Standard cost setting: BOM/routing assumptions and updates

Create a standard cost setting approach for {plant_or_business}.

Inputs:
- BOM and routing data availability: {bom_routing}
- Labor rates and efficiency assumptions: {labor_assumptions}
- Overhead pools and drivers: {overhead_pools_drivers}
- Inventory valuation method: {inventory_method}
- Update frequency constraints: {update_constraints}

Output:
1) Standard cost components and calculation steps.
2) Overhead rate setting methodology (budgeted vs actual, absorption).
3) Update cadence and governance (who approves changes).
4) Variance reporting structure (PPV, labor, OH) and how to investigate.

Be explicit about data requirements and controls.