How to work with labor cost
Summary
There are different ways to work with labor cost in PMI R&P. The rate will always be displayed in the Cockpit and the box where it is displayed can either be opened for editting or closed, depending on the settings selected. We differentiate between Current Rate (Live forecast rate), Forecasted Rate and Budgeted Rate.
The calculation of this rate is either done inside or outside of PMI, this is a choice in the Cockpit settings and in the Upload section.
Intended Users
This function is used by financial controllers and perhaps department heads (Cockpit owners). You need the correct user rights to be able to add, edit or upload rate or total labor cost.
Instructions
There are 2 ways to handle labor cost in PMI R&P.
- Rates – if this option (default) is chosen you will need to calculate the average labor cost outside of PMI both for budget, forecast and actual (past month) rate. You will then add the budget and forecast directly into Budget & forecast module and actual rate is only possible to update either in each cockpit in the Current Rate box or via the Upload Module.
- Total Labor Cost – if this option is chosen you will enter total labor cost in the Budget & forecast module for each cockpit. In the cockpit the Budget & forecast boxes will be locked for editing. In the Budget & Forecast module you are able to hover over the Total Labor Cost entry to see the rate thats has been calculated by dividing the total labor cost with the budgeted or forecasted hours. If you change the hours the total labor cost will change accordingly. Live Forecast Rates for past month is calculated automatically from the rate in the Current Rate box in the Cockpit. You can Upload ACTUAL Labor Cost for past month. You can edit directly in the Budget & Forecast module by clicking the calculator in front of the hand to manually add Total Labor Cost. In the cockpit the Current Rate will then be locked for editing.
Current rate in the cockpit will automatically update with forecasted rate when a new forecast is entered. This will only affect future months. Past months will not change if, by mistake, forecasted rate is changed.
Tools
In Cockpit Settings you choose if you want to work with Rates or Total Labor Cost. The setting affects the view in the Budget & forecast module.
Troubleshooting tips
This section provides additional troubleshooting advice for readers experiencing specific issues. While it’s packed with useful insights, you may skip it if you’re not facing any related problems.
Why is the hours total different in the table and the graph?
The difference in hours comes down to the type of forecast being displayed:
- Management Forecast (Table): This is the forecast set manually by management, based on their expectations and strategic goals. It reflects planned hours to meet operational needs.
- SMART Forecast (Yellow Bar in Graph): Generated by PMI’s SMART system, this forecast uses machine learning and historical data to provide a dynamic suggestion. It factors in monthly productivity goals and current hotel activity.
The variation between these two forecasts highlights the difference between static planning (Management Forecast) and data-driven predictions (SMART Forecast). Use this insight to adjust plans as needed for better alignment with real-time performance and goals.
Understanding the Scheduled Horizon and Graph Lines
In legacy tables and schedules, the Scheduled Horizon is marked between the vertical red “Today” line and the vertical dashed green “Scheduled Horizon” line. Beyond the green line, users can manually input scheduled hours. If the schedule doesn’t extend that far, PMI can auto-generate a SMART forecast. In the Day-to-Day (labor graph) the Scheduled Horizon is displayed as a vertical dashed green line, while the “Today” date is shown as a vertical dotted black line.
Scheduled Horizon Misunderstanding
The Scheduled Horizon setting often leads to confusion. Adjusting it does not affect the import of hours from your Timekeeping System (TKS). It only determines how far into the future you can view data. If you’re missing data, the issue likely lies with TKS data or mapping settings, not the Scheduled Horizon. There are visual differences in the appearance of the Today and Scheduled Horizon lines, as described below:
Cockpit View:
- Day-to-day graph:
- Black dotted vertical line: represents today’s date (Today Line).
- Green dashed vertical line: marks the end of the Scheduled Horizon.
- Cockpit Table:
- Horizontal red line: indicates today.
- Horizontal green line: shows the end of the Scheduled Horizon.
