Integrated Project Management Solutions for Capital and Maintenance projects in SAP PS enhanced by Noveco epm

Transcription

1 Integrated Project Management Solutions for Capital and Maintenance projects in SAP PS enhanced by Noveco epm

2 Program and Project Management Long Term Strategic & Operational Portfolio Management Short term Initiation Balancing Planning Execution Monitoring Project management Planning Execution Monitoring Forecasting Business Intelligence Corporate Services Financials & Controlling Project Accounting Procurement Time recording Human Resources Reporting: Financials & Resources on Portfolio, Program and Project level

3 Program and Project Management Long Term Strategic & Operational Portfolio Management Short term Program and Portfolio Management Initiation Balancing Planning Execution Monitoring Project management Planning Execution Monitoring Forecasting Business Intelligence Corporate Services Financials & Controlling Project Accounting Procurement Time recording Human Resources Reporting: Financials & Resources on Portfolio, Program and Project level

4 Program and Project Management Long Term Strategic & Operational Portfolio Management Short term Program and Portfolio Management Initiation Balancing Planning Execution Monitoring Project management Planning Project Execution Management Monitoring Forecasting Business Intelligence Corporate Services Financials & Controlling Project Accounting Procurement Time recording Human Resources Reporting: Financials & Resources on Portfolio, Program and Project level

5 Program and Project Management Long Term Strategic & Operational Management Program and Portfolio Management + Project management Portfolio and Project Project Management Planning Execution Monitoring Forecasting Short term Program and Portfolio Management Initiation Balancing Planning Execution Monitoring Project Management = Corporate Services Financials & Controlling Management (PPM) Project Accounting Procurement Time recording Human Resources Business Intelligence Reporting: Financials & Resources on Portfolio, Program and Project level

6 Program and Project Management Long Term Strategic & Operational Portfolio Management Noveco epm enables Project Management Initiation Balancing Planning process Execution in your SAP Monitoring ERP system Short term Project management Planning Execution Monitoring Forecasting Business Intelligence Corporate Services Financials & Controlling Project Accounting Procurement Time recording Human Resources Reporting: Financials & Resources on Portfolio, Program and Project level

7 Program and Project Management Long Term Strategic & Operational Portfolio Management Short term Initiation Balancing Planning Execution Monitoring Project management Planning Execution Monitoring Forecasting Business Intelligence Corporate Services This presentation is focused Financials & Project on Project Management Controlling Accounting processes and solutions for Capital and Maintenance Projects Procurement Time recording Human Resources Reporting: Financials & Resources on Portfolio, Program and Project level

8 Why Noveco epm? Why do you need Noveco epm for project Management in SAP? SAP Project Systems (PS) functional gaps: 1. Estimation or Cost Planning is cumbersome and contradictory. Most SAP PS customers use: Controlling type transactions (e.g. CJR2, CJ40) to plan cost on WBS Network Planning, inherited in PS from PP (production planning) on network activities 2. Cost forecasting or financial re-planning is not functional 3. No project variation management solution 4. No single central place to manage your project (you must run dozen of transactions: Project Builder, Planning Board, Cost Plan, Reports etc. you must remember your project numbers all the time ) 5. No comprehensive project reports out of the box

9 Why Noveco epm? Noveco epm is a family of seamlessly integrated software components designed to complement and enhance SAP's standard Project System (PS) functionality, with a focus on easy project planning, forecasting, variation management and reporting directly in SAP ECC Noveco epm enables management of your project lifecycle directly inside your ERP system (no other tools needed) Execution l l l Estimating Planning Budgeting Effective Project Management l l l Reporting Analysis Settlement Forecasting Monitoring

10 Why Noveco epm? PS (Project System) is one of the most integrated modules in SAP ERP Capacity and Resource Panning Noveco epm enhances SAP Project System enabling integrated project management directly in SAP ECC You will not need any other tools like excel, BI, BO etc. to manage your project lifecycle in SAP.

