What is project management?
Project management is a systematic methodology adopted in all the phases of Project Life Cycle Management.
According to PMBOK (Project Management Book of Knowledge) a complete life cycle of a project can be divided as:
1.Project Integration Mgmt
2.Project Scope Mgmt.
3.Project Time Mgmt.
4.Project Cost Mgmt.
5.Project Quality Mgmt.
6.Project Human Resource Mgmt.
7.Project Communication Mgmt.
8.Project Risk Mgmt.
9.Project Procurement Mgmt.
SAP Vs Project Mgmt Approach
SAP PLM is an excellent module which can help implement all the knowledge area's mentioned above through entire Project Life cycle process. SAP PS is part of SAP PLM.
Introduction to SAP PS
SAP PS module helps to Plan,Execute,Control and Close Various Projects running in an enterprise.
Typically an enterprise can have Following types of Projects:
1. Sales Projects.
2.Overhead Projects.
3.Customer Projects.
4.Maintenance Projects
5.Service Projects.
6.Statistical Projects.
All these projects can be implemented using Sap PS module.
I will try to explain all these projects in series.
But before that let us understand what SAP PS is all about.
Overview of SAP PS Module
SAP PS Module Implementation can be divided into 7 steps.
1.Project structuring.
2.Project Planning
3.Project budgeting.
4.Project execution.
5.Project Control.
6.Period End closing and Settlement.
7.Project Closing.
1.Project Structuring:
Project structuring means defining project in a terms of Wbs,Network,Activites, and Milestones.
The above mentioned items form Primary Master data in SAP PS and are called Project Objects.
Let us first try to understand all these Objects and their functionalities as they are the Primary control drivers in Project system.
a) WBS (Work Break Down Structure) :
A WBS is a model of project that shows the project deliverable in a hierarchical form. A WBS can represent structural organization of project and provides a Phase,Function or Product Oriented description.
To make it easy, WBS is a form of representing Various Phases/Functions in a series.
In a simple Product manufacturing,these can be the following stages or phases - Product Planning,Plan Approval,Product Manufacturing and Product Testing ,which represented as structure forms Work Breakdown Structure.
Individual elements in this structure are called wbs elements.
We have Represented a project (ie:Product manufacturing process) in various phases,But each phase has a set of functions that need to be performed.
Like in case of Product Planning - We first need to gather Information relating to composition of Product and Let us call this wbs element as 'Product requirement gathering'.
Later this is followed by another wbs element "Determining Product Structure"( how it looks ,its dimensions,,etc).
Now,these elements are called WBS elements as they are nothing but division of work specified under WBS
b)Network ,Activites and Relationship:
Network describes the time sequence and dependencies of activities. A network consists of fundamental elements Activities and relation ship.
From the following example, for a Simple Product Manufacturing procedure,under Product Planning phase we have two sub phases.
Let us consider Product requirement gathering. You have a set of activities that need to be performed under project requirement gathering.
In our example under Product requirement gathering, some of the activities (in simple words tasks)which are processed can be in general.
1.Procuring Product related data
2.Analyzing Product related data.
These are called as Activities.
There are certain rules for processing activities and also there are certain types of activities.
Types of activities : Internal Activity.
External Activity.
General cost activity.
Service Activity.
If we want to Procure Product related data from Internal source(ie: through company's engineer) then it is an internal activity.
If we want to assign this work to an external agency or a consultant then this becomes external activity.
If the activity is a service activity like a contract,then it comes under 'service activity'.
If an activity is based on cost element,then it becomes General cost activity( we will these service and general cost activity in detail later)
So in this case we create a Network for Product requirement gathering having 2 Activites mentioned above ( Ie: Procuring Product related data and Analyzing Product related data.)
Relation ship
You cannot perform Analyzing Product related data unless you finish the step before it (Ie : Procuring Product related data )
So the relation is start activity 2 after activity one is completed.
We call this as F-S Relation.
Meaning 'Finish" and activity before you "Start"
Similarly there are - S-S(Start to Start) ,F-F(Finish to Finish) ,S-F (Start to Finish) relationships.
So basically, Network contains set of activities having interdependency.
3.Milestones: As the name specifies,Mile stones are 'Reference Places' In a project which can be used for Controlling,Reporting and billing purpose.
4.Templates : Templates are standard project structures.
If ,for example a company is into similar projects,then a standard template can be used which can be copied and changes can be made.
Now we are done with Basic Project structuring and can use this as a template.
