ROLE PURPOSE The Factory Controller is responsible for all financial management, operational accounting, and cost control at the manufacturing facility. This role serves as the plant's chief financial officer, ensuring accurate product costing, BOM integrity, CAPEX governance, inventory management, and financial reporting. The successful candidate will bridge operations and finance, driving cost reduction initiatives, supporting production efficiency improvements, and maintaining robust ERP systems and internal controls.

KEY RESPONSIBILITIES

Product Costing & BOM Management

- Own product Bill of Materials (BOM) integrity; ensure all materials, labor, and overhead are accurately captured in ERP system
- Validate BOM accuracy against engineering specifications; coordinate BOM changes with Engineering, Supply Chain, and Production teams; maintain version control and audit trail
- Lead quarterly/annual BOM audits; identify and eliminate obsolete materials; flag discrepancies between planned vs. actual consumption
- Calculate and maintain standard costs for all products and assemblies; analyze variances (material, labor, overhead) and reconcile to actual production results
- Establish and maintain cost allocation methodologies for shared resources, utilities, and manufacturing overhead; ensure alignment with GAAP and company policy
- Support product margin analysis and costing for new product launches; provide landed cost estimates for procurement and pricing decisions

Capital Expenditure (CAPEX) Planning & Control
- Lead plant-level CAPEX budgeting cycle; consolidate requests from Production, Maintenance, and Engineering; prioritize based on ROI and operational need
- Develop and maintain CAPEX request templates and approval workflows; ensure all requests include business case, cost-benefit analysis, and implementation timeline
- Track CAPEX spend vs. budget; monitor project milestones and financial performance; manage change orders and re-forecasting
- Support asset valuation and depreciation schedules; ensure accurate capitalization vs. expense categorization in GL; coordinate with Corporate Accounting on fixed asset accounting
- Maintain asset register and reconciliation to GL; support fixed asset audits and compliance reviews
- Conduct post-implementation review on major CAPEX projects; measure actual perks realized vs. projections; document lessons learned

ERP Systems & Cost Accounting
- Manage factory-level ERP implementation and ongoing configuration; own master data integrity (items, BOMs, routings, cost centers, GL accounts)
- Establish and enforce data governance standards; train users on proper transaction entry; audit transactions for accuracy and compliance
- Design and maintain cost flows in ERP system; ensure perpetual inventory, standard costing, and variance modules are configured correctly
- Generate and analyze manufacturing cost reports: labor variance, material variance, overhead absorption, scrap/waste, and productivity metrics
- Support month-end close activities: inventory count reconciliation, accrual adjustments, intercompany eliminations; coordinate with Plant Operations and Corporate Accounting
- Troubleshoot ERP issues; escalate system problems to IT; document workarounds and process improvements

Operational Financial Management
- Prepare monthly plant P&L; with variance analysis; explain performance vs. budget and prior year; identify cost reduction opportunities
- Monitor key operational metrics: labor utilization, material waste, scrap rate, inventory turns, equipment downtime cost impact
- Support production efficiency initiatives; quantify financial benefit of process improvements, automation, and yield enhancements
- Manage plant-level cost reduction program; track savings to plan; support value engineering and procurement negotiations
- Oversee inventory management and cycle counting; ensure accurate inventory valuation; address obsolescence and shrinkage

Internal Controls & Compliance
- Design and maintain strong internal controls over manufacturing accounting, inventory, and fixed assets
- Ensure compliance with SOX 404, GAAP, and company policies; prepare control documentation and testing workpapers
- Support internal and external audits; address audit findings; implement remediation plans
- Maintain segregation of duties between authorization, execution, and reconciliation; monitor access controls in ERP system
- Implement and monitor preventive and detective controls for material theft, unauthorized transactions, and system integrity

Team Leadership & Stakeholder Management
- Lead plant accounting team; assign work; mentor junior accountants; conduct performance reviews; develop career paths
- Communicate financial results and insights to Plant Manager and operations team in business-friendly language
- Partner with Production and Operations on scheduling, capacity planning, and cost management
- Collaborate with Supply Chain on material costs, supplier performance, and demand forecasting
- Support continuous improvement culture; engage team in cost reduction initiatives and process optimization

