Project System

Table of contents

1. Organizational Units & Project Cycle

2. Project Structures

3 Planning and Budgeting

4. Materials and Services

5. Scheduling

6. Execution

7. Period End Closing

8. Information System
Organizational Units & Project Cycle
SAP Modular Structure: Overview

FINANCE
 PS
LOGISTICS Project
System
HUMAN RESOURCES SD FI
& Sales Financial
Distribution Accounting
MM CO

R3
Materials Controlling
Mgmt.
PP AM
Product Fixed Asset
Planning Mgmt.

QM
Client/Server PS
ABAP/4 IM
Quality Project
Mgmt. System
PM
Plant Maint. Investment
Mgt.
HR
Human
IS
Industry

Resources Solutions

 Project Execution Procedure
Development Execution

Phase 1 Phase 2 Phase 3 Phase 4 Phase 5 Phase 6

Idea Generation Detailed Commissioning & Close out
Procurement Construction
To Concept Engineering Start-up
Approval & Basic design

Idea initiation. Fund approval Detailed Design. Procurement. Installation. Project close out
Idea screening. Engineering Pkg. Materials. Pre-commissioning. .
Concept design Procurement Pkg. Services. Turn-over to owner. Commissing
Concept approval. Construction Pkg. & Startup plan.
Training.
Pre-startup

IMA11 Create AR CJ88 Final Settlement

IMA11 Plan AR Costs CJ20N Close Project
IMA11 Status Chg CN25 Enter Confirmation
IMA11 Create Proj Def CJ20N Plan Resources
CJ20N Schedule Network CN25 Enter Time Conf’s
ME21N Create PO’s
CN25 Enter Time Conf’s ML81 Service Entry
CN25 Enter Time Confs
ML81 Service Entry CJ20N TECO WBS’s
ML81 Service Entry
CJ20N Create Proj Structure
CJ20N Plan Ph 1-6 WBS
IM52 Distribute Full Budget
 Sequence of Events in Projects

IM Inv. Prog

“Investment Positions”
Appropriation Business Planning Investment
Idea Request Measure

Approval
Planning
Master Data PS
Budgeting
“Pre-Investment”
Fiscal Year
Change
Detailed Engineering

Settlement &
Capitalisation
Procurement
Construction
 IM / PS Overview Animation
Investment Program
Budget 110 IM
Distributed 110
Plan 130

CO
Investment Position Investment Position Investment Position
Budget 80 Budget 20 Budget 10
Distributed 80 Distributed Distributed
Cost Center
Plan 100 Plan 20 Plan 10
Plan
Budget Actual
Approval
PS
Appropriation Investment Measure
Request “Project” Depreciation FI-AA
Budget 80 Simulation
”Asset Class“
Plan 100 Plan Ver 0 100
Project
Required Asset 1
ACTUAL VALUES
Settlement
AUC
Settlement

Asset 2
FI MM PM
 PS Integration Points Animation

Investment Position
IM
Budget 100
Distributed 100
Plan 100
PS
Investment Measure /
Appropriation Request CO
Budget
Plan Comm Act Assign
WBS 1.1 100 20 40 65
45 20
60
Cost Center
System Processing status Settlement
Actual / Plan
CRTD BUDG AVAC REL

FI-AA
1100 1400 1500 1700
1000 Settlement 60%
Asset 1
1200 1300 1600 AUC
40%
PM
Invoice Asset 2
FI Material MM Service 5Hrs. Conf HR
PR/PO PR/PO
Project Structure
Project Approach

 Projects are planned and implemented using a phase

approach. These are further summarized as
Development and Execution.
 Cost planning, budgeting, approval, resource planning
are some of the activities that are done for each phase
separately.
 Main project is represented under the execution phase
where the planning, budgeting, scheduling is carried
out.
Master Data in Project Systems

 Data that is stored in the database for long periods of time

is referred to as master data

 Accurate master data reduces:

 Creation time for controlling documents
 Amount of errors in the controlling process
Master Data in Project Systems

WBS elements Network / Activities

Responsibility- oriented Process- oriented

Assignments
WBS elements
and activities 13-1

Note: ALL CCA MASTER DATA IS MAINTAINED CENTRALLY

Master Data created in Project Systems

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.

