Sum fully burdened cost for all employees and TBH and slice by any dimension

Description

This requirement specifies that the workforce planning tool should show a detailed summation of all costs associated with employees broken down by subtotals, then show a full total that can be viewed by any dimension. This allows departments, product groups and so on to understand the full picture of their employee costs.

Example Use Case

Scenario: A global organization uses CPM software for strategic workforce planning. It seeks to understand the fully burdened cost of its entire workforce, including potential hires, and break it down by different dimensions such as department, location, and job role.

Solution: The CPM software sums the fully burdened cost of each employee considering factors like salary, benefits, taxes, and overhead costs. Future hires are accounted for in the To Be Hired (TBH) category. It then slices the data by the chosen dimensions. This granular breakdown allows leadership to understand cost distribution and aids in informed strategic decision making.

Considerations

Most tools that offer workforce planning will sum up the employee burden into a salary account for a specific month, but that is all. Not all tools offer an interface that shows each sum (benefits, salary, tax) subtotaled for the user. Without this feature, it makes it difficult to model out different hiring scenarios based on region. For example, what if you wanted to model hiring in California vs Colorado? You would want to place these potential hires side by side, see the tax and salary implications, and decide. Without a detailed breakdown of individual burden costs, that model would be impossible to create.

Questions to Ask a Vendor

• Calculation Capabilities: How does your software accurately calculate the fully burdened cost of all employees, including benefits, taxes, and overheads? How does it handle the TBH workforce?
• Comparisons: How can we model different hiring scenarios to determine the most cost-effective hiring plan for the business, considering the full employee burden?
• New Hire vs TBH: If we wanted to plan a relocation of our offices, could we compare TBH with existing hires?