Labor Costing by Project Role

Cost project labor hours using project role-based rates. Labor costing by project role enables precise cost tracking and margin analysis by aligning actual labor costs with project roles used in planning and billing, resulting in improved accuracy and decision making.

Define project role cost rate schedules and assign these to the business units and cost organizations that use project role as the primary dimension for costing, planning, and billing. Optionally include project role cost rate schedules in labor costing overrides or project role as a determinant in project cost rate overrides.

Project Cost Rate Override with Project Role Determinant

These are the business benefits of this feature:

• Improves accuracy and decision making through precise cost tracking and margin analysis by aligning actual labor costs with project roles used in planning and billing.
• Eliminates the need for complex workarounds involving elaborate mappings of internal human resource worker jobs with jobs representing project roles or extensive use of job cost rate overrides.

Steps to enable and configure

You don't need to do anything to enable this feature.

Tips and considerations

• When costing project time cards using project role-based rates, it's imperative that the transactions have an associated project role. If a project role hasn't been specified on a project cost labor transaction at source, the application attempts to derive a project role based on task-level resource assignments and project resource assignments that are effective as of the date of the time card transaction. If a project role can't be derived, then the time card transaction will be rejected. Therefore, consider disabling the default project role derivation functionality by setting the Project Role Derived for Person-Related Project Cost Transaction (ORA_PJC_DERIVE_PROJECT_ROLE) administrator profile option to No and instead rely on capturing project role on labor transactions at source. 
• Project Role can be combined with any other available attribute in Project Cost Rate Overrides except Job. Any project cost rate override combination that includes both project role and job isn't allowed.
• The cost rate determined for actual costing of a time card transaction or for planned hours is based on a precedence of multiple setup objects, including Organization Costing Rules, Labor Costing Overrides, and Cost Rate Overrides defined specifically for the project charged. Use the Transaction Analysis for Project Costs and Transaction Analysis for Project Planning Resource Assignments reports to fully understand how a cost rate was derived.

Key resources

• This feature provides additional capabilities to these previously-released features:
  • Planning to Billing by Project Role (23B)
  • Project Cost Transfer to New Project Role Using a Rest Service (23C)
  • Project Role Capture on Time Cards (23D)
  • Project Role Rate Schedule for Contract Bill Plans (25C)
     
• Based on Ideas 715795 and 644418 from the Project Management Idea Lab.

Access requirements

No new access requirements.