Sr. Team Member - Costing

Division

Finance

Department

Operations Finance

Sub Department

Costing

Job Purpose

Develop accountability in ensuring accurate and analysed cost being used for various business requirements like New launch, participating in Tender and pricing decisions. Also, to enable better operational decisions like product transfer one plant to another and outsource to inhouse. And work with various cross functional teams to ensure the adherence to Monthly closing & Audit timelines.

Key Accountabilities (1/6)

1.Business Partnering: Facilitate Business Unit (BU) Finance in enabling better pricing decision and Operations Finance in product transfer decisions.

• Partner with API and One Africa BU and support with analysed COGS for effective business decisions.
• Partner with cross functional teams in cost optimisation projects for high revenue contributor products and estimate futuristic cost for business to take better pricing decisions.
• Prepare cost benefit analysis to take product transfer decisions from one plant to another or outsource to inhouse and vice versa.
• Actively engage in COGS improvement project & provide support to continuous improvement team.
• Focus on top Molecules to identify areas of COGS improvement

Key Accountabilities (2/6)

2.Ensure realistic and accurate cost release in system.

• Review actual usage of alternative/substitutes codes and revise BOM accordingly on regular basis.
• Products having multiple batch sizes, ensure batch size with which maximum volume produced is being used for standard costing.
• Review frequently the actual yield and revised standard cost accordingly
• Wherever inhouse API or Bulk Finished Goods is manufactured in one plant and captively consumed for manufactured of Bulk Finished Goods in another plant actual consumption has to be referred for maintaining SPK for Standard Costing.
• Release Standard Cost on time before month end for stock valuation and Management P&L.
• Review of similar activities assigned to the Team Member.

Key Accountabilities (3/6)

3.Review of Plant Expenses at Cost centre and Cost Element with broads like People Cost, Depreciation, utility, and Others for Overhead Absorption.

• Review of expenses booking at Cost Centre and Cost Element level to ensure right cost centre being used, make necessary corrections in discussion with Factory Finance.
• Review of SKF and other details called from Plant for allocation or reallocation of common services and utilities.
• Review dosage level capacity and production for capacity utilisation and idle cost.
• Calculate the Overhead Activity rate based on Expenses net of idle cost and recipe hours for Standard Costing.
• Review of above activities assigned to the Team Member for his/her respective Manufacturing sites.

Key Accountabilities (4/6)

4.Continue to develop system & process controls to achieve high level cost accuracy.

• Revalidate the recipe from plant on a regular and continuous basis for all SKU’s in phased manner.
• Analysis of Monthly Standard vs Actual cost variance to minimise difference between Standard & Actual Cost.
• Review master data frequently to ensure correct costing & cross check MAP with latest procurement price of input materials.
• Interact with plant to develop awareness about costing process and purpose of collecting details like SKF numbers, recipe etc to ensure that processes are being understood and followed diligently

Key Accountabilities (5/6)

5.Audit, Controls and Compliance: Cost Audit, Internal Audit of Cost Records and Statutory Audit.

• Preparation of Cost records, annexures to cost audit report and interaction with the auditor for timely completion of audit.
• Interact and resolve queries of Internal Auditors and Statutory Auditors.
• Undertake self-review of Internal Financial Controls (IFC) to ensure adequacy and effective controls on regular interval.
• Review of the tasks wrt to Manufacturing units assigned to the Team Member.

Key Accountabilities (6/6)

6.Financial Book closing: Ensure timely book closing relating to Material cost and Inventory. And yearly Budgeting activity relating to COGs

• Undertake monthly inventory valuation & provisioning & its analysis with previous period.
• Undertake budgeting activity on a yearly basis to implement effective costing into the system and comparison of actuals with budget and variances, if any should be incorporated.
• Monthly Review of the activities of team member.

Major Challenges

1. Large data management in excel which takes more time and prone to errors.
2. Managing and tracking manual provisions every month.
3. Handling multi-tasks during crucial times to meet various stakeholder’s requirements.

Overcome by - mutual discussions, automations wherever possible, SAP customized reports and alignment with the stakeholders.  

Key Interactions (1/2)

Internal

• Manufacturing Plant, Procurement & Planning team to ensure data accuracy.
• North America business development team for various cost analysis to understand the different scenario of business and to analyse the cost variations from budget and last released cost.
• North America Business Finance Team & Corporate Team for Monthly Global Material Validation
• SCM Finance – Inventory control Team for Monthly inventory Provisioning
• Corporate Team for other Audit requirements on Quarterly basis.

Key Interactions (2/2)

External

• Statutory & Cost Auditors on quarterly and yearly basis.
• Internal Auditors & Management Consultants as and when required

Dimensions

1. Handling product costing for All API - Own & LL Sites, CMM, Mirren and Cipla Marocco site product costing.
2. Business partnering with API, One Africa BU, R&D and CI Team
3. Leading a team of two team members

Key Decisions (1/2)

Decisions

• Capacity to be used in Activity rate calculations
• Basis of Expenses Allocation & Type of expenses to be considered
• Costing for Tender (Full cost / Marginal cost)

Key Decisions (2/2)

Recommendations

• Recommendation for approval of activity rates and Material cost JV Entries
• Recommendation for revision of expenses allocation methods.
• Cost saving ideas & initiatives. Improvement in existing process & methodology followed for Costing

Education Qualification

Qualified ICWA / CA

Relevant Work Experience

8-12 years of experience with knowledge of SAP environment especially in pharmaceutical industry and excellent grip over excel and power point, good communication, interpersonal and leadership skills are an essential requirement.