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<ManualTopic ID="/baanerp/ts/onlinemanual/000105" xml:lang="en">
	<Header>
		<Title xmlns:ssa="http://www.ssaglobal.com" xmlns:HTML="http://www.w3.org/TR/REC-html40">Labor rate procedure</Title>
		<Keyword><Level1>Labor rate procedure</Level1>
		</Keyword>
	</Header>
	<GeneralSection><Paragraph>The <Link href="/baanerp/ts/glossary/glossary#LaborRate.ts" role="glossary">labor rates</Link> are specified in labor rate codes. The advantage is that the labor rates can be controlled centrally. This means that if the labor rate is changed, it is changed in every session in which that labor rate is used.</Paragraph>
		<Paragraph>Labor rates are usually specified as hourly rates. At company level, you can set the time unit (other than hour) on which the labor rates are based. Use the <GUIRef href="/baanerp/tc/ibd/tcibd0103m000" role="session">Conversion Factors (tcibd0103m000)</GUIRef> or <GUIRef href="/baanerp/tc/mcs/tcmcs0101m000" role="session">Units (tcmcs0101m000)</GUIRef> session for time units to calculate the labor rate for the specified time.</Paragraph>
		<Paragraph>You can use labor rates to define the labor requirements lines for reference activities and planned activities, or to estimate the cost of activities related to service orders.</Paragraph>
		<Paragraph>Because you can define labor rates at several levels, SSA ERP selects the labor rates in the applicable sessions, as follows:</Paragraph>
		<GeneralSection ID="1"><SectionTitle><GUIRef href="/baanerp/ts/acm/tsacm2120m000" role="Session">Reference Activity - Resource Requirements (tsacm2120m000)</GUIRef></SectionTitle>
			<ProcedureList><ListItem>The labor rate of the task that is linked to the <Link href="/baanerp/ts/glossary/glossary#000405" role="glossary">reference activity</Link>.</ListItem>
				<ListItem>The labor rate that is linked to the reference activity.</ListItem>
				<ListItem>The labor rate of the service center that is linked to the reference activity.</ListItem>
			</ProcedureList>
		</GeneralSection>
		<GeneralSection ID="2"><SectionTitle><GUIRef href="/baanerp/ts/spc/tsspc2111m000" role="Session">Planned Activity - Labor Requirements (tsspc2111m000)</GUIRef></SectionTitle>
			<ProcedureList><ListItem>The labor rate of the task that is linked to the planned activity.</ListItem>
				<ListItem>The labor rate that is linked the planned (reference) activity.</ListItem>
				<ListItem>The labor rate of the skill that is linked to the planned activity.</ListItem>
				<ListItem>The labor rate of the service center that is linked to the planned activity.</ListItem>
			</ProcedureList>
		</GeneralSection>
		<GeneralSection ID="3"><SectionTitle><GUIRef role="session" href="/baanerp/ts/soc/tssoc2130m000">Service Order Estimated Labor Costs (tssoc2130m000)</GUIRef></SectionTitle>
			<Paragraph>You can link labor rates to the labor cost lines of service order quotations. When you copy the quotation to a service order, SSA ERP copies the labor rates of the quotation's estimated labor lines. In all other cases, the Labor Rate remains empty.</Paragraph>
			<Note><SectionTitle>Note</SectionTitle>
				<Paragraph>Estimate is one of the available search path values for actual labor rates in the search path fields of the <GUIRef href="/baanerp/ts/soc/tssoc0100m000" role="session">Service Order Parameters (tssoc0100m000)</GUIRef> session.</Paragraph>
			</Note>
		</GeneralSection>
		<GeneralSection ID="3"><SectionTitle><GUIRef role="session" href="/baanerp/ts/soc/tssoc2131m000">Service Orders Actual Labor Costs (tssoc2131m000)</GUIRef></SectionTitle>
			<Paragraph>In the search path fields of the <GUIRef href="/baanerp/ts/soc/tssoc0100m000" role="session">Service Order Parameters (tssoc0100m000)</GUIRef> session, you can specify a search path that SSA ERP uses to determine the service order's actual labor rates. After you enter the spent labor hours for a service order in the <GUIRef href="/baanerp/bp/tmm/bptmm1130m000" role="session">Service Order Hours (bptmm1130m000)</GUIRef> session, SSA ERP enters the labor rates of the first available search path value.</Paragraph>
			<Note><SectionTitle>Note</SectionTitle>
				<Paragraph>You can change the sales rate for an actual labor cost line manually. However, any changes or additions to the lines in the <GUIRef href="/baanerp/bp/tmm/bptmm1130m000" role="session">Service Order Hours (bptmm1130m000)</GUIRef> session applicable for this line will use the sales rate found considering the search path.</Paragraph>
				<Formula><Figure UserLevel="Novice" UserType="Taskuser"><FigIntro>The following formula will then be used
			 to calculate the new sales rate:</FigIntro>
						<HTML:IMG SRC="../images/tr_graph_formulalabor.jpg" height="139" width="580" xmlns:ssa="http://www.ssaglobal.com" xmlns:HTML="http://www.w3.org/TR/REC-html40"/></Figure>
				</Formula>
				<Paragraph>If the new total quantity is zero, the total sales amount will also be zero. If the calculation of the new total sales amount results in a negative amount, the amount will be zero.</Paragraph>
			</Note>
		</GeneralSection>
	</GeneralSection>
	<Note><SectionTitle>Note</SectionTitle>
		<List><ListIntro>If no labor rate is found for any of the search path values, SSA ERP enters the following in the <GUIRef href="/baanerp/ts/soc/tssoc2131m000" role="session">Service Orders Actual Labor Costs (tssoc2131m000)</GUIRef> session:</ListIntro>
			<ListItem>Zero (0) for the service order's labor sales rate.</ListItem>
			<ListItem>The employee's labor rate for the service order's labor cost rate.</ListItem>
		</List>
	</Note>
</ManualTopic>
