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Small and medium business | Business Central, N...
Suggested Answer

How to manage the labor cost when one labor operate 3 machines

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Posted on by 15,529
Hi experts 
 
We have 3 machines that all run at the same time with one operator. If we setup operator as a work center then operator starts 3 work orders on all 3 machines anytime operator put for each work order is not accurate since operator time needed to divided between 3 machines and based on work order QTY. of course we can ask operator to divide the time spent between 3 work orders but that will be a manual process 
Any idea on how we can setup D365 BC that operator enter his time but system divide the time based on those 3 WO running at the same?
if above is not possible what other work around we have?
Thanks
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  • Suggested answer
    OussamaSabbouh Profile Picture
    5,055 on at
    How to manage the labor cost when one labor operate 3 machines
    Hello,

    What you can do with standard BC (no heavy customizations)

    1. Split machine vs. labor in the routing
      • Keep the 3 machines as Machine Centers.
      • Create one Work Center called e.g. OP-LABOR (the operator).
      • In each routing operation, use two lines with the same Routing Link Code:
        • Line A: Machine Center (machine time).
        • Line B: OP-LABOR (labor time, Run Time “per item”).
      • Set Flushing Method = Backward for the OP-LABOR line.
      • Operator just posts Output on each Production Order (no manual time split).→ BC will backflush labor proportional to the good output on each order. Result: the operator’s time is effectively divided across the 3 orders based on actual quantities produced.
    2. If you need a simple dampener
      • When you know the operator is running 3 jobs in parallel, temporarily lower Efficiency % on OP-LABOR (e.g., ~33%).
      • That reduces the labor posted per order so totals remain realistic when multiple jobs run at once. (It’s a blunt instrument but quick.)
    If you want closer control (light customization)
    • Add a tiny extension (or Power Automate + API) where the operator logs one total duration per shift to OP-LABOR, selects the 3 active orders, and the system auto-allocates minutes by:
      • each order’s remaining qty, or
      • each order’s standard labor need (qty × routing run time).
    • The job then posts Capacity Ledger Entries per order. Operator inputs once; system splits.
    If you prefer an off-the-shelf MES
    • Use a shop-floor add-on (e.g., Insight Works Shop Floor Insight, Tasklet, etc.). They support multi-job clock-in and auto time-splitting by qty or standards out of the box.

      Regards,
      Oussama
  • Suggested answer
    Rishabh Kanaskar Profile Picture
    6,147 on at
    How to manage the labor cost when one labor operate 3 machines
    Hi,
     
    Business Central doesn’t have a standard feature to automatically split one operator’s time across multiple machine operations. The system assumes one resource per operation.
    You can try using Concurrent Capacities on the work center/machine center to reflect shared labor, but this still won’t auto-split time.
    A custom extension might be needed to distribute labor cost proportionally across active operations.
     
    Is your main goal accurate cost allocation or time tracking for reporting?
     
    Thanks
    Rishabh
     
  • Suggested answer
    Gregory Mavrogeorgis Profile Picture
    763 on at
    How to manage the labor cost when one labor operate 3 machines
    Hi,
    this is a classic “one operator, multiple machines” problem.
    Can BC auto-split one time entry across several production orders?
    No, not in base BC. Capacity (labor/machine) is posted per order/operation. There’s no built-in “book once, auto-allocate across all running ops” feature.
    Two solid ways to handle it (no custom code)
    Option A — Push the operator cost into the machines (recommended)
    Treat the operator as overhead on the machine centers so costs follow machine run time automatically.
    1. On each Machine Center: set Unit cost calculation = Time.
    2. Put the operator cost share in Overhead Rate.
      • If operator = $30/h and he minds 3 machines, set Overhead Rate = 30/3 = $10/h on each machine (adjust if the share isn’t equal).
    3. Keep only the machine operation in the routing.
    4. Post output as usual (set capacity flushing to Backward if you want auto posting).
      Result: capacity cost per order = (machine direct cost + operator share) × runtime. No manual splitting.
    Pros: automatic, accurate by runtime, simple for operators.
    Cons: you don’t get separate “labor minutes per order” unless you report overhead separately.

    Option B — Let routings backflush the time
    If you prefer to keep a labor operation in the routing, set it up with the per-piece run time you expect and use Backward capacity flushing. Operators only report output; BC posts expected labor time per order.
    Pros: no manual splitting at the shop floor.
    Cons: you’re using standard times, not the actual single time the operator typed; variances show up only if you compare to actuals elsewhere.

    If you must capture one real time entry and split it
    You’ll need either:
    • a small customization (e.g., a page to pick active ops and split minutes by qty or expected time), or
    • an MES/Shop Floor add-on that supports multi-order time allocation (e.g., Insight Works SFI, Clever MES, etc.).
    Extra tips
    • If machine utilization varies (sometimes 2 machines, sometimes 3), make the Overhead Rate reflect your average mix, review monthly, or maintain two machine-center versions (with/without operator share) and switch via work shifts.
    • For KPI-only labor tracking, you can post the operator’s total hours to an “Operator Pool” Work Center via Capacity Journal and analyze in BI—while costing still flows via Option A.
    If you find this helpful please mark it as verified
  • Suggested answer
    YUN ZHU Profile Picture
    95,307 Super User 2025 Season 2 on at
    How to manage the labor cost when one labor operate 3 machines
    Maybe you can contact your partner to customize it.
     
    Thanks.
    ZHU

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