Productivity Benchmarks

The core of any Unit Cost is how long the task takes
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Productivity Benchmarks is the file where labor productivity benchmarks for common often duplicated and repeated task procedures are kept and used by the records you develop in your Internal Production Costs cost book.

For example: You might have a Productivity Benchmark figure of .842 labor hours to “Install solid or architectural pre-hung interior door”. And that Benchmark is used by 40 or more records in the Internal Production Costs cost book for hanging all sorts of different doors that fit the basic profile’s description of a “solid or architectural pre-hung interior door” and use that installation Labor Hour figure such as:

  • Pre-Hung Int. Pine 6 Panel Door 2′-6″x6′-8″
  • Pre-Hung Int. Double French Door 15 Lite 2′-0″x6′-8″
  • Pre-Hung Int. Pine Louver/Louver Door 2′-6″x6′-8″
  • Pre-Hung Int. Birch Flush Solid Door 3′-0″x6′-8″
  • Pre-Hung Int. Hardboard Flush HC Door 3′-0″x6′-8″
  • etc.

The material costs for the door would be different in each case, giving you a different total cost for the item in the Cost Book. But since they all share a common installation labor hour figure (the Productivity Benchmark) their installation labor costs would be the same. If for some reason while performing job costing you discover or determine that you company’s productivity rate is higher or lower you can make a change in that common Productivity Benchmark they all share and then update all the records simultaneously in one batch to adjust for that revised productivity rate.

Productivity Benchmarks

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