Problem
You saw an option in the Timekeeping System (TKS) mapping to assign different proportional cost rates and wondered:
“If I pay someone at 20% of the normal rate, why can’t I reduce their hours for RevPOLU / PMI?”
Explanation
In PMI, hours and cost are handled separately:
- Hours represent actual worked time and are used in productivity KPIs like RevPOLU.
- Cost rates in TKS mapping adjust how labor cost is calculated — they do not affect the number of hours used in productivity metrics.
So even if someone is paid at a reduced rate (e.g., 20%), you should still log all hours worked. Their cost will be calculated correctly based on the proportional rate you set in TKS mapping.
This ensures:
- Productivity measurements remain accurate, and
- Labor cost reflects the actual pay arrangement.
Key point
TKS proportional cost values only affect cost calculation, not the hours logged for productivity metrics.
