Solved

Where to enter planned labour costs on production orders/BOM

  • 11 August 2023
  • 3 replies
  • 133 views
S
Rank
Userlevel 2
Badge

Can someone please confirm where we enter our planned labour costs on a BOM?

Our original BOMs were set up by a consultant and it was never explained to us where to enter this information. From my searching I think it is ‘run time’ on the work centres on a BOM. Is this correct?
If it is, we assume a production order adds all work centre run times together to get the planned labour time on a production order?

icon

Best answer by angierowley75 11 August 2023, 13:25

View original

3 replies

angierowley75
Rank
Userlevel 7
Badge +3

The setup & run time on the production order operation are used to calculate the time.

Depending on how you have your Production Preference set to use Standard or Employee labor rate - controls how the cost is calculated.

If I have helped you, please ~ *Like* my post. If I have provided an answer to your question, please mark it as *Best Answer* . Thank you!
Debbie Baldwin
Rank
Userlevel 7
Badge +2

@steph23 - one other thing that sometimes people don’t know - yes - you can see planned cost overall for the Production order on the totals tab, but did you know you can also see planned cost by operation too? If you look at the operation (Production Details) there is also a Totals tab too. This helps when verifying costs and also when trouble shooting variances. 

Debbie Baldwin
E
Rank
Userlevel 5
Badge +1

Also, make sure that the shift Differential Type, if set to rate, is at least 1.  A client of ours ran into this and although they had a default work center rates, when the cost calculation was done, labor was zero because the Shift Differential was zero. 

Eric Wolfe

Reply


Terms & ConditionsCookie settings
About Acumatica ERP system
Acumatica Cloud ERP provides the best business management solution for transforming your company to thrive in the new digital economy. Built on a future-proof platform with open architecture for rapid integrations, scalability, and ease of use, Acumatica delivers unparalleled value to small and midmarket organizations. Connected Business. Delivered.
© 2008 — 2024  Acumatica, Inc. All rights reserved