RCA Open Source Application: ROSA Manual/Demonstration of the Base Model/Step 1/Analyze Product Cost< RCA Open Source Application: ROSA Manual | Demonstration of the Base Model | Step 1
DEMONSTRATION OF THE BASE MODELEdit
Step 1: Discover RCA - Analyze Product CostsEdit
The Analyze Product Costs report shows the products’ total costs for the total volume produced for the selected period. The upper part of the report gives an overview of total costs, shown by month and by product.
In Figure 22, Product cost detail, in the lower part of the report, shows a breakdown of the primary and secondary costs assigned to the product. Under Primary cost, you should only see material cost as direct costs. Under Secondary cost, you should see the Resource Pools and Business Processes outputs that were consumed in the manufacturing of the products. The cost components identify the elements that contributed to each product’s costs.
This report provides a great starting place to identify opportunities for resource optimization and/or other cost savings. Note that quantities are only shown against secondary cost and shows the quantities assigned from a particular resource to the product.
Tip: When viewing these reports, use the “Menu” button located in the upper left corner to return to the Main Menu page shown in Figure 21. Alternatively, the Menu tab located at the bottom of the page also returns you to the ROSA Main Menu screen.