Project Management (PS) PDF

IT2406 Project Management (PS) SAP Project Management or Project System (PS) oversees projects, tasks, and timelines while identifying critical paths, assigning resources, and tracking progress. It also includes the following features: Company-wi...

IT2406 Project Management (PS) SAP Project Management or Project System (PS) oversees projects, tasks, and timelines while identifying critical paths, assigning resources, and tracking progress. It also includes the following features: Company-wide project management operations by handling project phases – from structuring to visualization and supporting various implementation and financial management models. Project coordination across distributed teams by managing effort, duration, and task scheduling and assigning work to the responsible person’s dashboard. Automated project controlling by linking the project structure to finance and controlling accounting to automate cost and revenue reporting within projects. PS Organizational Structure (SAP SE, 2022) Compared to other SAP S/4HANA modules, SAP PS does not have an organizational structure. The organizational structure needs to be defined to define the execution of the project. SAP PS inherits its organizational structures via assignment into organization units in the enterprise structure. Additionally, the PS module is integrated into the Finance and Logistics modules. The productivity of SAP PS is mostly created through the integration of other SAP modules. Figure 1. SAP PS organizational structure. Retrieved from 2022 SAP SE/SAP UCC. PS Master Data (SAP SE, 2022) SAP PS master data includes master data unique to itself. Projects This master data details the project characteristics that include complexity, uniqueness, risk, goal-oriented, time restriction, cost, capacity, strategic meaning, and quality standards. Project types include Customer Projects, Overhead Cost Projects, and Investment Projects. Projects are complex tasks found in several components of the SAP system such as Sales and Distribution, Controlling, Finance, and Materials Management. A project builder is a SAP tool that allows users to edit projects quickly and efficiently. It is where all data is prepared using only one (1) transaction. 04 Handout 1 *Property of STI Page 1 of 4  IT2406 WBS Elements WBS refers to the Work Breakdown Structure. A WBS element describes either a concrete activity or a sub- activity that can be further subdivided into work. A work project is a quantitative and qualitative description of an activity to be carried out in the project, such as the work to be done and the result to be achieved for a clearly defined task within the project. Possible status for WBS Elements include the following: o Released -> Entry of effective costs possible o Unlocked o Technically Complete o Closed -> Processes in Logistics and Finance o Deletion Flag o Fully Invoiced -> Further invoices can be inhabited Sequence Hierarchy Graphic consists of access sequences and relationships. It forms the basis for planning based on costs, revenues, payments, budgets, and schedules. It can be structured in functions, objects, and phases like conceptual design, overall planning, or permissions. In the hierarchy, WBS elements are subordinated based on the following: o When structuring objects, objects with the same features can be displayed using a separate hierarchical structure: project summarization. o When planning is done using processes that are assigned to WBS elements. Hierarchy Graphic allows the possibility to create access sequences in external processing and enable the change of internally processed activities to externally processed ones. Activities Activities can be linked together by relationships to establish a chronological order. The resulting arrangement structure is called a network. The Project System distinguishes between the following activity types: o Internally and Externally processed activities o General costs activities The German Standard DIN 69900 describes activities as “components of a process” with the following characteristics: o Duration o Defined Start and Finish o Processed without Interruption o Needs for resources to execute them o Costs Relationships describe the chronological sequence in a network plan order standard network. There can be dependencies of a technical or logical nature. The relationships between activities in a project are defined by these sequence types: Normal Series – from the end of one series to the beginning of another. Start Series – from the beginning of one series to the beginning of another. Finish Series – starting at the end of one series and going to the end of another series. Bounding Series – from the beginning of one series to the end of another series. 