Ineffective cost control and high overhead of manufacturing operations: It is too difficult to track, analyze and reduce the costs of manufacturing operations

In the conference room are meeting: Christian (CFO), Irene (IT Manager), Paul (Purchasing Manager),
Peter (Production Manager), and Enrique (Engineering Manager)

The Agenda title:

Ineffective cost control and high overhead of manufacturing operations

Although it varies from company to company, you might want to examine the following:

  • How do you discover and manage cost variances?
  • How do you record cost histories? Are they available for your review?
  • How do you assess your materials usage?
  • How do you assess the cost of customized products or rare items? Is it an expensive proposition to provide customized products?
  • Do you make products for stock, or in response to sales orders? How do you analyze and determine the cost aspect of either?
  • How do you manage future cost changes? Can you manage the dates those changes will be effective?

You May Also Like

About the Author: AJ Amjad Khanmohamed

Leave a Reply

Your email address will not be published.