We have a requirement for some of our branches to “charge” over-time on jobs when an employee in that job is in over time.
(Again we do Lot Cost Average and a new Lot per piece so it ends up recording “Actual” costs on each piece)
We have some creative ideas, but you folks are great at coming up with creative solutions. So… can you be like this lady?
off the top of my head I could see setting up an overtime employee(potentially for each employee that could work overtime and has a different costing rate), that is tied to an overtime resource group with a different rate. And when the employee is in overtime have them clock into jobs with that one instead of their normal one…
I don’t like putting this on the employee but I am not sure a systematic way is easy or feasible and therefore not cost effective.
Going from memory, but we had a requirement in Germany to charge different rates based on the actual time of day. This just couldn’t be done in Epicor but we discovered Time Type that could be selected and that would change the rate charged to the project. You need the Advanced Billing option to use it. Might work out for you.
I’m playing with it, this only works for “Project Jobs”, however it appears I can select a Role Code (with a Rate) and a Production job… playing with that now.
So it appears that Roles can carry a rate both in the Employee Record as well as the Role Itself. And within Time and Expense Entry I can select a Role when entering Labor Detail.
However it appears that it isn’t affecting the reported labor on the job… (still investigating… anyone have ideas about this setup)?
Interesting so that setup works only for Project Jobs as @Mark_Wonsil mentioned, however I played with a very simple BPM that changes the Role Code and Labor Rate based on the role code and it appears that Epicor allows that override to persist and flow through properly if I just fill in the field via BPM.
So this is definitely an option when they go to report labor we could lookup “IF” they meet overtime-criteria and then swap the ROLE code on the fly via BPM.
@josecgomez how are you applying the increased cost? Will the increased cost only be applied in full once an employee hits 40 hours? Is this to account for pre-determined OT schedule? Or is it ad-hoc? For Simplicity sake lets say we have a base rate of $10 and an OT rate of $15. A 45 hour week has a blended hourly rate of (400+60)/45=$10.23.
If you are doing this to capture closer actual total direct labor costs to a job would you want that distributed across the entire period and not just lumped on at the end (of the day or week).
We are STD cost so it is easier to look at variances and true them up at the end.
But you are doing Lot Cost Avg. And with that I would think you would also want to do a blended average direct cost for the labor rate. Something you make in the beginning of the period will look normal where something at the end of the period will get all of the OT hit.
Thanks Eric yes we are still internally discussing what OT even means. They just sometimes throw stuff out and then when you start asking questions and raising potential issues it gets complicated. We are trying to capture closer to “actual” direct costs for a job as you state and what you said makes sense we’ve raised it as an issue let’s see where it goes.
The whole question of what is OT is a good one too, is it 40+ hours? or is it 8+ hours per day? And what happens if you work 2 jobs in a day one for 6 hours and one for 3, does that mean the second job is way more expensive, how is that the “fault” of that particular job / customer if we had done them in reverse order?
It depends what state you are in. Have you ever had to comply with California’s overtime laws? You have to take into account how many hours they have worked today, this week, AND how many consecutive days they have worked.
Good thing you have plants all across the US and Intl @josecgomez this will be a breeze! At least you aren’t collecting direct labor at all of the nose picker sites
I was literally about to ask @josecgomez if this is something he feels comfortable moving forward with knowing that it doesn’t seem they intended the UI to allow for it…
Right on, my question wasn’t coming from a place of criticism or doubt, just to be clear. I ask because I learn and base a lot of what I do off of leading professionals like you and others on here. So, if I ever was in a situation where I found a BO could do it, but that it required a BPM to do, I could think back to what you did, or what Mark did, or whomever that person is to get a baseline of what other professionals are doing.