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author's profile photo Former Member
Former Member

Assessments with activity types using different UOM

Hi,

If we would like to run assessments with receiver tracing factors of activity types with different UOM, how does the system treat the activity quantities with different UOM?

For example :-

Costs to be allocated : $10,000

Receiver cost center R1 has 3 activity types :-

Activity A with UOM of hours and with 20 quantity

Activity B with UOM of minutes and with 30 quantity

Activity C with UOM of seconds and with 40 quantity

Receiver cost center R2 has 2 activity types :-

Activity A with UOM of hours and with 10 quantity

Activity B with UOM of minutes and with 5 quantity

Assessment configuration has the following set up as the receiver tracing factor :-

Variable portion Type :- Actual Activity

Activity types From A to C

In the above example obviously the quantity values of 20, 30, 40, 10 and 5 are not all the same since the UOM is different. Hence during assessment the system cannot treat these quantities as the same like this :-

Cost center R1 = 90/105

Cost center R2 = 15/105

The above will be wrong to sum up all the quantities with different UOM as a one lump figure. Rightfully all the quantities must be converted to seconds UOM so that we can come up with the correct ratio to allocate.

I know for KSII actual activity price calculation we have an option to specify the equivalence numbers as the weightage for activity types with different UOM. However for assessments there is no concept of equivalence numbers.

Hence may i know how the system will handle the above situation to allocate the costs properly?

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  • author's profile photo Former Member
    Former Member
    Posted on Nov 09, 2012 at 09:07 AM

    Hi,

    I have tested this and looks like the system will sum up the actual activity quantity regardless of different UOM, as though they belong to same UOM. This is a very weird design

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