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Implementing Manufacturing and Materials Management: From Empty Plant to Costed Work Order · Module 16 · Cost Planning

Rolling up costs

Lesson 168 of 188 · 14 min

Open the scenario and from Actions select roll up costs. Tick the notify-on-completion option, submit and monitor. Review the result for a purchased item, then a single-level manufactured item, then the multi-level assembly, and show the cost building through the levels. Then show a roll-up that fails or produces a zero cost, and diagnose it. The multi-level roll-up is the payoff of the structures, resources, work definitions and cost structures modules together. Walk it level by level — this is the moment four modules of master data produce a number. Watch for zero costs. A zero-cost component silently understates everything above it. The roll-up is a batch process. On a large item master it takes time. Plan for it in the annual cycle.

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In this module: Module 16 · Cost Planning

  1. 1What a standard cost is made of
  2. 2Cost scenarios
  3. 3Standard costs for materials
  4. 4Resource rates
  5. 5Overhead rates
  6. 6Rolling up costs
  7. 7Analysing the rolled-up cost
  8. 8Updating and publishing costs
  9. 9What breaks
  10. 10Lab: roll it up and publish