SAP PS Implementation Blueprint Sample Document for Manufacturing Company

This document outlines the business blueprint for implementing the SAP Project Systems (PS) module, detailing the configuration and processes related data for managing various project types, primarily focusing on Capital Expenditure (Capex) projects but also including R&D, Minor Changes, and Capital Procurement projects. SAP Project Systems (PS) is a comprehensive module used to manage the entire lifecycle of projects, from structuring and planning through execution, monitoring, and closure, integrating tightly with logistics (MM) and financial (FI/CO) modules. The blueprint covers project structuring, planning, budgeting, execution, monitoring, and closing procedures within the SAP S/4HANA environment.

Key topics covered in this BBP document:

1. Project Structures Setup: This involves defining the foundational elements for projects. It includes configuring Project Definitions with unique coding masks and assigning Project Profiles (containing default control parameters like budget and planning profiles), defining specific Project Types (e.g., CAP, RND), creating hierarchical Work Breakdown Structures (WBS) to represent project deliverables, and setting up Networks and Activities (using Network Types like PS02 and Network Profiles via T-code CJ20N) to manage tasks, dependencies, and resource allocation. System and user statuses (like CRTD, REL, TECO, CLSD) are used to control the progression of project phases.
2. Project Planning: This section details planning various project aspects. Labour and machine capacity planning is done via internal activities linked to work centers, material requirements are planned either through reservations or direct Purchase Requisitions (PRs) for stock (Item Cat ‘L’) or non-stock (Item Cat ‘N’) items linked to WBS/networks, services are planned via service activities, and cost planning is performed (e.g., Hierarchical Cost Planning using CJ40), all guided by a central Planning Profile.
3. Project Budgeting: This covers the financial control aspects of the project. It includes allocating the original budget (T-code CJ30), potentially based on the cost plan, releasing funds for expenditure (T-code CJ32), managing budget adjustments through supplements (CJ36), returns (CJ35), and transfers (CJ34), and carrying forward unused budget/commitments to the next fiscal period (CJCO/CJCF). Budget availability control (AVAC) is activated upon budget release, using tolerance limits (e.g., 80% warning, 100%+ error) defined in the Budget Profile to monitor and control spending against WBS elements.
4. Project Execution: This phase involves carrying out the planned project activities. It begins with releasing the project or its components (T-code CJ20N) to allow actual postings. Procurement is initiated by creating Purchase Requisitions (e.g., ME51N or via CJ20N) and Purchase Orders for materials and services. Goods are received (GR via MIGO), materials are issued to the project (GI via MIGO, e.g., Mvt Type 221), services are confirmed via Service Entry Sheets (ML81N), and activity progress/completion is recorded through confirmations (CN25).
5. Project Monitoring & Control: This involves tracking project progress against plans. Standard SAP PS Information System reports are used to monitor key metrics like costs (plan vs. actual vs. budget), dates (scheduled vs. actual), and the status of materials and procurement documents (PRs, POs).
6. Period End Processing & Settlement: This focuses on the periodic financial closing activities for projects. Key processes include settlement, where accumulated project costs on WBS elements are allocated to appropriate receivers. For capital projects, costs are typically settled periodically to an Asset under Construction (AuC) and finally to Fixed Assets (FXA) upon completion. Costs for other projects might be settled to Cost Centers (CTR). Settlement rules defining receivers and allocation methods are maintained (CJ20N) and executed (CJ88), governed by a Settlement Profile assigned to the Project Profile.
7. Project Closing: This outlines the final steps to formally conclude a project. The project status is set to Technically Complete (TECO via CJ20N) when work is finished but minor costs might still occur, and finally to Closed (CLSD via CJ20N) once all financial postings and settlements are complete, preventing any further transactions against the project objects.

This blueprint provides a structured approach for utilizing SAP PS to effectively manage projects from initiation to closure, ensuring proper control over scope, time, and costs, while leveraging integration with procurement and finance.