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MFG Scan Labor for Indirect Labor Codes - rate

  • December 14, 2023
  • 9 replies
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I am trying to understand the process for Scan Labor for INDIRECT labor codes. Normally MFG employees will be scanning directly into production orders for Direct labor needs, but we want to track INDIRECT labor for activities such as SWEEPING, ORGANIZING SHELVES, etc that will not be posted to any specific work orders.

I was able to use the SCAN LABOR function to enter the indirect labor code, shift, elapsed labor time, and the employee ID. I was able to release that record, but there is no financial impact of this, as the labor rate and labor amount are read only and are $0. How do we impact the Labor Rate for these Indirect Labor Codes?

 

Best answer by angierowley75

Regardless of tracking Direct or Indirect Labor, a Production Order Operation is required to release the transaction.

If you want to use the Scan Labor function to track Indirect labor not associated to a specific Production Order - you would need to create a dummy Production Order which can be selected when logging indirect time.

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9 replies

angierowley75
Acumatica Moderator
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  • Answer
  • December 14, 2023

Regardless of tracking Direct or Indirect Labor, a Production Order Operation is required to release the transaction.

If you want to use the Scan Labor function to track Indirect labor not associated to a specific Production Order - you would need to create a dummy Production Order which can be selected when logging indirect time.


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  • Author
  • Jr Varsity III
  • 61 replies
  • December 14, 2023

OK, thank you @angierowley75 . I guess I had a different understanding of Indirect!

So a dummy production order that just remains permanently open, which can have work center(s) to represent indirect labor, and the Standard rate will pull from the dummy production order work centers, is that correct?


angierowley75
Acumatica Moderator
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  • Acumatica Moderator
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  • December 14, 2023

You got it! - you aren’t a dummy ;)


angierowley75
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  • December 14, 2023

@gbrazelton14 - actually I may have been running into a bug when I tested this… in a different version of Acumatica, I was able to create a labor transaction without specifying a Production Order.  The Labor Code record has accounts associated to it which should be used during posting. 

Perhaps try creating a Labor transaction on the Labor for (as opposed to Scan Labor) and then look at the GL entry made on the Journal Transaction screen.


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  • Author
  • Jr Varsity III
  • 61 replies
  • December 14, 2023

@angierowley75  I am on version 22.218.0023, and just populating via Labor rather than Scan Labor, I am also unable to release an indirect labor line without a Production Order.


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  • Author
  • Jr Varsity III
  • 61 replies
  • December 14, 2023

@angierowley75  I was able to do post indirect labor (without a production order) via Labor screen and also via Scan Labor screen on 23R2 build 23.201.0092 in a test environment.

Our customer is on 23R2 so I think I have a path. Thanks for your guidance!

Greg


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@angierowley75 Just to add to this build 24.109.0016 also prevents using a production number for indirect.

Direct labor allows a Production Nbr

 

 


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  • Freshman I
  • 15 replies
  • March 7, 2025

We face the same question. Indirect costs cannot be linked to a production order; if no wage is specified for the employee, no background postings are generated. What exactly are the indirect costs intended for, and where can they be properly evaluated?


angierowley75
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  • March 7, 2025

A use case I have heard for Indirect Labor tracking is time cleaning a work station before or after a shift. Or time spent changing over a line.

When creating Indirect Labor Codes, you can specify the accounts to which the costs are posted.


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