04 Handout 1 *Property of STI Page 2 of 4  IT2406 The following relationship types determine how the activities are linked. Finish – Start (FS) – the relationship between the end of an activity to the beginning of the following activity. For example, in project development, the assembly activity cannot start before the production activity has finished. Start – Start (SS) – the relationship between the beginning of an activity to the beginning of the following activity. For example, in project development, the component procurement process cannot start before the design activity has started. Finish – Finish (FF) - the relationship between the end of an activity to the end of the following activity. For example, in project development, the work scheduling activity cannot be finished before the design activity has finished. Start – Finish (SF) – the relationship from the beginning of an activity to the end of the following activity. For example, in project development, the start-up activity cannot be finished before the inspection activity has started. Milestones These are used to mark transitions between different phases or departments. In the project system, they can be used for additional tasks or functions. Milestones are created in the Project Builder. Milestones can be used for the following tasks: Milestone Trend Analysis (MTA): Milestone trend analysis is a simple and effective method of controlling dates in a project. The milestone dates on different report dates are compared. In the graphical MTA chart, trends and delays are recognized immediately. Conducting earned value analysis using the Milestone Technique: The milestone technique is one of the measurement techniques for determining the earned value in earned value analysis. Each milestone represents the portion of the work that is completed in an activity or a WBS element. Determining Dates in the Billing Plan: A milestone is linked with a date in the billing plan. When the milestone is reached, the actual date of the milestone is copied into the billing plan. Triggering predefined Milestone Functions: A series of events is triggered to process a particular business process with milestone functions. Milestones are also used for the preparation of business actions including the releasing of activities, standard scheduling, creating of hierarchy, including parts of a hierarchy, and starting workflow tasks. Word Data in the Activity ▪ Activity Type: To cost networks, an activity type must be defined for internal processing and a formula key for calculating costs. When an activity type is entered, different costs for special qualifications or weekend work can be displayed. ▪ Work: This is where the planned amount of work involved in the activity can be specified. For example, the engineering activity in hours or energy requirements in kilowatt-hours can be specified. Using the value for work and the formula for calculating capacity requirements entered in the work center, the system determines the capacity requirements during scheduling. Basic and forecast data for work in network activities can be entered. ▪ Number of Required Capacities: This is where the capacity required to do the work in the activity can be specified. For example, two people or three machines. This number refers to the capacity category, which is entered on the scheduling screen in the work center. 04 Handout 1 *Property of STI Page 3 of 4  IT2406 ▪ Percent: With this value, the percentage of the work used in the activity is specified. The percentage is only used when the system can calculate duration, work, or the number of capacities using the calculation key. If a percentage is not entered, the system will assume 100%. ▪ Calculation Key: Used for manually or systematically determining data for work, duration, and number of capacities required. PS Processes (SAP SE, 2022) The SAP PS consists of three (3) processes: Project Planning, Project Execution, and Project Closure. Project Planning A project planning board is used in Project Planning as a graphical interface for project creation and preparation. It can be used for termination, coordination of work, checking of capacity, and calculating costs. Project Execution It comprises several steps, such as the purchase process. When goods receipt of services is executed, times are recorded. With the execution of services, liabilities, and costs for items that were planned using Easy Cost Planning are entered. Easy Cost Planning enables cost planning based on amounts and characteristics. It is executed on the project structure level. The main advantages are fast, easy, and arranged data acquisition. Possible entries with Easy Cost Planning: o Internal Accounting for Services o Direct Process Accounting o Reservations o Goods Issue o Purchase Requisition o Sales Order Project Closure or Period Closing In general, one time per period is executed in the background. To execute billing, rules are necessary. Settlement Types: Direct Settlement: Each object is settled directly to the external cost object (examples: cost center, profitability segment) Multi-level Settlement – Individual objects in the project are settled to the higher-level WBS element first. It then settles the costs collected to the external receiver. An information system is used to evaluate key performance indicators within a project. It provides the user with reports, graphs, and an overview of performance, schedule, and costs. Report types include Structure- based, Cost-oriented, Item Reports, and Summary Reports. References: SAP Learning (2022). Understanding project management in SAP S/4HANA. [Article]. Retrieved on July 23, 2024, from https://learning.sap.com/learning-journeys/discovering-the-basics-of-sap-s-4hana-portfolio-and-project- management/understanding-project-management-in-sap-s-4hana_e1bb3bc1-070e-4b52-9ef0-c61ba57ef133 Partner (2022 SAP SE/SAP UCC Magdeburg from Academic Competency Centre) 04 Handout 1 *Property of STI Page 4 of 4