Understanding the Types of Cost Rollups

You can use the Cost Rollup process to determine the standard cost for makeable items, configured items, engineering items, purchased items, and simulations. Only cost rollups of manufactured, purchased, and configured items can be used to update production costs (the CM_PRODCOST table). The system calculates engineering and simulation costs for reporting and comparison purposes.

The Cost Rollup process performs in basically the same way for the different types of items. The only difference is where the cost calculation obtains the information to determine the material and labor costs for the item.

Type of Item in Rollup	Material Costs From	Labor, Machine, Subcontracting, Overhead Costs From	Can Update Std Costs?
Manufactured	Primary manufacturing BOM code 1.	Primary production routing code 1 or the reference item routing, if one is specified for the item.	Yes
Configured	Component list.	Operation list.	Yes
Engineering	Any manufacturing BOM or engineering BOM. BOM code 1 is used for all lower levels.	Any production routing or engineering routing. Routing code 1 is used for all lower levels.	No
Simulation	Any manufacturing BOM code. BOM code 1 is used for all lower levels.	Any production routing. Routing code 1 is used for all lower levels.	No

Rolling Up Configured Items

There are two options for calculating standard cost for a configured item using the Cost Rollup process:

Field or Control	Description
Costing	The Cost Rollup process calculates the item's cost based on its BOM and routing. The standard cost is stored by item ID. One item could have multiple configuration codes but all configurations of the same item use the same standard cost.
Configuration Costing	The Cost Rollup process calculates the item's cost based on the component list and operation list from the latest production ID. The system stores the standard cost according to the combination of item ID and configuration code. Choose configuration costing by selecting the check box on the Define Item - Configuration page.

The roll up of a configured item using configuration costing does not include co-products, by-products, or yield by-operation details. However, the system maintains detailed costs for configured items according to component ID and operation sequence. It stores these detailed costs in the CE_ITEMCOST_DET and CM_PRODCOST_DET tables. It also summarizes these costs according to cost element and stores them in the CE_ITEMCOST and CM_PRODCOST tables.