Pre-Costing

PreCosting is a key production management feature that allows manufacturers to estimate the cost of a product before actual production begins. Using data from the Bill of Materials (BOM), routing, material consumption, labor, and overheads, it provides accurate cost projections for better planning and decision-making.

With PrismERP, PreCosting helps businesses forecast the expected cost per unit, identify high-cost operations, and optimize production workflows. By comparing estimated costs with actual production, companies can monitor variances, plan resources efficiently, and make informed pricing and procurement decisions. Integration with material planning ensures cost accuracy while minimizing excess inventory, supporting both financial control and efficient manufacturing.