Implementation method of product standard cost convolution algorithm

Abstract

The application discloses a product standard cost convolution algorithm implementation method. The method steps are as follows: step 1: obtaining the latest BOM baseline of the current product and the corresponding product BOM structure tree. Step 2: starting from the top node (root node) to traverse the product BOM structure tree in a deep traversal manner, recording the product code, product assembly upper and lower level relationship, matching quantity, measurement unit, standard working hours, undertaking department, manufacturing department and other information of each level node of the product BOM structure tree, and generating a product structure list result set. Step 3: initializing the related information of the last level product cost according to the category of the leaf node corresponding to the last level product in the product structure list result set. Step 4: starting from the bottom layer (leaf node) of the product BOM structure tree to perform step-by-step recursion upwards, calculating the single-piece current level cost, single-piece lower level convolution cost and single-piece total cost of each level product. Step 5: calculating the single-piece product total cost, that is, completing the complete calculation process of the single-piece product standard cost and the cost composition details.

Description

Technical Field

[0001] This invention belongs to the field of cost accounting technology, specifically relating to a method for implementing a product standard cost convolution algorithm. Background Technology

[0002] Standard cost is a rational expectation of the future costs of a product or production operation. It is of significant reference value for product pricing, cost control, cost accounting, and profit distribution. Especially for complex assembly products, the calculation of standard costs is highly complex, and with a large number of products and diverse structures, manual calculation is no longer sufficient to meet enterprise management requirements. There is a need to develop accurate, efficient, and universal calculation programs to support the calculation of standard costs for various products within an enterprise. Currently, different enterprises have different product structures and different forms of product BOM data, and there is no universal, mature product for calculating standard costs based on product BOMs. This invention uses the product BOM as a basis and designs a traversal algorithm to complete the top-down unfolding of the BOM structure and the bottom-up convolution calculation of various product costs, providing an efficient and batch-calculation-capable method for BOM-based product standard cost convolution algorithms. Summary of the Invention

[0003] The technical problem solved by this invention is to provide a method for calculating the standard cost of a product based on BOM (Bill of Materials) through convolution, which is used to quickly calculate the standard cost and the detailed composition of the standard cost of a group of products in batches.

[0004] The technical solution of the present invention:

[0005] A method for implementing a product standard cost convolution algorithm, the method comprising:

[0006] Step 1: Obtain the latest BOM baseline for the current product and the corresponding product BOM structure tree;

[0007] Step 2: Use depth-first traversal to traverse the product BOM structure tree starting from the top-level node, record the information of each level of the product BOM structure tree, and generate a product structure list result set;

[0008] Step 3: Based on the category of the lowest-level product corresponding to the leaf node in the product structure list result set, initialize the relevant information of the lowest-level product cost;

[0009] Step 4: Starting from the bottom of the product BOM structure tree, recursively calculate the unit cost, unit convolution cost of each lower level, and unit total cost of each product level.

[0010] Step 5: Calculate the total cost per unit, completing the full calculation process of the standard cost and cost breakdown for each unit.

[0011] Furthermore, in step 2, the information recorded for each level of the product BOM structure tree includes:

[0012] The results set records the product code, product assembly hierarchy, component quantity, unit of measurement, standard working hours, contracting department, and manufacturing department for each node in the product BOM structure tree.

[0013] Based on the standard cost categories of raw material cost, auxiliary material cost, outsourcing cost, purchased component cost, secondary assembly cost, R&D cost, and management cost, the attributes of unit product cost, unit product sub-level convolution cost, and unit product total cost are defined respectively, which are used to record the calculation results of each category of cost.

[0014] Furthermore, the relevant information for initializing the cost of the final-level product is as follows:

[0015] For outsourced products, initialize outsourcing costs; for purchased products, initialize purchase unit prices from the product price database; for self-made products, initialize labor hour quotas, raw material purchase unit prices and quantities, and auxiliary material purchase unit prices and quantities.

