Transactions do not show the correct rate. How do I know which labor rate source location is being used to determine the rates on my transactions

Products

• Clarity PPM SaaS
• Clarity PPM On Premise

Issue/Introduction

 

How do I know which labor rate source location is being used to determine the rates on my actual, financial transactions?

 

Environment

Release: All releases
Component:  PPMFNM

Resolution

There are 2 places where the default is set for determining the Rate Source Location when projects are created and financially enabled

Project Transaction Entry Defaults:

Administration, Finance: Setup (Financial Organizational Structure), Defaults, Project Transaction Entry Defaults: Labor Rate/Cost, Source Location field. 
This can be changed to 'Project' or 'Employee'.  Note: there is no option for Non-Labor resources. Non-Labor Source Location always uses Project Department and Location as the source.

Entities:

Administration, Finance: Setup (Financial Organizational Structure), Entities.

Click on an Entity name to open the general properties page.  Section: Labor Rate and Cost Defaults, Source Location field.  

This can be changed to 'Project' or 'Resource'.  Note: there is no option for Non-Labor resources. Non-Labor Source Location always uses Project Department and Location as the source.  Therefore, if the 'Department' or 'Location' attributes are used in the Rate Matrix Column definition configuration, be sure you understand how this will compute the rates for Non-Labor resources when populating costs plans from team or project plan.

 

WIP Settings:

The WIP Settings for Department and Location settings will affect the actual financial transactions posted into WIP and will affect the Chargeback Invoices.

 

When you make a change to any of these setting values; new projects financially enabled will use the new configuration or existing projects that are newly financially enabled with use the new configuration.  When a project is created, the setting is saved in the project financial table PAC_MNT_PROJECTS.  
Existing project transactions will retain the configuration values active at the time the project was created, you cannot change the Rate Source Location that is referenced by the old rate source location through the application once the financial configuration has been enabled.

When the Project in financially enabled, the Rate Source Location for the project will have the following values in the PAC_MNT_PROJECTS table:

The PAC_MNT_PROJECTS.TRANSRATELOCATIONLABOR value of 2 indicates that the PROJECT Rate Source will be used for Labor Resources. 
The PAC_MNT_PROJECTS.TRANSRATELOCATIONLABOR value of 4 indicates that the RESOURCE Rate Source will be used for Labor Resources. 

 

 

 

Question: 

Can I change existing Projects?

Answer: 

No. Once a project is financially enabled, the value in the PAC_MNT_PROJECTS table determines what Rate Source Location is used and if the Entity Defaults or the Project Defaults are changed, the existing projects are not changed. There is no functionality to change the Rate Source Location once a project has been financially enabled. The project will be setup with the Rate Source Location that is in the Default Fields at the time the project is financially enabled.

Question: 

On some posted financial transactions in WIP, there is a resource with a $100 per hour rate. Going back to the rate matrix, the resource should show as $125 per hour. Why is it showing at the wrong rate?

Answer: 

When the 'Post Transactions to Financials' job executes, the rates are calculated based on the Project Transaction Rate Matrix that is currently defined. If the Project is updated with a different Rate Matrix or the Matrix Row values change, then the transaction rates will change the next time the 'Post Transactions to Financials' job executes. Therefore, the projects may have referenced a different Rate Matrix at the time the indicated transactions were posted or that the Rate Matrix Row values were updated after these transactions were posted. The customer checked backup copies of the database and found that the Rate Matrix rows were updated with new rates and that is the reason why the transactions reflect different rates.

Additional Information