Oracle Process Manufacturing (OPM) Costing is an important module within Oracle’s suite of applications, particularly for manufacturers that deal with process-based industries such as chemicals, food and beverage, pharmaceuticals, and more. It enables businesses to track, calculate, and manage costs associated with manufacturing processes, ensuring accurate and efficient cost management.

Module 1: Introduction to Process Manufacturing Costing

1. Overview of Oracle Process Manufacturing (OPM)
   • Introduction to Process Manufacturing and its importance
   • Key features of Oracle Process Manufacturing
   • Benefits of using OPM Costing
   • Industries that use OPM (e.g., Chemicals, Pharmaceuticals, Food & Beverage, etc.)
2. Understanding Process Manufacturing vs Discrete Manufacturing
   • Key differences between Process and Discrete Manufacturing
   • Batch production vs discrete production
   • Impact of process flows on costing
3. Costing Methodologies in OPM
   • Standard Costing
   • Actual Costing
   • Moving Average Costing
   • Costing in different process industries

Module 2: Setting Up OPM Costing

1. Costing Setup Overview
   • Introduction to Cost Elements (Direct Material, Direct Labor, Overhead)
   • Cost Categories and Cost Types
   • Cost Groupings and their impact on production costs
2. Creating and Managing Cost Profiles
   • Setting up Cost Profiles and Cost Groups
   • Assigning Cost Groups to materials
   • Defining Costing Methods in the system
3. Costing Setup for Inventory
   • Integrating OPM Costing with Oracle Inventory
   • Material Costing in Inventory
   • Defining and managing material price control
   • Setting up Inventory Items and their cost information
4. Costing Setup for Work Orders and Routings
   • Linking Routings to cost profiles
   • Defining Work Orders for costing purposes
   • Assigning standard labor and overhead rates to Work Orders

Module 3: Cost Collection and Allocation in Process Manufacturing

1. Material Costing

   • Tracking and allocating material costs during production
   • Handling lot and batch costing
   • Material cost adjustments and transfers

2. Labor Costing

   • Tracking labor costs associated with manufacturing
   • Defining labor rate setups
   • Allocating labor costs to specific work orders or batches

3. Overhead Costing

   • Defining overhead rates and allocation methods
   • Fixed and variable overhead cost allocation
   • Managing burden rates and applying overhead costs to production

4. Handling Mixed Costs

   • Handling complex cost scenarios like co-products and by-products
   • Managing scrap and waste in cost calculations

Module 4: Costing in Batch and Process Manufacturing

1. Costing for Batch Manufacturing

   • Batch-level cost calculation
   • Allocating costs to batch processes and intermediate steps
   • Tracking Work in Progress (WIP) for batches

2. Handling Co-products and By-products

   • Costing scenarios for co-products and by-products
   • Managing split costs between co-products and by-products
   • Accounting for scrap and waste in batch processes

3. Costing for Continuous Manufacturing

   • Specific cost tracking for continuous manufacturing setups
   • Managing long-duration production cycles

Module 5: Cost Rollup and Variance Analysis

1. Understanding Cost Rollup

   • Purpose of cost rollups in OPM
   • Performing standard and actual cost rollups
   • Reviewing rollup results and correcting discrepancies

2. Variance Analysis

   • Calculating and analyzing variances between standard and actual costs
   • Identifying cost overruns and inefficiencies
   • Managing cost variance adjustments

3. Revaluing Inventory and Work in Progress (WIP)

   • Adjusting for inventory revaluations
   • Managing WIP cost changes post-production

Module 6: Advanced Costing Features

1. Handling Subcontractor Costs

   • Tracking subcontractor costs and integration with OPM Costing
   • Costing for outsourced processes
   • Subcontractor invoicing and cost allocation

2. Costing for Mixed-Mode Manufacturing

   • Handling complex cost scenarios in mixed-mode environments
   • Combining discrete and process manufacturing cost calculations

3. Multi-Org and Multi-Currency Costing

   • Managing OPM Costing in multi-organization environments
   • Currency handling for international manufacturing and costing

4. Costing for Product Variants

   • Managing cost differences for product variants
   • Costing different versions or configurations of the same product

Module 7: Reporting and Analytics in OPM Costing

1. Standard OPM Costing Reports

   • Work in Progress (WIP) Reports
   • Costing Variance Reports
   • Material and Labor Cost Analysis Reports
   • Actual vs Standard Cost reports

2. Customizing Costing Reports

   • Creating custom OPM costing reports
   • Using Oracle BI (Business Intelligence) tools for cost analysis
   • Designing dashboards for real-time cost tracking

3. Costing Data Export for Financial Reporting

   • Exporting costing data for integration with Oracle Financials
   • Generating periodic financial reports and summaries

Module 8: Best Practices and Troubleshooting

1. Costing Best Practices

   • Ensuring accurate costing setup in OPM
   • Managing cost adjustments and variances effectively
   • Periodic reconciliation and cost validation best practices

2. Troubleshooting Common OPM Costing Issues

   • Identifying and fixing discrepancies in costing reports
   • Resolving setup issues like misallocated costs
   • Debugging cost rollup and variance errors

3. Optimizing OPM Costing Processes

   • Streamlining batch costing processes
   • Automating cost calculations and rollups
   • Optimizing reporting and analysis workflows

Module 9: Integration with Other Oracle Applications

1. OPM Costing and Oracle Financials

   • Integrating costing with Oracle General Ledger (GL)
   • Transferring costing data from OPM to Financials for accounting purposes

2. OPM Costing and Oracle Purchasing

   • Managing purchase order cost allocation and integration
   • Handling supplier invoices and costs

3. OPM Costing and Oracle Order Management

   • Costing in relation to order fulfillment and shipping
   • Order costing and tracking for finished goods

4. OPM Costing and Oracle Project Accounting

   • Costing for project-based manufacturing
   • Tracking project costs and integration with OPM