[0016] Furthermore, in step four,

[0017] If the product at this level is a raw material, calculate the cost of the raw materials for each unit of the product at this level using the following formula:

[0018] The cost of raw materials per unit = the unit price of raw materials purchased;

[0019] If the product at this level is an auxiliary material, calculate the cost of the auxiliary material per unit of the product at this level according to the following formula:

[0020] Cost of auxiliary materials per unit = unit price of auxiliary materials;

[0021] If the product at this level is sourced externally, calculate the cost of the externally sourced components for each unit of this level using the following formula:

[0022] Cost of purchased components per unit = Purchase price of purchased components;

[0023] If the product at this level is a secondary component, the cost of secondary component for a single product at this level is calculated using the following formula:

[0024] The cost of a single product at the second level is equal to the purchase price of the second item.

[0025] Furthermore, in step four,

[0026] If there is outsourcing for this product category, calculate the outsourcing cost per unit of this product category using the following formula:

[0027] The cost of outsourcing a single product at this level equals the cost of joint production of a single product.

[0028] Furthermore, in step four,

[0029] If the product at this level is manufactured internally by the company, the development cost of a single product at this level is calculated using the following formula:

[0030] The development cost of a single product at this level = development man-hours of a single product × development cost rate;

[0031] If the products at this level are manufactured internally by the company, calculate the management cost per unit of this level using the following formula:

[0032] Unit product management cost = unit product management hours × management fee rate.

[0033] Furthermore, in step four,

[0034] By identifying the subordinate assembly products through the hierarchical relationship of product assembly, the following formulas are used to calculate the following costs for a single product: subordinate convolutional raw material cost, subordinate convolutional auxiliary material cost, subordinate convolutional outsourcing cost, subordinate convolutional purchased component cost, subordinate convolutional secondary assembly cost, subordinate convolutional development cost, and subordinate convolutional management cost.

[0035]

[0036] Furthermore, in step four,

[0037] Calculate the total cost of raw materials, total cost of auxiliary materials, total cost of outsourcing, total cost of purchased components, total cost of secondary components, total R&D cost, and total management cost for a single product using the following formulas:

[0038] The total cost of a single product at this level = the cost of the single product at this level + the convolutional cost of the single product at the next lower level.

[0039] Furthermore, in step five,

[0040] Calculate the total cost per unit using the following formula, completing the full calculation process for the standard cost and cost breakdown of a single product:

[0041] Total cost per unit = Total cost of raw materials per unit + Total cost of auxiliary materials per unit + Total cost of outsourcing per unit + Total cost of purchased components per unit + Total cost of secondary components per unit + Total cost of research and development per unit + Total cost of management per unit.

[0042] This invention provides a method for calculating standard costs using convolution based on a product BOM. This method accurately and quickly expands the product BOM structure from top to bottom using a depth-first traversal approach to obtain the product structure list. For the expanded product structure list, a bottom-up, recursive calculation method is used to quickly calculate the standard cost and its detailed components for each level of product, thus completing the entire process of calculating product standard costs. This invention features accurate calculation, strong applicability to BOM categories and product structures, and complete and detailed calculation results. It can be used to batch calculate the standard costs and their detailed components for a group of products. It provides an efficient and accurate calculation tool for enterprise financial personnel to quickly calculate the standard costs of a large number of products. Attached Figure Description

[0043] Figure 1 This is a flowchart illustrating the implementation method of a product standard cost convolution algorithm.

[0044] Figure 2 This is a schematic diagram of a simple product structure tree with two layers of nodes.

[0045] Figure 3 For based on Figure 2 A schematic diagram of the standard cost convolution calculation process for the product BOM structure tree according to an embodiment of the present invention;

[0046] Figure 4 This is a schematic diagram of a simple product structure tree with 3 layers of nodes.

[0047] Figure 5 For based on Figure 4 A schematic diagram illustrating the standard cost convolution calculation process using the product BOM structure tree according to an embodiment of the present invention. Detailed Implementation

[0048] The present invention will be further described in detail below with reference to the accompanying drawings and specific embodiments:

[0049] This invention aims to provide a method for calculating the standard cost of a product based on BOM through convolution, which can be used to quickly calculate the standard cost and the detailed breakdown of the standard cost of a group of products in batches.

[0050] The specific steps are as follows:

[0051] Step 1: Obtain the latest BOM baseline for the current product, and the product BOM structure tree corresponding to the latest BOM baseline.

