Article 74 - Transportation Costing

Article 74 - Transportation Costing


Article 74: How Do Transportation Costing and Financial Settlement Work in MM-TM?

Core Concepts:

  • Automatic costing: Based on master data (rates, contract terms on carriers), distance, weight, volume, and services (cleaning, accessorials).
  • FO-level costing: Every FO calculates expected charges and tracks actual costs.
  • Integration with FI: TM settlements generate automatic SAP FI invoices and posting.
  • Cost allocation: Assigns transport costs to the responsible cost center, order, or project (from MM documents).

Settlement Process:

  1. FO confirmed delivered and POD obtained.
  2. System validates contract rate vs. actual service.
  3. Invoice generated or matched; disputes resolved.
  4. Charges posted to the correct GL/cost center.


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