11 Integrated Project Management in SAP Dashboard reporting Reporting and Analysis Monitoring and Forecasting * Project Manager Workbench Financial Monitoring Cost To Complete management In-built Analytics Drilldown reporting Planning and Execution Project Builder Cost & Revenue Planning Project Dates Scheduling * Project Variation Management * Noveco Applications

12 Program and Project Management Long Term Strategic & Operational Portfolio Management Short term Initiation Balancing Planning Execution Monitoring Project management Planning Execution Monitoring Forecasting Business Intelligence We start Corporate from Project Services Planning, assuming Financials & that an Project item (in Controlling PPM) or Accounting Appropriation Request (in IM) has been approved Procurement Time recording Human Resources Reporting: Financials & Resources on Portfolio, Program and Project level

13 Project Management Lifecycle Execution l l l Estimating Planning Budgeting Effective Project Management l l l Reporting Analysis Settlement Forecasting Monitoring Create Project structures Cost Estimation Dates Scheduling Approve Budgets

14 Project Structures: CAPEX Projects WBS Elements Represent Project Organizational Structure: Phases Types Project Activity Example: Design, Construction, Commissioning Capital Project Construction Sub-Station Option 1: WBS NWA WO WBS used for: Grouping project activities for reporting Cost planning (see next slides) Budget allocation Network Activities Represent Project tasks Example: engineering drawings, earth moving, installation Networks used for: Detailed Cost Planning Dates scheduling Time confirmation (design, engineering) Cost Forecasting Work Orders (PM orders) represent physical job to be be performed on site: Example: installation, fitting, drilling, replacement operations Materials & Services Work Orders used for: Detailed dates and resource planning Procurement materials and services Material consumption Labour confirmation Cost Settlement

15 Project Structures: CAPEX Projects WBS Elements Represent Project Organizational Structure: Phases Types Project Activity Example: Design, Construction, Commissioning Capital Project Construction Sub-Station Installation Option 2: WBS WO WBS used for: Grouping project activities for reporting Cost planning (see next slides) Budget allocation Dates Scheduling Cost Collection (e.g. design, engineering, project management) Cost Forecasting Work Orders (PM orders) represent physical job to be be performed on site: Work Orders used for: Detailed dates and resource planning Procurement materials and services Example: fitting, drilling, replacement operations operations Material consumption Labour confirmation Cost Settlement Materials & Services

16 Project Management Lifecycle: PLANNING Execution l l l Estimating Planning Budgeting Effective Project Management l l l Reporting Analysis Settlement Forecasting Monitoring Create Project structures Cost Estimation Dates Scheduling Approve Budgets

17 Two Options for Project Structures Op#on 1: WBS NWA WO Option 2: WBS WO

18 Project Lifecycle: PLANNING Project Structure: WBS NWA WO Cost Estimation On Network Activities Cost Estimation On WBS Elements This scenario suggests the following: Cost plan is done on Network Activities Capital work is performed by Work Orders: Procurement of materials services Material consumption from stock Resource Planning Some work (project management, design etc.) may be confirmed directly to Network activities Total Value of Cost Planned on a Network Activity must correspond to the amount of work planned and performed by Work Orders assigned to this activity

19 Cost Plan on Network Activities Capital Project Construction Sub-Station In this scenario network activities are used for Cost Planning Dates scheduling High level resource planning Cost Forecasting Manual Cost Planning on Network activities: Labour rates (different types) Materials Services Plants & Equipment Overheads Labour Materials Services Plant Overheads For manual cost planning we recommend using Easy Cost Planning on network activities. See next slides more information

20 Project Lifecycle: PLANNING Project Structure: WBS NWA WO Cost Estimation On Network Activities Cost Estimation On WBS Elements This scenario suggests the following: Cost plan is done on WBS elements Capital work is performed by Work Orders Procurement of materials services Material consumption from stock Resource Planning Some work (project management, design etc.) is confirmed on WBS elements Total Value of Cost Planned on a WBS element must correspond to the amount of work to be performed by Work Orders assigned to this WBS element

21 Cost Plan on WBS elements Capital Project Construction Sub-Station In this scenario WBS elements are used for Cost Planning Cost Forecasting Network Activities are used for Dates scheduling High Level resource Planning (if applicable) Cost of engineering, design, project management is directly confirmed to network activities Actual Costs from Work Orders is passed through to WBS Labour Materials Services Plant Overheads Manual Cost Planning on WBS elements: Labour rates (different types) Materials Services Plants & Equipment Overheads For manual cost planning Noveco recommends using Easy Cost Planning on WBS elements

22 Two Options for Project Structures Op#on 1: WBS NWA WO Option 2: WBS WO

23 Project Lifecycle: PLANNING Project Structure: WBS WO Cost Estimation On WBS Elements This scenario suggests the following: Cost plan is done on WBS elements Capital work is performed by Work Orders Procurement of materials services Material consumption from stock Resource Planning Some work (project management, design etc.) is confirmed on WBS elements Total Value of Cost Planned on a WBS element must correspond to the amount of work to be performed by Work Orders assigned to this WBS element

