Labour or Machine Resources are resource you consume in your manufacturing process. You can define them in Versa so that you can track the cost associated with the consumption of the resources and associate the cost to a production build or a work order.
Resources are created from Manufacturing menu, New Resource. A resource is either a machine or a human resource. A resource can have default hourly rates(costs of using it) associated to it. Bill rate is the rate in which you will bill back to the customer if you do billback. Do not enter bill rate if you do not do bill back. Cost rate is the rate it is costing the business for consuming this resource.
There are GL accounts related to each resources so we can allocate cost to the correct places.
Resource Cost: Accrued/Credited GL Account
This is the GL account to accrue timesheet costs posted to the GL during a production build or work order build. It is generally a liability or expense GL account and it is generally credited as resource is consumed. This will be used to store the cost associated with consumption of the resource before you pay for them. For human resource, you will use this GL account when you are paying for the resource. For example, if the resource is a contractor paid via bill payment, you would create a bill for this contractor and use the Accured/Credit GL account as the GL account in the new bill item. When the bill is posted, the Accured/Credit GL account will have a balance of zero because you have paid for this accrued liability.
Resource Revenue: Debited Accuralled GL Account
This is the GL account to use when timesheet costs are posted to the GL and booked as uninvoiced billable time. Only used when the timesheet hours are marked as billable in Work Order or Production Build. You would use this when you need to bill the costs associated with the consumed resource back to the customer. When the billback to the customer is created, you would use this GL account on the invoice to reduce the uninvoiced billable amount to zero.
Resource Revenue: Credited GL Account
This is the credit GL account to use when timesheet costs are posted to the GL and booked as a revenue. Only used when the timesheet hours are marked as billable in Work Order. You would use this when you need to bill the costs associated with the consumed resource back to the customer and book the revenue associated with the billback.
Resources can be assigned to a BOM definition if the resources are always used in a BOM. Resources can also be assigned to a production build or a work order. Once resource is assigned to a build or work order, you would enter a timesheet entry to record the consumption.
Comments and Suggestions
Article is closed for comments.