Hi. In this video, I will show you how to add and edit labor information located in the Expenses view.

IT Finance teams and budget owners often spend too much time and effort around accurately planning for headcount, and which is often tracked in a separate application.

From the Labor tab, you can:

• Identify the total impact of the headcount needs on your budget
• Review the allocation of planned and existing headcount spend
• Review how adjustments impact the overall plan and sync with business priorities

To get to the Expenses view, select the desired Cost Object category in the Plan section and then the desired Group Cost Object or a specific Cost Object in the Plan sub-section. Note that if you have been assigned as an Owner or Editor to a Group Cost Object, you can edit or import line items to those Group Cost Objects rather than editing the child Cost Objects individually.

As an Owner, you can edit or import line items including External Line Items for all Cost Objects in an Open plan. As a user with edit permissions, you can navigate to a Group Cost Object and select the Edit button to enable group editing. Editing a Group Cost Object will edit the latest in-progress version of the child Cost Object. If no in-progress version is available, a new version will be created. Selecting Submit Changes when in group edit mode will submit all in-progress versions within that group.

Moving on, once you have the specific department selected, click Expenses.

The Expenses view is where all the direct costs are recorded. The first page displayed is the Summary tab. The Summary tab gives you a view of all the direct costs. If you have Project Financial Planning, or PFP, configured, Budget Owner can view the costs delegated from a Project Owner. These costs could have originated in a project but were since delegated back to a Department or Service once the project was completed. Delegated costs show up in the responsible Department budgets in the correct periods, along with the originating project information.

The Other tab allows you to view all other expenses that need to be captured by your organization, and to forecast OpEx and CapEx for your departments, projects, or services. If your company is doing resource planning as well, you’ll see tabs like Labor, Contracts, and Assets, along with the Other tab.

Within the Summary tab, you can filter by OpEx or CapEx, or view KPIs of total OpEx and CapEx budget.

Now, let's click the Labor tab.

In the Labor tab, you can view and forecast headcount for your existing or planned resources.

The Existing tab displays your current labor resources, who are actively incurring labor costs. You use this tab to add or edit the current labor resource details as needed.

The Planned tab enables you to account for anticipated labor costs that you expect from upcoming new hires or engagements.

You can also view the existing and planned labor capacity using the Allocations view. You can review the demand for departmental labor from various projects or services in the Demand tab and use this information and allocate labor to those projects or services.

In the Labor Expense items table, you can provide details about your labor force; calling out whether the employee is internal or external, their location, role, name etc.

You can allocate individual labor line items (existing or planned) to multiple activities (labor resource pools, projects or services) using a percentage of time spent. This is done through the Labor Units Per Month setting from the Company Profile to convert to actual labor units.

You can also get a high-level summary of the headcount from the labor KPIs.

The information displayed here is based on the summarization method selected by your Administrator from the Company Profile.

An Administrator can choose any one of the following summarization methods to display the labor headcount values:

• Average
• Start of Period
• End of Period

Let's walk through how you can add data in the Labor tab.

To add data to this tab, you can either import data or manually fill in each expense item.

Let's manually add an Internal resource expense item for a Role in Seattle on the Planned tab.

Notice that the Quantity field is automatically populated and so is the Base Compensation field with the labor rate, which is configured in the Labor Rates reference data. You can overwrite the base compensation amount if you know that your resources will cost more than the configured amount.

In the Labor Configuration group, you also define labor allocation rules for the GL accounts associated with labor costs.

IT Planning will follow these rules to calculate and spread a labor resource's total cost to the correct GL expense.

Coming back to our expense item, you can edit the headcount, which will update the KPIs and incorporate planned salary increases by specifying the increase in base compensation to start at a specific period in the plan year.

I can see how these updates have affected the total amount I’m spending on my current staff.

I can also make other adjustments, such as entering the end date, if I know an employee is planning to leave the company.

I can see details about the project labor costs that were delegated from a project to a department or service in the Compensation Delegation section.

Note: This section is visible only if PFP is enabled.

Now that you have a high-level view of the Labor tab, let’s take a moment to go through some tips and tricks that you can use for reviewing and editing your budgets.

We have already talked about importing labor data. Now, let's talk about an important prerequisite; Exporting the labor data.

To export the data, click the Actions menu and select Export Labor. This generates a CSV file. You add your data to this document, save it, and then import it to the plan.

This can be used for any of the tables within IT Planning.

You can also see the breakdown of the headcount by Labor dimensions, such as Role, Location, or Vendor and slice by a dimension value to see the headcount trended over time.

You can view the variance between plans or versions of a plan using the waterfall chart.

That’s a quick introduction to entering and editing labor data in your budget. Thanks for watching!