Manufacture Smarter Blog

2/17/2017 - BY: ROB STAUFFER, MBA, PMP
Improving cost identification is one of the most crucial elements involved in driving your organization towards operational excellence and success. With the manufacturing sector evolving to a whole new level of functionality, manufacturers now are finding themselves under pressure to optimize budgets, quality and efficiency, while keeping up with the latest technological trends and adapting to market conditions.

11/6/2015 - THE CENTER
Companies can achieve significant results from innovation driven by solid research and development (R&D). From the proof of concepts to the actual commercialization of ideas, the R&D process can spark new innovations, lead to new efficiencies and develop your workforce. It also helps organizations enhance or create products and diversify offerings.

4/10/2015 - ROGER TOMLINSON
Many manufacturers determine a standard cost for their goods, services, and the production components they purchase throughout the year. Purchase Price Variance (PPV) is used to show the difference between the standard cost and actual cost in accounting.

6/28/2013 - THE CENTER
Many manufacturing companies use absorption costing methodologies that simply add up all costs and divide by the number of hours worked in a given year. This equation typically yields an average cost per hour for each department, or a blanket cost per hour (i.e. everything in the shop costs $120 per hour). This approach is quite easy to calculate and it provides a safe way to make sure all costs are ‘covered’ in terms of determining costing rates.