Difference between Planned Cost and Confirmed/Allocated Cost

[ADRIAN GARCIA]

Hi everyone. I have a simple doubt but I can not discover what am I doing wrong.

I am charging a Resource Plan for a Demand without Rate Model so I want to have the rate of the Role.

I am charging a Resource for a Role - DBA Role - that has a Rate $ 2500 per hour.   I use Specific member and select one member.  FTE =1.

When I planned and request that resource plan it took correctly the rate that is in the role but when I confirmed the rate is changed and it took the standard rate for a User which is the same for all users.

Requested Allocations considering $ 2500 hourly rate (ok for me).  Total planned Cost $ 400.000

Resource Allocations took another hourly rate, in this case $ 65 per hour.  Total Confirmed Cost $ 10.400 

Where is my Error?? help! 

Thanks in advanced.

Adrian

[bammar · Accepted solution]

I dont think you have an error.... 

a resource role has a rate set to it : this is for estimate purposes and before you ask for approval its a planned cost. 

Also please consider unless you reveal peoples real actual wages we are always estimating- 2 people in the same role can be making 30,000 different wages...

If you have Labor rates set- they use a persons defined title to set their rate.

Also blended rates may be used for groups of users...

So suppose you say you want a role - the role has a rate and that is a guide to estimate cost,

Then when you pick a specific user they ay have a higher labor rate and so the allocated cost will be higher/ and actuals too once there is a timecard

Also if you have a default rate that rate will apply if no specific labor rate is set... so you have to take care and define labor rates.

[Namita Mishra]

Hi @ADRIAN GARCIA ,

Agree with @bammar 's response. 

At the time of planning / requesting a resource plan (RPLN), all that system knows is about the role or group (not actual user unless you have a userRPLN) that is being planned / requested. That is the reason system takes the cost of that role / group and populates the planned cost.

Actual resources come in picture on confirming or allocating theRPLN. That is why the confirmed / allocated cost is calculated based on the rates of the actual users who are confirmed / allocated as part of that RPLN.

You are not missing any point here. This is OOTB functionality that is why you are getting different values in planned cost & confirmed / allocated cost of the RPLN.

Please mark this as helpful / correct in case you feel it answered your query.

Thanks,

Namita Mishra

[ADRIAN GARCIA]

Hi Bammar, it helps me a lot what you told me and I prepared one case that I want to show you.  I have success identificating users id and companies but I didnt have success trying to identificate the resource role (maybe it is not possible to identify Roles so you need to identify user by user).

So to resume, Without using Rate Model

if I want to request a Rol it tooks the rate defined to a Role

and when I confirmed or confirmed and Allocate a User of that Role it took the rate defined in the Labor Rate Card.

Thanks in advance to you and Namita!

Adrian Garcia

linkedin.com/in/adrian-garcía-a51726a7

[bammar]

Very good example- Some more information for you- Typically when you make a Demand - You can make a Resource Plan- the Resource Plan for a Demand usually uses Role. This Demand may not be promoted to a Project or maybe it will. When you create the Project the Resource Plan moves over. Roles provide an estimate for your rough planning. If the number NEVER would be different we never would need a different field for Committed /Allocated...  

Once the Resource Plan is assigned to a Project- you can identify a REAL Group of users you have - A group may contain users with different labor rates and different Jobs or levels- this is ok and it makes things manageable - you request a real individual now or allow the manager to designate the right person for the job- this is when you move from Theoretical planning of a role you need for the Resource Plan- to really picking the right existing person..Then it becomes allocated based on the persons labor rate IF THEY HAVE ONE - OR the default rate you set in a property OR the Group rate if there is no other option for the system. 

You can define Resource Roles - Resource groups and members from the menu