Overview
Manufacturing Departments are used to define various manufacturing areas within a production facility. Manufacturing Work Centers are assigned to Manufacturing Departments. Manufacturing Departments are also the object on which Overhead and Fringe rates for labor are defined.
Application
Labor and Fringe Overhead Rates can be defined for each department. These rates reflect an extra cost that you may need to factor into a Labor Rate. Labor and Fringe Overhead Rates are defined as a factor applied to the associated labor. If the options described above apply to the entire manufacturing area and do not change depending on where the manufacturing process is taking place, one Manufacturing Department may be all that is required.
EXAMPLE You may have an Overhead Labor Rate defined as 1.5 or 150% of the labor. If the Labor Rate was $10 per hour, this would result in a charge of $25 per hour (standard labor of $10 plus an overhead of $15).
Navigation
Manufacturing Department
Processing
Select the New Manufacturing Department button (or New) to add a New Department, or Edit to access an existing record.
Fields
Division: The Manufacturing Division this Manufacturing Department is associated with.
Manufacturing Department Number: A unique, user-defined, identifier for this Manufacturing Department.
Description: A user-defined description for this Manufacturing Department.
Accounting Dimension Value: An optional Accounting Dimension defined for this Department. If set, this Dimension value will be stamped accordingly on Labor Cost Transaction records and carried to the appropriate Dimension value on the associated Accounting Journal line.
Responsible Manager: The Manufacturing User designated as the Responsible Manager for this Manufacturing Department. This is primarily a reference field for filtering reports and/or queries.
Responsible Planner: The Manufacturing User designated as the Responsible Planner for this Manufacturing Department. This is primarily a reference field for filtering reports and/or queries.
Organizational Department: The optional Organizational Department for this Manufacturing Department. When specified, this will be used to define the Accounting Dimension to be stamped on Labor Cost Transactions for this Manufacturing Department. If specified, the Accounting Dimension from the selected Organizational Department will be used, rather than the Accounting Dimension Value described above.
Labor Ohd Option: The Labor Overhead option for this Manufacturing Department. Valid options are Manual Entry or Copy from Simulated. ‘Manual Entry' indicates that the Cost Rollup process will not copy the Simulated Overhead Rate value to the Standard Labor Overhead Rate. Instead, the User will manually set (enter) the Standard Labor Overhead Rate for the Manufacturing Department. ‘Copy from Simulated’ indicates that the Cost Rollup process will copy the Simulated Overhead Rate value to the Standard Labor Overhead Rate.
Sim Ohd Rate, Labor: The Simulated Labor Overhead Rate for this Manufacturing Department, which is always manually entered by the User. If the Labor Overhead option is set to Manual Entry, this value is not used and is for reference only. If the Labor Overhead option is set to Copy from Simulated, the next Cost Rollup process will copy this value to the Standard Labor Overhead field, which is then used to Rollup Overhead Costs (by being applied to Standard Labor).
Std Ohd Rate, Labor: The Standard Labor Overhead Rate for this Manufacturing Department, which is used to calculate Labor Overhead Standard Values. If the Labor Overhead option is set to Manual, this value can be set manually by the User and is not rolled up from the Simulated Labor Overhead value. If the Labor Overhead option is set to Copy from Simulated, the next Cost Rollup process will update this value from the value in the Simulated Labor Overhead field, which is then used to rollup overhead costs (by being applied to standard labor).
Fringe Ohd Option: The Fringe Overhead rate for this Manufacturing Department. Valid options are Manual Entry Copy from Simulated. Manual Entry indicates the Cost Rollup process will not copy the Simulated Value to the Department Fringe Overhead rate. Copy indicates the Cost Rollup process will copy the Simulated Value to the Department Fringe Overhead Rate.
Sim Ohd Rate, Fringe: This is the Simulated Fringe Overhead Rate for this Manufacturing Department, which is manually entered by the User. If the Fringe Overhead option is set to Manual Entry, this value is not used and is for reference only. If the Fringe Overhead option is set to Copy from Simulated, the next Cost Rollup process will copy this value to the Standard Fringe Overhead field, which is then used to rollup Fringe Overhead Costs (by being applied to Standard Labor).
Std Ohd Rate, Fringe: The Standard Fringe Overhead Rate for this Manufacturing Department, which is used to calculate Fringe Overhead Standard Values. If the Fringe Overhead option is set to Manual Entry, this value can be set manually by the User and is not rolled up from the Simulated Fringe Overhead value. If the Fringe Overhead option is set to Copy from Simulated, the next Cost Rollup process will update this value from the value in the Simulated Fringe Overhead field, which is then used to rollup overhead costs (by being applied to the Standard Labor).
Sim to Std Roll Date: Set by the system, indicating the last date the Simulated values were rolled to Standard. This occurs during a Cost Rollup.
SEE ALSO
Work Order Setup Requirements
Shop Floor Overview
