PSL Datatrack has been providing production management and business administration software systems to engineering sub-contractors and batch production manufacturers for over 25 years.
One of the most frequently addressed issues is that of calculating hourly rates so the company has published its new easy Guide to Hourly Rates. It will be particularly useful for those companies involved in batch production or prototyping
The many elements that make up an estimate or quotation to a potential customer must be accurately compiled. This includes a calculation of costs relating to machine utilisation, manpower, factory overheads, administration and materials – all central to the information provided by a typical PSL Datatrack software system.
The Guide to Hourly Rates aims to provide a method to determine whether a company’s current estimating procedures are suited to its production requirements. The figures used that are presented in the guide’s easy to read tables identify many of the common possible costs to be taken into consideration. Whilst they are illustrative, they provide excellent guidance on how to apply hourly rates to an estimate.
Geoff Gartland, Director of PSL Datatrack says: “Detailed figures should always be obtained from your accounts system but PSL’s experience will be invaluable for many companies. The purpose of this guide is to provide an introduction to the process of calculating the correct hourly rates.”