You need to review the configuration of the labor/progress steps in specific routings since the settings in the step dictate how the calculation is processed. This starts with the production type and moves through the scrap, move and yield settings. Your WIP settings may also be affecting how and when your labor, setup and overhead costs are recognized.

Production Type
Pc/Hr, Hr/Pc, or Batch

Select the method in which production rates are stated for each routing step. The selection defaults from Set Up Work Centers when a work center is selected, but it can be changed for each step created.

• Select P for pieces per hour if higher volumes of the items are being produced.
• Select H for hours per piece if producing large items with long production times.
• Select B for discrete batch if producing a batch quantity of an item.

This is also referred to as the production method code.

Note A discrete batch is different than a typical process batch, for example, a discrete batch might be used for heat treating a basket of bolts while a process batch is a recipe that would be used for making such things as paint or pharmaceuticals.