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Let me know, if I get you right. You changed the 'Fiscal Dimension' to be of type 'Time' in BMM, but still the 'Fiscal Dimension' from Essbase in your physical layer is of type 'Other'.
So, your question is, If this is the way it works?
I would say, Yes. Dimension type, 'Time', is something that is tagged in OBIEE BMM to make some time series functions available on this dimension in OBIEE. However, that does not mean that the underlying physical database too should tag it as time dimension.
In Short, physical layer just kind of replicates the physical schema, it is in the BMM where we set up our business logic, for example identifying 'Fiscal Dimension' to be of time here.
Now, you might want to know, why in the physical layer, the fiscal dimension is of type 'Other'. Just because, it was not tagged as of period dimension type in Essbase.
Hope I was clear and helps.