Pr oj ec t Syst em

1. Organizational Units & Project Cycle

Tabl e of c ont ent s
2. Project Structures
3 Planning and Budgeting
4. Materials and Services
6. Execution
7. Period End Closing
8. Information System
5. Scheduling
Or gani zat i onal Uni t s & Pr oj ec t Cyc l e
SAP Modul ar St r uc t ur e: Over vi ew
Sales &
Distribution
SD
MM
PP
QM
PM
HR
FI
CO
AM
PS
IM
IS
Materials
Mgmt.
Product
Planning
Quality
Mgmt.
Plant Maint.
Human
Resources
Financial
Accounting
Controlling
Fixed Asset
Mgmt.
Project
System
Investment
Mgt.
Industry
Solutions
R3 R3
FINANCE
LOGISTICS
HUMAN RESOURCES
Client/Server
ABAP/4
Client/Server
ABAP/4
-
Project
System
PS
-
-
Phase 2
Detailed
Engineering
Phase 3
Procurement
Phase 4
Construction
Phase 6
Close out
Phase 5
Commissioning &
Start-up
Phase 1
Idea Generation
To Concept
Approval & Basic design
Idea initiation.
Idea screening.
Concept design
Concept approval.
Idea initiation.
Idea screening.
Concept design
Concept approval.
Detailed Design.
Engineering Pkg.
Procurement Pkg.
Construction Pkg.
Detailed Design.
Engineering Pkg.
Procurement Pkg.
Construction Pkg.
Procurement.
Materials.
Services.
Procurement.
Materials.
Services.
Installation.
Pre-commissioning.
Turn-over to owner.
Installation.
Pre-commissioning.
Turn-over to owner.
Commissing
& Startup plan.
Training.
Pre-startup
Commissing
& Startup plan.
Training.
Pre-startup
Project close out
.
Project close out
.
Fund approval
Fund approval
Development
Development
IMA11 Create AR
IMA11 Plan AR Costs
IMA11 Status Chg
IMA11 Create Proj Def
CJ20N Create Proj Structure
CJ20N Plan Ph 1-6 WBS
IM52 Distribute Full Budget
CN25 Enter Confirmation
ME21N Create POs
CN25 Enter Time Confs
ML81 Service Entry
CJ20N Schedule Network
CN25 Enter Time Confs
ML81 Service Entry
CJ20N Plan Resources
CN25 Enter Time Confs
ML81 Service Entry
CJ20N TECO WBSs
CJ88 Final Settlement
CJ20N Close Project
Pr oj ec t Ex ec ut i on Pr oc edur e
Execution
Execution
I M
I M
Inv. Prog
Investment Positions
Approval
Budgeting
Detailed Engineering
Settlement &
Capitalisation
Fiscal Year
Change
Master Data
Planning
Idea
Appropriation
Request
Investment
Measure
Sequenc e of Event s i n Pr oj ec t s
Pre-Investment
Business Planning
Procurement
Construction
PS
PS
I M
I M
Investment Program
Investment Position Investment Position Investment Position
Appropriation
Request
Budget 110
Distributed 110
Budget 80 Budget 20
Budget 10
I M / PS Over vi ew Ani mat i on
Distributed 80 Distributed
Distributed
Plan 100
Plan 130
Plan 100 Plan 20
Plan 10
Investment Measure
Plan Ver 0 100
Budget 80
PS
PS
Project
Required
Budget
Approval
Depreciation
Simulation
Asset Class
Cost Center
CO
CO
Plan
AUC
Asset 1
Asset 2
FI-AA
FI-AA
Settlement
Settlement
FI
FI MM
MM
PM
PM
ACTUAL VALUES
Actual
Project
I M
I M
Investment Position
PS I nt egr at i on Poi nt s Ani mat i on
Cost Center
CO
CO
Actual / Plan
Investment Measure /
Appropriation Request
WBS 1.1
PS
PS
FI
FI HR
HR
Settlement
AUC
Asset 1
Asset 2
FI-AA
FI-AA
Settlement
Comm
20
Act
40
Assign
20
1000
1100
1200 1300 1600
1400
1700 1500
Plan 100
Plan
100
Distributed 100
Budget 100
PM
PM
System Processing status
CRTD BUDG AVAC REL
MM
MM
Material
PR/PO
Service
PR/PO
Invoice
5Hrs. Conf
60%
40%
Budget
100
Assign
60
Assign
65
Act
45
Pr oj ec t St r uc t ur e
Pr oj ec t Appr oac h
4 Projects are planned and implemented using a phase
approach. These are further summarized as
Development and Execution.
4 Cost planning, budgeting, approval, resource planning
are some of the activities that are done for each phase
separately.
4 Main project is represented under the execution phase
where the planning, budgeting, scheduling is carried
out.
Mast er Dat a i n Pr oj ec t Syst ems