[0052] Step 2: For the product BOM structure tree, a depth-first traversal is used, starting from the top-level node (root node). The traversed product structure is cached in the product structure list result set. This result set records information such as product code, product assembly hierarchy, component quantities, units of measurement, standard working hours, contracting department, and manufacturing department for each level of the product BOM structure tree. Based on standard cost categories such as raw material cost, auxiliary material cost, outsourcing cost, purchased component cost, secondary component cost, R&D cost, and management cost, attributes are defined for the unit product's own cost, the convolutional cost of its subordinate levels, and the total cost of the unit product. These attributes are used to record the calculation results for each cost category.

[0053] Step 3: Based on the category of the lowest-level product corresponding to the leaf node in the product structure list result set, initialize the relevant information of the lowest-level product cost. For outsourced products, initialize outsourcing costs; for purchased products, initialize the purchase unit price from the product price library; for self-made products, initialize information such as labor quota, raw material purchase unit price and usage, and auxiliary material purchase unit price and usage.

[0054] Step 4: Starting from the bottom layer (leaf node) of the product BOM structure tree, proceed recursively upwards. Based on the information such as the hierarchical assembly relationship, assembly quantity, product category, labor quota, and purchase unit price of each level of product in the product structure list result set, calculate the unit cost, unit convolution cost, and unit total cost of each level of product in the cost categories such as raw material cost, auxiliary material cost, outsourcing cost, purchased component cost, secondary assembly cost, R&D cost, and management cost.

[0055] Step 5: According to the formula:

[0056] Total cost per unit

[0057] = Total cost of raw materials per unit + Total cost of auxiliary materials per unit + Total cost of outsourcing per unit + Total cost of purchased components per unit + Total cost of secondary components per unit + Total cost of R&D per unit + Total cost of management per unit

[0058] Calculate the total cost of a single product, which is to complete the full calculation process of the standard cost and cost composition details of a single product.

[0059] As a further explanation of the present invention, step 4 recursively calculates the unit cost, the lower-level convolutional cost, and the total cost of each product at each level in accordance with the standard cost categories such as raw material cost, auxiliary material cost, outsourcing cost, purchased component cost, secondary component cost, R&D cost, and management cost. The specific steps are as follows:

[0060] Step 4.1: If this product is a raw material, according to the formula:

[0061] Cost of raw materials per unit = Unit price of raw materials

[0062] Calculate the cost of raw materials for a single product at this level.

[0063] Step 4.2: If this product is an auxiliary material, according to the formula:

[0064] Cost of auxiliary materials per unit = Unit price of auxiliary materials

[0065] Calculate the cost of auxiliary materials for a single product.

[0066] Step 4.3: If this product category involves outsourcing, then according to the formula:

[0067] Unit-level outsourcing cost = Unit-level joint production cost

[0068] Calculate the cost of outsourcing at the local level for a single product.

[0069] Step 4.4: If the products at this level are sourced externally, according to the formula:

[0070] Cost of purchased components per unit = Purchase price of purchased components

[0071] Calculate the cost of purchased components at this level for a single product.

[0072] Step 4.5: If this product is a secondary component, according to the formula:

[0073] Unit product cost - distribution cost = distribution purchase price

[0074] Calculate the cost of the second-level distribution of a single product.

[0075] Step 4.6: If the source of this level of product is internal manufacturing, according to the formula:

[0076] Unit product development cost = Unit product development man-hours × Development expense rate

[0077] Calculate the local development cost of a single product.

[0078] Step 4.7: If the source of this level of product is internal manufacturing, according to the formula:

[0079] Unit product local management cost = Unit product management hours × Management fee rate

[0080] Calculate the local management cost for a single product.

[0081] Step 4.8: Locate the lower-level assembled products based on the product assembly hierarchy, according to the formula:

[0082]

[0083] Calculate the following costs for a single product: raw material cost, auxiliary material cost, outsourcing cost, purchased component cost, secondary assembly cost, R&D cost, and management cost.

[0084] Step 4.9: According to the formula:

[0085] The total timber output of a single product at a specific wood level = timber output of a specific wood level in a single product + timber output of a specific lower level in a single product through convolution.

[0086] Calculate the total cost of raw materials, total cost of auxiliary materials, total cost of outsourcing, total cost of purchased parts, total cost of secondary components, total cost of research and development, and total cost of management for each unit product.

