Standard cost closes your books. It doesn't run your business.
COGS.AI is a decision-intelligence engine that rebuilds your actual cost of goods sold — at SKU level, from your own SAP data — so your pricing, sourcing, production and margin decisions rest on real economics, not accounting averages.
The gap you can't see today
- Supplier price variance hiding inside PPV journal entries
- BOM substitutions silently distorting your true cost
- Overhead allocation flattening your SKU economics
- Process deviations buried in millions of transactions
- Averaged cost feeding weak pricing and margin decisions
What the engine does
Standard COGS
Your current accounting view. The baseline.
Actual COGS engine
Your material, labour and overhead rebuilt from goods receipts, goods issues, BOM and consumption data (SAP core tables: MSEG, EKPO, MBEWH, RESB, BOM detail) through a FIFO consumption model.
Cost opportunity
Actual minus standard, per SKU, with the variance drivers named.
Margin impact
Your gross profit and gross margin on true SKU cost.
What it found for a global consumer goods company (F'23)
These figures already live on cogs.digiplanet.ai.
Drivers surfaced
Supplier pricing variance · BOM setup and consumption variance · uncontrolled material substitutions · process steps missing from standard cost · overhead calculation inconsistencies
Decisions it puts on your desk
How you engage
Demo
See the engine and output shape on reference data.
Diligence
A pilot on 2–3 of your own SKUs quantifies your actual COGS and variance drivers before you commit to anything wider.
Deploy
The model built across your selected SKU set.
Run
A live SKU cost engine on your recurring data feeds.
COGS.AI FAQ
See your actual SKU cost on your own data.
A 2–3 SKU pilot proves value before any wider rollout.