4 Data that is stored in the database for long periods of time
is referred to as master data
4 Accurate master data reduces:
E Creation time for controlling documents
E Amount of errors in the controlling process
Mast er Dat a i n Pr oj ec t Syst ems
Note: ALL CCA MASTER DATA IS MAINTAINED CENTRALLY
WBS elements
Responsibility- oriented
Network / Activities
Process- oriented
13-1
Assignments
WBS elements
and activities
Mast er Dat a c r eat ed i n Pr oj ec t Syst ems
WBS Elements
Work Breakdown Structure
Individual structural element in a work breakdown
structure (WBS) representing the hierarchical
organization of an R/3 project. Describes either a
discrete task or a partial one that can be further
subdivided.
Mast er Dat a c r eat ed i n Pr oj ec t Syst em
Network / Activities
Networks
A network represents the flow of a project or of a task
within a project.
During the life of a project, networks are used as a
basis for planning, analyzing, controlling and monitoring
schedules, dates and resources (such as people,
machines, materials, documents and drawings). You
can assign networks to a project.
A network is a special type of work order that has the
same structure as production orders, maintenance
orders, and inspection orders in the R/3 System.
Mast er Dat a used i n Pr oj ec t Syst ems
Cost Center
Cost Center
The cost center master record represents the main organizational
unit in Controlling. Each department units will have their own Cost
center number. Each department will plan and monitor their yearly
budget / expenditure on their respective cost centers.
Profit
Center
Profit Center
Is an organizational unit in Accounting that reflects a
management-oriented structure of the organization for the
purpose of internal control. Profit Center groups are collections of
Profit centers with similar characteristics.
Activity Types
Activity Types
Activity types define the type of activity that can be provided
by a cost center (work activity, machine hours, and so on).
I M
I M
PS
PS
PS
PS
PM
PM
4Investment
Programs
E Capital
E Expense
4Networks
4Maintenance
Orders
4Appropriation
Requests
I M
I M
Investment
Program
Appropriation
Requests
M/Ord
M/Ord
Over vi ew of Obj ec t s i n PS
Investment Measures
Investment
Positions
Activities
WBS
Elements
WBS
Elements
WBS
Elements
Investment
Projects
4Work Breakdown
Structures
Accounting
Resources
Budgeting Dates
Purchasing
Costs & Revenues
Controlling
Hierarchy of Parts
Complexity & Uniqueness Cross Departmental Planning & Controlling
Pr oj ec t Char ac t er i st i c s
Cont ent s
4 Master Data in Project Systems:
E Work Breakdown Structures
E Networks and Activities
4 Status Control
4 Tools
E Table controls
4 Project Versions
Actual Costs
Basic Dates
Scheduled Dates
Actual Dates
Original Budget
Budget Updates
Release Budgets
Availability Control
Purchase Requisition
Purchase Order
Commitments:
What ar e Wor k Br eak dow n St r uc t ur es used f or ?
Dates:
Budget:
Execution:
WBS Structure
Planned Costs
Planning:
Overheads
Settlement
Earned Value Analysis
Periodic Processing:
Project Definitions
Work Breakdown Structures
WBS Elements
Project Definitions
Pr oj ec t Def i ni t i on and Wor k Br eak dow n St r uc t ur e
Pr oj ec t Def i ni t i on
Project
Numbering
& Coding
Masks
Project
Profile
Responsibilities
Dates
Organisational
Data
Project Definition
Field Requirements
Settings
Numbering
Pr oj ec t Number i ng
V-0691001.00.00.00.00
Approval Year
2006
Project Running
Number
WBS-Structure
Company Code
9100 A Ltd
9200 A1 Ltd
4 System Business Number Logic
E You can tell a lot about a project by its number!
Capital projects
PrjID PrjID
Coding mask Coding mask Description Description Lck Lck LkS LkS
A Grp. Operative Project

