Vendor Sheet
SAP Business ByDesign Extension for Labor Dilution
The document describes the Labor Dilution extension for SAP Business ByDesign, which calculates diluted hourly labor rates when salaried employees work beyond standard weekly hours, such as unpaid overtime. The system determines accurate labor costs based on actual hours worked and posts the appropriate journal entries to the general ledger by project. It includes automated workflows that coordinate payroll, controllers, and system processes to manage dilution calculations, approvals, and postings. The solution also performs automated data consistency checks through payroll calendars and precheck reports to identify and resolve data issues before processing. Detailed payroll journals and reporting provide visibility into direct and indirect project costs, ensuring accurate financial tracki