Patent ID: 7461019

Claim:
A system for integration of material costs of a product for calculating costs of a product based on purchase data, inventory data and material consumption data, the system comprising a web server and a database server, wherein: the database server is connected to a purchase management system, an inventory management system, and a production management system via a network for data transmission therebetween, and the database server comprises a database for storing purchase data, inventory data and material consumption data, the purchase data include columns for: quantity of purchased material, unit price of purchased material, and purchase expense, the inventory data include columns for: initial inventory quantity and initial inventory value of each material, and the material consumption data include columns for: a current period production quantity and a material consumption quantity of each product; and the web server has an application layer that comprises enterprise plans, operation methods, and management models, and the web server comprises: a current period purchase costs calculation module for calculating purchase expenses and purchase costs apportioned to each unit of each material in a current period; a historical purchase costs calculation module for calculating historical purchase costs of each material by utilizing the formula C UHP =(An II +Q P *C UP )/(Q P +Q IO ), wherein C UHP stands for the historical purchase costs, A II stands for initial inventory value, Q P stands for current period purchase quantity, C UP stands for current purchase costs, and Q IO stands for initial inventory quantity; and a material costs integration module for calculating material costs consumption in each unit of a product.