- 0000000.00.00.00.00
I
Key
Lock for
operative WBS
Lock for
standard WBS
Coding mask
0 = number
Pr oj ec t Codi ng Mask
V
Control
Field Key
Simulation
Status Profile
Controlling
Planner Profile
Budget Profile
Settlemement Profile

Planning Board / Dates

WBS Scheduling
Planning Board Profile
Hierarchy Graphic

Organization
Controlling Area
Company Code
Business Area
Project Profile
Pr oj ec t Pr of i l e
4 Project Definition
EProject Definition Description
EPerson Responsible
EApplicant number
EPlant
EFinish Dates
Pr oj ec t Fi el d r equi r ement s Pr oj ec t Def i ni t i on
Work Breakdown Structures
Pr oj ec t Def i ni t i on and Wor k Br eak dow n St r uc t ur e
Organisation
&
Responsibilities
Operative
Indicators
Structure
Objects
Documentation
WBS Or gani zat i on and Responsi bi l i t i es Ani mat i on
Profit Center
Person Responsible
Responsible Cost Center
Key
WBS 1.1
WBS 1
WBS 1.2
Company Code
WBS 1.1.1
WBS 1.1.2
WBS 1.2.1
WBS 1.2.2
Project Definition
Oper at i ve I ndi c at or s and At t r i but es
Key
4 Account assignment element
E For posting actual costs
E Network / Maintenance Order
assignments
4 Planning Element
E For planning costs
E Plan/actual cost comparison
WBS 1.2 WBS 1.3 WBS 1.4
WBS 1
Released Partially Rel
Released Released Released Released
Partially Rel
WBS 1.2.1
WBS 1.2.2
WBS 1.4.1
WBS 1.4.2
E
E
WBS St r uc t ur e Obj ec t s
Key
4 Project Milestone 4 Investment Program item
4 PS Text Documents
4 Project Organization
WBS 1.2 WBS 1.4
WBS 1
Partially Rel
Released Released Released Released
Partially Rel
WBS 1.2.1
WBS 1.2.2
WBS 1.4.1
WBS 1.4.2
Partially Rel
Mi l est ones i n WBS
Key
4 For Informational / Reporting Purposes 4 Milestone Trend Analysis
WBS 1.2 WBS 1.4
WBS 1
WBS 1.2.1
WBS 1.2.2
WBS 1.4.1
WBS 1.4.2
approval
Pr oj ec t Doc ument at i on
Key
4 PS Text
E.g.. Word Documents
4 Long Texts
WBS 1.2 WBS 1.4
WBS 1
WBS 1.2.1
WBS 1.2.2
WBS 1.4.1
WBS 1.4.2
W

