SAP PS Module

Agenda
- PS overview

- Project structure

- Project planning

- Project budget

- Project execution

- Project monitoring
PS Overview
•The Project Systems Module is aimed at overall project management
•Project Systems provides Initiation, Planning, Execution and Closing process in projects.

Why is SAP-Project System Required to manage projects ?

 The challenge to implement projects successfully within increasingly shorter periods and under continuously rising costs.

 Projects range from smaller cost and investment projects to development or plant maintenance projects to large-scale

projects in plant engineering, construction, and mechanical engineering.

 A few project management tools can map the entire lifecycle of a project completely and uniformly.

 A lack of integration options also frequently results in project data such as cost information or time data, for example,

thereby having to be entered several times.

 To avoid these problems, companies are now increasingly using SAP Project System to manage their projects and

therefore benefit from the close integration of SAP Project System with Accounting, Materials Management, Sales,

Production, Human Resources, and so on.

 SAP-Project System Components
 Project Structure
Project Def

Closure WBS
 Planning Functions

Project
 Budget Execution Network
Systems

 Execution
Budgeting Planning

Costs
Planning
• Project Closure
What is a Project ? 1996

•Projects are tasks with special characteristics:

•They are generally complex, unique, involve a high degree of

risk and with precise goals. Time
•They are limited in duration and are cost and capacity intensive
i.e. time, finance and resource dependent.

Costs

Work
Project Progress
Agenda
- PS overview

- Project structure

- Project planning

- Project budget

- Project execution

- Project monitoring
Project Structure
Work Breakdown
Structure
Dates
- Basic dates
- Scheduled dates
- Actual dates

Costs Budget
- Planned costs - Original Budget
- Actual costs - Budget Release

Revenues Commitments
- Plan revenues -Purchase requisitions
- Actual revenues -Purchase orders
 Network

 Networks are connected to WBS Elements.

 They are a collection of activities that can split

up to represent such elements as Labor and
Materials.

 Activities contain durations and start-finish

dependencies, which is the basis for Project
Scheduling.
Agenda
- PS overview

- Project structure

- Project planning

- Project budget

- Project execution

- Project monitoring
Project planning

• Planning in Project systems in the following ways:

• Date Planning or scheduling
• Cost planning
• Revenue Planning
PS Scheduling
 Network Scheduling: Critical Path Method supported

 Network: Types of Scheduling

- Forward scheduling resulting in Earliest Dates
- Backward scheduling resulting in Latest Dates
- Today Scheduling

 WBS: Dates Planning Options

- Bottom Up scheduling (for Higher WBS elements extrapolates dates and extends dates if
required)
- Strictly Bottom Up scheduling (for Higher WBS elements extrapolates dates, extends
and/or shortens dates if required)
- Top Down Scheduling (checks consistency)
- Free Scheduling (No restrictions)
Time planning
Cost Planning
Cost plan distribution : WBSe
Revenue planning - contd
Agenda
- PS overview

- Project structure

- Project planning

- Project budget

- Project execution

- Project monitoring
Budget Process

Budget Applied
Cost planning Budget Approved
For

Overall plan Budgeting

value

Bottom-up Top-down
cost planning distribution

Planning Budgeting
Budget is the financial framework
of a project. It differs from cost
planning in that it is binding.
Budget Updates
Budget Return
From project
In project

Budget Supplement
To project
In project

Budget Transfer
From project
+100

-100 +100

-100 In project
Project budget
Project budget availability
Agenda
- PS overview

- Project structure

- Project planning

- Project budget

- Project execution

- Project monitoring
Project execution

•Procurement
•Progress
Material requirement

D’Mart – Nagpur Project

D’Mart- Nagpur – NP-1
D’Mart – NP-1
D’Mart – NP-1
Land
Civil work
Budget report after PR creation
Service PR
Service PR
Service PR
Activity confirmation

Project Structure

WBS Elements Activity

Release project

Confirm Activity

Reverse, if reqd

Generate DPR
DPR booking in SAP
Agenda
- PS overview

- Project structure

- Project planning

- Project budget

- Project execution

- Project monitoring
DPR report
Planned vs Actual cost report
Thank You