What would you like to change them to or on what basis will you make the change?  Is it a percentage change to each part or an individual change to each part based on some other criteria like Last Purchase Price?  You will almost certainly need to change the cost using a migration job to update the Estimated Material Cost, but this will only affect the Purchase Parts directly.  For manufactured parts, they will be indirectly affected by the summed material cost of the purchased items as well as any labor rate updates.  You can’t fix or update the manufactured cost by a percentage directly.

Customer wants to revalue all the parts (using standard cost) due to change in exchange rates. They are asking for a solution to do it. They have roughly 5000 inventory parts so one by one changing would not be suffice.

Any help would be highly appreciated.

The general steps are as follows:

1. Go to the Part Costs view and download the current standard cost for all items in the Site or Sites affected (need Contract (site), part no, cost at a minimum)
2. Use excel to update the cost by the exchange rate difference or percentage they want to use as a correction
3. Prepare a migration job as the screenshot below with just the three columns listed
4. Upload the new cost to the Inventory Part Estimated Cost using the migration job
5. Recalculate the entire Site using All Parts Cost Calculation or select the affected parts from the Part Costs overview and calculate all parts in Cost Set 2 or whichever set they normally do their calculations.  Calculate all levels if there are any manufactured parts
6. Verify the costs are as expected in Cost Set 2
7. Copy the costs to Cost Set 1 for all parts, at which point the total inventory cost will be revalued to the new total

It is highly recommended that this be done in a QA or TEST environment first or even several times as there are numerous other small switches on the various steps that have an effect depending on how they normally do their calculations.

This is inventory Revaluation. By Defining the latest corporate rate system should revalue the inventory with latest corporate rate. In case not Application should have some mechanism.

Regards,

Jayram

Sorry for my late comments here - I’v been on long vacation.

Can’t you look into “Calculation of Planned Purchase Cost”? The system generated Cost Template P-140 captures “planned purchase cost”. Cost Set 5 is usually connected to Cost Template P-140.

When you calculate Planned Purchase Cost for ALL your parts (through All Parts Cost Calculation) you have the possibility to enter an Effective Date. This date is used when system calculates the cost, it uses this date to get the valid exchange rates (I am 95% sure of this….) So the cost calculation logic is calling the Purchase Order Line Pricing logic for the main supplier for part X, using the Effective Date as a sort of “Order Date”.

After this calculation completes you can analyze your result in for example cost set 5. If things looks OK then run the job Copy Costs to Cost Set One. This will update the standard cost for your parts and perform neccessary inventory valuation.

I hope this information helps.

You can, if you want, also look into the possibilities with Update Cost Set Estimated Material Cost… Let me know if you want more details here.

Cheers

Select the business unit, cost type, and cost version with which you want to update the standard costs. The status for the cost type and version type appears and must be set to approved.

@ShawnBerk we did the same steps for a set of parts. However, the estimated material cost is not zero’d. We also see the same value on Project Activity > Demand > Misc. Parts tab > Total Planned Cost. Purchase price is zero’d as expected though. 

Can we expect this to be zero’d? Please let me know. Thanks. 

@Asela Munasinghe 

I don’t think I understand the question.  Why would you expect the Estimated Cost to be zero’d?  Or want it to be really?  The Estimated would be the first part of building up the cost on purchased items, for us the Estimated comes from the Primary Supplier purchase price for a new part or the Last Purchase Price from the primary supplier on an annual basis.

We have the setting on the inventory part to not allow zero cost and force the item to be costed before the first receipt is allowed.  This prevents lots of problems later on, so zero cost is undesirable at any point. 

In your picture above, there would be an error for us if the unit cost is 0.00 at the receipt.