Product cost - complex structure

Deepika (Analyst) (25 Points)

25 April 2014  

Hi Guys,

I need all of your help urgently. I am working for a manufacturing organisation outside India. Here they are the private company, and planning for IPO soon. I have beeb appointed here in order to make some system related to costing here.

My convern is that, in this organisation they have multiple products with different processes steps for all the products. Documentation is not good either. So basically:

A Company - 40 to 50 Manufacuring Process - More than 100 Products. Each product has set a processes applicable on it. I am lost in the structure. As I see lack of documentation, lack of information, most of the numbers are either average based or assumption based. Not sure how to first get the process cost and then to reach at the product level cost. Can any one help me to get this riddle resolved. I am stuck and want to save my job and do something really good to save the image of a chartered accountant. I know that this is more of a cost accountant job but I had no option but to grab this. sad

Can anyone help to give a direction please.yes

Best Regards

CA Deepika