At the beginning of June, I posted a blog explaining the ins and outs of the resource utilization grid. Thanks to my favorite PSA friend across the pond, Antti Pajunen, it’s time to demystify a few additional points when it comes to the existing resource utilization functionality.
If you recall from the earlier blog, I mentioned the various pieces of how to properly setup resources and projects so utilization properly calculates. One of those critical components is the Project Contract. In my example, I showed a Time and Expense Contract and how, after you set that up (along with the other components) you then see your utilization. (for those that don’t recall, the T&M is set at the contract line level)
The scenario I explained also assumed the contract lines were chargeable, meaning the time entered against that contract would be billed to the customer. Another Project Service expert, Antti Pajunen challenged me based on his findings. What if you had a T&M Project where you had lines that were non-chargeable or complimentary? Maybe, as a result of this customer being a strategic account, you decided to give them some “free” hours. Or maybe, you had to include some free hours on a customer satisfaction basis.
What happens if I create a project, set up a T&M Contract and include a Resource Role that has a Non-Chargeable or Complimentary Billing Type?
I tested numerous scenarios, such as the two above, to determine what impacts Resource Utilization. The grid below outlines my results of those tests. In the past, there were reports of Fixed Fee Contracts not properly updating resource utilization; this is one Antti Pajunen personally experienced and I to did in the past. My results seem to indicate the contract trumps all – meaning trumps the role billing type and project team role billing type. This grid is not an all-inclusive list of every possible scenario, but should provide some details on how utilization is updated. I hope this helps you in your quest to further understand resource utilization. Enjoy!
A few of other interesting tidbits:
- A billing type = Not Available will update Billable time. It seems, and I would say for good reason, that, in case you forget to indicate a billing type or put Not Available, the system will calculate as Billable time.
- If the resource does not have work hours for a particular day, the Resource Utilization Grid will not update the utilization percentage for that day. For example, on July 21st, Abraham worked 10 hours on a project to meet some important deadlines. His time was submitted and approved. In the Grid, since Abraham’s work hours / schedule was not updated (his work hours reflect he’s off Saturdays and Sundays), the utilization does not show. However when you hover over Abraham, his utilization percentage reflects the hours worked.
3. The project time approver can always update the Billing Type of a time entry. Let’s say you are on a project and you submit 8 hours for a task. Later on, it’s determined you made an error and now have to redo the work. The customer should not have to pay for the error. As a result, the project manager asks you to enter the time and make a comment as to the reason. When the PM goes to approve, he/she can update the billing type so that the customer will not be charged. In addition, your hours on the resource utilization grid will not show. They will only show (as Non-Billable) when you hover over your resource record in that view
I hope this helps in your quest to further understand the mystery and sometimes complicated world of Project Service Automation and Resource Utilization. I look forward to hearing from others out there with additional testing scenarios.