[0087] This invention defines the product BOM as a product structure tree, with top-level products as root nodes, intermediate-level assembly products as child nodes, and bottom-level products as leaf nodes. Based on the product structure tree, a top-down expansion approach is used to obtain the product structure list; a bottom-up convolution calculation method is used to generate the standard cost calculation results for products at each level. A depth-first traversal algorithm expands the product structure tree into a product structure list result set, storing information such as product code, product assembly hierarchy, component quantities, unit of measurement, standard working hours, contracting department, and manufacturing department for each level of node. This transforms the product BOM structure tree into a product structure list that can be directly used for calculation. For each level of the product structure tree, its standard cost is decomposed into the arithmetic sum of the current level's cost and the convolutional cost of the next lower level, and a recursive algorithm is used to calculate this recursively from the bottom-level leaf node upwards. This algorithm can calculate and store the complete cost information of products at each level of the product structure tree. Based on the definitions of seven cost categories in product standard costs—raw material costs, auxiliary material costs, outsourcing costs, purchased component costs, secondary component costs, R&D costs, and management costs—this invention associates the product categories to which each level of product belongs, and aggregates the purchase unit price or outsourcing costs of different product categories into the corresponding standard cost items, achieving consistency between costs and the actual products. The standard cost convolution calculation method designed in this invention has a certain degree of universality across different product categories and can be used to batch calculate the standard costs and detailed standard cost breakdowns of a group of products (without requiring similar product structures). This standard cost convolution calculation method also has a certain degree of universality across different types of BOM data and can be applied to product BOM data of different categories such as process BOMs and design BOMs.

[0088] This invention also provides a method for standard cost convolution calculation based on product BOM, with the following steps: Step 1: Obtain the latest BOM baseline for the current product and the corresponding product BOM structure tree. Step 2: Traverse the product BOM structure tree from the top-level node (root node) using a depth-first traversal approach, recording information such as product code, product assembly hierarchy, matching quantity, unit of measurement, standard working hours, contracting department, and manufacturing department at each level of the product BOM structure tree, generating a product structure list result set. Step 3: Initialize the relevant information of the lowest-level product cost based on the category of the lowest-level product corresponding to the leaf node in the product structure list result set. Step 4: Recursively calculate the unit cost, lower-level convolution cost, and total unit cost of each level of product from the bottom-level (leaf node) of the product BOM structure tree upwards. Step 5: Calculate the total cost of a single product, thus completing the complete calculation process of the standard cost and cost composition details of a single product.

[0089] The following examples use two simple product structure trees, along with appendices. Figure 1-5 The specific implementation method of the product standard cost convolution algorithm of the present invention will be further described in detail.

[0090] Please see Figures 1-5 , Figure 1 This is a flowchart illustrating the implementation method of a product standard cost convolution algorithm according to the present invention. Figure 2 , 4 These are simple product structure trees with 2 and 3 layers of nodes, respectively. Figure 3 For based on Figure 2 The product BOM structure tree uses the standard cost convolution calculation process and calculation result list of the embodiments of the present invention. Figure 5 For based on Figure 4 The product BOM structure tree uses the standard cost convolution calculation process and result list from the embodiments of this invention. For detailed calculation process, please refer to [link / reference]. Figure 1 Algorithm Flow Description and Figure 3 , 5 The standard cost calculation process for products at all levels.

[0091] This invention provides a method for calculating standard costs using convolution based on a product BOM. This method accurately and quickly expands the product BOM structure from top to bottom using a depth-first traversal approach to obtain the product structure list. For the expanded product structure list, a bottom-up, recursive calculation method is used to quickly calculate the standard cost and its detailed components for each level of product, thus completing the entire process of calculating product standard costs. This invention features accurate calculation, strong applicability to BOM categories and product structures, and complete and detailed calculation results. It can be used to batch calculate the standard costs and their detailed components for a group of products. It provides an efficient and accurate calculation tool for enterprise financial personnel to quickly calculate the standard costs of a large number of products.

[0092] The above description is merely a preferred embodiment of the present invention and is not intended to limit the present invention in any other way. Any modifications or equivalent changes made based on the technical essence of the present invention shall still fall within the scope of protection claimed by the present invention.