24 Cost Plan on WBS elements Capital Project In this scenario WBS elements are used for Cost Planning Cost Forecasting Dates scheduling Cost collection (engineering, project management etc. Roll up actual costs from Work Orders Construction Labour Materials Services Plant Overheads Sub-Station Manual Cost Planning on WBS elements: Labour rates (different types) Materials Services Plants & Equipment Overheads For manual cost planning we recommend using Easy Cost Planning on WBS elements

25 Demo...

26 Project Lifecycle: PLANNING Project Structure: WBS NWA WO Cost Estimation On Network Activities Cost Estimation On WBS Elements This demo scenario covers WBS-NWA-WO scenario. The solution will work in similar fashion in all other scenarios

27 Key Business Requirements SAP Solution enhanced by Noveco epm Create Project Planning and Estimating Actual Costs Financial replanning (cost forecasting) Project Variations Reporting

28 Integrated Project Management in SAP Dashboard reporting Reporting and Analysis Monitoring and Forecasting Project Manager Workbench Create Project Planning and Execution Project Builder Cost & Revenue Planning Project Dates Scheduling * Project Variation Management * Noveco Applications

29 Project with WBS elements and networks Create project structure in SAP PS using Project Builder Projects can be created from templates or by copying existing projects

30 Key Business Requirements SAP Solution enhanced by Noveco epm Create Project Planning and Estimating Actual Costs Financial replanning (cost forecasting) Project Variations Reporting

31 Integrated Project Management in SAP Dashboard reporting Reporting and Analysis Create Cost Plan Assign Budget Plan Revenue Monitoring and Forecasting Project Manager Workbench Planning and Execution Project Builder Cost & Revenue Planning Project Dates Scheduling * Project Variation Management * Noveco Applications

32 Project: WBS elements with networks In this example Easy Cost Planning (SAP Standard) used to create project Cost Plan Note that Easy Cost Plan can be automatically generated via interface from an estimating system Easy Cost Planning

33 Project Cost Versions Cost Estimation is saved in costing version Multiple Costing versions can be created during different stages of planning and estimation In this example version N01 is used to keep an approved Original Budget Select Costing version

34 Easy Cost Planning in details Easy Cost Planning allows you to plan multiple resources on one WBS or Network Activity : Multiple Internal labour types, external services, Material, Plant etc.

35 Easy Cost Planning: plan multiple resources and materials Plan labour, materials and equipment on Network activities These lines can be generated automatically from your Design Estimate PM orders will be assigned to that network activity to carry out the work

36 Integrated Project Management in SAP Dashboard reporting Reporting and Analysis Schedule Dates Monitoring and Forecasting Project Manager Workbench Planning and Execution Project Builder Cost & Revenue Planning Project Dates Scheduling * Project Variation Management * Noveco Applications

37 Schedule Project Dates using Planning Board or MSP OpenPS For MSP Use Project Planning Board to schedule project dates Detailed schedule can also be created in MS Project and synchronized with SAP PS using standard (free) interface OPENPS4MSP

38 Integrated Project Management in SAP Dashboard reporting Reporting and Analysis Review Your Project Monitoring and Forecasting Project Manager Workbench Planning and Execution Project Builder Cost & Revenue Planning Project Dates Scheduling * Project Variation Management * Noveco Applications

39 Project Manager Workbench Current Budget = Estimate + Variations + Adjustments

40 Noveco epm: Project Manager Workbench EAC = Actual Cost + Commitments + Cost To Complete In this tab Costs are shown aggregated from subelements and grouped by Value Category, Resource type and Cost Elements

41 Project Manager Workbench Cost grouped by Value Categories and Resources and broken down by period

42 Project Manager Workbench Navigate to WBS 110KV Sub-Station All costs are aggregated from sub-elements and grouped by Value Category, Resource and Cost Elements ( total by all periods)

43 Project Manager Workbench: Plan by Period Here you can change plan by period of Budgeted Costs, Cost To Complete and Commitments. You can choose Value Category (e.g. LABOUR) or can be very specific by selecting Resource or even Cost Element. This way you can distribute plan cost of, say LABOUR and MATERIALS differently Depending what element you choose in the project structure, you can plan for one object (WBS) or for a work package (WBS and its sub-elements)

44 Project Manager Workbench: Plan by Period In this tab you can view key financial values (Budget, Cost To Complete, Actuals, Commitments etc.) broken down by period

45 Project Manager Workbench: Plan by Period By changing Cost Type selection you can view Cost To Complete by Value Category broken down by period

46 Project Manager Workbench: drill down reports

47 Key Business Requirements SAP Solution enhanced by Noveco epm Create Project Planning and Estimating Actual Costs Financial replanning (cost forecasting) Project Variations Reporting

