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Inventory Overhaed Cost

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Hi,

We are an Oil & Gas Company and import material from different countries. Apart from PO cost, we intent to book all other related overhead costs (e.g Freight from port of loading to port of unloading, clearing & forwarding, inland transportation etc.) to become cost of the inventory.

We have recently switched from Oracle to SAP and using Movement Type 103 & 105; however, the required purpose i.e booking of overhead cost is not being done through 103 & 105. We have heard that through Movement Type 107 & 109, it is possible.

Please guide/ advice any other possible solution or any other movement type.

Regards

Faisal Mehmood

OGDCL

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Answers (1)

Answers (1)

Neeraj_Jain1
Active Contributor
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Hello Faisal,

The below SAP blog link will shed light on how the movement type 103, 105, 107 and 109 works. Actually already you are using movement type 103 and 105 that's why I am sharing below link to understand the process for cited movement types:

https://blogs.sap.com/2022/06/10/origin-acceptance-at-vendor-premises/

Further using of movement type 107 and 109 in your process will convert your stock from non-valuated to valuated stock as defined in above link but not sure it could capture the overhead cost.

If found something more on it will share.

Regards,

Neeraj Jain