Application

This unit describes the skills and knowledge to identify cost components in work practices and determine, in general terms, the cost impacts of alternative actions.
The unit applies to assessing the relative costs of the alternatives and using this as one of the key factors in making decisions. Decisions are made within the scope of the employee's authority and according to procedures. Typical decisions include those that contribute to the efficient organisation of own work and the improvement of production time and cycle times.
Employees are required to use problem solving to identify cost factors and cost implications of own work and self-management to apply cost-effective practices.
This unit applies to an individual who is required to contribute to, and be involved in, the assessment of cost factors in their work. This may be done individually or in a team environment.
No licensing or certification requirements exist at the time of publication. Relevant legislation, industry standards and codes of practice within Australia must be applied.

What You'll Learn

Assessment Requirements

Performance Evidence

There must be evidence the candidate has completed the tasks outlined in the elements and performance criteria of this unit, and:
• identified cost factors and cost implications of at least 1 product or process in own work and applied cost-effective practices.

Knowledge Evidence

There must be evidence the candidate has knowledge of:
• concepts of expense, income and capital
• relative impact of fixed and variable cost components relevant to own work, including:
• power and energy
• materials, plant and equipment
• production or process time, including impact of salary and wages
• office expenses
• government taxes and charges
• financial and non-financial impacts of cost reductions
• the difference between internally and externally controlled costs
• difference between overhead, labour and consumables.

Assessment Conditions

Skills must have been demonstrated in the workplace or in a simulated environment that reflects workplace conditions, contingencies, facilities, equipment and resources.
Assessors must satisfy the NVR/AQTF mandatory competency requirements for assessors.

Foundation Skills

• {'skill': 'Foundation Skills', 'description': 'This section describes those language, literacy, numeracy and employment skills that are essential to performance.\nFoundation skills essential to performance are explicit in the performance criteria of this unit of competency.'}

Parent Qualifications

• PMB20121 — Certificate II in Polymer Processing
  PMB

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