
  
  How to use it: 
  In SAP PP, material costs can be tracked and managed using the Material Master Data module. This module allows users to enter information about the materials used in production, such as the cost of each material, the quantity used, and any discounts or surcharges associated with the material. This information is then used to calculate the total cost of production. 
  
  Tips & Tricks: 
  It is important to keep track of material costs in order to ensure that production costs remain within budget. To do this, it is important to regularly review and update the Material Master Data module with accurate information about the materials used in production. Additionally, it is important to take into account any discounts or surcharges associated with the materials when calculating total production costs. 
  
  Related Information: 
  For more information on material costs in SAP PP, please refer to the SAP Help Portal or contact your local SAP consultant. Additionally, there are many online resources available that provide detailed information on how to track and manage material costs in SAP PP.