Costing can be used to evaluate company performance in detail. The module supports a wide range of production types and costing variants of any kind. The costs and prices for standard or customer-order-specific products can be determined on the basis of surcharge costing. PSIpenta Costing forms an excellent basis for determining prices, making sales policy decisions, tax assessments and for planning decisions and directives.
The Costing module uses differentiated surcharge costing. This divides a company's costs into direct and overhead costs. The direct costs and any possible extra costs are assigned directly to the cost units. The overhead costs are distributed between the cost units based on a surcharge, using a company-specific costing scheme. These surcharges are determined in cost centre accounting by expressing the overhead costs of the main cost centres relative to material costs, direct labour costs and manufacturing costs. The method differentiates between full cost and marginal cost calculation. Both cost accounting methods can be used in parallel by defining full and marginal cost surcharges. The settlement, average or last cost price can be selected as the price basis. Prices of purchased parts can be optionally expressed as continuously updated average prices from procurement and invoice checks, or as settlement prices from a separate purchased part costing. The price basis for purchased parts has a key influence on a company's price determination strategy. Hourly rates are managed centrally. Full cost and marginal cost hourly rates along with set-up and run-time hourly rates can be stored as hourly rates. Assigning the hourly rates to work centres enables costs to be determined and represented as full and marginal costs in the costing. The company's additional costs are those resulting from unplanned additional expenditure, i.e. in addition to the material and production costs. If necessary, these costs are included in the costing on the basis of an additional cost entry according to how they were incurred.
Series production has different costing requirements to (made-to-order) production based on customer orders. One of the key features of production based on customer orders is that the product range is smaller or has no standard based on multiple use and repeat production. Depending on the design component of the work order, this means that new products or product versions are created in production based on customer orders. By contrast, mass producers can cost the produced items in the warehouse in advance and use the prices determined from this. The Costing module deals with this problem by including both basic data costing based on standard structures and pure work order costing based on dedicated orders.
A costing scheme sets out the rules used to summarise the costs combined under defined cost types and assign surcharges in the costing. It specifies which cost types will be used as the source cost type for which target cost types. A step-by-step summary of individual cost types, e.g. first labour and material costs, then manufacturing costs and finally all other surcharges, allows the prime costs and the list price of a product to be determined. It is possible to store different costing schemes (variants). This enables different perspectives (e.g. limit costs) to be taken into account and allows product-specific costing to be carried out. The costings themselves are carried out at rough-cut or detail planning level. The costing results are based on bills of materials and routings or on single-level material and capacity tables. Starting from the different tasks in cost accounting, different costing methods can be carried out. With the basic data costing as the target costing, settlement prices for purchased parts and standard prices for in-house manufactured parts are calculated for the duration of a fiscal period as part of planning data entry. The costing based on standard costs normally uses the results of a standard preliminary costing for stock assemblies (series parts). Stock assemblies are flagged as such in the relevant item and thus also in the work order. In the same way, costing based on standard costs results of sub-assemblies can be used, if already present. Using basic data for costing as preliminary costing is mainly applied for items that have a repetitive nature. This mainly happens in mass production. It can include individual parts, assemblies and products. These items are characterised by a low modification frequency, as their design largely remains constant. In multi-plant environments (Multisite), prices and costing results can be transferred from the delivering plants if necessary. With work order costing as preliminary costing, a quotation costing is carried out at rough-cut planning level or using the work orders created with bills of materials and routings. This defines quotation prices for customer orders. Work order costing as costing based on standard costs determines planning values for customer-specific work orders. A rolling comparison of standard and actual costs is available. Concurrent costing includes the actual values based on feedback and material issues. For feedback and material issues planned but not posted, the standard values are used. Ex-post costing only costs the actual values for incomplete orders.