W
W

1 V-0691001
2 V-0691001.01
3 V-0691001.01.01
3 V-0691001.01.02
2 V-0691001.02 Entries
Goal
Automatic
derivation
1 V-0691001
Hierarchy
level
Key
1 V-0691001.01
1 V-0691001.02
1 V-0691001.01.01
1 V-0691001.01.02
Der i vat i on of t he WBS hi er ar c hy
V-0691001
V-0691001.01 V-0691001.02
V-0691001.01.01 V-0691001.01.02
Pr oj ec t Level s
4 Project Levels:
E Each project must have a single Level 1 WBS
E Allows for ease of reporting at a project level
E Structure below Level 1 is determined by phase and other reporting
requirements
This is an example of a typical project structure
Pr oj ec t Cr eat i on and Mai nt enanc e met hods
4 INDIRECT
E Transfer from Appropriation Requests
E Transfer Simulation
4 PROCEDURE
E Copy a template
E Include (used most commonly)
V-1111111 V-0691001
V-1111111.02
V-1111111.03
V-0691001.02
Template Operative
Templ at es and Wor k Br eak dow n St r uc t ur es
V-0691001.03
I nc l ude Templ at e
Start
Finish
Include
Template
Pr oj ec t Bui l der
Selected
Project
Worklist
&
Templates
Project
Definition
&
Structure
Cont ent s
4 Master Data in Project Systems:
E Work Breakdown Structures
E Networks and Activities
4 Status Control
4 Tools
E Table controls
4 Project Versions
Net w or k s
4 A key step in project planning is determining the sequence in
which the activities will be performed.
4 This involves determining which activities are dependent on
each other and which activities require additional work or must
be broken down even further.
4 In Project Systems, this planning of processes and sequencing
of activities is done using networks.
4 A network consists of a network header and a series of
activities either with relationships and, optionally milestones
Milestone Trend
Analysis
Internal Work
Dates, Capacities
Costs
Dates
Costs
Commitments
Dates
Costs
Commitments
Overheads
Settlement
Dates
Costs
Ac t i vi t i es and Net w or k s - Func t i ons
Internal Activity:
External Activity /
Service:
Material:
Periodic Processing:
Costs Activity:
Milestones:
Network
April
7
Mar
April
Network Header
Network Header
Network
Network Activities
Net w or k Header and Ac t i vi t i es
4 Network Header
EDescription
EMRP Controller
Pr oj ec t Fi el d r equi r ement s Net w or k Header
Ac t i vi t i es and Ac t i vi t y El ement s
4 Reference Dates from Activity
E Start or Finish
4 Activity Elements
E Work
E External
E Costs
E Service
4 Four Types of Activities
E Internal Processing
E External Processing
E Costs, services
E General Cost Activities
Internal External
General
Costs
Service
Logical Sequence Time Sequence
FS Relationship
SS Relationship
FF Relationship
SF Relationship
Rel at i onshi ps
Activity
number
Control
key
Duration
Description
Earliest
finish
Latest
finish
Floats
Relationship
Activity
Days Days Days
Days
Specification Mechanical Layout
Procurement
Electronic Layout
16.02.2000 18.02.2000
06.04.2000 04.04.2000
21.02.2000
07.04.2000 07.07.2000
17.05.2000
21.02.2000
07.07.2000
31.03.2000
24.05.2000
10.07.2000
18.05.2000
28.07.2000
08.06.2000
FS
FS FS
FS
34 34 34
0
34
0
64
30
Net w or k Gr aphi c Det ai l s
WBS 1.4
WBS 1
WBS 1.5 WBS 1.3
Wor k Br eak dow n St r uc t ur es & Net w or k s c ompar ed
1000
1200
5000
Network
WBS 1.3.1 WBS 1.3.2 WBS 1.5.1 WBS 1.5.2
1100
4 WBS
E Cost Control and Reporting
E Reflects Ownership
4 NETWORK
E Work Control
E Reflects Execution