KEY PERFORMANCE INDICATORS (KPIs)

KPI

Definition

Target

Measurement

Variance Accuracy

Standard cost variance (material, labor, overhead) within acceptable limits

≤ 3% for each variance category

Monthly

BOM Accuracy

% of BOMs validated and current; deviations identified and resolved

≥ 95% accuracy; 100% audit compliance

Quarterly audits

CAPEX Execution

Capital projects delivered on budget and on schedule

≤ 5% cost overrun; 100% schedule adherence

Per project; quarterly summary

Inventory Accuracy

Physical inventory reconciliation to perpetual records

≥ 98% accuracy by location/sku

Monthly; annual full count

Close Cycle Time

Days to complete month-end closing and reporting

≤ 8 business days

Monthly

Cost Reduction

Realized savings from cost reduction initiatives tracked to plan

≥ 100% achievement vs. annual target

Monthly tracking

Scrap/Waste Rate

Material waste and scrap as % of production cost

≤ 2% of COGS or target per product

Monthly by product line

Labor Efficiency

Actual labor hours vs. standard labor hours per unit produced

≥ 95% efficiency or target variance

Weekly production reports

ERP Data Quality

% of transactions accurate and timely; system uptime

100% uptime; ≤ 0.5% error rate

Weekly monitoring

Audit Findings

Number and severity of internal/external audit observations

Zero critical/high findings

Annual audits

KEY RESULT AREAS (KRAs)

- BOM Management & Product Costing Excellence





- Establish and maintain comprehensive, audit-ready BOM database in ERP; ensure 100% alignment with Engineering CAD and production specifications
- Implement quarterly BOM review cycle; validate material quantities, scrap factors, and rework percentages against actual consumption data
- Develop standard cost framework by product family; calculate material, direct labor, and overhead costs per unit; maintain cost roll-ups
- Analyze cost variances by component, department, and variance type; identify root causes and recommend corrective actions
- Lead BOM optimization initiatives; identify low-usage materials, consolidation opportunities, and engineering change impacts on cost
- Partner with Engineering on design-to-cost initiatives; provide cost feedback on design alternatives and material selections

2. CAPEX Planning, Approval & Execution
- Own plant CAPEX planning process; create multi-year capital plan aligned with business strategy and production roadmap
- Develop standardized CAPEX request format requiring project scope, financial justification, ROI, implementation schedule, and risk assessment
- Evaluate CAPEX proposals using consistent financial metrics (NPV, IRR, payback period); rank projects and prepare recommendations for approval
- Monitor CAPEX execution; track spend vs. budget; manage change orders; escalate overruns or delays to Plant Manager and Corporate Finance
- Maintain asset ledger with acquisition date, cost, depreciation method, and useful life; ensure GL reconciliation monthly
- Conduct post-implementation audits on major CAPEX; measure actual benefits vs. projections; document ROI realization and lessons learned

3. ERP System Optimization & Data Integrity
- Act as plant-level ERP administrator; maintain master data accuracy (items, BOMs, routings, cost centers, vendors, customers)
- Configure and maintain standard costing module; set up cost centers by department; define variance calculation and reporting logic
- Design automated reconciliation processes; reduce manual journal entries; ensure timeliness and accuracy of cost flows
- Generate daily/weekly operational cost reports; provide real-time visibility to Production and Plant Management on cost performance
- Train plant staff on ERP transaction entry, data validation, and inquiry tools; monitor transaction quality and compliance
- Lead ERP system upgrades and enhancements; evaluate best practices; document configuration and process changes

4. Inventory Management & Valuation
- Own perpetual inventory system; ensure accuracy through cycle counting, physical inventory reconciliation, and transaction audits
- Implement inventory aging analysis; identify slow-moving and obsolete stock; coordinate with Supply Chain and Production on disposition
- Calculate and maintain standard costs for all inventory; adjust for scrap factors, rework, and yield variances
- Prepare quarterly/annual inventory reserve estimates for obsolescence; support inventory write-offs and accounting treatment
- Analyze inventory turns by product and location; identify working capital optimization opportunities

