In the past we have billed our spares to whatever job we were on at that time, and later. When the field personnel turned in their paperwork (HINT !!! HINT !!!!), we credited the job that they were currently on. The problem with this is that the job that was billed was not always the job that was credited.

For example, if a barrel of oil was billed to job 3053 in May, it might not all get used on that job, some of it might get used on job 3065 or even another job through-out the year until the barrel is empty. Doing it this way creates some lop-sided job costing.

To try to remedy this, we created what we are calling Mobile Shops. These Mobile Shops are simply shop numbers assigned to the various job trailers and the mechanic’s trucks that the spare supplies are kept in. The shop numbers will never change from job to job. The mechanic or supervisor in charge of the job trailer or truck will then be responsible for making sure that the supplies are billed out to the equipment as it is used.

To do this, we have sheets made up that will be kept in the trailers, as items are used they are recorded on the sheets. The sheets will be sent to Brooklyn Parts Dept. on a WEEKLY basis. The people in charge of the Mobile Shops will then get monthly reports on their shops.

We all need to try to make this System work. Without it, we don’t get accurate job costing, and if we don’t get accurate Job costing, we have trouble getting the jobs.

To make it work, the paperwork MUST be turned in weekly. I will be talking to the people concerned on this in the near future, but in the meantime, if you have any questions, please feel free to contact me anytime.

Lets have a good and SAFE construction season this year.