Versus
WBS 1.4
WBS 1
WBS 1.5 WBS 1.3
Ac t i vi t y Assi gnment t o WBS
1000
1200
5000
Network
WBS 1.3.1 WBS 1.3.2 WBS 1.5.1 WBS 1.5.2
1100
4 Date Planning
4 Cost Planning
4 Generating Settlement rules
Di f f er ent w ays of c r eat i ng Net w or k s
4 DIRECT METHODS
E Createnetwork directly
E Create via Project Builder
4 INDIRECT
E Project Planning Board and Simulation
E Create WBS with Activities.
4 PROCEDURE
E Create manually or copy a template
Click here
Drop here
Result
Cr eat i ng a Net w or k Header Ani mat i on
Cr eat i ng Ac t i vi t i es
Click here
Drop here
Result
Cont ent s
4 Master Data in Project Systems:
E Work Breakdown Structures
E Networks and Activities
4 Status Control
4 Tools
E Table controls
4 Project Versions
Syst em St at us and User St at us c ont r ol
CRTD
CRTD CRTD
CRTD CRTD CRTD CRTD
PREL
PREL REL
CRTD REL REL REL
4 What is Status control used for?
E To allow or forbid certain business
transactions.
4 How?
E Status are activated manually or
automatically by the system.
4 Which elements?
E Project definition and WBS
elements are affected.
4 Why system and user status?
E User status adds detail to the
system Status.
Syst em St at uss
SYSTEM STATUS
The following status are set by the system/user as the project goes through
Its different stages:
4 CRTD Created (Automatic)
4 REL Released (Manual)
4 LKD Locked (Manual)
4 UNLK Unlock (Manual)
4 BUDG Project Budgeted (Automatic)
4 AVAC Availability Control Activated (Automatic)
4
User St at us i s Opt i onal (based on Cl i ent r eqt .)
USER STATUS
The following status are set by the user as the project goes through its different
stages:
4 10 Initial
E The appropriation request has this status when it is created
(Automatic).
4 20 A Grp Approval
(Automatic on approval)
Note : User status configuration and usage is totally based on client requirement
and is optional
Syst em St at us (1)
Created (CRTD)
E Use
- Initial system status for new WBS elements
- Allows project structuring, date and cost planning.
- Allows Budgeting
E Prerequisites
- The superior WBS element MUST have status Created
Released (REL)
E Use
- Allows costs and revenues to be posted to the project
- Passed onto lower level WBS elements
E Prerequisites
- Created must have been set
CREATED
RELEASED
.. Cont
Technically Complete (TECO)
E Use
- For projects completed from a technical point of view.
- Allows costs and revenues to be posted to the project.
E Prerequisites
- Created or Released must have been set.
Closed (CLSD)
E Use
- Prevents actual postings.
- Prevents network creation.
E Prerequisites
- Released or Technically complete must have been set.
TECHNICALLY COMPLETE
FLAGGED ELETION FOR D
CLOSED
Deletion Flag (DLFL)
E Use
- Objects are deleted logically, but not physically.
E Prerequisites
- Allowed if all costs have been settled completely.
- Allowed if there are no reservations or commitments.
Syst em St at us (2)
Cont ent s
4 Master Data in Project Systems:
E Work Breakdown Structures
E Networks and Activities
4 Status Control
4 Tools
E Table controls
4 Project Versions
User Spec i f i c Tabl e Cont r ol Set t i ngs
1
2
3
1
2
3
Column Width
User Settings
Click
Here
Move around
Cont ent s
4 Master Data in Project Systems:
E Work Breakdown Structures
E Networks and Activities
4 Status Control
4 Tools
E Table controls
4 Project Versions