48 Project Management Lifecycle: EXECUTION Execution l l l Estimating Planning Budgeting Effective Project Management l l l Reporting Analysis Settlement Forecasting Monitoring Procurement of Materials, Services and Plants Post time sheets for internal and external labour Assess project progress against it expenditures and planned dates Perform Cost Forecasting or financial re-planning Create and approve Project Variations

49 Integrated Project Management in SAP Dashboard reporting Reporting and Analysis Monitoring and Forecasting Project Manager Workbench Execute Work Orders Planning and Execution Project Builder Cost & Revenue Planning Project Dates Scheduling * Project Variation Management * Noveco Applications

50 Work Orders: Execute Work Capital Project Create PM Orders and assigned to Network Activities Construction Sub-Station Use PM Orders to execute work Materials consumed from stock Procurement materials and services direct to Work Order Labour time confirmation (mobility) Equipment, Plant confirmation Material Consumption from stock Sub-Con. services Operations Equipment & Materials Direct Materials & Services Labour

51 Work Orders: Execute Work Labour Hours posted to PM orders Materials and Services posted to PM orders Confirm labour hours and issue materials to PM Order

52 Integrated Project Management in SAP Dashboard reporting Reporting and Analysis Monitoring and Forecasting Project Manager Workbench Recalculate Cost to Complete Planning and Execution Project Builder Cost & Revenue Planning Project Dates Scheduling * Project Variation Management * Noveco Applications

53 Work Orders: Execute Work Capital Project Construction Sub-Station In our demo example: Network Activities are used for cost planning and forecasting PM Orders are used for work execution and cost collection Noveco Project Manager Workbench automatically rolls up actual costs and purchasing commitments from PM Orders to Network Activitiy and recalculates remaining Cost and Work To Complete

54 Workbench: Automatic CTC recalculation Automatic Management of Cost (and Work) To Complete is one of the key functions. Project Manager Workbench rolls up actuals from assigned PM orders and automatically reduces Cost To Complete (CTC) on Network Activities Cost To Complete not spent in the past periods will be automatically rolled into the future Actual Costs Posted to PM Order. Noveco Workbench automatically reduces Cost To Complete on Network activity

55 Workbench: Drill Down into Details Drill Down to Actual line items from Workbench

56 Key Business Requirements SAP Solution enhanced by Noveco epm Create Project Planning and Estimating Actual Costs Financial replanning (cost forecasting) Project Variations Reporting

57 Project Management Lifecycle: EXECUTION Execution l l l Estimating Planning Budgeting Effective Project Management l l l Reporting Analysis Settlement Forecasting Monitoring Procurement of Materials, Services and Plants Post time sheets for internal and external labour Assess project progress against it expenditures and planned dates Perform Cost Forecasting or financial re-planning Create and approve Project Variations

58 Integrated Project Management in SAP Dashboard reporting Reporting and Analysis Monitoring and Forecasting Project Manager Workbench Change Forecast Manually Planning and Execution Project Builder Cost & Revenue Planning Project Dates Scheduling * Project Variation Management * Noveco Applications

59 Project Manager Workbench: Adjust Cost Forecasts Note. Cost (and Work) To Complete had already been changed automatically by the Workbench from actual costs posted to PM Orders You can manually adjust it here only if needed: switch to change mode and enter remaining work and cost to complete. Estimated Cost At Completion is adjusted too.

60 Project Manager Workbench: EAC and Budget Deficit Estimated Cost at Completion has changed It now exceeds Current Budget by $6250,00 or by 2,04%

61 Project Manager Workbench: Change Log Any changes to project forecast are recorded in a change log

62 Key Business Requirements SAP Solution enhanced by Noveco epm Create Project Planning and Estimating Actual Costs Financial replanning (cost forecasting) Project Variations Reporting

63 Project Management Lifecycle: EXECUTION Execution l l l Estimating Planning Budgeting Effective Project Management l l l Reporting Analysis Settlement Forecasting Monitoring Procurement of Materials, Services and Plants Post time sheets for internal and external labour Assess project progress against it expenditures and planned dates Perform Cost Forecasting or financial re-planning Create and approve Project Variations

64 Integrated Project Management in SAP Dashboard reporting Reporting and Analysis Monitoring and Forecasting Project Manager Workbench Create Variations Planning and Execution Project Builder Cost & Revenue Planning Project Dates Scheduling * Project Variation Management * Noveco Applications

65 Project Manager Workbench: Variation Management Variations allow to keep track of all project changes, record project issues etc. Variations help moving funds between WBS (or Network Activities) with complete audit-tracking history Variation automatically update project Budget, Cost Forecasts and Revenues Create Variation

