The development of the SAFCA / NMMU costing model started in 1995 and was developed continuously to its current format. Further development will take place as new needs arise. It is specifically designed to determine the cost of production for a business or business unit on a volumetric or shift rate basis.
It is still the most comprehensive and accurate model in the forest industry while it is very user friendly, easy to understand and free to every person who wants to use it.
The model consists of a Harvesting, a Silviculture and a Machine costing section with a page of useful contacts in the SA Forest industry. It is unlike the industrial type of costing where lots of time study information is required, but inputs (in question form) is based on experience in the forest industry and on industry relevant accepted norms.
The model is MS Excel based and the row and column indications repeated in the spread sheet to facilitate easy referencing and assistance with any problems. (For telephonic assistance, phone 082 3777 998)
The model is also an excellent planning and budgeting tool as all outputs are expressed on a per year, per month, per day and per ton or shift basis.
This configuration makes it easy to transfer the outputs to a cash flow budget.
The complete model can also be used as a negotiating tool as all inputs can be negotiated and the effect of every change in input will immediately reflect in the outputs.