It's Serious Business; Run It Like One

Chargeback System: A chargeback system is the link between your expenses and your production. It defines the costs that you charge to those departments within your organization for performing a service to them—in other words, how much money you bill your customers for producing their jobs.

There are numerous ways to establish a chargeback system, but all chargeback systems have cost rates that are based on the in-plants' expenses. I have known many corporations that did not allow the in-plant to charge for its services and have even managed under those conditions. Regardless of whether the organization allows the official chargeback, you must have a system in place within your organization.