Cost models are used in the product costing routine for the calculation of standard cost of items and for the calculation of manufacturing order costs, configured item costs and project structure costs.
Flowchart
Elements
Each cost model includes elements, such as material, operation and set-up costs, which are linked to one or several equations.
Equations
The equations define how the cost is to be calculated. See Variables below for a list of the system defined variables that can be used in the equations.
Active model
Only one cost model can be active. The Cost model field in the MFG control file defines the cost model to be used in the company. The cost model that is activated for the company is used both in the product costing and for manufacturing orders.
Note: You can also define a cost model on the manufacturing order type level. That cost model will, however, only be used in the manufacturing order creation and not in the product costing.
Used models
A cost model can be used several times, but once used the following restrictions exist:
- Maintenance – You cannot change or add elements/equations to a used cost model. However, if you want to maintain it you can copy an existing cost model, change it and/or change the activation date to a date when you wish the new cost model to become active.
- Deletion – Cost models that have been used cannot be deleted.
Default cost model
The default cost model (*DFT) is included in the standard DC1 Manufacturing system. You can use it as it is, or you can copy it and change the name or activation date. Alternatively, you can use the same name and activation date but change elements and/or equations with the default model as a base.
Variables
| Variable | Description |
|---|---|
| &01 | Component quantity |
| &02 | Cost price |
| &03 | Standard quantity for PC |
| &04 | Std quant PC or order quantity |
| &05 | Reported quantity total (oper) |
| &06 | Reported quantity approved (oper) |
| &07 | Reported quantity scrapped (oper) |
| &10 | Item group overhead 1 pct |
| &11 | Item group overhead 2 pct |
| &12 | Item family overhead 1 pct |
| &13 | Item family overhead 2 pct |
| &14 | Item sector overhead 1 pct |
| &15 | Item sector overhead 2 pct |
| &16 | Item group overhead 1 amount |
| &17 | Item group overhead 2 amount |
| &18 | Item family overhead 1 amount |
| &19 | Item family overhead 2 amount |
| &20 | Item sector overhead 1 amount |
| &21 | Item sector overhead 2 amount |
| &22 | Item material overhead pct |
| &31 | Run/labour time |
| &32 | Machine time |
| &33 | Set-up time internal |
| &34 | Set-up time external |
| &35 | Run/labour price |
| &36 | Machine price |
| &37 | Set-up price internal |
| &38 | Set-up price external |
| &39 | Work centre overhead 1 pct |
| &40 | Work centre overhead 2 pct |
| &41 | Work centre overhead 1 amount |
| &42 | Work centre overhead 2 amount |
| &43 | Sub-contractor price |
| &44 | Sub-contractor set-up price |
| &45 | Tool cost fixed |
| &46 | Tool cost variable |
| &50 | Item group base value overhead |
| &51 | Item family base value overhead |
| &52 | Item sector base value overhead |
| &53 | Item prod overh percentage |
| &54 | Item prod overh amount |
| &55 | Item group prod overh pct |
| &56 | Item group prod overh amount |
| &57 | Item family prod overh pct |
| &58 | Item family prod overh amount |
| &59 | Item sector prod overh pct |
| &60 | Item sector prod overh amount |
| &61 | Year forecast |
| &62 | EOQ |
| &63 | Gross weight |
| &64 | Net weight |
| &65 | Length |
| &66 | Height |
| &67 | Width |
| &68 | Item user defined num 1 |
| &69 | Item user defined num 2 |
Enquiries and printouts
- Cost model enquiry
- Product costing enquiry
- Product costing printout
- Manufacturing order cost control printout
- Manufacturing order WIP report