PS - L1 Overview

Project System Overview : SAP S/4 HANA Public Cloud
Implementation at
KNR Constructions Ltd
Presentation Title Page 1

Agenda
• PROJECT SYSTEM – OVERVIEW

• PROJECT LIFECYCLE
• PROJECT ORGANIZATION STRUCTURE
• PROJECT STRUCTURING
• PROJECT PLANNING
• PROJECT BUDGETING V
• DEFINE DEMAND
• PROJECT EXECUTION & MONITORING
• PROJECT CLOSURE
• INTEGRATION WITH OTHER SAP MODULES
• REPORTS
Page 2
Agenda

• DEFINE DEMAND
• PROJECT CLOSURE
• REPORTS
Page 3
Project System – Overview
• In business of Infrastructure, construction process poses the highest challenge and

complexities and needs a comprehensive integrated solution to manage various aspects
such as costs, schedule, material, services, and manpower. One also needs real time info
/reports for tracking the project effectively.
• In SAP, Project System module provides necessary tools and structures for tracking entire
construction activity. As such a project can be initiated in SAP right at the stage of
conception of a new building complex.
Page 4
Agenda

• DEFINE DEMAND
• PROJECT CLOSURE
• REPORTS
Page 5
Project System – Project Lifecycle
Initiation Planning Execution Monitoring & Closure

Control
• Concept • Define
• Project • Cost Planning Demand • Daily Progress
• Project
Structure • Budget • Project Monitoring
Closure
• WBS Hierarchy Planning Release • Reports
• Coding Mask • Budget
Changes
Page 6
Process Flowchart
Page 7
Agenda

• DEFINE DEMAND
• PROJECT CLOSURE
• REPORTS
Page 8
Project Organization Structure
▪ Organization structure is the framework of a company according to which business is

conducted in company.
▪ Organization Structure gives the clear picture of the reporting in the Hierarchical or
Consolidated manner.
Controlling Area Created by FICO Module

▪ In SAP, controlling area is an organizational element which is responsible for management
of costs and profits.
Company Code Created by FICO Module

▪ Company code is organizational unit of external accounting for which a complete, self-
contained set of accounts can be created. This includes the entry of all transactions that
must be posted and the creation of all items for legal individual financial statements, such
as the balance sheet and the profit and loss statement.
Page 9
Profit Centre Created by FICO Module

A Profit Centre is an organizational unit in accounting that reflects management-oriented
structure of organization for the purpose of internal control.
Plant Created by MM Module

Plant is an Organization Unit within a company where the activities takes place. A plant will
Store the goods, Produce the goods & make goods available for the company.
Page 10
PROJECT
PROFIT CENTER PROFIT CENTER
COMPANY CODE COMPANY CODE PLANT
PROJECT
CONTROLLING
PLANT AREA
1000
COMPANY CODE COMPANY CODE
PROJECT PROJECT
PLANT PLANT
Page 11
Agenda

• DEFINE DEMAND
• PROJECT CLOSURE
• REPORTS
Page 12
Project System – Project Structure & Process
Company Code,
Profit Center,
Project Definition Plant, Cost Center, • Project Definition
consists of WBS
Person Responsible
elements created in
Company Code, hierarchical way. Each
Profit Center, work breakdown
WBS Element structure is based on a
Plant, Cost Center, project definition that
Person Responsible serves as a framework
for the project.
• Contains parameters
Project that control the
Def. properties of the entire
project.
WBS
Element • Contains default values
that are passed on to
newly created WBS
elements.
• Doesn’t contain cost,

revenue, budget, and
scheduling data.
Page 13
Page 14
Agenda

• DEFINE DEMAND
• PROJECT CLOSURE
• REPORTS
Page 15
Cost Planning
Start
Cost planning
(Create/Change)
Enter the Cost plan in Month-wise Cost

the standard template Planning
Import
End
Page 16
Cost plan report after upload
Page 17
Agenda

• DEFINE DEMAND
• PROJECT CLOSURE
• REPORTS
Page 18
Budget Planning
Start
Budget planning
(Create/Change)
Enter the Budget plan in Month-wise Budget

the standard template Planning
Import
End
Page 19
Budget report after upload
Page 20
Agenda

• DEFINE DEMAND
• PROJECT CLOSURE
• REPORTS
Page 21
Define Demand
In this activity, you define a demand which helps to plan, trigger and monitor
procurement and staffing out of enterprise projects. A demand represents a certain
need of a WBS element at a certain time and a certain location.
Assign
Define Request Time
Resource
Demand Demand Recording
(Optional)
Goods Receipt Convert Purchase

Requisition to Consumable Procurement
for Project Purchase Order for Purchasing of Services
Stock Project Stock
Check and
Goods Issue Monitor
Close Demand Return Extra
from Project Demand
(Optional) Project Stock
Stock (Optional)
(Optional)
Page 22
Agenda