WBS Elements
Master Data created in Project System

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

Network / Activities 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.
 Master Data used in Project Systems

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
Cost Center budget / expenditure on their respective cost centers.

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 Profit centers with similar characteristics.
Center

Activity Types
Activity types define the type of activity that can be provided
by a cost center (work activity, machine hours, and so on).

Activity Types
 Overview of Objects in PS Investment

Investment Programs
IM Program
 Capital
 Expense

Appropriation
IM
“Investment Requests
Positions”
Appropriation Work Breakdown
Requests
“Investment Measures”
Investment Structures
Projects
PS

WBS WBS WBS

Elements Elements Elements

Maintenance

Orders
PS
PM

“Activities” M/Ord
M/Ord

Networks
 Project Characteristics

Hierarchy of Parts

Accounting Resources Costs & Revenues

Controlling Dates Budgeting

Purchasing

Cross Departmental Complexity & Uniqueness Planning & Controlling

Contents

 Master Data in Project Systems:

 Work Breakdown Structures
 Networks and Activities

 Status Control

 Tools
 Table controls

 Project Versions
 What are Work Breakdown Structures used for?

Planning:
Dates:
 Planned Costs
 Basic Dates
 Scheduled Dates
 Actual Dates
Periodic Processing:
 Overheads
 Settlement Budget:
 Earned Value Analysis “WBS Structure”

 Original Budget
 Budget Updates
 Release Budgets
Execution:  Availability Control

 Actual Costs Commitments:

 Purchase Requisition
 Purchase Order
 Project Definition and Work Breakdown Structure

Project Definitions

Project Definitions

Work Breakdown Structures

WBS Elements
Project Definition

Numbering Project Definition

Project
Numbering
& Coding
Masks
Settings
Field Requirements

Project
Profile

Responsibilities
Organisational
Dates Data
Project Numbering

 System Business Number Logic

 You can tell a lot about a project by its number!

Approval Year Project Running

2006
Number WBS-Structure

V-0691001.00.00.00.00

Company Code
Capital projects
9100 A Ltd
9200 A1 Ltd
Project Coding Mask

PrjID Coding mask Description Lck LkS

V - 0000000.00.00.00.00 A Grp. Operative Project  

I
Coding mask Lock for Lock for
Key 0 = number operative WBS standard WBS
Project Profile
Control
Field Key
Simulation
Status Profile

Organization Controlling

Controlling Area Planner Profile

Company Code Budget Profile

Business Area Settlemement Profile

…

Project Profile

Planning Board / Dates

WBS Scheduling
Planning Board Profile
Hierarchy Graphic
…
Project Field requirements – Project Definition

 Project Definition
 Project Definition Description
 Person Responsible
 Applicant number
 Plant
 Finish Dates
Project Definition and Work Breakdown Structure

Organisation
&
Responsibilities
Work Breakdown Structures

Operative
Indicators

Structure
Objects

Documentation
WBS Organization and Responsibilities Animation

WBS 1

Project Definition

WBS 1.1 WBS 1.2

WBS 1.1.1 WBS 1.1.2 WBS 1.2.1 WBS 1.2.2

Key
Profit Center Responsible Cost Center

Person Responsible Company Code

Operative Indicators and Attributes


WBS 1 

WBS 1.2 WBS 1.3 WBS 1.4

Partially Rel Released Partially Rel

WBS 1.2.1 WBS 1.2.2 WBS 1.4.1 WBS 1.4.2

Released Released Released Released

Key
 Planning Element  Account assignment element
 For planning costs  For posting actual costs
 Plan/actual cost comparison  Network / Maintenance Order
assignments
WBS Structure Objects

