Introduction
The Project Profitability Report in Empress is an excellent tool for business leaders who wish to gain a comprehensive understanding of the profitability of their projects and the efficiency of their workforce. This easy-to-use feature uses data drawn from employee timesheets to generate a detailed analysis of each project’s profitability.
How to Access the Project Profitability Report
To check out the Project Profitability Report, simply follow these steps:
- Go to Home on your Empress dashboard.
- Click on the Projects tab.
- From there, select the Reports option.
- Finally, choose Project Profitability from the dropdown menu.
Interpreting the Project Profitability Report
The Project Profitability Report consists of three key elements:
- Timesheet: This displays the total hours that an employee has worked, as recorded in their individual timesheet.
- Salary Slip: Based on the data from the timesheet, Empress generates a salary slip for each employee.
- Sales Invoice: Empress also uses the timesheet data to generate a sales invoice.
By combining these elements, the report provides a comprehensive visual overview of your project’s profitability.
Calculations Used in the Project Profitability Report
Employee Utilization
Empress calculates an employee’s utilization by taking the total billed hours from their timesheet, the number of working days from their salary slip, and the standard working hours, as defined in the HR Settings.
The calculation for Utilization is as follows:
Utilization = Total Billed Hours / (Working Days * Standard Working Hours)
Project Profit
The profit of a project is determined by taking the gross pay from the salary slip, the grand total from the sales invoice, and the calculated Utilization.
The calculation for Profit is as follows:
Profit = Grand Total - Gross Pay * Utilization
Fractional Cost
The fractional cost is calculated using the gross pay from the salary slip and the calculated Utilization.
The calculation for Fractional Cost is as follows:
Fractional Cost = Gross Pay * Utilization
Conclusion: Enhancing Business Processes with the Project Profitability Report
The Empress Project Profitability Report is an invaluable tool for business leaders seeking to optimize their project management and employee utilization. With a clear understanding of your project’s profitability and your workforce’s utilization, you can make data-driven decisions that will drive your business forward.
For further assistance with this feature, or for more information on how Empress can enhance your business operations, please refer to our range of user-friendly resources available online.