Posts Tagged ‘mie solutions’

Techniques for Cost Estimating

The basic cost estimating techniques involve analyzing all factors that make up a cost estimate. The first technique I would follow is to go through the following steps, systematically, and costing each one out in detail. Once you have gone through the basic steps, you will have all the cost information required for the estimate. 1.…

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Estimating the Costs of Estimates

An interesting situation when creating estimates is determining which estimates to spend time on and which estimates are too costly to put the effort into.  In a tough economy, your company takes on jobs that don’t lead to a reasonable profit, but you will do almost anything to keep your machines busy.  This is a…

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Cost Estimate Types

There are different types of cost estimates including “Rough Approximation” of cost which can be a conceptual design, preliminary design and then a detailed estimate or quote. Rough Approximation The rough approximation is really prepared for informational purposes only.   This type of estimate may not have geometry or even materials but just a rough idea…

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Profit Improvement and Cost Reduction Part 1

Talking about profit improvement and cost reduction we cannot leave out the importance of estimating accurately.  There are a few ways to reach the goal of both profit improvement and cost reduction. Increase your prices which improves profit, but only if that does not drive away customers. Increase sales if your fixed costs stay the…

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Cost Estimating Versus Cost Accounting

What is the difference between cost estimating and cost accounting? Cost estimating is a precursor to cost accounting because it done at the beginning of the process.   Lets define cost estimating as the estimation of the cost of a goods or services  prior to the actual production of the goods or services.  Cost estimating…

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Estimating is more than Setup and Run Time Part 2

In the not to distant past many manufacturing processes were very labor intensive.  In countries such as China and India there is still a great deal of manual labor intensive manufacturing.  I remember as a child I worked in my Father’s sheet metal shop and the machine of choice was a Strippit 30/30.  I have…

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How To : Manufacturing Hourly Rate Calculation

Sheet metal, CNC shops, machine shops and many other job shops provide a valuable service to their customers.  For a job shop to be a profitable business, the service rate should cover the cost of doing business plus have a certain amount of margin or profit built into the price customers pay. If this is too low,…

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What is Forward and Backward Scheduling

MIE Solutions offers a made to order job shop ERP system designed for the manufacturer of goods and products.  Most accounting systems are designed for the basic AR, AP and GL side of financials where a manufacturing software product deals with the actual production of the goods and services.   MIE Trak is a full…

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Introduction To Job Shop Scheduling

Welcome to the MIE Solutions Job Shop Scheduling blog. MIE Solutions ERP system provides a comprehensive job shop scheduling software to deal with the many problems scheduling a job shop encounters. Scheduling has become a critical factor in many job shops in order to determine their capacity for more work and be able to schedule…

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Exploded Bill Of Materials

Estimating large projects requires an exploded bill of materials in order to get a good understanding of the requirements.   The larger the project you have to estimate the more in depth the bill of materials will be.   If you are estimating you want to make sure all the bills of materials are entered…

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