The “Employment Cost Factors” sheet is used to specify the values for each of the cost factors that drive each machine record’s estimated cost and charge rate calculations.

The values specified in the Employment Cost Factor sheet are the variables that drive the cost calculations for each component of the cost breakdown structure (CBS).

The values specified here are automatically transmitted to the MECE calculations sheet where each CBS component’s cost for every Machine Record is calculated.

Note that the overhead allocation cost factor values for those machines whose Cost Recovery Method is “Non-Pay”, are automatically set to ZERO. This is because their cost for the Rate Period contributes to overhead, which in turn is allocated to other machines whose Cost Recovery Method is “Charge Rate”.

The Employment Cost Factors sheet is a custom Excel table. Its contents can be filtered to display only those Machine Records of interest. Sorting is prohibited because of the architecture of Ironworks ECM.

To make it easy to edit the estimated cost of employment of an individual machine, you can instantly navigate from the “M-E-C-E calculation” sheet, to the corresponding cost factor in the “Employment Cost Factors” sheet, by right-mouse-clicking on any cost factor.

Likewise, you can navigate from the “Fleet Employment Cost Summary” sheet, to the “Employment Cost Factors” sheet, by right-mouse-clicking on any total cost or charge rate cell.

Tips #

• Filter the Machine Records to display like makes and models (e.g., Cat, 815F) and then specify repair and overhaul cost factor values that reflect each machine’s mechanical condition.
• Filter the Machine Records to display groups of machines by location tags (e.g., Southwest District) and then specify operation cost factor values that reflect field conditions in those locations.
• Specify values for all CBS Cost Components for all machine records whose employment case may change, or that you want to play “what-if” games with. This way the cost of any employment case can be calculated.
  For example, specify values for rent, lease, and depreciation costs so you can test which custody type results in the lowest charge rate by just changing the custody type designation.