PPI Repository

Labor Cost and Total Cost Ratio

\mathit{LCTCR}\mathit{^{\times}}(a)

\mathit{\times} \in \{\mathit{sgl}, \mathit{sum}\}

Dimension:

Cost

Granularity:

Activity

Description

Ratio between the labor cost associated with all instantiations of an activity in the event log, and the total cost associated with all instantiations of an activity in the event log.

Potential use

Event log in which both labor and total cost information are recorded.

Assumptions

Minimizing the cost associated with human resources is desirable.

Desired Value:

MINIMIZE

Required attributes

act
actinst
lc
tc
type

Equations

Formula for practitioners

$\frac{\mathit{LC}(a)}{\mathit{TC}(a)}$

$\mathit{LC}(a)$ returns the total labor cost of activity $a$ .
$\mathit{TC}(a)$ returns the total cost of activity $a$ .

Formal Definition

$\frac{\mathit{LC}\mathit{^{\times}}(a)}{\mathit{TC}\mathit{^{\times}}(a)}$
The $\mathit{\times}$ indicates that the PPI can take multiple forms, in this case, $\mathit{\times} \in \{\mathit{sgl}, \mathit{sum}\}$ . If $\mathit{\times} = \mathit{sgl}$ , then the function considers single events of activity instances for cost calculations, i.e., it uses $\mathit{LC}\mathit{^{sgl}}$ and $\mathit{TC}\mathit{^{sgl}}$ ; if $\mathit{\times} = \mathit{sum}$ , then the function considers the sum of all events of activity instances for cost calculations, i.e., it uses $\mathit{LC}\mathit{^{sum}}$ and $\mathit{TC}\mathit{^{sum}}$ .

Python implementation

This indicator is implemented in the process_performance_indicators Python library.

process_performance_indicators.indicators.cost.activities.labor_cost_and_total_cost_ratio

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