01 Sep How to Simplify Manufacturing Job Costing
Want to compete for new business with accurate estimates driven by complete cost visibility? Reduce workforce time inefficiencies and improve your accuracy? Maintain a constant view of planned vs actual costs. Here are 5 easy steps to streamline final project accounting and master manufacturing job costing.
Table Of Contents
Project Start Up
Document Customer and project information using the CRM and begin estimating your costs.
Assign a project manager and the key personnel for all tasks. Create a bill of materials, WorkCentre setup, tooling, machine and labour costs and get a clear sense of the total costs and time required to complete the contract.
Procure required materials and external services. Allocate resources as per the Advanced Planning and Scheduling (APS). Pay suppliers, invoice customers based on milestones, time and materials, or cost while you monitor it all using reporting and analytics.
Project Change Orders
Maintain change orders with appropriate documentation and workflow approvals. Update costings and monitor planned vs actual expenditure and profit.
On completion of your project, allocate your overheads, capture service time and backflush standard items. Create final billing and recognize revenue. Request customer payments, pay suppliers and finalise reporting.
Should you need to complete a similar project in the future, you could repeat the success by automating the process. Integrated Cloud ERP makes manufacturing job costing easy allowing you to compete for business faster and more efficiently.