Question

Maintaining cost integrity between sites

  • 10 October 2022
  • 1 reply
  • 54 views

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Hello all - 

I work with a manufacturing business that operates multiple legal entities and sites. To complete an order, sub-assemblies are created in India, then those sub-assemblies are transferred to a US site for final assembly and configuration before sale to the customer. 

We need to be able to measure our labor / OH / raw materials expense associated with each sale to measure profitability, but when the sub-assembly is transferred from the India site to the US site, it is recorded as a material purchase and we lose visibility into the composition of that cost (labor / OH / raw material / intercompany profit on transfer).

Is there a way to properly configure this in IFS to maintain visibility into underlying cost on intercompany transfers? It can be done in Oracle and SAP…

Any help is greatly appreciated,

Jeff


1 reply

Userlevel 2
Badge +9

Hello all - 

I work with a manufacturing business that operates multiple legal entities and sites. To complete an order, sub-assemblies are created in India, then those sub-assemblies are transferred to a US site for final assembly and configuration before sale to the customer. 

We need to be able to measure our labor / OH / raw materials expense associated with each sale to measure profitability, but when the sub-assembly is transferred from the India site to the US site, it is recorded as a material purchase and we lose visibility into the composition of that cost (labor / OH / raw material / intercompany profit on transfer).

Is there a way to properly configure this in IFS to maintain visibility into underlying cost on intercompany transfers? It can be done in Oracle and SAP…

Any help is greatly appreciated,

Jeff

Hi Jeff

Have you managed to find a solution to this issue? 

Regards Brian

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