Inventory Costing at Company Level (for all locations).

The client distribute toys to shopping malls. The client is making use of IC multiple locations to account for the toys consigned to shopping malls. Each location represents the malls toy section. From customer's perspective, they view the inventory as one company’s stock, therefore the cost of sales should be sum of costs (all locations) / sum of qty (all location). In IC, given the same product the average cost is different from location to location.

Some other work around module, could not address the issue as while it is trying to work out the average cost and apply to all locations, it resulted in rounding amount. The program multiply the rounding amount with the qty, there cost adjustment entry passing to P&L account during purchase good receipt. The client could not accept cost going to P&L as the goods are not sold.

by: Disa W. | over a year ago | Operations Management

Comments

• This is available from Systronics Multi Cost Location Averaging. It's not exactly what you would be looking for but it does a pretty good job but it would be nice to have this std in the product. Especially for clients who want to markup on cost, with multi-locations every cost becomes different and each location ends up with a different selling price for the same item. But this type of stuff should be standard.

  by: Kerry J. | over a year ago

• Envisage has written a tool to 'level' the costs at all locations based on one master. A similar feature would be great out of the box and be used at many sites, I suspect.

  by: William W. | over a year ago

• Thanks gentlteman, appreciate your comment.

  by: Disa W. | over a year ago