Schedule View:
- Vertical red line: represents today’s date (Today Line).
- Vertical green dashed line: shows the end of the Scheduled Horizon.
Links:
Providing context for better insights
Issue: Users ask broad questions like “Where is my data?” or “What do these figures tell you about my productivity?”without providing sufficient context or visual input.
If you're unsure why specific data or insights aren't displaying as expected, ensure your query includes enough context. You can also use the Query Library, which offers premade queries tailored to common needs—screenshots are automatically added when required for these queries.
For custom queries, consider taking a screenshot of the relevant data or view by clicking the camera icon. Providing clear context or visuals helps the AI analyze your data more effectively and deliver accurate responses.
Modifying “Other hours” via Data upload center
Yes, "Other Hours" can be modified using the Data upload center in PMI. However, understanding the difference between "Other hours" and "TKS hours" is crucial:
- TKS Hours: These are hours imported directly from your external Timekeeping System (TKS). They represent scheduled or actual hours recorded externally and synced with PMI. These hours cannot be edited directly in PMI.
- Other Hours: These are manually added hours or hours not imported via TKS, such as outsourced labor or specific tasks. These can be adjusted directly in PMI, including through the Data Upload Center.
Steps to Modify "Other Hours"
- Go to the Data Upload Center in PMI.
- Select the appropriate template for labor data upload.
- Input the correct department, date, and "Other Hours" values.
- Upload the file and verify changes in the Labor Cockpit.
For more details, refer to the Daily Routines in Labor Cockpit guide.
Low SMART Hours?
If your cockpit displays unexpectedly low SMART hours, the most common cause is that the Productivity forecast is set too high.
Why This Happens:
- The SMART forecast is calculated by dividing the primary cost driver forecast by the Productivity forecast. When the Productivity forecast is inflated, the resulting SMART hours decrease.
What to Do:
- Review the Productivity Forecast: Check that the forecast value accurately reflects realistic performance targets.
- Adjust and Recalculate: Modify the forecast if necessary and recalculate the SMART hours to see the updated totals.
For more detailed steps, refer to our SMART cockpit guide.
Key Notes for Adjusting Min/Max Settings
- Effect of Changes: Changes to Min/Max settings will impact the current year and all future years but will not apply to past years.
- Global Application: Adjustments to Min/Max hours are applied globally to the selected year, not on a month-by-month basis. Always ensure the correct year is selected before making changes.
Incorrect codes in TKS
Make sure the correct codes have been used in your TKS. If the hours are still not correct after the next import, there may be an error in the mapping – please contact your controller who will make the necessary changes.
Inability to edit data for a specific period
A "frozen" screen issue could be related to period locking. This would result in an inability to make any modifications to schedules, reports, or other entries for a specific period.
- Check the Period Locking Settings: This issue is often related to the period locking feature in the PMI system. When a period is locked, it prevents any changes from being made for that time frame. Check the period locking settings for the specific month to see if it has been mistakenly set to close.
- Unlock the Period: If the period for the specific month is locked, you will need to unlock it. This can be done by accessing the period locking settings in the PMI system. Double click on the padlock icon for the specific month to unlock the period. Note that you may need administrative rights to do this.
- Contact PMI Support: If the issue persists even after unlocking the period, or if you are unable to unlock the period due to lack of permissions, contact the PMI support team for further assistance.
Adjusting decimal precision in the labor cockpit table
If you're having trouble manually entering decimal precision in the cockpit table, please review the settings in the Tools menu:
- Open Tools Menu: In the PMI Labor Cockpit, navigate to the Tools menu 1 .
- Access Settings: Click on "Settings" within the Tools menu 1 .
- Change Decimal Precision: Find the option for setting the number of decimals for hours. Adjust to your preference.
- Save Changes: Confirm and save your changes.
- Check Changes: Return to the Labor Cockpit to ensure your changes have been applied correctly.
If the issues persist, consider reaching out to PMI support for further assistance.