How is the Total Variance calculated?

[SAPSupport]

We would like to understand the meaning of Total Cost Variance in Event-based Order Cost Analysis.

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[SAPSupport · Accepted solution]

Hi SAP Community,


You can use the F1 help to check the meaning of each field, where it is mentioned above:

Total Variance for Manufacturing Orders

This is the sum of all variances, regardless of whether the variance was split or not. It is only calculated for orders that are delivered or technically completed.

Total Variance for Product Cost Collectors

Variance is determined by calculating the difference between the target costs debited to the PCC and the credits from goods receipts.


Besides that, you can also refer to below documentation:

Variance Split


I hope this helps!


Best Regards,
SAP Product Support