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Finance | Project Operations, Human Resources, ...
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Lean Module Costing

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How do you use activities to correctly identify labor cost in AX Lean Module.  Example:   Simple machined part, machine time is 200 seconds and that 200 seconds is needed to block out the appropriate time in the schedule, labor per part is 30 seconds.  Currently I have been told that I must use the 200 seconds for costing (200 sec x Labor Rate ($10/hr) = .55 cents) because that is the way the lean module works.  I think this is incorrect and I should only be costing the true labor of 30 seconds - 30*10/3600=.0833, where in the setup do I identify the 30 seconds of actual labor but leave the 200 seconds machine time for scheduling?  Do I have to add a second activity for the true labor and mark it as the only value add activity?  Any help would be appreciated.  

  • Suggested answer
    Lucas Boewood Profile Picture
    on at
    RE: AX 2012 Lean Module Costing

    Hi Dan,

    Manufacturing is outside my area of expertise, but I'm wondering if our documentation on this would be helpful:

    docs.microsoft.com/.../about-lean-manufacturing

    Otherwise, just searching "AX 2012 Lean Module Costing" on the web brought up a number of sites with learning on the topic.

    I hope that helps!

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