5. Manufacturing Cost Analysis & Variance Management
- Develop comprehensive monthly cost accounting report by product, process, and department; analyze favorable and unfavorable variances
- Establish standard labor and overhead rates; monitor actual vs. standard; investigate root causes of variance (rate vs. usage)
- Track direct and indirect material costs; analyze vendor performance, scrap rates, and material waste by product
- Calculate and analyze manufacturing overhead absorption; allocate shared costs (utilities, depreciation, indirect labor) to product
- Support margin analysis by product, customer, and order; identify pricing and volume optimization opportunities

6. Cost Reduction & Operational Efficiency Initiatives
- Lead or support plant cost reduction program; identify target areas and baseline current state performance
- Quantify financial impact of process improvements, waste elimination, and efficiency gains
- Track actual savings realization; create savings tracking system; communicate results to stakeholders
- Support make/buy decisions, value engineering projects, and procurement negotiations with cost analysis and financial modeling
- Participate in continuous improvement (Lean, Six Sigma) initiatives; provide financial perspective and ROI validation

7. Month-End Close & Financial Reporting
- Lead monthly plant close activities: inventory reconciliation, accruals, variance analysis, GL account reviews
- Prepare plant P&L; statement within 8 business days of month-end; include variance analysis and commentary
- Reconcile all balance sheet accounts; identify and resolve reconciling items
- Support consolidation process for corporate financial reporting; ensure accurate and timely submission of plant data
- Prepare variance analysis reports for management review; present results and insights to Plant Manager and Corporate Finance

8. Internal Controls, Compliance & Audit Support
- Design and document strong internal controls over inventory, fixed assets, purchasing, and cost accounting
- Maintain SOX 404 compliance; create and update control matrices and testing workpapers
- Support annual external audit and internal audit reviews; address audit questions and findings
- Implement preventive and detective controls; monitor effectiveness through periodic self-assessments
- Conduct periodic control testing (walkthroughs, sampling, transaction audits); remediate control weaknesses
- Ensure segregation of duties; monitor system access and approvals; investigate unauthorized transactions

REQUIRED COMPETENCIES & SKILLS

Competency

Description

Evidence / Experience

Manufacturing Accounting

Expert-level knowledge of manufacturing cost accounting: standard costing, variances, overhead allocation, BOM accounting

5+ years manufacturing accounting; experience with cost accounting systems; CPA preferred

ERP Systems Expertise

Deep proficiency in ERP systems (SAP, NetSuite, Oracle, QAD) with focus on cost accounting, inventory, and purchasing modules

3+ years hands-on ERP configuration/administration; demonstrated proficiency in master data, costing, and reporting





BOM & Engineering Integration

Understanding of product structure, BOMs, engineering changes, and how they impact manufacturing and costing

Direct experience managing BOM systems; collaboration with Engineering teams; process improvement mindset

CAPEX & Project Finance

Ability to evaluate capital investments using financial metrics; manage project budgets; track benefits realization

Experience developing and managing CAPEX projects; familiarity with ROI, NPV, payback analysis

Financial Analysis & Modeling

Advanced Excel and financial modeling skills; ability to analyze trends, build scenarios, and present insights

Complex financial models; data visualization; SQL/Python for data analytics a plus

Operational Knowledge

Understanding of manufacturing processes, production planning, supply chain, and operational efficiency concepts

Background in manufacturing or operations; familiarity with Lean/Six Sigma; process improvement experience

Leadership & Communication

Ability to lead and mentor accounting team; communicate financial insights to non-financial operations leadership

Direct management experience; presentations to executives; cross-functional collaboration

Internal Controls & Compliance

Strong grasp of GAAP, SOX 404, and internal control frameworks; ability to design and test controls

SOX compliance experience; audit support; internal control documentation; CPA/CMA certification preferred

EXPERIENCE & EDUCATION

- 7+ years accounting experience; minimum 5 years in manufacturing, operations, or plant accounting environment
- 3+ years experience with ERP systems (SAP, NetSuite, Oracle, QAD, or equivalent); hands-on configuration/administration preferred
- 2+ years leading or managing accounting/finance team (direct reports)
- Demonstrated expertise in standard costing, BOM management, and manufacturing cost accounting
- Experience with CAPEX management, capital budgeting, and project accounting
- Bachelor's degree in Accounting, Finance, or related field; CPA or CMA certification strongly preferred
- Advanced Excel proficiency; SQL, Python, or Power BI experience a plus
- Experience in high-volume or complex manufacturing environment (automotive, industrial, electronics, pharmaceuticals, etc.)

