S4128

SAP Commercial Project

Management in SAP S/4HANA

.
.
PARTICIPANT HANDBOOK
INSTRUCTOR-LED TRAINING
.
Course Version: 14
Course Duration: 3 Day(s)
e-book Duration: 4 Hours 35 Minutes
Material Number: 50152796
SAP Copyrights, Trademarks and
Disclaimers

© 2020 SAP SE or an SAP affiliate company. All rights reserved.

No part of this publication may be reproduced or transmitted in any form or for any purpose without the
express permission of SAP SE or an SAP affiliate company.
SAP and other SAP products and services mentioned herein as well as their respective logos are
trademarks or registered trademarks of SAP SE (or an SAP affiliate company) in Germany and other
countries. Please see http://global12.sap.com/corporate-en/legal/copyright/index.epx for additional
trademark information and notices.
Some software products marketed by SAP SE and its distributors contain proprietary software
components of other software vendors.
National product specifications may vary.
This course may have been machine translated and may contain grammatical errors or inaccuracies.
These materials are provided by SAP SE or an SAP affiliate company for informational purposes only,
without representation or warranty of any kind, and SAP SE or its affiliated companies shall not be liable
for errors or omissions with respect to the materials. The only warranties for SAP SE or SAP affiliate
company products and services are those that are set forth in the express warranty statements
accompanying such products and services, if any. Nothing herein should be construed as constituting an
additional warranty.
In particular, SAP SE or its affiliated companies have no obligation to pursue any course of business
outlined in this document or any related presentation, or to develop or release any functionality
mentioned therein. This document, or any related presentation, and SAP SE’s or its affiliated companies’
strategy and possible future developments, products, and/or platform directions and functionality are
all subject to change and may be changed by SAP SE or its affiliated companies at any time for any
reason without notice. The information in this document is not a commitment, promise, or legal
obligation to deliver any material, code, or functionality. All forward-looking statements are subject to
various risks and uncertainties that could cause actual results to differ materially from expectations.
Readers are cautioned not to place undue reliance on these forward-looking statements, which speak
only as of their dates, and they should not be relied upon in making purchasing decisions.

© Copyright. All rights reserved. iii

Typographic Conventions

American English is the standard used in this handbook.

The following typographic conventions are also used.

This information is displayed in the instructor’s presentation

Demonstration

Procedure

Warning or Caution

Hint

Related or Additional Information

Facilitated Discussion

User interface control Example text

Window title Example text

© Copyright. All rights reserved. iv

Contents

vi Course Overview

1 Unit 1: SAP Commercial Project Management

2 Lesson: Introducing SAP Commercial Project Management

18 Unit 2: Workspace

19 Lesson: Understanding Project Workspace

31 Lesson: Reviewing Fiori apps for Project Workspace

42 Unit 3: Project Cost and Revenue Planning

43 Lesson: Understanding Project Financial Planning

51 Lesson: Financial Planning Use Cases

71 Unit 4: Project Risk, Issue and Change Management

72 Lesson: Handling Project Issues and Change Management

90 Unit 5: Configuration Options

91 Lesson: Configuring SAP Commercial Project Management

© Copyright. All rights reserved. v

Course Overview

TARGET AUDIENCE
This course is intended for the following audiences:

Application Consultant

© Copyright. All rights reserved. vi

 UNIT 1 SAP Commercial
Project Management

Lesson 1
Introducing SAP Commercial Project Management 2

UNIT OBJECTIVES

Understand the key challenges in managing customer projects

Understand the need for SAP Commercial Project Management

Give an overview of SAP Commercial Project Management and its functions

Understand the core areas and business processes in SAP Commercial Project
Management

Explain the benefits of using SAP Commercial Project Management

© Copyright. All rights reserved. 1

 Unit 1
Lesson 1
Introducing SAP Commercial Project
Management

LESSON OBJECTIVES
After completing this lesson, you will be able to:

Understand the key challenges in managing customer projects

Understand the need for SAP Commercial Project Management

Give an overview of SAP Commercial Project Management and its functions

Understand the core areas and business processes in SAP Commercial Project
Management