WBS 1
Partially Rel

WBS 1.2 WBS 1.4

Partially Rel Partially Rel

WBS 1.2.1 WBS 1.2.2 WBS 1.4.1 WBS 1.4.2

Released Released Released Released

Key
 Project Milestone  Investment Program item

 PS Text Documents  Project Organization

Milestones in WBS

WBS 1

approval
WBS 1.2 WBS 1.4

WBS 1.2.1 WBS 1.2.2 WBS 1.4.1 WBS 1.4.2

Key

 Milestone Trend Analysis  For Informational / Reporting Purposes

Project Documentation

W
WBS 1

WBS 1.2
W
WBS 1.4 

WBS 1.2.1 WBS 1.2.2 WBS 1.4.1 WBS 1.4.2

 Long Texts
Key
W  PS Text 
E.g.. Word Documents
 Derivation of the WBS hierarchy

Automatic
derivation

1 V-0691001
2 V-0691001.01
3 V-0691001.01.01
3 V-0691001.01.02
Entries 2 V-0691001.02
Goal

1 V-0691001
1 V-0691001.01
1 V-0691001.02
1 V-0691001.01.01 V-0691001
1 V-0691001.01.02

V-0691001.01 V-0691001.02

Hierarchy Key
level V-0691001.01.01 V-0691001.01.02
 Project Levels

 Project Levels:
 Each project must have a single Level 1 WBS
 Allows for ease of reporting at a project level
 Structure below Level 1 is determined by phase and other reporting
requirements

This is an example of a typical project structure

 Project Creation and Maintenance methods

 INDIRECT
 Transfer from Appropriation Requests
 Transfer Simulation

 PROCEDURE
 Copy a template

 Include (used most commonly)

Templates and Work Breakdown Structures

Template Operative

V-1111111 V-0691001

V-1111111.02 V-1111111.03 V-0691001.02 V-0691001.03

 Include Template
Start

Include
Template

Finish
Project Builder

Selected
Project

Project
Definition
&
Structure

Worklist
&
Templates
Contents

 Master Data in Project Systems:

 Work Breakdown Structures
 Networks and Activities

 Status Control

 Tools
 Table controls

 Project Versions
Networks

 A key step in project planning is determining the sequence in

which the activities will be performed.

 This involves determining which activities are dependent on

each other and which activities require additional work or must
be broken down even further.

 In Project Systems, this planning of processes and sequencing

of activities is done using networks.

 A network consists of a network header and a series of

activities either with relationships and, optionally milestones
 Activities and Networks - Functions
Internal Activity:

 Internal Work
 Dates, Capacities
 Costs External Activity /
Milestones: April Service:
7
 Milestone Trend  Dates
Analysis  Costs
 Commitments

Material:
Costs Activity: “Network”
 Dates
 Dates  Costs
 Costs  Commitments
Periodic Processing:
Mar
 Overheads
 Settlement April
 Network Header and Activities

Network Header

Network Header

Network

Network Activities
 Project Field requirements – Network Header

 Network Header
 Description
 MRP Controller
 Activities and Activity Elements

 Four Types of Activities

 Internal Processing Internal External

 External Processing
 Costs, services
 General Cost Activities

 Reference Dates from Activity

 Start or Finish

 Activity Elements
 Work
 External
 Costs General Service
Costs
 Service
Relationships

Logical Sequence Time Sequence

FS Relationship

SS Relationship

FF Relationship

SF Relationship
Network Graphic Details

Activity Control
key
Activity Duration
number
Days Days Days Description
Specification FS Mechanical Layout FS Procurement
16.02.2000 34 18.02.2000 21.02.2000 34 17.05.2000 18.05.2000 34 08.06.2000
04.04.2000 0 06.04.2000 07.04.2000 0 07.07.2000 10.07.2000 34 28.07.2000

Earliest
FS FS finish
Relationship Days Latest
Electronic Layout Floats finish
21.02.2000 64 31.03.2000
24.05.2000 30 07.07.2000
 Work Breakdown Structures & Networks compared

WBS 1

WBS 1.3 WBS 1.4 WBS 1.5

 WBS
 Cost Control and Reporting
 Reflects Ownership WBS 1.3.1 WBS 1.3.2 WBS 1.5.1 WBS 1.5.2

Versus
 NETWORK
 Work Control
 Reflects Execution 1100

1000 5000 Network

1200
 Activity Assignment to WBS

WBS 1

 Date Planning
WBS 1.3 WBS 1.4 WBS 1.5
 Cost Planning
 Generating Settlement rules
WBS 1.3.1 WBS 1.3.2 WBS 1.5.1 WBS 1.5.2

1100

1000 5000 Network

1200
 Different ways of creating Networks

 DIRECT METHODS
 “Create” network directly
 Create via Project Builder

 INDIRECT
 Project Planning Board and Simulation
 “Create WBS with Activities”.

