I have been using Epicor 1 year. Our previous controller left 3 years ago, and apparently took most of our cost process knowledge with her. We only have material, at average cost, in our Epicor costs, so it would seem this is as simple as it could be. That said, we are confused.
I am in Supply Chain and am being asked to explain BOM cost changes from 2 years ago to now.
Part Advisor and Completed Jobs show a similar “high cost” over the past year
I have a BAQ with Issued Matieral, that gets within 5% of the Job Cost and Part Advisor.
Method Tracker View Costs has three fields, which confuse me:
- Part Cost is a total only, and it matches the Job Cost and Part Advisor
- Total Cost has detail, but is low by 5%
- Unit cost has detail, but is low by 5% and matches Total
What is the difference between these three?
If there as detail for Part, I could review component differences.
I believe that whatever cost from two years ago that has been used as a reference, was not accurate.
The costs we are reviewing are for a final assembly of 1200 parts/assemblies.
This final assembly is newly developed over the past two years, so the BOM has changed continually. Further, our interface with Solid Works leads to components and assemblies “disappearing” at times, so the chances that the old reference cost was different from today are virtually 100%.
I would personally like to understand how Epicor cost is being derived and where that amount appears. I would like extract a full BOM (like the Method Tracker View Costs or a BAQ) to excel, so that I can fill in current component costs, future component costs, etc.
We started down the Costing Dashboard path, but I am leery of doing much, even if I have to post to do any damage. However, perhaps that is the answer.
Or, maybe Projects is the answer...we use it at an extremelhy basic level, but are looking to do more with it.
Any advice would be appreciated. 🙂
Part Costs is a very busy discussion within ERP.
If your parts are always off by 5% I would look to see if you have a Material Burden being applied. On the part master maintenance screen towards the middle bottom of the main detail is the where the Material Burden percentage is set.
Next, for manufactured parts, the Production Detail report would be the next spot to double check. Since you mentioned Average cost, this value is updated as parts are received into inventory. This cost is set based upon the costs that have been applied to the job before the inventory transaction is made.
For Engineered parts with a BOO/BOM - there is a cost report in the system. This details the costs through the engineering levels based upon the company’s settings. Such as Pull As Assembly vs View As Assembly - are the subassemblies being treated as materials or built as part of the parent job.
Regarding an purchased parts, this is based upon the Purchase Order unit price, the receipt quantity going into inventory, and the AP Invoice that comes in later.
I believe there are a few BAQ topics that cover the recursive MOM and adding the part cost information to these queries would get you an Excel export of the costs for analysis.
There is also the Costing Workbench that would get you an estimated cost based upon the engineering. While this is used for setting the standard cost value, it can also be used to get the MOM cost and can be exported to Excel.
Let me know if you have any other questions.
Thank you for the quick response. I recognize you from your videos, etc.!
On that topic, I have only found one video online about product cots, and while it pointed me to Part Advisor, etc., it was essentially all about the transactions, which I have a decent understanding of.
I am thinking that it is Job Entry that has the material burden, not Part, as I can find it in Job, but not Part. No burden appearing in the Production Detail Report. It has the cost that is higher than the Method Tracker View Costs. Production Detail Report is not Excel friendly, or else I could do a simple match to the Method Tracker view costs. I have a BAQ that is based on the Job Costs, but I am 5% lower than the Production Detail Report.
During the past couple years, many items have been changed to Pull As Assembly, but I see even more that are View As Assembly. I am not certain if the View option would impact costs (or how they are rolled up).
Any thoughts on the Method Tracker View Costs Total and Unit Costs vs. Part Cost?
Is Part Cost simply the value from the PartCost table?