Introducing Service Order Management and Monitoring

Objectives

After completing this lesson, you will be able to:

  • Describe the process steps, prerequisites, and business roles for Service Order Management and Monitoring

An Overview of Solution Process Service Order Management and Monitoring

Introduction

This solution process encompasses field services planning and execution, covered by two scenarios: Fixed Price and Time and Material (T&M). The process includes service order creation, service order release, followed by subsequent service confirmations, and also billing of the customer.

Solution process 3D2 is one of the key solution processes that are part of SAP S/4HANA Cloud Public Edition, service.

Key Process Flow

  • Create a service order
    • Plan costs and revenue on a service order
    • Release the service order line items (optional)
    • Change the service order (optional)
    • Release the service order
  • Create a service confirmation
    • Post the time sheet for the service technician along with any expenses
    • Copy procurement costs automatically into the service confirmation, based on the posted supplier invoice or purchase order
    • Cancel the service confirmation along with its follow-up documents (optional)
    • Release the service order or the service confirmation for billing and automatic creation of the billing document request
  • Create a billing document
    • Create a billing document from the billing document request to invoice the customer
    • Post revenue automatically against the service order line item(s)
    • Analyze service order fulfillment

Short Description of the Process Steps

The solution process Service Order Management and Monitoring (3D2) covers the creation of service orders in SAP S/4HANA Cloud. A service order is released for execution once the planning phase for the service order is complete. If some services or materials are procured from a supplier, a purchase requisition is created automatically once the service order line items are released.

The solution process also allows for the calculation of planned costs and revenue on service order level, which can then be used as a baseline for financial reporting and analysis.

Service confirmations are posted against the service order line items. Based on such a service confirmation, a time-sheet entry and the expenses incurred are posted automatically. A confirmation entered for a service order can be manually canceled later (if required), thereby canceling any subsequent documents already created.

Once a supplier invoice is posted, the procurement costs can be copied into the service confirmation. Procurement costs can also be copied from the purchase order to the billing document, which is then sent to the customer (for time and material services only, not for fixed price services).

You can also choose to bill the customer for any extra (non-stock) spare parts used up in the process.

Once a service order/confirmation is released for billing, a billing document request is created automatically. Finally, a billing document is created (based on the billing document request) to invoice the customer.

Documentation

  1. Log on to SAP for ME if needed.
  2. Navigate to the list of solution processes on the SAP Signavio Process Navigator website. Use URL https://me.sap.com/processnavigator and choose Solution Process. You can now see a list of all available solution processes.
  3. Using the Search in SAP Signavio Process Navigator field (in the top right corner of your screen), search for solution process 3D2.
  4. In the resulting list, select the entry for the current (i.e. the most recent) version of the solution process for solution scenario Best Practices for SAP S/4HANA Cloud.
  5. Choose Accelerators.
  6. Choose Test Script.
  7. The test script will download as a Microsoft Word file, open this file.
  8. If available, choose Set-up instructions to open the set-up instructions for the solution process.

Business Benefits

The main benefits of using solution process Service Order Management and Monitoring (3D2) are:

Field servicesUtilize functionality for the planning and execution of field services in SAP S/4HANA
Universal journalPost directly in the universal journal in SAP S/4HANA - Finance: no settlement of revenue-carrying cost objects is required
Time sheetPost a time sheet and its expenses automatically using a service confirmation
ProcurementLink a procurement process for material goods or services associated with service order execution
Plan costsPlan costs and revenue on service order level
Post revenuePost actual revenue automatically based on a customer invoice

The Process Steps and Master Data Objects for Service Order Management and Monitoring (3D2)

A more Detailed Explanation of the Process Steps

Service Order Planning

The first process step of this solution process is the creation of a service order. A service order is the central document used to plan a service request at a customer site. Later in the process, the service order is also the central document on which the execution results are recorded. The service order is released for execution when planning is complete. This triggers the execution phase of the process.

Costs and revenue can also be planned on service order level.

If spare parts need to be procured from an external party, a purchase requisition for these procured materials is created automatically when the service order line items are released and saved. This is further documented in solution process Procurement for Service Management (3NI).

