Material, labour, and overhead variances for manufacturing and project-based businesses.
For manufacturing and production businesses, standard cost variance analysis — purchase price variance, usage variance, labour efficiency variance, overhead absorption variance — is the primary tool for diagnosing production efficiency and cost control. Without it, cost overruns go undiagnosed until they have compounded into serious margin problems.
We design and implement standard cost variance reporting systems that calculate, present, and explain all key production variances in a format that production managers and finance teams can act on together.