In order to understand the full cost picture of a production order, it's important to confirm your account setup, access the PO Costing Report, interpret the order status and overview tiles, and review the direct cost and overhead costs tables.

Confirm Your Account Setup

Confirm with your system administrator or project manager that:

• Your user account has been created.
• You've been assigned the appropriate role to access the necessary pages within Garment IO.

Accessing the PO Costing Report

Follow these steps to access the report:

• Go to the Garment IO system.
• Then go to the Production Department.
• Then go to Production Orders.
• Select any production order that has ended and right-click it to open the side menu.
• Click PO Costing Report to open the costing report for the selected production order from the Production Orders page.
  

PO Costing Report

Order Status and Production Sections

The current status of the production order is displayed along with a list of the production sections it has gone through.

Order Status and Production Sections

Overview Tiles

Total Cost per Piece:

• Displays the total cost per piece for the production order.
• Actual Cost: Calculated using direct and indirect costs per minute multiplied by the actual production minutes. In other words, the actual time spent (in minutes) on the batch is multiplied by the employee rate per minute plus the overhead cost per minute.
• Estimated Cost: Calculated using direct and indirect costs per minute multiplied by the estimated production time defined on the Styles page. In other words, the estimated time is the sum of the estimated times of the mandatory processes inside the style, multiplied by the machine rate per minute plus the overhead cost per minute.
• Helps assess the variance between the actual and estimated cost per piece.

Direct Cost:

• Presents the direct cost for the production order piece, which is the employee rate.
• Compares the actual direct cost with the estimated direct cost.
• Offers insight into how closely the actual cost matches the estimated cost.

Indirect Cost:

• Displays the indirect cost for the production order piece, which is the overhead costs.
• Compares the actual indirect cost with the estimated indirect cost.
• Provides insight into the accuracy of the indirect cost estimates.

Time Analysis:

• Shows the actual time taken per piece versus the estimated time.
• Helps assess efficiency by identifying gaps between actual and estimated production times.
  

Tiles

Cost Insights Graph

• A graphical representation of the four cost metrics, including overtime hours cost.
• Offers a visual overview of the cost breakdown for more precise analysis.
  

Graph

Direct Cost per Process Table

This table breaks down the direct cost for each production process:

• Columns: Quantity, Estimated Time, Actual Time, Estimated Cost, Actual Cost, and Cost Difference.
• Averages are calculated across all employees.
• Users can expand a process to view individual employee metrics.
• The total estimated time shown in the table may differ from the estimated time shown on the overview tile, because the tile only accounts for mandatory processes, while the table lists all processes performed, including optional ones, since they affect the cost details.
  

Direct Cost per Process Table

Overhead Costs Table

• Presents the various overhead costs, including the cost per minute per machine and the estimated indirect costs.
• Displays the value of the indirect costs per piece.
• Provides insight into the overhead expenses associated with the production order.

The PO Costing Report facilitates a deep understanding of all the cost details for each production order. It empowers users to make informed decisions, optimize costs, and enhance efficiency in the production process.

Overhead Costs Table

Frequently Asked Questions (FAQs):

• What do I need before I can access the PO Costing Report?
  Your user account must have been created, and you need to have been assigned the appropriate role to access the necessary pages.

• How is the Actual Cost per piece calculated?
  It's calculated using direct and indirect costs per minute multiplied by the actual production minutes, meaning the actual time spent on the batch multiplied by the employee rate per minute plus the overhead cost per minute.

• Why might the total estimated time in the Direct Cost per Process table differ from the estimated time shown on the overview tile?
  Because the overview tile only accounts for mandatory processes, while the table lists all processes performed, including optional ones.

• What does the Overhead Costs table show?
  It shows the various overhead costs, including the cost per minute per machine and the estimated indirect costs, along with the indirect cost value per piece.

• Can I see cost details broken down by individual employee?
  Yes, you can expand a process in the Direct Cost per Process table to view individual employee metrics.

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