 PROCEDURE
 Create manually or copy a template
Creating a Network Header Animation

Drop here
Click here
Result
Creating Activities

Result

Drop here
Click here
Contents

 Master Data in Project Systems:

 Work Breakdown Structures
 Networks and Activities

 Status Control

 Tools
 Table controls

 Project Versions
 System Status and User Status control

CRTD PREL

CRTD CRTD PREL REL

CRTD CRTD CRTD CRTD CRTD REL REL REL

 What is Status control used for?  Which elements?

 To allow or forbid certain business  Project definition and WBS
transactions. elements are affected.

 How?  Why system and user status?

 Status are activated manually or  User status adds detail to the
automatically by the system. system Status.
 System Status’s

SYSTEM STATUS

The following status are set by the system/user as the project goes through
Its different stages:

 CRTD Created (Automatic)

 REL Released (Manual)

 LKD Locked (Manual)

 UNLK Unlock (Manual)

 BUDG Project Budgeted (Automatic)

 AVAC Availability Control Activated (Automatic)

 …
 User Status is Optional (based on Client reqt.)

USER STATUS

The following status are set by the user as the project goes through its different
stages:

 10 Initial
 The appropriation request has this status when it is created
(Automatic).
 20 A Grp Approval
(Automatic on approval)

Note : User status configuration and usage is totally based on client requirement
and is optional
System Status (1)

Created (CRTD)
CREATED  Use
 Initial system status for new WBS elements
 Allows project structuring, date and cost planning.
 Allows Budgeting
 Prerequisites
 The superior WBS element MUST have status Created

Released (REL)
 Use
RELEASED  Allows costs and revenues to be posted to the project
 Passed onto lower level WBS elements
 Prerequisites
 Created must have been set

….. Cont
 System Status (2)

Technically Complete (TECO)

 Use
TECHNICALLY COMPLETE  For projects completed from a technical point of view.
 Allows costs and revenues to be posted to the project.
 Prerequisites
 Created or Released must have been set.

Closed (CLSD)
 Use

CLOSED  Prevents actual postings.

 Prevents network creation.
 Prerequisites
 Released or Technically complete must have been set.

Deletion Flag (DLFL)

 Use

FLAGGED FOR DELETION  Objects are deleted logically, but not physically.
 Prerequisites
 Allowed if all costs have been settled completely.
 Allowed if there are no reservations or commitments.
Contents

 Master Data in Project Systems:

 Work Breakdown Structures
 Networks and Activities

 Status Control

 Tools
 Table controls

 Project Versions
User Specific Table Control Settings

2
1

Click
Here

1 Column Width
2 Move around
3 User Settings
Contents

 Master Data in Project Systems:

 Work Breakdown Structures
 Networks and Activities

 Status Control

 Tools
 Table controls

 Project Versions
Versions in Project Systems

Project Version

Versions 
“Project Snapshot”
Can’t be changed!!!

CO Plan Version Simulation Version

Can be changed!!!
Simulation

January February March April

iv e
r a t
p e
O

Project V-0691001 Project V-0691001

Version 001 Version 002
What are simulation versions used for?

Update
Operative Project

Comparisons

SIM 001 SIM 002 SIM 003

Create
Planning & Budgeting
Business Scenario

 Cost planning is carried out during the planning

phases and is reviewed through reports during
subsequent review.
Planning versus Budgeting

Planning Budgeting

 Cost-oriented (cost elements,  Funds-oriented (original,

plan versions, period values)
, supplements, returns, annual values)

 Easily changed; line items  Binding values; line items for

created if desired each change

 No availability check  Availability check: Warning at 95%

Error message at 105%

"FUNDS REQUESTED" "APPROVED FUNDS"

Aspects of Planning
Project Structures:

Costs: Dates:

Resources:
Contents

 WBS Cost Element Planning.

