Material management process, Capacity assessment, Cost Centre organisation, Cost allocation methodology and Cost driver appropriateness
Validation of Bill of Material (BOM) – through Bill of material review – versions, revision, adoption, authority and delegation, material indent process etc;
Variance analysis at batch/product level, Reporting of scrap, wastage and rework and usage of alternate material, authority delegation and cost impact.
Work - Station based capacity;
Bottleneck deduction;
Work - Station cost, idle cost, and overhead unabsorbed.
Appropriate cost driver – men/machine hours – enables ascertainment of process/workstations cost and product costs truthfulness;
Cost Centre Organisation/Cost allocation methodology/Cost driver;
Categorisation of activity into Primary (manufacturing workstations) and factory support (maintenance, quality assurance/control, Personal, Regulatory etc.).
Assessment of Existing compliance framework to highlight gaps;
Applicable Acts/ Compliances not part the current framework;
Outdated/ Not applicable compliances that reflect in the framework;
Segregating the compliance framework Very Critical (involving imprisonment or very heavy penalty or both), Critical and important compliances for management review and action.