Effective cost management is essential for the success of any project, and understanding the costs associated with resources is a vital component of this process. The cost of resources typically refers to the expenses a company incurs for each resource, primarily comprising their salaries. These costs can be structured as fixed annual salaries or calculated on an hourly basis. However, due to the confidential nature of payroll information, access to this data is often restricted within organizations.
Keka PSA's Cost feature addresses this issue by allowing administrators to monitor the costs associated with each resource that the company utilizes. This functionality provides valuable insights into profit margins, enabling administrators to make informed decisions regarding resource allocation across various projects. By leveraging this feature, you can effectively manage resources, enhance margin efficiency, and ultimately improve the profitability of your projects.
Assigning Costs to Individual Resources
To assign a cost to a resource, begin by selecting "Project" (1) from the left navigation menu. Once in the Project section, click on "Resources" (2) and proceed to the "Cost" (3) tab to access the cost management options.
In the Cost tab, you will see a comprehensive list of resources. To assign a cost to a particular resource, simply click on the "+" icon located next to the resource in the Action section.
In the Add Cost screen, select a Currency from the drop-down menu and specify the Rate Type as either Hourly or Fixed (Annual), depending on what is relevant for the resource. Enter the Rate and establish an Effective Date for this cost. Once you have filled in all the necessary information, click on Save to finalize your settings.
You can assign multiple costs, each with different currencies or rates, to a single resource. Additionally, this screen allows you to edit or remove existing costs as needed. After making the necessary adjustments, be sure to click on Update to save your changes.
Note: It is not possible to assign costs that share both the same currency and the same effective date.
To efficiently add varying costs to multiple resources at once, you can utilize the bulk import feature with an Excel spreadsheet.
In the Cost tab of the Resources section, click on the Down Arrow (1) next to the Add Cost option. From the dropdown menu, select the Import from Excel (2) feature to begin the bulk import process.
In the Resource Cost Values import screen, click on the hyperlink to download the Excel Template (3). After downloading, fill in the required details within the document and then upload it by selecting the Upload Excel File (4) option.
Please note that all columns marked in red are mandatory, so ensure you complete these fields accurately to avoid any issues during the import process.
Upon uploading the Excel sheet, you will encounter two additional tabs.
The first tab, titled "Match Column," allows you to verify that each column aligns correctly with the corresponding information. Should any discrepancies arise, you have the option to disregard the mismatched column, preventing it from appearing in the portal.
The second tab, "Preview Data," enables you to review the data before it is finalized for upload, ensuring accuracy and completeness.
Bulk Assigning Same Costs to Different Resources
To efficiently assign a cost to multiple resources simultaneously, begin by selecting the desired employees and then click on the "Add Cost" button.
In the Add Cost screen, enter the details for Currency, Rate Type, Rate, and Effective Date. Once you have filled in all the required information, click on Save to apply the cost to all selected resources.
Once you have entered all the required cost details, be sure to click on the Update button to save your changes effectively.
Downloading Resource Cost and Margin Reports:
After assigning costs to resources, you can analyze the profit margins for each resource by utilizing the Resource Cost and Margin report. This report provides insights into the financial performance of resources, factoring in rate cards, billable hours, and associated costs.
To access this report, click on "Project" (1) in the left navigation menu. Then, navigate to the "Analytics" (2) tab, where you will find the "Reports" (3) option available for selection.
In the reports section, look for the Resource Management category and locate the Resource and Cost Margin report. Click on it to initiate the download.
In the Resource Cost and Margin download screen, select your desired criteria using the available filters, then click on the Run button (5) to initiate the report download.
This report provides a comprehensive overview of resource financials and profit margins by analyzing rate cards, billable hours, and associated costs.
We hope you found this article helpful! If you have any further questions, please don't hesitate to reach out to our Product Experts for assistance.
To explore further insights into your financial management, including an in-depth look at cost and margin charts, please click here: Deep Dive into Your Finances: Introducing Cost and Margin Charts