Claims

1. A method for implementing a product standard cost convolution algorithm, characterized in that, The method includes: Step 1: Obtain the latest BOM baseline for the current product and the corresponding product BOM structure tree; Step 2: Use depth-first traversal to traverse the product BOM structure tree starting from the top-level node, record the information of each level of the product BOM structure tree, and generate a product structure list result set; Step 3: Based on the category of the lowest-level product corresponding to the leaf node in the product structure list result set, initialize the relevant information of the lowest-level product cost; Step 4: Starting from the bottom of the product BOM structure tree, recursively calculate the unit cost, unit convolution cost of each lower level, and unit total cost of each product level. Step 5: Calculate the total cost per unit, completing the full calculation process of the standard cost and cost breakdown for each unit.

2. The implementation method of the product standard cost convolution algorithm according to claim 1, characterized in that, In step 2, the information recorded for each level of the product BOM structure tree includes: The results set records the product code, product assembly hierarchy, component quantity, unit of measurement, standard working hours, contracting department, and manufacturing department for each node in the product BOM structure tree. Based on the standard cost categories of raw material cost, auxiliary material cost, outsourcing cost, purchased component cost, secondary assembly cost, R&D cost, and management cost, the attributes of unit product cost, unit product sub-level convolution cost, and unit product total cost are defined respectively, which are used to record the calculation results of each category of cost.

3. The implementation method of the product standard cost convolution algorithm according to claim 2, characterized in that, The information related to the initial cost of the lowest-level product is as follows: For outsourced products, initialize outsourcing costs; for purchased products, initialize purchase unit prices from the product price database; for self-made products, initialize labor hour quotas, raw material purchase unit prices and quantities, and auxiliary material purchase unit prices and quantities.

4. The implementation method of the product standard cost convolution algorithm according to claim 3, characterized in that, In step four, If the product at this level is a raw material, calculate the cost of the raw materials for each unit of the product at this level using the following formula: The cost of raw materials per unit = the unit price of raw materials purchased; If the product at this level is an auxiliary material, calculate the cost of the auxiliary material per unit of the product at this level according to the following formula: Cost of auxiliary materials per unit = unit price of auxiliary materials; If the product at this level is sourced externally, calculate the cost of the externally sourced components for each unit of this level using the following formula: Cost of purchased components per unit = Purchase price of purchased components; If the product at this level is a secondary component, the cost of secondary component for a single product at this level is calculated using the following formula: The cost of a single product at the second level is equal to the purchase price of the second item.

5. The implementation method of the product standard cost convolution algorithm according to claim 3, characterized in that, In step four, If there is outsourcing for this product category, calculate the outsourcing cost per unit of this product category using the following formula: The cost of outsourcing a single product at this level equals the cost of joint production of a single product.

6. The implementation method of the product standard cost convolution algorithm according to claim 3, characterized in that, In step four, If the product at this level is manufactured internally by the company, the development cost of a single product at this level is calculated using the following formula: The development cost of a single product at this level = development man-hours of a single product × development expense rate; If the products at this level are manufactured internally by the company, calculate the management cost per unit of this level using the following formula: Unit product management cost = unit product management hours × management fee rate.

7. The implementation method of the product standard cost convolution algorithm according to claim 3, characterized in that, In step four, By identifying the subordinate assembly products through the hierarchical relationship of product assembly, the following formulas are used to calculate the following costs for a single product: subordinate convolutional raw material cost, subordinate convolutional auxiliary material cost, subordinate convolutional outsourcing cost, subordinate convolutional purchased component cost, subordinate convolutional secondary assembly cost, subordinate convolutional development cost, and subordinate convolutional management cost.

8. The implementation method of the product standard cost convolution algorithm according to claim 3, characterized in that, In step four, Calculate the total cost of raw materials, total cost of auxiliary materials, total cost of outsourcing, total cost of purchased components, total cost of secondary components, total R&D cost, and total management cost for a single product using the following formulas: The total cost of a single product at this level = the cost of the single product at this level + the convolutional cost of the single product at the next lower level.

9. The implementation method of the product standard cost convolution algorithm according to claim 3, characterized in that, In step five, Calculate the total cost per unit using the following formula, completing the full calculation process for the standard cost and cost breakdown of a single product: Total cost per unit = Total cost of raw materials per unit + Total cost of auxiliary materials per unit + Total cost of outsourcing per unit + Total cost of purchased components per unit + Total cost of secondary components per unit + Total cost of research and development per unit + Total cost of management per unit.

Images