FIRST-YEAR SUCCESS METRICS

Months 1-3: Immersion & Assessment

- Complete assessment of existing BOM data quality, standard costing setup, and ERP configuration
- Perform full-cycle month-end close; identify process gaps, control weaknesses, and automation opportunities
- Meet with Production, Engineering, Supply Chain, and Finance teams; understand operational challenges and cost drivers
- Establish baseline on key metrics: variance trends, inventory accuracy, CAPEX backlog, cost reduction opportunities

Months 3-6: Quick Wins & Foundation
- Achieve target close cycle time (8 business days) consistently
- Complete quarterly BOM audit; identify and remediate discrepancies; document audit trail
- Implement inventory cycle counting program; achieve 98%+ accuracy
- Establish cost reduction tracking system; initiate 2-3 targeted cost reduction projects
- Deploy improved monthly cost reporting with variance analysis and insights

Months 6-12: Optimization & Scaling
- Implement ERP enhancements (standard costing module optimization, automated reconciliations, enhanced reporting)
- Lead 2-3 significant CAPEX projects from evaluation through implementation and benefit tracking
- Develop BOM optimization plan; implement consolidation or value engineering initiatives
- Build and train plant accounting team; establish competency model and career development plans
- Achieve target performance on all key KPIs: variance accuracy, BOM accuracy, inventory turns, cost reduction targets
- Lead or support one significant operational improvement project (efficiency, waste reduction, capacity optimization)
- Achieve stakeholder satisfaction; positive feedback from Plant Manager, Finance leadership, and operations partners

KEY STAKEHOLDER RELATIONSHIPS

Stakeholder

Relationship

Engagement Model

Plant Manager

Direct reporting line; strategic partner for operational and financial performance

Weekly operations meetings; monthly close debrief; strategic planning sessions quarterly

Controller / VP Finance

Dotted line reporting; financial governance and accounting oversight

Monthly close coordination; quarterly variance reviews; ad hoc strategic matters

Production Director / VP Operations

Critical partner on cost control, efficiency, and continuous improvement

Weekly operations huddles; monthly variance analysis meetings; project collaboration on efficiency initiatives

Engineering Manager

Partner on BOM accuracy, design-to-cost, and product change management

Monthly BOM reviews; design change coordination; quarterly engineering/cost reviews

Supply Chain / Procurement Manager

Collaboration on material costs, vendor performance, and cost reduction

Monthly supplier scorecard reviews; cost reduction initiatives; make/buy analysis support

Plant Accounting Team

Direct management and development of team; work assignment and mentoring

Weekly team meetings; monthly 1-on-1s; quarterly performance reviews; training and development

Corporate Finance / Accounting

Alignment on accounting policies, close procedures, and financial reporting

Monthly close calls; quarterly close; annual audit support; policy guidance

ERP / IT Department

System support, configuration, and optimization; data quality governance

System enhancement requests; troubleshooting escalations; quarterly system performance reviews

Internal / External Audit

Support for audit activities; control compliance and risk management

Quarterly audit coordination; annual audit fieldwork; control testing support

CRITICAL SUCCESS FACTORS

- Deep expertise in manufacturing cost accounting and ERP systems; ability to navigate complex costing scenarios and system configuration
- Strong analytical and problem-solving skills; ability to identify root causes and implement lasting solutions
- Operational mindset; ability to understand production processes, constraints, and improvement opportunities
- Excellent communication skills; ability to translate financial concepts for operations leadership and engineers
- Process improvement focus; continuous drive to automate, streamline, and optimize finance and operations
- Data integrity mindset; obsessive attention to detail and commitment to accuracy
- Collaborative leadership style; ability to influence without authority; strong cross-functional relationships
- Project management capability; able to juggle multiple initiatives and deliver results on time and on budget

📌 Senior Cost Manager (Patna)
🏢 Pramod Confectionary And Food Industries
📍 Patna