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Difference in WMS cost group and Inventory cost group assignment

2 Apr

Cost Groups in Oracle WMS are assigned by the Cost Group Rules Engine.
In Oracle Inventory, Cost Groups are derived based on the primary cost Method of the organization and the location where the material is being moved. If the costing method is Standard-Costing, then the Cost Group associated with subinventory is assigned to the material. For the other costing methods, the Cost Group associated with the organization is used.
In Oracle Warehouse Management, once a Cost Group is associated with a material, it does no change when the material is moved within the organization. In Oracle Inventory, the Cost Group associated with the material changes with the location where it is residing.
So in WMS, once the material moved with in the organization, then cost group update needs to be done if you want to change the cost group assigned to the material.