Page 12 - Participant Guide - Unanet GovCon Analyzing Project Metrics

LESSON 2: PROJECT SETUP

Learning Objectives

Describe project setup that impacts project metrics for revenue and profitability
• Describe project setup for billing types
• Describe project setup to manage and report on budgets

Introduction
The calculations that Unanet uses to determine revenue and profitability are
determined, in part, by the project’s Billing Type. There are four billing types provided in
the system.

Calculating Revenue by Billing Types

Revenue on a project is calculated by the billing type of the project/task. However, there
is a setting on the project/task that can limit the calculated revenue by the funded value
field on the project/task.

Review the information below to better understand revenue calculations by billing type

• Time & Material (TM): TM revenue for labor is calculated by the bill rate
multiplied by the hours. TM revenue for expenses is calculated by the direct
cost of the expense multiplied by any associated markup %.

• Cost Plus (CP): CP revenue is a calculation of the direct costs, indirect costs
and any associated fees for both labor and expense.

• Fixed Price (FP): FP revenue is calculated strictly by the configuration of the
billing schedule on the project.

Calculating Profitability by Billing Types
In general terms, profit on a project is calculated by dividing revenue into the (revenue
minus burdened costs).

All costs are collected through various transactions created in the system. Depending
on the criteria selected in a report that shows profit, costs may be found in one of a few
locations.
• When reporting on Plans, the cost source for labor is the hours in the people
plans and direct cost entries in the expense plans.

Lesson 2: Project Setup
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