Is the activity resource-driving if it is leveled?

Im not an expert with resource leveling. I think you are referring to whether the "driving" checkbox in the "cost tab" must be selected if you want to level the resources for the schedule, including the ones in that activity.

Can somebody provide a little more focus on this? Or am I overcomplicating the question?

Hi sum and Mike

First of all leveling is done when one or more resource is excessively required but not continuously. I think we have to make resource driven / specify available limits so that P3 can reschedule the non critical activities within the allowable lag respecting their relationship.

Hope my understanding is right though I have not practically done it.