Question set 15

11)   Define the term “factory overhead”?

During the manufacturing process, whatever the cost is incurred during the process is referred as “factory overhead”, excluding the cost of materials and direct labours.

12)   List out some of the examples of factory overhead?

Following are the overheads a production manufacturing engineer has to consider:

·         Factory rent

·         Utilities used in the unit

·         Costs behind equipment set up

·         Costs behind equipment maintenance

·         Production unit supplies

·         Insurance covered on equipment’s and production facilities

·         Fringe benefits

·         Depreciation

·         QA Salaries

·         Property taxes on manufacturing facilities

·         Material management salaries

13)   Explain how to supervise in a manufacturing unit?

Supervising a manufacturing process includes attending to the individual phases of the production.  Also, manufacturing supervisor should have a close eye on the inventory that going to be used.

·         Step 1:  Keep the records of different phases of manufacturing also analyse whether the amount of product produced by the crew is enough to meet the demand

·         Step 2:  Look for the bottlenecks in the unit and see how you can eliminate it

·         Step 3: Keep the track of inventory and try to reduce the liquid capital used after unused material

·         Step 4: Examine the final goods to determine whether they meet the company’s quality standards.

14)   Explain how can you calculate manufacturing work in progress?

Manufacturing work in progress is when manufacturing firm transforms material into the work in process which includes raw material, labour and factory overhead.  You can calculate all the below factors to know the costing for the manufacturing work in progress.

·         labour costs

·         Raw material inventory costs

·         Production cost

·         Cost of ending work in process for the accounting period

15)   Explain what is product report?

A product report is a general term used to represent design, manufacturing, quality, sales and repair information about a product.

16)   Explain what is RMA?

RMA stands for Return Material Authorization; it is a financial and work order tracking used to determine a returned item’s origination. It is often used in a transaction where a customer returns goods to the manufacturer for replacement or repair purpose.

17)   Explain what is SCAR (Supplier Corrective Action Request)?

Manufacturers are highly dependent on their raw material suppliers, to communicate with them effectively SCAR is used.  It is a change request that mentions the issues with the process or material from a supplier and ask for a resolution. It sometimes also includes the details about how the complaint should be addressed.

18)   What are the softwares which can be useful in manufacturing unit?

In manufacturing unit, software that can be useful are Manufacturing ERP and Material Management. Some of the companies that provide the manufacturing software solution are SAP, Oracle ERP system, etc.

19)   Explain what is GMP?

GMP is a good manufacturing practice and is recognized worldwide for the control and management of manufacturing and quality control testing of foods, medical devices and pharmaceutical products.

20)   Explain what are the approach used in manufacturing for QA?

For QA in manufacturing techniques used are

·         Acceptance sampling:  In this testing, a random sample is picked from the batch rather than testing the whole batch.

·         Statistical process control:  Through the use of control charts and data collected for the samples at the various stages of production a manufacturing product can be monitored

·         Troubleshooting studies: At the end of the line product, a trouble-shooting study can be carried out to see whether the changes in the inputs are associated with the output variables.