Without a well-designed product costing system, companies cannot accurately determine the cost of production needed for statutory cost audit, GST on captive consumption (CAS-4), transfer pricing, or management decision-making.
A good costing system also reveals true product profitability, enables meaningful variance analysis, and forms the basis for pricing decisions, capacity utilisation monitoring, and cost reduction initiatives.
Our team of CMAs with engineering backgrounds designs costing frameworks that are both CAS-compliant and operationally practical for your production environment.
Allocates costs based on activities consumed — ideal for multi-product, service-heavy environments.
Predetermined cost benchmarks for materials, labour, and overheads with variance analysis.
For custom manufacturers and job shops — cost tracked by order/batch/project.
For continuous manufacturing processes like cement, sugar, chemicals — cost tracked by process stage.
Review of existing cost records, production process flow, cost centres, and ERP/accounting software configuration.
Design of cost centre structure, cost driver identification, overhead allocation bases, and product costing template.
Configuration of cost accounting module in your ERP (SAP CO, Oracle, Tally, or others), data migration, and testing.
Hands-on training for finance, production, and MIS teams on data collection, cost recording, and report generation.
Parallel running of new and old systems for 1–3 months to validate accuracy, identify gaps, and refine allocations.
Go-live support, monthly review of cost statements for 6 months, and annual system health check.
