SAP PS

1. What is SAP PS?

Project System provides tools to track project milestone, costs and resources. SAP's Project
System module contains tight integration to the Controlling, Human Resources, and Logistics
modules. It utilizes personnel records from HR, rolls costs into Controlling and links to materials
or customers in the Logistics modules.

1. Two key objects that define the Project in SAP are:

2. Work Breakdown Structure - defines tasks and assign resources to those tasks
3. Network - defines the dependencies within the Work Breakdown Structure (WBS)

2. What are settlement rules?

Settlement rules are nothing but settling the account for a cost centre. Which WBS is account
assigned the cost of corresponding WBS should be settled to the respective cost centre assigned
for that WBS. Settlement rule is assigned in settlement profile in which you will define (like
asset) the rules of settlement.

3. What is Easy Cost Planning?

It is another function for planning costs at WBS elements level. It uses the existing Controlling,
purchasing or MM data in the form of costing items. Also you can have predefined costing
models to simplify repeated entries.

4. What do you understand by Project?

A project is a system which involves 1. Project, sub-project, activities & tasks.

It will have the good integration with the other modules like MM, FI,CO, & PM modules.

5. What mean by valuated stock, non valuated stock? Which cottagers you are using in PO
& PR

Which cottagers you are using in PO & PR In Valuated stock every material in stock is managed
on a both a quantity basis and a value basis. The monetary value of each quantity of material is
calculated separately. While none valuated material is maintained as per quantity and not on
the basis of its value.

6. How to calculate WIP in PS for all WBS pertaining to that particular project? Any
specific T code in ECC 6.0?

1. KKA2 for calculating result Analysis

2. KKAJ - for calculating WIP

7. How can PS be linked to COPA? How will the settlement take place in this case (when
PS is linked to Controlling through COPA)?

Settlement will take place via profitability segment. Level 1 WBS should have settlement rule
define to be settled to PSG and level 2 WBS should be settled to superior one WBS element .The
main one level 1 WBS/ Project will be settled to PSG, and variance will be posted to

8. My SAP system will be implemented in May 2008, how do i put past cost/ hours for a
project which has started in January?

Post the cost incurred from Jan-May via JV (From SAP-FI) directly on WBS.

9. What is Project Management?

Project Management is nothing but a Organizing and planning and scheduling software Project
-Delevered on time
-Software needed
Neede for Project Management is,

-Project Planning
-project Scheduling
-Project Costing
-Monitoring Reviews
-Report Writing and Presentation Manually it is Documented and Automated it is Microsoft
Project Planner(MPP)

10. Explain what is unit costing?

Unit costing is a means of recording all the costs – direct and indirect - associated with the
delivery of services.

Total cost of service provision divided by the total amount of service provided

11. What is Project planning board?

Project planning board is a tool within PS that allows you to plan the entire project structure,
capacity, resources, and dates

12. What is Gantt chart?

It is a graphical representation which helps in Scheduling the Project. It can be referred to as a

Dash Board which gives details of the Project in terms Budgeting, Actual Costs, Planned Work
and Actual Work, Remaining Work, % of Completion. Project Manager can also use this
for restricting the activities in terms of SS,FS,SF conditions date wise.

13. What is relationship in SAP PS?

Relationship basically denotes how activities in a network order are related to each other. They
can be

classified into 4 categories - SS (Start-Start), SF (Start-Finish), FF (Finish-Finish), FS (Finish -

Start).

For 2 activities say A and B

SS -->> Both A and B start together

SF -->> Start of A coincides with finish of B and so on.

We can also specify the time gap between which these

relationships work. Say in an SS relationship, there can be

a 10 minutes gap between start of A and B and so on.

14. What is milestone triggering?

Whenever the confirmation of activities done and if the milestone is attached with that
particular activity the millstone triggers the millstone as per the configuration done and it will
do the nilling through SD module

15. What is project system?

Project System is one of the key modules of SAP to perform project and portfolio management
and helps you to manage the project life cycle starting from structure, to plan, execution and till
the project completion.

16. Is project system integrated with other modules of SAP?

Project system is closely integrated with other SAP modules like logistics, material management,
Sales and Distribution, Plant Maintenance, and Production planning module.

17. What are an external and an internal project in terms of project budget?

External financed projects-

This includes the projects which are sponsored by clients and are executed to meet the client
requirements. These projects are called customer projects and project goal is aligned to meet
the customer demand.

Internal Financed Projects−

This includes project related to capital investment or overhead cost projects.

18. How do you categorize project based on the list of activities

You can categorize projects according to the list of activities and project structure or on the
basis of individual activities −

1. Using Work break down structure WBS

2. Using individual activities as per work packages

19. What is work break down structure?

In Project System, Work Breakdown structure WBS and network diagram can be used to
structure the project either in hierarchical order or using network techniques. You can define
key milestones and documents that allow you to monitor the progress of project and helps you
to define key interest of individuals.