Businesses need to be aware of the costs involved in the manufacture of each component of their finished products. This includes the warehousing costs for each products, and also the labor required to actually make the goods, and also to ship them out. In order to estimate the costs of labor with a high degree of accuracy is to work out those costs based on throughout numbers. What is throughput? This refers to the rate at which goods are finished on a consistent basis. Throughput can be applied by different businesses in different ways, but the most common way it’s…
