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Load Factor Configuration Guide

Load Factor Configuration Guide

TeamOhana's new Load Factor feature allows you to customize how employee-related costs are calculated across your organization with granular control and precision.

Dhes Gonzales avatar
Written by Dhes Gonzales
Updated over 4 months ago

Overview

What is Load Factor? Load Factor represents the additional costs beyond base compensation for any cohort of employees, expressed as a percentage. TeamOhana now allows you to create specific rules based on multiple criteria to accurately reflect your organization's true employee costs.

Rule Configuration

Creating Rules

  1. Navigate to Settings > Load Factor Configuration

  2. Click "Add New Rule"

  3. Select your criteria combinations:

    • Location (formerly Pay-zone)

    • Department

    • Employment Type

    • Job Category & Level

    • Compensation Field

Rule States

Rules can exist in three states:

  • Active: Currently applied in calculations.

  • Archived: Temporarily disabled but can be reactivated.

  • Deleted: Permanently removed (cannot be recovered).

Rule Priority

Rules are evaluated based on priority ranking, with higher-priority rules taking precedence when multiple rules match.

How Rules Work

Rule Matching Example

Consider these rules:

Rule

Priority

Criteria

Load Factor

1

Highest

Location A, Dept B

20%

2

Medium

Location A, Dept B,C,D

30%

3

Lowest

Location A,B,C, Dept B,C,D

40%

Default

-

No matches

35%

Conflict Resolution

When multiple rules match an employee's attributes:

  • The system identifies all matching rules

  • Applies the rule with highest priority

  • Falls back to default rule (35%) if no rules match

Best Practices

Rule Management

  • Start with broader rules as lower priorities

  • Place specific rules at higher priorities

  • Regularly review and update rules

  • Archive unused rules instead of deleting them

  • Maintain a reasonable default rule

Performance Considerations

  • Rules are evaluated in real-time

  • Updates to rules immediately affect calculations

  • System automatically optimizes rule processing

Default Configuration

Upon initial setup:

  • System creates basic location-based rules

  • Sets a 0% default load factor

  • Allows immediate customization

Remember that once a rule is deleted, it cannot be recovered, so use the archive function for temporary deactivation.

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