The value of WIP as determined by the Inventory and WIP Valuation Report is based on the specific material that SHOULD be in the Work Order based on the BOM, less the WO shortages. And is based on the standard cost at the time this report is run. It is basically a REAL TIME report as of the moment it is run.

The value of WIP as determined in the General Ledger is based on the specific transactions released and posted to the GL that involve the specific account number assigned to WIP. That value can be different from the Valuation Report for the following reasons:

The ISSUE transactions have not been released and posted to the GL at the time the report was run.

The RECIEPT transactions have not been released and posted to the GL at the time the report was run.

The VARIANCE (Configuration and Manufacturing) transactions have not been released and posted to the GL at the time the report was run.

There may be COST ADJUSTMENTS that occurred between the time the two sources of WIP information were created.

Closed Work Orders may not have completed the KIT CLOSING operation and posting.

Check Setup to make sure that the WIP and WO-WIP have not been assigned the same GL account numbers.   The reason is that the inventory report gathers information based on the kitting records, the amount of stuff issued to WIP. Kitting is the only place that material can be placed in WIP. (It is relieved when both work order and kit are closed). So the inventory report is the most accurate assessment of the value of WIP.  On the other hand, WO-WIP is really considered inventory, not WIP. WO-WIP is differentiated so that we can keep track of over-issues to work orders for reels and packaged goods that are difficult to issue exact numbers. This allows us to keep track of such inventory, and is available to meet demands for MRP. IF you happen to have the WIP and WO-WIP using the same GL account numbers transactions will be placing material in WO-WIP through kitting was also placing the value in the WIP account in the GL. So the GL will show both the WIP and the WO-WIP, and the inventory report will only show the actual WIP values. The inventory report includes the WO-WIP in the INVENTORY column, not the WIP column.