 Planned Costs in Networks.

 Budgeting.

 Commitment Management & Availability Control.

Cost Planning in Projects

WBS 1

WBS 1.1 WBS 1.2 WBS 1.3

Cost Element Planning

Activity /
Network Costing
WBS Cost Element Planning
Contents

 WBS Cost Element Planning.

 Planned Costs in Networks.

 Budgeting.

 Commitment Management & Availability Control.

 Network Activities
Internal Processing: External Processing:

 Work / Services  Purchasing of work /

performed inhouse services

Costs Activity: Services:

 Planning of additional  Purchasing of services

primary costs with service specifications
Internal Processing
Work: 500hrs Output provided to complete activities
Work: 500hrs

1200

Organizational unit Where an activity is

carried out or work output is provided.
Work Center
Work Center

Scheduling Data

Responsible Cost Center Data

Persons
Cost Center
Cost Center
External Processing

Work Performed by a third

party (Vendor)
1300 PR
Commitments
Purchase
Description Invoice Requisition
Description
Verfication
Bid
Material Group Actual Invitation
Material Group
Costs
Purchasing Group Good Receipt /
Purchasing Group
Service Receipt Quotation
Quantity & Unit Entry
Quantity & Unit
Entry of
Price per Unit Services
Price per Unit performed Vendor
PO Selection
Vendor 1000 Processing

Purchase
Order
PO
Committments
Contents

 WBS Cost Element Planning.

 Planned Costs in Networks.

 Budgeting.

 Commitment Management & Availability Control.

 Cost Planning and Budgeting

Budget Approved
applied for budget
2001
2000
Cost Planning Total
Cost Budgeting

1 E-
E-1399 O P D
...
Annual plan value 2 E-
E-1399-
3 E-
1399-1
E-1399-
1399-1-1
R
I
L
N
I
S ... Budget
3 E- E-1399-
1399-1-2 G D T
2 E-
E-1399-
1399-2 I R ...
.
.
N
A
T
O
B ...
T
Bottom-up . L T Top-down
A
extrapolation L distribution
 Budgeting Overview

 Availability Control: Budget Updates

Budget Values
 Against Current

Budget
 Against Budget
Releases
Budget Carryforward Release Budget

2001 2002
 Budget Values
Years

2002

2001

Overall Updates

O R S T
1 Concept R E U R
2 Feasability I T P A
3 Plan G U P N
4 Design R L S
. B N E F
Structure . U S M E
. D E R
. G N S
. E T
T S

NOTE: Current Budget = OB + Suppl – Ret +/- Transfers

Budget Updates

Budget supplement Budget return

To project From project

t t
j ec j ec
o o
pr pr
In In

Budget transfer
From project
+- 100

-100 +100

-100 j ect
r o
In p
Budget Management

WBS: V-06910001
Original Current
Budget Budget
Overall 5,000 7,000

2002 2,000 3,000

2003 3,000 4,000 Budget Line Items
Order 400010 Trade Fair
Document Year Activity Amount
030000001 2002 Original 2,000
030000200 2002 Supplement 3,000
030000306 2002 Return (2,000)

Total 2002 3,000

NOTE: CB = OB + Suppl – Ret +/- Transfers

 Budget Update Simulation
Investment Program
 Auto Link level 1 Capital
IM O.B 300
Project to lowest IM position
C.B 350
ORIGINAL BUDGET
 Set IM Original Budget
 Distribute Original Budget
Investment Position 1 Investment Position 2
O.B 100 O.B 200  Allocate Original Budget
C.B 250 BUDGET SUPPLEMENT
 Supplement IM EUR 50
 Distribute Supplement to PS
Project Definition  Allocate Budget Supplement
Assignment
BUDGET TRANSFER
WBS 1  Transfer EUR 30 from WBS
PS 1.2.2 to WBS 1.2.1
O.B 200
C.B 250

