We include within the BOM an Outside service process where the cost is billed on PO as not stock item. Is there a way to included the cost from non-stock items with the BOM and Production Order.
Best answer by Noah
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I think this is a case where you need ‘roll up’ the costs to update the BOM. We do it exactly like you do with a non-stock service item that gets it’s cost from a PO. On the non-stock item, you do need to do Actions>Update Cost after it’s been on a Purchase Receipt (or you can enter the cost by hand). Once the non-stock item has a cost, it should be reflected on the cost of any good produced with a Production Order using that BOM.
The prices on the BOM and the Production Detail are there for informational purposes and don’t necessarily reflect what is going to be used for the actual cost. I think this is what the ‘Cost Roll’ is for though. Once you process your BOM through the cost roll, the unit and planned cost on the BOM and the ProdO should reflect the current actual costs.
Thank you.
Just an update to this as I know know more:
Non-stock item costs are not updated with the cost on a purchase receipt, only Stock items are. So if you want a non-stock item’s cost to be included on a Production Order, you have to manually give that item a price. If the price changes between Purchase Orders/Receipts, you need to remember to update the cost of that item on it’s non-stock item screen.
If the item is on a production order and has a cost before the final move, that cost will be included on the Production Order.
Userlevel 5
+1
Just an update to this as I know know more:
Non-stock item costs are not updated with the cost on a purchase receipt, only Stock items are. So if you want a non-stock item’s cost to be included on a Production Order, you have to manually give that item a price. If the price changes between Purchase Orders/Receipts, you need to remember to update the cost of that item on it’s non-stock item screen.
If the item is on a production order and has a cost before the final move, that cost will be included on the Production Order.
You also have to have the backflushing on for the costs to come in. Within the original cost roll up, the nonstock items do not appear to be pulling into the costs (only stock items do). I will try and find some examples, but I have seen this a few times now.
I’m wondering if anyone has more insight on how to get the costs on a Non-Stock item to get rolled into the actual cost of the finished good?
We’ve setup a couple non-stock items that are specific to the production orders we’re working with - these display correctly on the BOM and are carried into the production order with a planned cost - however, when the production orders are completed, the actual cost remains at zero
Is there a way to cost non-stock items into the final cost with a production order?
Userlevel 5
+1
I’m wondering if anyone has more insight on how to get the costs on a Non-Stock item to get rolled into the actual cost of the finished good?
We’ve setup a couple non-stock items that are specific to the production orders we’re working with - these display correctly on the BOM and are carried into the production order with a planned cost - however, when the production orders are completed, the actual cost remains at zero
Is there a way to cost non-stock items into the final cost with a production order?
Are you creating purchase orders for these items and backflushing?
We are creating POs - although they’re not tied to an individual production orders.
We have raw materials that are being sent out for anodizing or powder coating after receipt. This is done in batches not specific to any individual production order - but those costs are pretty well fixed and we’d like to include them in the final cost of the finished goods
Userlevel 5
+1
We are creating POs - although they’re not tied to an individual production orders.
We have raw materials that are being sent out for anodizing or powder coating after receipt. This is done in batches not specific to any individual production order - but those costs are pretty well fixed and we’d like to include them in the final cost of the finished goods
If it is not linked to the production order, the costs don’t come over. I wish it did, because that would be ideal to bring in the unit cost.
You can also just set the standard cost of the non stock item to $1 then when you create the PO, your qty of the non stock item matches the total cost of the outside process. This helps if the cost fluctuates production order by production order.
Userlevel 5
+1
You can also just set the standard cost of the non stock item to $1 then when you create the PO, your qty of the non stock item matches the total cost of the outside process. This helps if the cost fluctuates production order by production order.
That doesn’t work if you get charged a lot charge or have a per piece price that is different for your qty, or if you get charged by weight but the PO is in EA.
Userlevel 5
+1
This is why we are trying to go the route of having the standard cost of the non stock item be $1, then on the PO we would purchase a quantity of 2,750 to get the full $2,750 worth of cost into WIP.
Userlevel 5
+1
This is why we are trying to go the route of having the standard cost of the non stock item be $1, then on the PO we would purchase a quantity of 2,750 to get the full $2,750 worth of cost into WIP.
That is a true statement. it really messes with the purchasing department to have to change the cost every time.
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