Earlier, you recorded actual data to your project for material transactions that occurred through Inventory Management and production order processing. You need to enter additional actual data to projects by recording activity confirmations and Cross-Application Time Sheets for network activities. You can evaluate actual costs in aggregated form in the hierarchy of the WBS.
Executing a Project
Objective
After completing this lesson, you will be able to execute a project
Business Example
Project Execution
You must release the project (or the work packages) before you can enter actual data.
Business transactions from various components of the SAP system post actual data to the project, such as:
Purchasing: purchase order, goods receipt for materials and services (MM)
Inventory Management: goods issue for reservations (MM)
Billing of the sales order (SD)
Confirmation of assigned production orders (PP)
Confirmation of assigned plant maintenance orders (PM)
Internal activity allocation, assigned CO orders (CO)
Down payments: payments (FI)
Settlement to asset management (AM)
Entry of work for persons and posting as activity confirmations (CATS)
Cost Integration Using Account Assignment
In the business transactions shown in this figure, the link to accounting and controlling is the account assignment of the transaction. The account assignment specifies the cost object that needs to be debited for costs. Costs incurred are posted directly to the WBS, network, or activity.
The account assignments correspond to cost planning transactions, for example, the following:
Purchase requisitions, purchase orders, and goods receipts correspond to externally processed activities, service activities, and material components procured directly.
Material withdrawals correspond to stock items or primary cost planning.
Invoice postings correspond to primary cost planning, revenue planning, and general cost activities.
Activity allocation corresponds to activity input planning.
Confirmations correspond to internally processed activities.
Cost Integration Using Assignment
For order categories in the SAP system, the link to the WBS element is by assignment. The order header maintains the assignment of an order to a WBS. This assignment is also maintained when an order or network is a sub-network.
Each order is its own cost object. Based on the assigned WBS element, you can evaluate the assigned funds from orders (the planned costs, commitments, and actual costs).
During processing, the order keeps its own actual incurred costs until the costs are settled.
In the structure information system, you can evaluate and edit (interactively) not only WBS elements and activities, but also assigned orders.
Assigned Orders in Reporting
This figure shows an example of a cost element report for the project.
The report displays assigned orders hierarchically under the appropriate WBS element.
Although actual costs are posted to orders, they are representing assigned funds for the WBS elements.