Recipes and waste
For each product you build the recipe: the raw materials and the quantities that go into the product. Waste is kept at two levels, legal and management, each as a percentage or as a quantity. That way you compare the loss that is allowed with the loss that actually happens, for each product separately.
From planning to finished goods
Production is tracked in stages: planning, processing and the finished product, each with its own sheet. Production elements are recorded with separate posting schemes for finished goods, semi-finished goods and work in progress, so what is still on the line is not mixed up in the accounts with goods that are ready for sale.
The manufacturing reports include recipe availability and the cards for finished goods, work in progress and planning. Raw materials and finished goods are tracked in inventory and warehouse, with receipt and issue notes for every movement.
At the end of the year, the General Directorate of Taxes (DPT) also asks for the detailed position at 31 December for raw materials, work in progress and finished goods, with unit, quantity, price and value. The manufacturing cards give you this position without adding it up by hand; the other steps are in the year-end closing checklist (in Albanian).