66 Project Variation: Pending Pending Variation Costing Items Project Variations are created as separate documents Variation items (Costs and Revenue is applicable) are assigned to different project Network activities or WBS elements

67 Project Manager Workbench: Variation Pending Variation appears in the Workbench

68 Project Manager Workbench: Variation Management Pending Variation

69 Project Variation: Approved Change Status to Approved and Save Project will be updated automatically

70 Workbench: Approved Variation Click Refresh Current Budget = Original Estimate + Variations = , , = ,0 Approved Variation

71 Key Business Requirements SAP Solution enhanced by Noveco epm Create Project Planning and Estimating Actual Costs Financial replanning (cost forecasting) Project Variations Reporting

72 Project Management Lifecycle: REPORTING and ANALYSIS Execution l l l Estimating Planning Budgeting Effective Project Management l l l Reporting Analysis Settlement Forecasting Monitoring Review Project KPIs History comparison to identify negative trends Calculate Result Analysis for revenue projects Settlement

73 Integrated Project Management in SAP Dashboard reporting Reporting and Analysis Reporting and Analysis Monitoring and Forecasting Project Manager Workbench Planning and Execution Project Builder Cost & Revenue Planning Project Dates Scheduling * Project Variation Management * Noveco Applications

74 Project Manager Workbench: drill down reports You can run context dependent reports by selecting project element from the tree and clicking these buttons

75 Project Manager Workbench: drill down reports

76 Project Manager Portal inside SAP ERP Did you know?: That you don t need BW/BI system to run comprehensive reports like this one above? PS info-system has been designed to hold all related project information. BW cubes simply mirror PS info-system inside BI Noveco epm Portal presents all projects assigned to a project manager Personalized project selection is created, saved and remembered by the system Projects exceptions and Key Performance Indicators are displayed against each project Graphical representation of project KPIs For all project portfolio Selected project(s), WBS or network activity Drill down to key business transactions: Project Builder, Project Manager Workbench, reports, line items

77 Project Manager Portal inside ECC Displays cumulative values of: Budget, Estimated costs at Completion (EAC), Cost To Complete (CTC), Revenues, Actual costs, Commitments Values are presented By entire portfolio (group of projects) or by selected project or WBS

78 Project Manager Portal inside ECC Displays historical trends from the beginning of the portfolio (or project) Budget, Estimated costs at Completion (EAC), Cost To Complete (CTC), Revenues, Profit Margin You can see how your portfolio or a project evolved over time Values are presented by entire portfolio (group of projects) or by selected project or WBS

79 Project Manager Portal inside ECC Review your Budget, Cost To Complete and Estimated Cost at Completion by Value Categories by Period

80 Project Manager Portal

81 Noveco System Architecture

82 Integrated Project Management PM MM SD PS HR CO FI Costs & Resource Forecasting Variation Management Project Manager Workbench Integrated Project Management in SAP

83 Information flow Program Portfolio Planning Company Strategy Planning Analysis, Resourcing Reports Result Analysis PS Information System Resource Planning Business Intelligence Monitoring & Forecasting epm Variation management epm Project Forecasting Project Manager Workbench with KPI view Automatic Forecasting Manual adjustment of CTC or Work TC Problem Focused Navigation Exception and drill down reporting Integrated variations into cost forecast Forecast history Execution Estimation Budget values Time Sheets, Invoices Actual Costs Sales Orders Revenue Transactional System Purchase Orders, Commitments Variations

84 epm Project Cost Forecasting and Variation Management Project Manager Workbench provides one central place to review KPIs, update forecasts, execute analytical and drill down reports Complete Cost and Work To Complete management: Automatic reduction and Manual adjustment Instant Integration with ECC transactions: PO, time sheets, invoices etc. Forecasting results are immediately available for Result Analysis, Progress Analysis, PS Reports and BI (no custom interfaces needed to native SAP reports) Period Sensitive Forecasts: designed for month end forecasts in live transactional system Saves project forecast history w/o need to perform version copy by the user Project Costs Forecasts integrated with PM/CS and PP orders Integrates Project Variations into cost forecasting and budgeting No modifications to SAP standard core applications. No z-tables to keep forecasts costs, all data read/written from/to SAP standard database.

85 SAP Customers running Noveco epm Rawson Group rawsonhomes.net.au Industry: Residential construction Powercor/CityPower Sedgman TRILITY powercor.com.au Industry: Utility, Construction sedgman.com Industry: Mining Construction trility.com.au Industry: Utility, Construction

86 For more information visit Noveco Systems on Novecosystems.com