Project Version
Simulation Version
CO Plan Version
Can be changed!!!
Project Snapshot
Cant be changed!!!
Versions
Ver si ons i n Pr oj ec t Syst ems
January February March April
O
p
e
r
a
t
i
v
e
Project V-0691001
Version 001
Project V-0691001
Version 002
Si mul at i on
SIM 001 SIM 002 SIM 003
What ar e si mul at i on ver si ons used f or ?
Update
Operative Project
Comparisons
Create
Pl anni ng & Budget i ng
Busi ness Sc enar i o
4 Cost planning is carried out during the planning
phases and is reviewed through reports during
subsequent review.
Pl anni ng ver sus Budget i ng
Planning Budgeting
Cost-oriented (cost elements,
plan versions, period values) ,
Easily changed; line items
created if desired
" FUNDS REQUESTED"
4Funds-oriented (original,
supplements, returns, annual values)
Binding values; line items for
each change
Availability check: Warning at 95%
Error message at 105%
" APPROVED FUNDS"
4
4
4
4
4
No availability check
Aspec t s of Pl anni ng
Dates:
Resources:
Project Structures:
Costs:
Cont ent s
4 WBS Cost Element Planning.
4 Planned Costs in Networks.
4 Budgeting.
4 Commitment Management & Availability Control.
Cost Pl anni ng i n Pr oj ec t s
Cost Element Planning Cost Element Planning
WBS 1.2
WBS 1
WBS 1.3 WBS 1.1
Activity /
Activity /
Network Costing
Network Costing
WBS Cost El ement Pl anni ng
Cont ent s
4 WBS Cost Element Planning.
4 Planned Costs in Networks.
4 Budgeting.
4 Commitment Management & Availability Control.
Net w or k Ac t i vi t i es
Work / Services
performed inhouse
Internal Processing:
Purchasing of work /
services
External Processing:
Planning of additional
primary costs
Costs Activity:
Purchasing of services
with service specifications
Services:
1200
Cost Center
I nt er nal Pr oc essi ng
Work: 500hrs
Output provided to complete activities
Work Center
Organizational unit Where an activity is
carried out or work output is provided.
Scheduling Data
Cost Center Data
Responsible
Persons
1300
Purchasing Group
Ex t er nal Pr oc essi ng
Description
Material Group
Work Performed by a third
party (Vendor)
Price per Unit
Quantity & Unit
Purchase
Order
Vendor 1000
Purchase
Requisition
Bid
Invitation
Quotation
Entry
Vendor
Selection
PO
Processing
Entry of
Services
performed
Good Receipt /
Service Receipt
Invoice
Verfication
PR
Commitments
PO
Committments
Actual
Costs
Cont ent s
4 WBS Cost Element Planning.
4 Planned Costs in Networks.
4 Budgeting.
4 Commitment Management & Availability Control.
Approved
budget
Budget
Top-down
distribution
Budget
applied for
Annual plan value
Bottom-up
extrapolation
1 E 1 E- -1399 1399
2 E 2 E- -1399 1399- -1 1
3 E 3 E- -1399 1399- -1 1- -1 1
3 E 3 E- -1399 1399- -1 1- -2 2
2 E 2 E- -1399 1399- -2 2
. .
. .
. .
O
R
I
G
I
N
A
L
P
L
N
D
T
O
T
A
L
D
I
S
T
R
B
T
Total Total
...
...
...
...
2000 2000
2001 2001
Cost Planning
Cost Budgeting
Cost Pl anni ng and Budget i ng
2002 2001
Budget Values
Budget Updates
Budget i ng Over vi ew
4 Availability Control:
E Against Current
Budget
E Against Budget
Releases
Budget Carryforward Release Budget
Budget Val ues
1 Concept 1 Concept
2 2 Feasability Feasability
3 Plan 3 Plan
4 Design 4 Design
. .
. .
. .
. .
. .
O O
R R
I I
G G
B B
U U
D D
G G
E E
T T
R R
E E
T T
U U
R R
N N
S S
S S
U U
P P
P P
L L
E E
M M
E E
N N
T T
S S
T T
R R
A A
N N
S S
F F
E E
R R
S S
Overall Overall
2001 2001
2002 2002
Years
Structure
Updates Updates
NOTE: Current Budget = OB + Suppl Ret +/- Transfers
Budget Updat es
Budget transfer Budget transfer
I
n