WBS 1.1 WBS 1.2 Budget Updates Report

O.B 80 O.B 120
C.B 170 C.B O.B Supp Trn Ret
WBS 1 200
250 200 50
WBS 1.1.1 WBS 1.1.2 WBS 1.2.1 WBS 1.2.2 WBS 1.2 170
120 120 50
O.B 50 O.B 30 O.B 20 O.B 100 WBS 1.2.1 20
50 20 30
C.B WBS 1.2.2 150
100
120 100 50 -30
20 50 120
C.B 150 150
 Releasing the Budget

Budget 10m Budget 10m

EUR EUR

EUR Add 1 m Add 5 m EUR

EUR
EUR
EUR
EUR

Release Release Release

EUR 2 m EUR 3 m EUR 8.0 m
Contents

 WBS Cost Element Planning.

 Planned Costs in Networks.

 Budgeting.

 Commitment Management & Availability Control.

 Commitment Management (1)

PS PS

2000 3000 2000 3000

1000 6000 1000 6000

4000 5000 4000 5000

Materials Services
Materials Materials
Materials Materials

Materials Services

Purchase Req Purchase Order

MM

WBS
WBS Element
Element V-0691001.01
V-0691001.01
C/Elem Committed Actual Assigned
4000000 6000 5000 11000
Commitment Management (2)

MM CO
Purchase
Requisition
WBS
WBS Element
Element V-0691001.01
V-0691001.01
C/Elem Committed Actual Assigned
4000000 6000 5000 11000
Purchase
Order

WBS
WBS Element
Element V-0691001.01
V-0691001.01
C/Elem Committed Actual Assigned
Goods
Receipt 4000000 0 11000 11000
 Availability Control
No more Funds
WBS 1.1.1 available!!
Business
Events
Budget Comm Actual
Invoice
Total 50 10 40
2002 30 5 25
2003 20 5 15 Availability
check

Purchase
order
Purchase
Requisition
 Availability Control Simulation

Budget 200 000

Budget 120 000 Budget 80 000

Actual 80 000 Assigned 100
Assigned 75 000

At 105% budget completion,

A warning message is
Posted by the system and mail
Commitments Activities Sent to the responsible person.
25 000 75 000

At 95% budget completion,

A warning message is
Posted by the system.

Actual costs Commitments Networks / Orders

(purchase order, Items within budget are
80,000 purchase requisition, Successfully posted.
75,000
funds reservation)
25,000

CO MM PS PM
Materials & Services
Business Scenario

 During Project Execution, both materials and services

are procured. Materials are managed in plant stock.

 Project managers are interested in:

 Stock used on your project. (Stock controlling)

 Integration with MM

Definition
2000 3000 Material required for performing
an activity or for manufacturing
1000 6000 a product.

4000 5000
Item Category

“Plant Stock” “Non Stock”

Materials
Materials
Materials
Stock Item Non-Stock
“L” Item “N”

Reservation Purchase Req.

MM
 Procurement of Stock Items

2000 3000
Definition
Material components procured
1000 6000
to stock. Reservations are
4000 5000 generated for stock items.

Material
Reservation
Materials Item Material MRP
Materials Withdrawal Run
Materials Category
Item
“L”
GR Category
Processing
“L” Planned
PR

PO
Processing Convert
Planned
PR
 Procurement of Non Stock Items

2000 3000
Definition
1000 6000 Material procured directly by
means of an activity
4000 5000
PR
Commitments
Actual
Costs Purchase
Invoice Requisition
Verification
Materials Item
Request for
Materials quotation
Materials Category Goods Item
“N” receipt
Category Quotation
Entry
“N”
PO
Monitoring Vendor
Selection
PO
Processing

PO
Committments
Account Assignment Category
Account Assignment Category “L” Non Stock
Project Structure

WBS 1.1 Work Breakdown Structure

WBS 1.1.1 WBS 1.1.1 WBS Elements

Network Network Activity

Materials Material Component

Assigning material
components to
activities initiates
external procurement.
Procurement Steps

