Does anyone have a way to identify MFG-VAR transactions as either material, labor, burden etc? I am currently running the inventory/WIP report and going job by job to identify variances, but each job has multiple transactions with different amounts. I am trying to manually calculate each transaction to determine a root cause, but can’t seem to figure out how the variance was calculated because I do not know the source of the variance (material, labor burden etc).
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Depending on your costing method, Manufacturing Variances can happen a a couple different ways. If you are using Standard costing, then the difference is the delta between your standard costs and your actual costs on the job. If you are not using Standard costing, then it could be late arriving costs, which are defined as costs that hit the job after either shipment if you are shipping directly from the job or after receipt to inventory. I would check for late arriving costs on the Production Detail Report first.
Wow! I just read my last post and it was off message. Sorry 
. What I’ve done in the past is I’ve downloaded the Inv/Wip report to a spreadsheet sorted by GL and then by Job #. That should give you the breakdown by Tran type and job.
Do you have separate GLs for each of your WIP components?
If you know BAQ’s parttran table has the cost of mfg-var transactions broken out into mtl, labor, and burden buckets so is where I normally look for this.
I wrote a BAQ with 3 subqueries to analyze the different variances in our system. One subquery for each variance type that looks at the parttran table for mfg-var transactions and sums the corresponding cost bucket (ex. labor variance = LbrUnitCost). I then joined them all together and grouped by partclass, month and year so we can analyze our variance over time.
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