Project management is a systematic methodology adopted in all the phases of Project Life Cycle Management.
According to PMBOK (Project Management Book of Knowledge) a complete life cycle of a project can be divided as:
1.Project Integration Mgmt
2.Project Scope Mgmt.
3.Project Time Mgmt.
4.Project Cost Mgmt.
5.Project Quality Mgmt.
6.Project Human Resource Mgmt.
7.Project Communication Mgmt.
8.Project Risk Mgmt.
9.Project Procurement Mgmt.
SAP Vs Project Mgmt Approach
SAP PLM is an excellent module which can help implement all the knowledge area's mentioned above through entire Project Life cycle process. SAP PS is part of SAP PLM.
Introduction to SAP PS
SAP PS module helps to Plan,Execute,Control and Close Various Projects running in an enterprise.
Typically an enterprise can have Following types of Projects:
1. Sales Projects.
2.Overhead Projects.
3.Customer Projects.
4.Maintenance Projects
5.Service Projects.
6.Statistical Projects.
All these projects can be implemented using Sap PS module.
I will try to explain all these projects in series.
But before that let us understand what SAP PS is all about.
Overview of SAP PS Module
SAP PS Module Implementation can be divided into 7 steps.
1.Project structuring.
2.Project Planning
3.Project budgeting.
4.Project execution.
5.Project Control.
6.Period End closing and Settlement.
7.Project Closing.
1.Project Structuring:
Project structuring means defining project in a terms of Wbs,Network,Activites, and Milestones.
The above mentioned items form Primary Master data in SAP PS and are called Project Objects.
Let us first try to understand all these Objects and their functionalities as they are the Primary control drivers in Project system.
a) WBS (Work Break Down Structure) :
A WBS is a model of project that shows the project deliverable in a hierarchical form. A WBS can represent structural organization of project and provides a Phase,Function or Product Oriented description.
To make it easy, WBS is a form of representing Various Phases/Functions in a series.
In a simple Product manufacturing,these can be the following stages or phases - Product Planning,Plan Approval,Product Manufacturing and Product Testing ,which represented as structure forms Work Breakdown Structure.
Individual elements in this structure are called wbs elements.
We have Represented a project (ie:Product manufacturing process) in various phases,But each phase has a set of functions that need to be performed.
Like in case of Product Planning - We first need to gather Information relating to composition of Product and Let us call this wbs element as 'Product requirement gathering'.
Later this is followed by another wbs element "Determining Product Structure"( how it looks ,its dimensions,,etc).
Now,these elements are called WBS elements as they are nothing but division of work specified under WBS
b)Network ,Activites and Relationship:
Network describes the time sequence and dependencies of activities. A network consists of fundamental elements Activities and relation ship.
From the following example, for a Simple Product Manufacturing procedure,under Product Planning phase we have two sub phases.
Let us consider Product requirement gathering. You have a set of activities that need to be performed under project requirement gathering.
In our example under Product requirement gathering, some of the activities (in simple words tasks)which are processed can be in general.
1.Procuring Product related data
2.Analyzing Product related data.
These are called as Activities.
There are certain rules for processing activities and also there are certain types of activities.
Types of activities : Internal Activity.
External Activity.
General cost activity.
Service Activity.
If we want to Procure Product related data from Internal source(ie: through company's engineer) then it is an internal activity.
If we want to assign this work to an external agency or a consultant then this becomes external activity.
If the activity is a service activity like a contract,then it comes under 'service activity'.
If an activity is based on cost element,then it becomes General cost activity( we will these service and general cost activity in detail later)
So in this case we create a Network for Product requirement gathering having 2 Activites mentioned above ( Ie: Procuring Product related data and Analyzing Product related data.)
Relation ship
You cannot perform Analyzing Product related data unless you finish the step before it (Ie : Procuring Product related data )
So the relation is start activity 2 after activity one is completed.
We call this as F-S Relation.
Meaning 'Finish" and activity before you "Start"
Similarly there are - S-S(Start to Start) ,F-F(Finish to Finish) ,S-F (Start to Finish) relationships.
So basically, Network contains set of activities having interdependency.
3.Milestones: As the name specifies,Mile stones are 'Reference Places' In a project which can be used for Controlling,Reporting and billing purpose.
4.Templates : Templates are standard project structures.
If ,for example a company is into similar projects,then a standard template can be used which can be copied and changes can be made.
Now we are done with Basic Project structuring and can use this as a template.
