What is the Shop Rate used for in the Labor Code Definition window of GP? The field definition is this.
Shop Rate
You can enter the shop rate and select the Hour or Piece as the rate’s unit of measure.
Shop Rate is required unless Use Labor Code for Outsourcing is marked.
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I have the same question (0)Shop rate is the method by which a user can add labor costs to a routing sequence. It can be by piece or by hourly rate.
Example - Labor Code = Assembly. Labor Rate is $10/hour. If Labor time is .5 then GP will multiply .5 x $10 = $5.00 labor for this sequence. Then you will need to choose whether to autobackflush labor or to manually collect/enter labor time to the sequence.
If autobackflush is checked - labor cost of the product will be 'automatically' added to the cost of the product.
If autobackflushed is not checked then labor will only get added if you manually or automatically (swipe or scan) add the labor (transactions > manuacturing > WIP > data collection) via user interface.
The routing is a required element of a manufacturing order. The cost of the Finished Good created by the Manufacturing Order Receipt will be increased if any of the routing sequences are using labor codes, machine codes, setup codes or outsourced sequences. In our example above - if Raw Materials = $25 and our sequence has $5 labor the FG receipt will equal $30........
Hope this helps..........
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