Glossary
The custom manufacturing glossary.
Plain-language definitions of the terms shop owners and operators actually use. Each definition is written for the way the term shows up in practice — not the textbook version.
Pricing
4 pricing terms.
Wastage Percentage
The portion of purchased material that is consumed in offcuts, defects, or layout-driven loss — not in finished work.Open definitionYield Band
The percentage of usable surface area you get from a raw material — typically a stone slab, sheet good, or timber board.Open definitionMargin Guardrail
A pricing rule that prevents quotes from being sent below a configured target margin without explicit override.Open definitionTakeoff
The structured measurement step that converts drawings, specs or a brief into the priceable line items of a quote — every quantity traceable back to a measurement.Open definitionProduction
6 production terms.
Quote-to-Job Conversion
The process of turning an accepted quote into a structured job record, carrying scope, materials, labour and dates without retyping.Open definitionProduction Stage
A discrete phase in the manufacturing flow with a single owner, a clear trigger to start, and a clear trigger to end.Open definitionQC Checkpoint
A defined moment within or between stages where work is inspected against quality criteria before progressing.Open definitionCut List
The structured list of every component to be cut from raw material for a specific job, with dimensions, material spec and quantities.Open definitionLead Time
The duration from order acceptance to delivery — the elapsed time between client commitment and finished work on site.Open definitionChange Order
A formal amendment to accepted scope — added work, omitted work, changed specification — with documented price and schedule impact and an authorised signature.Open definitionInstall
3 install terms.
Snag List
A list of small defects, omissions or open items that must be resolved before final sign-off, captured during install.Open definitionSign-Off
A timestamped, recorded acknowledgement by the client that install is complete, establishing the boundary between install and warranty.Open definitionPunch List
A US/international term for a snag list — the punch-out items the contractor must complete before final acceptance.Open definitionFinance
5 finance terms.
Retention
A percentage of contract value held back by the client until handover and an agreed defect liability period has passed.Open definitionCloseout Snapshot
The state of a job captured at completion — quoted vs actual margin, time per stage, blocker log — used to feed insight into future quotes.Open definitionGross Margin
Revenue from a job minus its direct costs (material + labour + finish), expressed as a percentage of revenue.Open definitionVariance
The difference between quoted (planned) cost and actual (delivered) cost on a job, by category and total.Open definitionJob Cost
The running total of every direct cost charged to a single job from quote acceptance through closeout — material, labour (loaded), machine cost, finishing, install. The unit of cost accounting that turns "the company is busy" into "this specific job is profitable."Open definitionInventory
3 inventory terms.
Offcut
A piece of material left over after cutting a job that may be reusable on a future job, or written off to scrap.Open definitionBill of Materials (BOM)
The complete list of materials, parts and quantities required to produce a single job — derived from the quote.Open definitionGoods Received Note (GRN)
The record of materials physically received against a purchase order, with quantity, condition and any short-deliveries flagged.Open definitionTerm we should add?
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