Salary Roll-Up Metric
From OrgChart.net
A Salary Rollup Metric summarizes employee salary expense by company, department or division. It is usually reported separately for employees and contractors and is usually further divided into direct salary, employee bonus and other forms of compensation that contribute to total earnings.
The cost of human capital is typically the largest sole expense for most companies, and in turn, management needs to have access and visibility into employee earnings and compensation commitments. Salary Rollup Metrics form the basis of many other calculations, such as cost to manage employees, performance to plan, product line profitability and many others.
Salary Rollup Metrics are usually determined by separating full-time employees and contractor positions. By visualizing the separate costs of both types of employees, executive management can understand the costs of both the permanent and contingent workforce.
The Salary Roll-up metric usually includes more than just salary. It also often contains bonuses, paid vacation and sick leave, and stock options. These costs have to be accounted for to understand the full compensation level of employees. An org chart makes analyzing workforce costs by manager or department or alternately by function or location, a piece of cake. With the click of a mouse, display the information you want and create reports to use in decision making.
