Product Budgeting and Costing on the Web

This application is designed with a multi-dimensional approach using a relational database - ROLAP.  A 'bottom-up' budgeting approach is used; however, much of the detail data is produced automatically base on controlled assumption and guidelines.  'What if analysis' is applied, and budget reporting and 'what if' results are viewed with full dimensional summaries and drill-down on  detail by product code and country basis.
Budget development contains transfer pricing, market sensitive pricing, and product and sales mix.


The system is design with a production driven approach since a 'joint costing' approach is appropriate, and sales generally relate directly to the amount of product that can be manufactured and delivered.  The budgeting process is completely controlled by management assumptions.

ASP=average selling price
EU=equivalent units
GS=gross sales

Gross Sales - (ASP * EU Units)
Allowances - (% of GS)
Cash discounts - (% of GS)
Rebates - (% of GS)
Net Sales- (Calculated)
Freight- (% of GS)
Commissions- (% of GS)
Royalties - (Contract based)
Cost of product sold - (Std * EU Units)
Manufacturing Variance - (Calculated %)
Other Variances- (Calculated %)
Gross Profit - (Calculated)

Design Features
1) Oracle database
2) DynaSight/inSight
3) Microsoft IIS web server
4) Data input, import, processing, reporting, and transfer
5) Multiple Security levels
6) Intranet

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Copyright: Williams & Partner, 2003