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Project Management in SAP-Project System Training Manual Version: PS-01 Project Management in SAP-Project System Joint Training Program by SZABIST & Compulogic June, 2011 Instructor: Salman Hassan Qaiser, PMP®, ITIL® ([email protected]) SAP Project System SAP PS is a project management tool that provides you with support in all phases of the project. Due to the high level of integration between SAP Project System and other SAP application components, such as Procurement and Logistics execution, SAP Financials, and SAP Human Capital Management, SAP Project System ensures that the necessary business processes are handled quickly and efficiently. SAP PS provides structures that you can use to model and organize projects flexibly. You can plan and monitor dates, costs, revenues, budgets, resources, materials, and so on, in these structures using the relevant tools and reports from SAP PS. The two structures provided by SAP PS for mapping projects are work breakdown structures and networks. You use a work breakdown structure to organize a project in the form of a hierarchy, and to map the structure of the project. Networks, on the other hand, are used to represent the individual project activities together with their temporal and logical relationships, in other words, the flow of the project. You can map a project using only one work breakdown structure or one network. However, you can also represent a project using a work breakdown structure an done or more networks in order to use the characteristics of both structures together. Work breakdown structures consist of work breakdown structure elements (WBS elements) that are arranged at various levels to produce a hierarchical model of the project activities to be carried out. Each individual WBS element can act as a controlling object in which you can plan and monitor costs, revenues, payments, budgets, and dates. A network represents the flow of a project. The individual tasks in the project are mapped as activities in a network. The temporal and logical dependencies between the various activities can be represented as links, also known as relationships. Activities form the operative basis for planning and controlling dates, costs, and resources (personnel, machinery, and materials).When activities are assigned to WBS elements, the dates and costs defined in the individual activities are totaled up (aggregated) at the WBS level, and can be evaluated. Activity funds already assigned are checked against the budgets of the WBS elements. Project Management in SAP-Project System Page 2 Project Structures The first step in planning a project involves creating the structural framework for all the necessary activities and processes, and representing their actual structures and flows. SAP Project System provides two basic elements for mapping the structures of projects, namely work breakdown structures and networks. These structures form the basis for all further steps involved in planning and executing the project. This unit describes how projects are structured using work breakdown structures and networks. Structure and Function of Work Breakdown Structures A work breakdown structure is a model of a project, and shows the project activities to be carried out as a hierarchical structure. The various work packages in the project are described in individual work breakdown structure elements(WBS elements). You can further divide these elements at various levels until you reach the level of detail you require. The WBS elements are the objects that are actually used for planning and updating actual data. The focus here is on planning, controlling, and analyzing costs, basic dates, and budgets. Because the workbreak down structure is structured hierarchically, the data can be summarized and displayed for the corresponding higher-level WBS elements. When you create a work breakdown structure, you also have to create a project definition. The project definition is a framework for all the objects created within a project. The project definition contains data that affects the entire project (for example, start and finish dates, organizational data, and planning parameters). It contains default values that can be passed on to the WBS elements. The controlling area, which you specify when you create a project definition, is unique for the entire project. You specify it once you have created the project. You define organizational units such as company code, business area, profit center, and plant for each WBS element. You can use the Project Builder or the Project Management in SAP-Project System Page 3 project planning board to create and change the project definition and work breakdown structure. You can edit projects in tabular or graphical mode. Creating a Work Breakdown Structure There are various ways of creating and editing a work breakdown structure. The Project Builder is a clearly-structured tool in SAP Project System (SAP PS) that is extremely user-friendly and allows projects to be edited quickly and efficiently. You can use the Project Builder to maintain any object in SAP PS, except for the assignment of production resources and tools (PRT). Context-sensitive menus, Drag &Drop, and the option of defining your own work list and set of templates help you edit your projects more easily. The Project Builder consists of a window divided into three areas: the structure overview is in the top left of the window, the worklist in the bottom left, and on the right is an area of displaying and editing data. The structure contains the selected project data of the current project with its hierarchical relationships. You use the work list to store frequently-used projects, networks, and WBS elements on a user- specific basis. The work list always displays a list of the last five projects edited. The templates are used as a set of proposals while a project is being edited from which you can incorporate new elements in the project and integrate copy templates. The work area displays a detail view of the selected object in the structure and allows you to access the overviews of lower-level objects directly. You use the work area to edit the individual project elements. You can navigate Project Management in SAP-Project System Page 4 between the various views (detail views and overviews), graphics, and project planning board quickly and efficiently in the Project Builder in order to maintain the structures. Business Example You are planning the construction of an elevator for your company. In order to plan and then execute and monitor this investment project, you create a suitable work breakdown structure using the Project Builder. Task 1: Project E-99## Create a project E-99## in the Project Builder. Get to know the various ways of creating and editing work breakdown structures in the Project Builder. 1. In the Project System menu, start the Project Builder transaction and set the necessary options so that you can see all 99 hierarchy levels of a project. Create a project with the identification E-99## and description Elevator Gr## in the Project Builder. Use Investment Projects as the project profile. In the basic data for the project definition, enter the number ## for the person responsible. Use your right mouse button in the structure header to change the order in which Identification and Name are displayed. Save your project without texiting the Project Builder. 2. Open project E-99## Elevator Gr## in the Project Builder. So far, you have only created a project definition. In the WBS Element Overview, create WBS elements with the identifications (and descriptions) E-99## (Elevator Gr##), E-99##-1 Project Management in SAP-Project System Page 5 (Engineering), E-99##-1-1 (Electrical Engineering) and E-99##-1-2 (Mechanical Engineering). To avoid making any mistakes when entering your data, use the @ entry aid. The account assignment element operative indicator (Acct column) is to be set for all WBS elements. Flag WBS elements E-99## and E-99##-1 as planning elements as well (Plan column). 3. Create further WBS elements for your project E-99## in the Project Builder using a template to copy from. In this way, you can put the experience gained from past projects to use in your current project. In the structure underneath WBS element E-99##, insert further WBS elements. Use the context menu in the structure (right-hand mouse button) to do this and not the template area. Use the sub treeE-1001-2 of a standard work breakdown structure to copy from. WBS element E 1001-2 (root) is also to be inserted underneath WBS element E-99## and to the right of WBS elements that have already been assigned. Make sure that you do not insert any activities. Next derive the hierarchical structure of your work breakdown structure from the numbers of the WBS elements. Finally, adjust the data of the new WBS elements to the requirements of your current project. To do this, assign the person responsible ##, project type Investment Project, and investment profile 1000 to all new WBS elements. 4. Use Drag& Drop to create a new WBS element E-99##-3 with the name Assembly underneath WBS element E-99## Elevator Gr##. Set the operative indicators of the new WBS element in such a way that you can plan costs and post them to this WBS element later on. Analyze the hierarchical structure and operative indicators of the WBS elements in your project in the hierarchy graphic. If necessary, set the operative indicators in such a way that only the WBS elements at levels1 and 2 allow costs to be planned. In the hierarchy graphic, create a new WBS element with the identificationE-99##-4 and the name Acceptance. Assign this WBS element underneath WBS element E-99## in connect mode. In the hierarchy graphic ,set the Planning Element operative indicator for the new WBS element.
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