WBS 1.1

WBS 1.1.1 WBS 1.1.1

10
Goods issue
to Network
T-20600
Activity
(Consumption)

Goods receipt
For Purchase
order

Vendor Purchase
Components
Procurement Steps – Purchase Order

WBS 1.1

WBS 1.1.1 WBS 1.1.1

10
Goods issue
to Network
T-20600
Activity
(Consumption)

Goods receipt
For Purchase
order

Vendor Purchase
EUR
Components
Purchasing Components

Purchase order commitments

Procurement Steps – Goods Receipt

WBS 1.1

WBS 1.1.1 WBS 1.1.1

10
Goods issue
to Network
T-20600
Activity
(Consumption)

Goods receipt

EUR
For Purchase
order

Vendor Purchase
Components
Purchasing Components

The goods receipt reduces the commitment

and posts it to actual
Procurement Steps – Goods Issue

WBS 1.1

WBS 1.1.1 WBS 1.1.1

10
Goods issue
to Network
T-20600 EUR
Activity
(Consumption)

Goods receipt
For Purchase
order

Vendor Purchase
Components
Scheduling
Business Scenario

 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.
Dates
Check Dates
 Sets of Dates Inherit
WBS
 Basic Dates.
 Forecast Dates 
WBS /
 Actual Dates Networks 

Planning form Extrapolate

+ +

Scheduling Shift
  Planning different
calendars

Scheduled Start to Finish

 Project Dates
 Project Definition
Project Definitions
 BASIC DATES

 WBS Elements
 BASIC DATES
 FORECAST DATES
 Scheduled Dates
 Actual Dates

 Network Header
 BASIC DATES
 Scheduled Dates Network Header
 Actual Dates

 Network Activity
 CONSTRAINTS
 Earliest scheduled dates
 Latest scheduled dates
 Actual Dates
 Activity Element
 Earliest scheduled dates
 Latest scheduled dates
 Actual Dates

BOLD – Manual Planning Dates Italics – Automatic Dates

WBS / Overall Network Scheduling

Network scheduling WBS scheduling

Scheduling of the overall network

Bottom-Up planning

Project planning board

WBS
P
P

Extrapolate
P1 P2 P1 Dates
Automatically P2

10
20 60
20
10 40 50 80
30 70 30
40
Network 1 Network 2
50
60
70
80
Basic dates in project definition
Example of scheduling

20 6D
3 8
3 8
10 2D 50 3D
1 2 9 11
1 2 2D 3D 9 11
30 40
3 4 5 7
4 5 6 8

10

20

30

40

50

1 2 3 4 5 6 7 8 9 10 11 12 13 Days
Time Constraints

1 Start 2 Start Finish

Before Before

After After

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)
Actual Dates

Actual WBS Activity

Dates Confirmation

Work Breakdown Network,

Structure Network Activity

Apr Apr
7 7
Actual Dates of Activities

30 30 30
10 40 10 40 10 40
20 20 20

Scheduled dates Final confirmation 10 Partial confirmation 20

(shift order)

10 10 10

AS PF
20 20 20

Time Time Time

AS = Actual start
PF = Provisional finish
Execution
Contents

 CN25 Confirmations
Network Confirmation (CN25) -1
Network Confirmation (CN25)-2
Period End Closing
Period End Closing

 Month End Processing.

 Year End Processing.

Settlement Debit and Credit
MM
 Material Withdrawal
 Goods Receipt

CO FI

 Activity allocation  Financial Journal Adjustments

 Transfers  Recurring entries

Settlement Rules:
 Receivers
 Distribution Rules
 Settlement

FI AM CO PS
Deriving Settlement Rules

Settlement Strategies

2
Manually for Assets
and Cost Centers

Proposed by default rule

To assigned WBS
 Periodic Settlement Processing

1 Periodic Settlement to AUC 2 Final Settlement to Fixed Assets

Final
Asset

Asset
Under
Construction
Period End Closing

 Month End Processing.

 Year End Processing.

Project Closing Case Flow Diagram
Final Settlement
from AUC to Assets

Reduce released
budget

Return Original Budget

To level 1 WBS

Return Budget
To IM

Delete unused WBS Clear Project Update all WBS

Elements Stock Elements to TECO

Close project Perform Budget

definition Return check
Information System
Report: Budget / Actual / Variance
Report: Budget / Actual / Commitment
Report: Actual / Commitment / Plan
Report: Actual Period Comparison