1. Equipment Cost Analysis Implementation Guide
  2. Understanding Equipment Cost Analysis

Understanding Equipment Cost Analysis

As a complement to JD Edwards EnterpriseOne Capital Asset Management (CAM), the JD Edwards EnterpriseOne system provides companies with the ability to perform detailed cost analysis on the equipment that they own and maintain. The JD Edwards EnterpriseOne Equipment Cost Analysis system benefits companies that use a variety of equipment and need to identify current problem areas or track increasing operational costs that point to future problems. For example, you could compare the maintenance costs for a group of related equipment over a number of financial years, or compare the maintenance costs for a type of equipment operating under a number of different operating environments or across different sites.

The JD Edwards EnterpriseOne Equipment Cost Analysis functionality is designed to supplement existing financial inquiries by providing the tools to analyze existing equipment cost information that is based on equipment coding rather than account coding. JD Edwards EnterpriseOne Equipment Cost Analysis enables you to generate and review cost summaries for equipment and assets. Cost summaries are based on relationships that you define for the equipment. These relationships can be hierarchical, which are based on a hierarchy of equipment records; and logical, which are based on category codes that you use when setting up equipment and assets. For example, to summarize costs at the truck level, a trucking company might define a hierarchy relationship between all of the components of a vehicle. A utility company might establish category code relationships that represent different circuits to compare costs.

JD Edwards EnterpriseOne Equipment Cost Analysis enables consolidation of equipment costs into defined groups that are based on the parent/child equipment structure and the equipment category code structure. Revenue, depreciation, purchase, maintenance costs, and statistics can be reported directly for the equipment without a work order. Thus, the primary source of cost information are the Asset Account Balances File table and the Account Ledger table when partial period cost information by account is required. After the cost information is calculated, it is stored and available for ongoing and trend analysis.

JD Edwards EnterpriseOne Equipment Cost Analysis enables you to:

  • Summarize costs that are based on the parent/child hierarchical relationship between equipment records.

  • Review the total cost of maintaining an equipment assembly when, due to its size and critical role, the assembly has been broken down into components for history and cost tracking.

  • Summarize costs that are based on equipment category code relationships between equipment records.

  • Review the total cost of maintaining a specific type of equipment or an equipment group within a production plant, including the costs that are associated with the equipment components.