Service Delivery and Service Confirmation

Once a service order is completed and released, it is made available for execution by a service technician. After services have been executed for the service order, service confirmations are posted against the service order line items. Based on data entered during the confirmation step (time-sheet entries and expenses), actual costs are posted onto the service order.

Note

Some details related to measuring points (for example counters) and measurement documents for these measuring points: a list of all the measuring points/counters of an equipment or functional location (maintained in a service confirmation header and item) is also available in the system. The latest reading details for each measuring point/counter (like the reading ID, value, the last reading dates, and so on) are available.

Navigation from a service confirmation to display a created measuring point and/or measurement document, is also available. A new measurement document can also be created.

Procurement costs for spare parts/materials that are required can be copied to a confirmation document from a supplier invoice. It is also possible to bill the customer based on the sales price of the bought spare parts. This is also covered by scope item Procurement for Service Management (3NI).

If required, a confirmation document for a service order can also be canceled manually at a later stage. This also cancels the subsequent documents.

Billing the Customer

When the service order/confirmation document is released for billing, the system automatically creates a billing document request. Based on this billing document request, a billing document is created that is then sent to the customer.

If you want billing to be resource-related (based on the resources confirmed), the service confirmation item category is billing-relevant, but the service order item category is not relevant for billing.

In SAP S/4HANA Cloud - Service, it is also possible to execute intercompany billing (billing between two company codes involved in a process) for services which were executed cross-company code (for both service and repair orders, see solution process In-House Repair (3XK)).

Note

Solution process Intercompany Billing for Service Documents (53Y) supports this process.

Relevant Master Data Objects

The following master data objects are required for the service order management and monitoring process:

  • Business partner representing the customer
  • Business partner representing the supplier (for procured spare parts and procured services)
  • Service product (using a material master record)
  • Service price coming from a service contract (see for example solution process Service Contract Management (3MO)) or a price condition master record

The business partner functionality of SAP S/4HANA Cloud Public Edition is used to maintain both customer and supplier master data records in the system.

The services delivered to the customer are created as material master records with a special material type for services (known as service products or materials). The same type of master record is used for the materials bought from any external parties (suppliers) as non-stock materials.

It is also possible to make use of different types of service bundles in a service order (fixed price service bundle and time and material service bundle). Using service bundles, multiple items (materials, expenses, services, and so on) can be combined in a bundle where either the main item or the sub items are priced. This is explained later in this unit in more detail.

It is possible to configure how pricing conditions are copied from the source document (with the item category used there) to the target document (also with the item category used there). It is also possible to configure whether or not determined taxes and scales should be re-determined in the target document.

Business Roles for Solution Process Service Order Management and Monitoring (3D2)

Business roleBusiness role ID as delivered by SAP
Customer Service ManagerSAP_BR_CUSTOMER_SRVC_MGR
Service Technician - Customer ServiceSAP_BR_CUSTOMER_SRVC_TEC
Business Process SpecialistSAP_BR_BUSINESS_PROCESS_SPEC
Billing ClerkSAP_BR_BILLING_CLERK
Cost Accountant - OverheadSAP_BR_OVERHEAD_ACCOUNTANT
Configuration Expert - Business Process ConfigurationSAP_BR_BPC_EXPERT
Inventory ManagerSAP_BR_INVENTORY_MANAGER

The above table provides an overview of all the standard business roles that are used when testing and executing Service Order Management and Monitoring (3D2).

Note

This information is based on the test script for Service Order Management and Monitoring (3D2), which can be found on and downloaded using the SAP Signavio Process Navigator (https://me.sap.com/processnavigator).

These roles can be used as a template to create your own business roles for your business users working with Service Order Management and Monitoring (3D2).

The two main roles are the role for the service manager and the role for the service technician. The other roles are needed for process steps supporting the main process covered by the solution process. An example is an inventory manager who can post goods receipts and goods issues related to service orders.

Execution of the Main Process Steps

You can use the following simulations to work your way through the main process steps for solution process 3D2:

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