p
r
o
j
e
c
t
I
n

p
r
o
j
e
c
t
Budget supplement Budget supplement
I
n

p
r
o
j
e
c
t

I
n

p
r
o
j
e
c
t

To project To project
Budget return Budget return
I
n

p
r
o
j
e
c
t

I
n

p
r
o
j
e
c
t

From project From project
-100
-100
+100
+- 100
From project From project
WBS: V-06910001
Budget Line Items
Order 400010 Trade Fair
Document Year Activity Amount
Total 2002 3,000
Original Current
Budget Budget
Overall 5,000 7,000
2002 2,000 3,000
2003 3,000 4,000
030000001 2002 Original 2,000
030000200 2002 Supplement 3,000
030000306 2002 Return
NOTE: CB = OB + Suppl Ret +/- Transfers
(2,000)
Budget Management
I M
I M
Budget Updat e Si mul at i on
Investment Program
Investment Position 1 Investment Position 2
WBS 1.1 WBS 1.2
WBS 1.2.1 WBS 1.2.2 WBS 1.1.1 WBS 1.1.2
PS
PS
Project Definition
4 Auto Link level 1 Capital
Project to lowest IM position
E Set IM Original Budget
O.B 300
O.B 100 O.B 200
WBS 1
E Distribute Original Budget
O.B 200
E Allocate Original Budget
O.B 80 O.B 120
O.B 100 O.B 20 O.B 30 O.B 50
ORIGINAL BUDGET
E Supplement IM EUR 50
E Distribute Supplement to PS
E Allocate Budget Supplement
BUDGET SUPPLEMENT C.B 250
C.B 350
C.B 250
C.B 170
E Transfer EUR 30 from WBS
1.2.2 to WBS 1.2.1
BUDGET TRANSFER
C.B 150 C.B 120 C.B 50
Budget Updates Report
O.B Supp Trn C.B Ret
WBS 1
WBS 1.2
WBS 1.2.1
200
WBS 1.2.2
120
20
100
200
120
20
100 -30
30
50 250
50 170
50 150
50
120
Assignment
150 20
Release
EUR 2 m
Release
EUR 8.0 m
Budget 10m Budget 10m
EUR EUR
EUR
EUR EUR
EUR
EUR
EUR
Rel easi ng t he Budget
Release
EUR 3 m
Add 1 m Add 5 m
Cont ent s
4 WBS Cost Element Planning.
4 Planned Costs in Networks.
4 Budgeting.
4 Commitment Management & Availability Control.
MM
MM
C/Elem Committed Actual Assigned
4000000 6000 5000 11000
WBS Element V-0691001.01
WBS Element V-0691001.01
Purchase Req
Purchase Order
PS
PS
1000
4000 5000
3000 2000
6000
Materials
Materials
Materials
PS
PS
1000
4000 5000
3000 2000
6000
Materials
Materials
Services
Materials Services
Commi t ment Management (1)
Commi t ment Management (2)
WBS Element V-0691001.01
WBS Element V-0691001.01
Purchase
Requisition
Purchase
Order
Goods
Receipt
MM
MM
CO
CO
C/Elem Committed Actual Assigned
4000000 0 11000 11000
C/Elem Committed Actual Assigned
4000000 6000 5000 11000
WBS Element V-0691001.01
WBS Element V-0691001.01
Invoice
Business
Events
Purchase
order
check
Budget
Total 50
2002 30
2003 20
WBS 1.1.1
Avai l abi l i t y Cont r ol
Availability
No more Funds
available!!
Comm Actual
10 40
5
5
25
15
Purchase
Requisition
Budget 80 000
Budget 200 000
Budget 120 000
Avai l abi l i t y Cont r ol Si mul at i on
Activities
75 000
Assigned 75 000
Actual costs
80,000
Commitments
(purchase order,
purchase requisition,
funds reservation)
25,000
CO
CO
MM
MM
PM
PM
PS
PS
Networks / Orders
75,000
Assigned 100 000
Commitments
25 000
At 95%budget completion,
A warning message is
Posted by the system.
At 105%budget completion,
A warning message is
Posted by the system and mail
Sent to the responsible person.
Items within budget are
Successfully posted.
Actual 80 000
Mat er i al s & Ser vi c es
Busi ness Sc enar i o
4 During Project Execution, both materials and services
are procured. Materials are managed in plant stock.
4 Project managers are interested in:
E Stock used on your project. (Stock controlling)
Definition
Material required for performing
an activity or for manufacturing
a product.
Item Category
Non-Stock
Item N
MM
MM
I nt egr at i on w i t h MM
Stock Item
L
1000
4000 5000
3000 2000
6000
Materials
Materials
Materials
Plant Stock Non Stock
Reservation Purchase Req.
1000
4000 5000
3000 2000
6000
Materials
Materials
Materials
Definition
Material components procured
to stock. Reservations are
generated for stock items.
Pr oc ur ement of St oc k I t ems
Material
Reservation
MRP
Run
Planned
PR
Convert
Planned
PR
PO
Processing
GR
Processing
Material
Withdrawal
Item
Category
L
Item
Category
L
1000
4000 5000
3000 2000
6000
Materials
Materials
Materials
Definition
Material procured directly by
means of an activity
Pr oc ur ement of Non St oc k I t ems
Item
Category
N
Item
Category
N
Purchase
Requisition
Request for
quotation
Quotation
Entry
Vendor
Selection
PO
Processing
PO
Monitoring
Goods
receipt
Invoice
Verification
PR
Commitments
PO
Committments
Actual
Costs
Ac c ount Assi gnment Cat egor y
Ac c ount Assi gnment Cat egor y L Non St oc k
Pr oj ec t St r uc t ur e
WBS 1.1
WBS 1.1.1 WBS 1.1.1
Materials
Network
Work Breakdown Structure
WBS Elements
Material Component
Network Activity
Assigning material
components to
activities initiates
external procurement.
Pr oc ur ement St eps
WBS 1.1
WBS 1.1.1 WBS 1.1.1
T-20600
10
Vendor Purchase
Components
Goods receipt
For Purchase
order
Goods issue
to Network
Activity
(Consumption)
Pr oc ur ement St eps Pur c hase Or der
WBS 1.1
WBS 1.1.1 WBS 1.1.1
T-20600
10
Vendor Purchase
Components
Goods receipt
For Purchase
order
Goods issue
to Network
Activity
(Consumption)
EUR
Pur c hasi ng Component s
Purchase order commitments
Pr oc ur ement St eps Goods Rec ei pt
WBS 1.1
WBS 1.1.1 WBS 1.1.1
T-20600
10
Vendor Purchase
Components
Goods receipt
For Purchase
order
Goods issue
to Network
Activity
(Consumption)
EUR
Pur c hasi ng Component s
The goods receipt reduces the
commitment and posts it to actual
Pr oc ur ement St eps Goods I ssue
WBS 1.1
WBS 1.1.1 WBS 1.1.1
T-20600
10
Vendor Purchase
Components
Goods receipt
For Purchase
order
Goods issue
to Network
Activity
(Consumption)
EUR
Sc hedul i ng
Busi ness Sc enar i o
4 You have created a project structure, you are now
required to see if your project can be completed on
time. Schedule your project to find the answer.
Dat es
4 Sets of Dates
E Basic Dates.
E Forecast Dates
E Actual Dates
Check Dates
WBS
WBS /
Networks
Inherit

