Manufacturing Overhead (MOH) and Departmental Expense Control

Gilad Issar and Liat Ramati Navon

Chapter 21 in Operational Excellence, 2016, pp 91-93 from Springer

Abstract: Abstract Manufacturing overheads represent the cost of operations that are not directly derived from the production costs. Operations need to disperse the overhead cost between the different departments, and control their improvement in regard to the annual budget goals, on a monthly basis. Also, innovations in cost reducing projects need to bring added financial value. When the production volume grows, agility in the rotation and responsibilities of people, LEAN culture, innovation and automation, will prevent an increase in overhead costs.

Keywords: Manufacturing overhead; Expenses control; Department’s budget; Cost reduction; Headcount; Effectiveness; Projects; Innovation (search for similar items in EconPapers)
Date: 2016
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DOI: 10.1007/978-3-319-20699-8_21

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