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Fixed Cost and Actual Cost

We are doing fixed pricing on projects. We are also using "Actual Effort Updated from Timesheets." When a resource puts time in I would like the Actual Cost to be updated, but it is not. I am manually calculating hours and setting my Actual Cost. I also have to manually enter Actual Revenue, even though my Fixed Price has been set.

How can I automatically calculate Actual Cost based on Actual Effort?

John McAdams Answered

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John,

You cannot use both Fixed and Actual at the same time. By using the Fixed Cost you are basically overriding the Actual Cost from rolling up to the parent work items. If you do not want this, then you need to remove the Fixed Cost and Actual Cost will be reflected.

Boris Krutiy 0 votes
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Thanks Boris, I didn't describe the issue very well. I am trying to determine Actual Cost against Fixed Price, I would like actual effort to update my actual cost so I get an idea of how many man hours we are spending. The actual effort, however has no effect on actual revenue, which is fixed. I'll keep working on setting a fixed price and using time sheets for effort / cost.

John McAdams 0 votes
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John,

I see. The problem is that you are using Fixed Cost which overwrites Actual Cost and Actual Effort will not roll up and update it accordingly because of this. You could however create a workflow rule that updates Actual Cost but this may not be ideal due to your Fixed Cost setting. You should create a Custom Field (i.e. Effort+Cost) and the field could be based on a formula that adds the Actual Effort*Regular Rate(of resource)+Actual Cost or Fixed Cost.

For further clarification, we suggest posting a follow up question in under the Customization Topic or you register for one of our Office Hours - Advanced Configuration Webinars (see the link-> http://www.clarizen.com/resources/online-demo.html#second ).These are great resources for free consulting with our Customer Success Managers that can provide visual examples and answers to your questions.

Boris Krutiy 0 votes
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