+ +
Extrapolate
Shift
Planning different
calendars
Scheduling
Planning form
Scheduled Start to Finish

Project Definitions
Pr oj ec t Dat es
Network Header
BOLD Manual Planning Dates Italics Automatic Dates
4 Project Definition
E BASIC DATES
4 WBS Elements
E BASIC DATES
E FORECAST DATES
E Scheduled Dates
E Actual Dates
4 Network Header
E BASIC DATES
E Scheduled Dates
E Actual Dates
4 Network Activity
E CONSTRAINTS
E Earliest scheduled dates
E Latest scheduled dates
E Actual Dates
4 Activity Element
E Earliest scheduled dates
E Latest scheduled dates
E Actual Dates
Network scheduling
Scheduling of the overall network
WBS scheduling
WBS / Over al l Net w or k Sc hedul i ng
Network 1 Network 2
Project planning board
P P
P1 P1 P2 P2
30 30 30
70 70 70
50 50 50 80 80 80
WBS
10 10 10
20 20 20
60
60
40 40 40
Basic dates in project definition Basic dates in project definition
10
20
30
40
50
60
70
80
P1 P1
P2 P2
P P
Extrapolate
Dates
Automatically
Bot t om-Up pl anni ng
20
20 6 D 6 D
3 3 3
8 8 8
3 3 8 8
30
30 2 D
2 D
4 4 4
5 5 5
3 3 4 4
40
40 3 D
3 D
6 6 6
8 8 8
5 5 7 7
10
10 2 D 2 D
1 1 1 2 2 2
1 1 2 2
50
50 3 D
3 D
9 9 9 11 11 11
9 9 11 11
50
40
30
20
10
1 2 3 4 5 6 7 8 9 10 11 12 13 Days
Ex ampl e of sc hedul i ng
After
Before
Start Start Finish
After
Before
1 2
For activities, time constraints set
1. An exact start / finish ( = must)
2. The earliest value limit ( = not before)
3. The latest value limit ( = not after)
Ti me Const r ai nt s
Actual WBS
Dates
Activity
Confirmation
Network,
Network Activity
Network,
Network Activity
Apr
7
Work Breakdown
Structure
Work Breakdown
Structure
Apr
7
Ac t ual Dat es
Scheduled dates
10
20 20
Final confirmation 10 Partial confirmation 20
(shift order)
10
AS PF
10
20
Time Time Time Time Time Time
AS = Actual start
PF = Provisional finish
30
20
10 40
30
20
10 40
30
20
10 40
Ac t ual Dat es of Ac t i vi t i es
Ex ec ut i on
Cont ent s
4 CN25 Confirmations
Net w or k Conf i r mat i on (CN25) -1
Net w or k Conf i r mat i on (CN25)-2
Per i od End Cl osi ng
4 Month End Processing.
4 Year End Processing.
Per i od End Cl osi ng
E Activity allocation
E Transfers
E Material Withdrawal
E Goods Receipt
E Financial Journal Adjustments
E Recurring entries
FI
FI
MM
MM
CO
CO
FI
FI CO
CO
AM
AM PS
PS
Set t l ement Debi t and Cr edi t
Settlement Rules:
E Receivers
E Distribution Rules
E Settlement
Der i vi ng Set t l ement Rul es
Proposed by default rule
To assigned WBS
2
1
Settlement Strategies
Manually for Assets
and Cost Centers
Per i odi c Set t l ement Pr oc essi ng
Asset
Under
Construction
Final
Asset
Periodic Settlement to AUC
Final Settlement to Fixed Assets 1 2
4 Month End Processing.
4 Year End Processing.
Per i od End Cl osi ng
Final Settlement
from AUC to Assets
Reduce released
budget
Return Original Budget
To level 1 WBS
Return Budget
To IM
Perform Budget
Return check
Close project
definition
Update all WBS
Elements to TECO
Delete unused WBS
Elements
Pr oj ec t Cl osi ng Case Fl ow Di agr am
Clear Project
Stock
I nf or mat i on Syst em
Repor t : Budget / Ac t ual / Var i anc e
Repor t : Budget / Ac t ual / Commi t ment
Repor t : Ac t ual / Commi t ment / Pl an
Repor t : Ac t ual Per i od Compar i son