• DEFINE DEMAND
• PROJECT CLOSURE
• REPORTS
Page 23
Page 24
Page 25
Project Execution & Monitoring
Daily Progress Monitoring & Budget Changes
Project Control Procurement

o This activity deals with demand planning and consumable purchasing activities for
projects.
Budget Changes
o This notification will be displayed only in case there is a situation of actual postings
exceeding the budget threshold limit set in the AVC profile selected for the project.
o In this activity, you manage (transfer, return and supplement) the budget allocated to
WBS element.
Page 26
Agenda

• DEFINE DEMAND
• PROJECT CLOSURE
• REPORTS
Page 27
Project Closure
On successful execution of the project, it must be closed in all respects. Before

closure, all the period end activities need to be completed.
Project can be closed in stages:
TECO (Technically complete )

o Receipt of Payment
o Settlement of cost
o Close of Open PR & PO
CLSD (Project Closure)

o No cost posting or revenue posting
Page 28
Agenda

• DEFINE DEMAND
• PROJECT CLOSURE
• REPORTS
Page 29
Integration With Other SAP Modules
Financial
Accounting &
Sales &
Controlling (FICO)
Distribution (SD)
Plant & ▪ G/L Account
Machinery (PM) ▪ Revenue &
postings
Deduction
▪ Primary costs
▪ Maintenance reporting
Orders
Materials
Management (MM) SAP
▪ Purchases- Material
▪ Purchases- Services
Project Systems
▪ Goods receipt The integration between SAP Project System PS with application
modules allows you to design, plan, and execute the projects as
part of your normal project procedure. Hence, Project System
module has the constant data access to all the departments
involved in the project.
Page 30
Integration With Other SAP Modules
Materials Management (MM)
Based on Materials, PS helps in creating Purchase Requisitions and Purchase Orders. This
powerful integration makes PS a key player in the logistics cycle, including the ability to
handle Services via Service Masters.
Plant Maintenance (PM)

At the heart of this integration is Maintenance Orders, which like most external orders can
connect to PS for Planning and Settlement purposes.
Sales & Distribution (SD)

PS has a straight-forward integration with SD via Order Numbers. All SD Orders (Contracts, RA
Bill, etc.) can be assigned to a project for the purpose of planning revenue, creating Billing
Plans and attracting costs.
Financial Accounting & Controlling (FICO)

As PS is primarily a Cost Planner and Cost Collector and therefore directly integrated with
FI/CO, its primary objects i.e., WBS rely on actual expenditure to manage Account
Determination.
Page 31
Agenda

• DEFINE DEMAND
• PROJECT CLOSURE
• REPORTS
Page 32
Project Monitoring – Standard Reports
Project Monitoring Description
Cost & Revenue Plan vs Actual vs Variance
Monitoring P & L Report
Budget Updates
Budget Monitoring
Budget vs Actual vs Variance
Procurement Details of the project related to purchase

Monitoring order and purchase requisition
Page 33
Page 34
Page 35
Thank You
Page 36

PS - L1 Overview

Uploaded by

Document Information

Original Title

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

PS - L1 Overview

Uploaded by

Copyright:

Available Formats

Project System Overview : SAP S/4 HANA Public Cloud

Presentation Title Page 1

• PROJECT SYSTEM – OVERVIEW

• PROJECT SYSTEM – OVERVIEW

• In business of Infrastructure, construction process poses the highest challenge and

• PROJECT SYSTEM – OVERVIEW

Initiation Planning Execution Monitoring & Closure

• PROJECT SYSTEM – OVERVIEW

▪ Organization structure is the framework of a company according to which business is

Controlling Area Created by FICO Module

Company Code Created by FICO Module

Profit Centre Created by FICO Module

Plant Created by MM Module

COMPANY CODE COMPANY CODE PLANT

PROFIT CENTER PROFIT CENTER

COMPANY CODE COMPANY CODE

• PROJECT SYSTEM – OVERVIEW

• Doesn’t contain cost,

• PROJECT SYSTEM – OVERVIEW

Enter the Cost plan in Month-wise Cost

• PROJECT SYSTEM – OVERVIEW

Enter the Budget plan in Month-wise Budget

• PROJECT SYSTEM – OVERVIEW

Goods Receipt Convert Purchase

• PROJECT SYSTEM – OVERVIEW

Project Control Procurement

• PROJECT SYSTEM – OVERVIEW

On successful execution of the project, it must be closed in all respects. Before

TECO (Technically complete )

CLSD (Project Closure)

• PROJECT SYSTEM – OVERVIEW

Plant Maintenance (PM)

Sales & Distribution (SD)

Financial Accounting & Controlling (FICO)

• PROJECT SYSTEM – OVERVIEW

Project Monitoring Description

Cost & Revenue Plan vs Actual vs Variance

Monitoring P & L Report

Procurement Details of the project related to purchase

You might also like