Implementing Manufacturing and Materials Management: From Empty Plant to Costed Work Order · Module 16 · Cost Planning
What breaks
Lesson 171 of 188 · 2 min
Seven cases, and the first two are the ones you will actually meet. One. "The rolled-up cost is far too low." A component with zero cost, or a resource with no rate. Check both. Neither errors. The roll-up succeeds and hands you a confident, wrong number. Two. "The cost did not change after I entered it." Entered in the scenario, never rolled up — or rolled up but never updated. Two stages, and skipping either produces the identical symptom. Three. "The standard is wrong for every product." Structure or work definition error, propagated — one bad routing, five hundred bad standards. Four. "Overhead absorbed does not match overhead incurred." Rate or basis wrong; expected to some degree — a large persistent gap means the rate needs revisiting. Five. "The roll-up used the old structure." Scenario effective date versus structure effectivity. Six. "We published and Finance was surprised by a revaluation."…
The full lesson is part of the course
The video, the complete written lesson and the module quiz are included in Implementing Manufacturing and Materials Management: From Empty Plant to Costed Work Order, with a certificate on completion and a fourteen-day refund window.