Standard Costing Variance and Cost Control

2 days workshop

INTRODUCTION

The Standard cost accounting seminars can help the senior management as well as the executives in knowing more about the finer aspects of cost accounting and then implementing the same for better productivity as well as profit margins. Real-current problematic costing cases will be analyzed and scenario solutions will be provided under the guidance of Dr. Steven Liew.

How Will You Benefit

Upon completion of this programme, the participants will be able to Understand 

  • What is Standard Costing and why it is use.  

  • Know how to formulate and set Standard Costs 

  • Variance analysis for Material, Labor and Overhead Costs 

  • Identify methods to improve positive variances/ reduce negative variances

  • Understand the use of Standards in Budgets

METHODOLOGY

Case Study, video & Group Discussion. Real-current problematic costing  cases will be analyzed and scenario solutions will be discussed within the workshop.

Who Should Attend?

This program is suitable for Accountants, finance/costing executives, accounting managers, cost accountants, cost analysts, budget analysts, non-financial managers especially operational managers, costing executives. 

Special Feature: NOTE: Please bring laptop along

PROGRAMME OUTLINE

Key Contents

Day 1

Module 1: Introduction to Cost or Managerial Accounting

  • Understand the Place of Cost or Managerial Accounting in Relationship to Financial Accounting

  • Recognize and Understand Specific Cost-related Terminology

  • Understanding Flow of Costs from Raw Materials Stage to Finished Goods

Module 2: Standard Costing and Variance Analysis

  • Understand Why Standards Are Used

  • Understand What Is Included in Each Standard

  • Understand When Standards Should Be Changed

  • Understand What Happens When Standards Are Changed

  • Understand the Process of Variance Analysis for Material, Labor, and Overhead Variances

Module 3: Setting the standard

  • Understanding Ideal Standards and Practical Standards

  • Detailed look on how Standards are Formulated and set Using Various Methods.

  • Bill of Materials and Standard Costs Setting

Module 4: Practical Cost Control

  • Material

  • Labour

  • Overhead

Day 2

Module 5: Material Variance Analysis

  • Understand Material Price Variance and how to Computer.

  • Understand Material Usage Variance

  • Material Rejects and Costing into Product Standard Cost

  • Investigation and Improvement into Material Related Variances

Module 6: Labor Variance Analysis

  • Computation of Labor Wages Variance

  • Computation of Labor Rate Variance

  • Incorporation of Labor Variances into Product Standard Cost

  • Improving Labor Related Variances

Module 7: Overhead Variance Analysis

  • Computation & Understanding Variable Overhead Variance

  • Understanding Variable Overhead Efficiency Variance

  • Understanding Fixed Overhead and Volume Variance

Module 8: Successful Case Study: Cost Control

  • Target: RM 25 MIL COST REDUCTION per yr

  • How do you approach it?  

Methodology

This stimulating program will maximizes the understanding and learning through lecture, discussion, case studies and practical activities

Managing Financial & Project Cost Estimation

Practical Budgeting, Cost Control & Planning

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