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Some examples of indirect costs and their drivers are: indirect costs for maintenance, with the possible driver of this cost being the number of machine hours; or the indirect cost of handling raw-material cost, which may be driven by the number of orders received; or inspection costs that are driven by the number of inspections or the hours of ...
Cleaning costs of equipment. Material handling like forklifts; Maintenance of the equipment. Wages of employees in the factory who for example work on record keeping and inspection of materials. Computing the operation of the process of manufacturing the product. Insurance; Safety and quality cost. Plant Repairs
Manufacturing risks identified for prototype build. Manufacturing cost drivers identified. Producibility assessments of design concepts have been completed. Key design performance parameters identified. Special needs identified for tooling, facilities, material handling and skills.
If achieved, the split of cost helps to identify cost drivers. Direct labour and materials are relatively easy to trace directly to products, but it is more difficult to directly allocate indirect costs to products. Where products use common resources differently, some sort of weighting is needed in the cost allocation process.
Indirect materials cost: Indirect materials cost is the cost associated with consumables, such as lubricants, grease, and water, that are not used as raw materials. Other indirect manufacturing cost: includes machine depreciation, land rent, property insurance, electricity, freight and transportation, or any expenses that keep the factory ...
Concrete and machinery among highest cost increases. Inflation has contributed to increased prices for many construction materials, including clay products, per LBM Journal.More megaprojects ...
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