It is very difficult job to calculate the cost of employees / consultant who is working on the projects and find out the margins on each invoice to the customer monthly, quarterly or half yearly or may be yearly. OpenERP is giving you a control over such situation where you can have everything in your hand to view and control over your margins.
OpenERP 7.0 made it very simple and easy to manage the costing / margin for projects through contract, it also supply automatic monthly invoicing to customer but that I will show you in future post. Here i would like to show you to manage the cost center using contract.
In order to have invoicing functionality you should enable the open “Allow invoicing based on time-sheets under Settings/Human Resource, once you enable you should get Employee Time-sheet in Human Resource and Contract enabled under the Sales Application.
Lets create a contract or you can have the same functionalists on Project Issue or Project Task, I am taking contract as it will be easy to understand.
Now, allow your employee to do an entry on the contract which is Word Plugin. So employee will fill daily time-sheet and cost the related contract / project. Lets do some time-sheet entry
As and when required, you can review the contract and prepare an invoice based on the time spent for that contract, of course you contract should allow you to do invoicing based on the time spent. You can configure that under Invoicing section “On Timesheet” on contract.
In order to review your cost and margin for the contract visit contract and click on the Costs and Revenues button. You can task it as below by month by journal will give you monthly cost and revenue. Here is this case Timesheet is showing the cost and Sales is showing the Income.
You can go the video below to understand full flow of the configuration and cost analysis.