Track Other Projects
Business Example
You are a contract electronics manufacturer who can charge customers for design services as well as production services. You have decided to track their design service projects using non-standard discrete jobs.
Assumptions
Your manufacturing engineers have already set up a dummy item, named Design_Project, with a number of alternate routings for various types of design projects. In this case, Project7 is the alternate routing that most closely matches this specific project.
You can use the Operations window to modify this standard routing to exactly match the major tasks (operations) and responsibilities (resources) for this specific project.
Setup
Use the Discrete Jobs window to define a non-standard discrete job with no assembly and a job quantity of zero. There is no need for an assembly since you will not be moving or completing anything. Select an expense type non-standard accounting class since you are performing project activities. Use a class with accounts that correspond to your project accruals. Use the job name and description to identify the specific customer and design contract.
Enter the Design_Project item and the Project7 alternate routing into the Routing Reference and Alternate Routing fields respectively to create the WIP operations and resources. Since you will not be making moves, the purpose of this routing is to serve as a task reference list and charging point for the individuals who are performing this project.
Print the Discrete Job Pick List Report and release the job using the Discrete Jobs window.
Transactions
Use the Resource Transactions window to charge resources time incurred during the life of the project. You can charge at a standard rate or a rate based on the specifics of your contract.
Use the Move or Resource Transactions windows, or the Operations window to modify the operations or resources as required for this particular project.
Use the WIP Material Transactions window to issue any items that the project might require.
Costing
Since you will do this project over several periods, you can leave this job open for as long as you want. The job must have an ending balance equal to the material, resource, and overhead charges incurred during any period. The cost accountants must run a Discrete Job Value report each period to review the charges and bill the customer. The job balance is written off as a variance when you close the job or at period end when expense type non-standard jobs are automatically expensed.
See Also
Defining Discrete Jobs Manually
Adding and Updating Material Requirements
Adding and Updating Operations
Charging Resources Manually
Issuing and Returning All Push Components
Performing Move Transactions
Completing and Returning Assemblies
Overview of Discrete Job Close
