Define Departments
QMI has set up department 0400 using Department Maintenance (14.1). A department is used primarily for capacity planning and accounting purposes and a Labor Capacity of 8 is defined, which means that this department has 8 hours of labor capacity per day Monday through Friday based on the shop calendar. This implies that only one person is in this department since the calendar shows 8 hours per day. If the department had 5 people, Labor Capacity would be 40.
Labor capacity is the total number of hours of work that can be performed within a department per day (day length is defined in Calendar Maintenance). The department labor capacity is entered manually as the sum of the capacities of all work centers and machines in the department. Capacity Requirements Planning (CRP) uses labor capacity to calculate capacity and load by department.
Important: Care should be used in setting labor capacity since the system assumes all labor in the department can be used in any work center in the department. This is seldom the case and may be the cause of setting up more departments.
Also notice the account codes that default from Domain/Account Control; all are manufacturing related. In this case, sub-accounts also default, and the variance accounts have a default cost center code of mfg to indicate these are manufacturing related variances. These account codes are used:
• When reporting labor and downtime in the Shop Floor Control and Repetitive modules
• When backflushing inventory and closing the accounting for completed work orders
Important: If a given work center requires cost of production to be booked to a different account or subaccount, then you need to set up a new department for that work center.
