Introducing the Services Workflow

Objective

After completing this lesson, you will be able to explain the process of procuring Services and Services Workers in SAP Fieldglass.

Methods for Defining Statements of Work in SAP Fieldglass

If an organization has a project that requires outside expertise to complete, they’ll use what are called Statements of Work, or SOWs, to define the project scope, timeline, deliverables, and costs for the services required to complete the project. SOWs ensure payments are made upon completion of certain project milestones, such as when products are delivered, and can include SOW Workers across different roles and tasks within the project.

There are three workflows for defining a project using a Statement of Work:

Buyer-defined, whereby the buyer remains in control of the details that make up the SOW agreement. It then requires a supplier response based on characteristics (milestones and deliverables) and/or any SOW Worker Roles needed to complete the project. Input that is provided during the supplier response is reviewed by the buyer and is either approved or rejected.
Supplier-defined, in which the buyer submits the shell of an SOW to the supplier, and the supplier is responsible for adding the characteristic line items, and other details, before submitting it back to the buyer for review. If the buyer approves, the SOW is then routed internally for any further necessary approvals.
Collaborative, which tracks all changes made to the SOW and allows for more collaboration between both the buyer and supplier in creating and defining the SOWs details together. In these situations, when a buyer submits the document to the supplier, the supplier can make changes and submit it back to the buyer for review - having the process repeat and continue until both parties agree to the final terms.

The Services Procurement Process in SAP Fieldglass

In SAP Fieldglass, choosing to create a Statement of Work initiates a multi-phase process, which details project scope, timeline, costs, and other information for suppliers. The workflow offers various options, allowing buyers to set up different scenarios for creation, approval, and engagement.

Here’s one common workflow illustrating how a buyer company procures services using SAP Fieldglass. This example illustrates the collaborative approach to defining the SOW, whereby both the buyer company and their supplier provide input and review the scope and terms outlined in the SOW.

Illustration depicting of the three-stage process of procuring, engaging, and paying a services provider.

Procure

Create SOW	First, the buyer initiates the creation of the Statement of Work in SAP Fieldglass. The hiring manager inputs the details of the project, including the tasks (called Characteristics), timeline, any worker roles, and budget, among other details.
Review/Accept SOW	The supplier would acknowledge receipt of the SOW. Further negotiation of the SOW terms and rates could occur with the buyer until an agreement is reached.
Accept & Submit SOW	When an agreement is reached, the buyer accepts the SOW and submits it for internal review and approvals.
Approve SOW	The SOW routes through the buyers’ chain of approvers until the SOW is fully approved.
Accept SOW	Then the fully approved SOW is sent to the supplier for their final acceptance.

Engage

Add SOW Workers	Once accepted, the supplier adds any workers to the defined SOW Worker Roles on the project, which can route for additional approvals if required, and confirms any onboarding activity items associated to their SOW Workers are completed.
Register in SAP Fieldglass	After the SOW Workers are cleared to start, they are invited to register in SAP Fieldglass.
Complete Characteristics	As the supplier completes any work for the various aspects of the project, milestone and/or deliverable characteristics are Marked as Complete on the SOW in the system.

Pay

Submit Time and Expenses	During this time, SOW Worker(s) would submit Time Sheets and Expense Sheets in SAP Fieldglass.
Approve Completed Characteristics	When a Characteristic line item has been marked complete, the buyer receives a notice to review and approve them to confirm the work has been done.
Approve Time and Expenses	Any Time sheets and Expenses submitted by the SOW Workers are also evaluated and approved by the buyer as well.
Invoices Auto-generated	If the buyer has auto-invoicing enabled, SAP Fieldglass automatically generates an Invoice for payment for each fully approved Characteristic, Time Sheet, and Expense Sheet. If auto-invoicing is not enabled, the supplier would now manually generate these Invoices for each approved line item.

When all terms of the project are satisfied, the Statement of Work is closed in the system.

Summary

Services Procurement: Involves creating projects, engaging suppliers, and paying for services through Statements of Work (SOWs), ensuring project milestones and deliverables are efficiently managed.
Statement of Work (SOW): A contractual document defining project scope, timeline, deliverables, and costs necessary for completing a project in SAP Fieldglass.
Defining SOW Methods: SAP Fieldglass supports three methods: Buyer-defined, Supplier-defined, and Collaborative, each offering varying levels of input and control for buyers and suppliers.

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