This blog article will illustrate the various features that can be implemented when using the Sage 200 Evolution Job Costing module. Job Costing is an add-on module within the Sage 200 Evolution product range and seamlessly incorporates the functionality of various other modules.
Introduction
As the name of the module implies, Job Costing allows for the concise recording of costs associated with a particular job. The definition of a ‘job’ is any task, process or activity that is undertaken in the form of a repair, service or maintenance. Any organisation that carries out these activities will find the Sage 200 Evolution Job Costing module a vital addition to their business process.
The Features
The Flow Process
The Job Costing process follows a defined sequence viz. a job card quote leads to the quote acceptance, the job card is made active and on completion of the physical activity pertaining to the job an invoice is generated from the Job Costing module to the customer. This process is however flexible in the sense that a job card can be made active without the need for a quote to be created and an invoice can be generated before the activity is completed. This is referred to as a partial invoice and will be discussed later in the article.
Job Card Templates
For ease of use job card templates can be created within the Job Costing module. Templates are created beforehand for a particular activity and can then be loaded when the process takes place. Templates can be effectively used for recurring processes. A perfect example of template use would be in a motor vehicle service environment whereby vehicles are serviced at regular intervals. This type of service would require a standard set of spare parts, labour and other commodities to complete. A template for a 15 000km is created with the necessary spare parts, labour etc. and when a job is opened for this activity the standard template is loaded without the need to capture the components anew.
Partial Invoicing
The partial invoicing feature within the Sage 200 Evolution Job Costing module allows for selected line items to be invoiced while a job card is still active. This feature is particularly useful when a job process may take a lengthy period of time to complete. For example a job card is generated for an activity that is expected to take 60 days to complete. With the partial invoicing feature the completed processes/ activities can be invoiced after 30 days while the job card is still active and the activity is still ongoing.
Date Analysis
When creating a job card certain date information can be linked to the job card. These date details include a start date (When the job card was created), a delivery date (When the activity is to be delivered/ completed) and a projected completion date (When the activity is anticipated to be completed). These date features are particularly useful for job activities that may require a lengthy period to complete. With this date information added to each job card efficient planning and time management can be implemented.
Work in Progress
As the term ‘Work in Progress’ implies, this element concerns an activity which has been started but is yet to be completed. In the Sage 200 Evolution Job Costing environment this constitutes a job card that has been opened but is not completed. For many organisations work in progress is vital in their day to day operations. Work in progress values are often used for planning, budgeting and analysis purposes. Work in progress values and item quantities can be tracked per individual job card, which provides details of the commodities that have been allocated or used in a job card activity. A detailed work in progress report is available, whereby information about job cards can be analysed.
Job Card Transaction Sources
Transactions can be added to a job card from four available sources which include stock, general ledger, accounts payable and payroll.
Let’s consider each of the four sources:
Stock
In this scenario stock items from an organisation’s current stock holding are allocated to a job card.
General Ledger
This procedure occurs when a cost on a job card is of a sundry origin and therefore allocated to a GL account.
Accounts Payable
Some organisations keep a limited number of items in their stockholding. A situation may arise whereby a job card requires a specific item to be used for a job. In this case the accounts payable source can be used and a purchase order/ GRV/ supplier invoice can be generated specifically for a job card from the Sage 200 Evolution Order Entry module.
Payroll
The Payroll source can be used to allocate a labour cost to a job card. The labour rate can be created with a cost and billable rate.
Conclusion
The Sage 200 Evolution Job Costing module encompasses a variety of useful features which can be used by organisations to streamline their repair, maintenance and service activities.
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