How to calculate the cost for Setup Time in Machine Center

asramaboy

Dear All,

I have a manufacturing Question:

Let said: We have a work center A with the setting
Direct Cost = 1, Indirect Cost = 0, Overhead Rate = 0, Unit Cost Calculation = Time, Unit of Measure Code = Minutes

We have a machine center B which is link to work center B with the setting
Direct Cost = 1.5, Indirect Cost = 0, Overhead Rate = 0, Setup Time = 30 minutes.

It is the Cost for Setup Time of Machine center B is equal to

Machine Center's Setup Time (30) * Machine Center's Unit Cost (1.5)?


Thank's a lot.

Rongrit

Setup Cost = (Setup Time/Lot Size) x Unit Cost

You have to know something, you cannot define Setup Cost for each Machine Center. Setup Time in Routing Setup Tab on Machine Center Card is only default information when you choose this machine center in Routing Line.

And you have to place check mark in Cost Incl. Setup on Manufacturing Setup, General Tab if you want to include Setup Cost to cost calculation.

Sorry for my bad english

With best regards,