COSTING SYSTEM IMPLEMENTATION

Overview

Many businesses do not have any form of proper costing system [either by virtue of ERP or one developed on Microsoft excel).

A costing system that is properly implemented and maintained is a very useful business tool, for the following reasons:

• You will know close to the exact profit or loss that is being made for each of your products.
• It will enable superior pricing strategy.
• It will enable you to pinpoint areas of production inefficiency within your business.

We have implemented “activity based costing” systems and have experience working with ERP accounting systems in medium to large companies.

What We Do

• Put together a budget tailored to your business. 
• Calculate the standard labour and overhead rates.
• Create excel costing models for each product and service.
• Time the production activities for each product /service.
• Monitor the total standard cost of goods sold compared to total actual cost of goods sold.
• Conduct a variance analysis to standard costs to see what inefficiencies and/or inaccurate costiing information exists within your business.
• Create a sales mix product profitability matrix.

Your Results

Boardroom Innovations has given you the avenue to:

• Control and manage your costs.
• Be able to examine your profitability in greater detail.
• Have superior pricing strategy.
• Be able to judge whether or not superior technology is required for production of certain products.