Question

Resource Forecast - ETC Hours, ETC Cost & Cost Elements

  • 8 November 2022
  • 2 replies
  • 152 views
I
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  • Do Gooder (Customer)
  • 1 reply

Hi,

We’ve been using IFS for a year or so but repetitively see an issue with negative ETC costs generated on resource forecasts that then feed into project financial forecasts, and cause cascading issues.

Working example below:

I have done a little digging but still confused as we were never educated on some of the underlying calculations that occur. In the example:

  •  PM has defined 0 ETC hours to complete on this activity.
  • ETC cost is pulling through a large negative cost.
  • Drilling down it appears to be an issue with Cost Elements whereby negative User Hours are posted into ETC leading to the negative ETC cost.
  • Why do ETC hours in cost elements display differently to the main resource forecast screen? 

Unsure what “cost elements” are within IFS and ultimately how they are controlled and who typically within an organisation controls them. Can anyone please help shed light on this?

Thanks

Ian

2 replies

S
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Project Cost Elements are setup per company and are part of Basic Data.  Depending on your permission setup, that might mean only IT folks have access to them, but maybe finance.  They are typically setup at the beginning of the IFS installation and rarely need changed unless your business model changes.

 

 

 

From there, the Project Cost/Revenue Element is connected to an Account so that the flow into finance is going to the proper location.

 

The movement of money then from the Project to the Financial account is controlled by posting controls that are setup based on how you are trying to record cost or report revenue.

 

 

Somewhere in there, something isn’t setup right.

I
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Thanks @ShawnBerk for the speedy & comprehensive reply. Will direct to our finance department for resolution.

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