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Create a project vs Create a network.

In SAP PS (Project System), there is a distinction between creating a project and creating
a network. Let's explore the difference between these two concepts:

1. Creating a Project:
 When you create a project in SAP PS, you are creating a higher-level
container or structure that encompasses multiple networks, activities, and
other project elements.
 A project represents the overall initiative, objective, or goal that needs to
be achieved within a specific timeframe.
 It provides a framework for organizing and managing all the project-
related activities, resources, costs, and schedules.
 Within a project, you can create multiple networks, which are further
broken down into activities.
2. Creating a Network Only:
 Creating a network in SAP PS involves creating a lower-level structure that
consists of a sequence of interconnected activities.
 A network represents a series of related activities that need to be
performed to accomplish a specific objective or deliverable.
 Networks are typically created within a project and serve as a detailed
breakdown of work packages or tasks.
 Each network can have its own set of activities, relationships, durations,
resources, and costs.

In summary, creating a project is the initial step where you define the overarching scope
and objectives of the initiative, while creating a network is a subsequent step where you
break down the project into more granular activities. Projects provide a high-level view
and control over the entire initiative, whereas networks focus on the detailed execution
and sequencing of specific tasks within the project. Networks are nested within projects,
forming a hierarchical structure to manage and track the progress of the project
activities effectively.
In SAP PS (Project System), the decision to create a project or a network depends on the
level of detail and the organizational requirements of your project management process.
Here are guidelines for when to create a project and when to create a network:

Create a Project:

1. Initiating a New Project:


 When you start a new project or initiative, you create a project to
represent the overarching container for all related activities.
 The project defines the scope, objectives, deliverables, and overall timeline
of the initiative.
2. High-Level Planning and Control:
 Projects are useful for high-level planning, control, and monitoring of the
entire initiative.
 You can assign resources, set budgets, and establish key milestones and
targets at the project level.
3. Multiple Interrelated Networks:
 If your project consists of multiple interrelated networks that need to be
managed together, creating a project provides a consolidated view.
 Networks within the project can share common resources, costs, and
dependencies.
4. Portfolio Management:
 If you need to manage a portfolio of projects, creating a project allows you
to track and evaluate multiple initiatives simultaneously.
 You can compare the progress, performance, and resource allocation
across different projects.

Create a Network:

1. Detailed Task Planning:


 When you require a more detailed breakdown of tasks and activities within
a project, you create networks.
 Networks help in structuring and sequencing specific work packages or
tasks to be executed within the project.
2. Resource Assignment and Scheduling:
 Networks allow for assigning resources, durations, and dependencies to
individual activities.
 You can define the order in which activities should be performed and
establish the project timeline.
3. Activity-Level Monitoring:
 Networks are beneficial when you need to track and monitor progress at
the activity level.
 You can assign actual dates, effort, and costs to individual activities,
allowing for accurate tracking and reporting.
4. Cost Control and Analysis:
 Networks facilitate cost control by enabling detailed cost planning and
monitoring at the activity level.
 You can allocate costs to individual activities, analyze variances, and
manage budgets more granularly.

In practice, you typically create a project first to define the overall scope and objectives.
Then, within the project, you create networks to break down the work into specific
activities. However, the level of detail and the specific requirements of your project
management process will determine whether you need to create networks directly or if
a project structure is necessary to provide a higher-level view and control over the
initiative.

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