Amacom - Modern Project Management (Ocr) - 2001 ! - (By Laxxuss)

For each cost or labor transaction to be entered into

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Unformatted text preview: both laborers and their managers to charge work for a given work package to another work package if the charges to the given work package begin to exceed the budget for the package. The thinking here is that the deficit labor-hours can be made up on this other package to which they are charging, and project management will never be the wiser. While this sometimes occurs, often the deficit is just being rolled forward. It often occurs on large projects that project management is kept in the dark for months or even years about the productivity problems that exist on the project. For this reason, project management often relies on a system of independent audits of labor reporting to ensure that labor reporting is being conducted accurately. For each cost or labor transaction to be entered into the database, the work package ID is entered first (into the Package ID field). Then the Cost Account to which the transaction applies is entered. This identifies the cost account in the work package to which this transaction applies. The first field of cost/labor transactions is an automatically assigned transaction number . You are not allowed to enter anything in the first field; the Modern Project system does this for you automatically. The Transaction Date, which is the next field to be entered, usually refers to the date the cost was incurred, but it could refer to the date it was paid or to the date the expenditure was recorded (e.g., the date timesheets were recorded) for labor-hour expenditures. The policy for which dates to use for which types of Cost/Labor transactions is something that is set by project management and should be implemented uniformly, as Cost/Labor transactions are entered during the lifetime of the project. The Transaction Type is an identifier that is used to identify transactions on the Cost Transaction Listing report, which is ex - plained in the next section. Actual expenditure transactions (another commonly used name for Cost/Labor transactions) are usually labeled labor transactions or journal vouchers or material invoices or equipment invoices or some other identifying category of expenditure transaction. This labeling of actual expenditure transactions is often helpful at a later date in tracking down transaction errors. If the transaction is a labor-hour expenditure transaction, the number of labor- hours expended for this transaction needs to be entered. Other cost expenditure transactions may not have labor-hour expenditures. There are also fields for entering a textual description of the transaction, a purchase order number if appropriate, and a reference identifier . The reference identifier is any identifier that will later help to identify the transaction, such as an invoice number. Figure 3- 2 lists some actual expenditure transactions for you to enter for the example project. 3.2— Cost Reports Figure 3-3 shows the Cost Transaction Listing report. It is simply a listing of all the actual expenditure transactions in the data- Figure 3-2. Example expenditure transactions. Figure 3-3. Cost Transaction Listing....
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This note was uploaded on 01/11/2011 for the course ACC 9 taught by Professor Yeetan during the Spring '10 term at Sunway University College.

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