36 ◾ Directing the ERP Implementation
19. Overhead cost variance—e dierence between the authorized overhead cost (allotted time)
and the actual overhead cost
20. Congure to order (CTO) variance—e dierence between the authorized CTO cost
(allotted time) and the actual CTO cost
3.3.2 Cost-of-Change Analysis
ere are a plethora of opportunities to enhance the integrity of decision making associated with
cost of change. is analysis technique is seldom included in the ERP solutions. Essentially, a
cost-of-change analysis permits the modeling of the cost impact and gives a pro-forma nancial
eect before executing the change. Similar to the projected future variance capability discussed
in subsection 3.3.1, the simulation of the cost impact ...