Explain the benefits of using SAP Commercial Project Management

Introduction to SAP Commercial Project Management

Figure 1: Key Questions Asked by Business Leaders Today and the Pillars of Focus

Business leaders today are constantly asking themselves how they can transform across the
following five pillars of focus:

Assets and Internet of Things

© Copyright. All rights reserved. 2

 Lesson: Introducing SAP Commercial Project Management

- Analyze sensor data from products and deliver outcome-based experiences

- Monitor assets on the factory floor to predict failure and decrease downtime
- Gain instant visibility into the location of in-transit materials to drive new scheduling
efficiencies

Customer Experience
- Engage customers on a personal level with one-to-one marketing
- Personalize products and offerings by analyzing and compiling customer data in real-
time
- Predict customer behavior and make context-relevant product recommendations

Core Business Processes

- Move away from lengthy and time-consuming batch processes
- React quickly to market signals happening in real-time across the value chain
- Connect my enterprise to people, devices, business, and social networks

Workforce Engagement
- Attract and retain talent by clearly communicating business impact
- Enhance decision making with a cross-device, personalized user experience
- Gain full visibility into critical human resource gaps to prevent business disruption

Supplier Collaboration and Business Networks

- Extend business processes and deliver new value to customers
- Gain the flexibility to adapt to changing customer demands in shorter planning cycles
- Orchestrate profitability with real-time sensing of demand-and-supply data

© Copyright. All rights reserved. 3

Unit 1: SAP Commercial Project Management

Figure 2: Business Benefits Customers Want

Selling projects or knowledge based services is a key business in various industries. It is an

integral part of their lead-to-cash and enterprise project portfolio management business
processes. The commercial project lifecycle involves various aspects, starting with early
customer communications, opportunity and bid management, project planning and
execution, management of documents, resources, procurements, financials, issues, changes
requests etc.
In addition, various roles and stakeholder within a company, as well as external partners, and
suppliers are involved and need to collaborate on various aspects. In order to maximize the
profitability of commercial projects hence business processes effectivity, close monitoring
and control as well as high productivity of the project professionals involved is mandatory.
Customers are looking for enhanced project profitability with reduced project risks through
optimized process efficiency, improved employee productivity and collaboration as well as
enhanced transparency.
The following lists describes the core business benefits that customers are looking for:

Increase project profitability through increased insight and control

Better decision-making based on up-to-date and accurate information

Enhanced productivity of team members, less time spent searching and more time spent
on value-added tasks

Increase reliability of bids, track plan against actuals and forecast effectively

Reduced percentage of un-approved changes resulting in increased project profitability

Increase visibility of cost drivers, productivity, and profitability of projects

Increase transparency and control of project issues and changes

© Copyright. All rights reserved. 4

 Lesson: Introducing SAP Commercial Project Management

Figure 3: Business Priorities for Key Roles

The following items are business priorities for some of the key roles:

General Manager
- How do I increase project profitability?
- How do I ensure consistent processes throughout the complete project lifecycle to
further professionalize and scale my business?
- How do I achieve consistent planning from bid estimation to project delivery?

Project Director
- How can I detect project risks early?
- How do I get a transparent and accurate status on the projects within my responsibility,
anytime, anywhere?

Project Manager
- How can I get up-to-date and real-time information on my project financials and project
progress?
- How can I reduce the effort to manually consolidate data from different sources (for
example, for status reporting, billing etc.)?
- How do I get a system that fully supports me in managing my projects?

Figure 4: Challenges in Managing Customer Projects

© Copyright. All rights reserved. 5

Unit 1: SAP Commercial Project Management

The following items impact project profitability and increase project risks:

Inefficient processes

Reduced employee productivity

Lack of collaboration

Missing transparency

The following list outlines some of the key challenges in managing customer projects:

Usage of fragmented tools disconnected from the corporate backbone

- Decisions are based on inaccurate or outdated data
- Project Managers and Project Controllers spent too much in searching for information
- Cumbersome synchronization of data

Inaccurate bid estimates, planning, and forecasting

Lack of standardization of delivery processes

No systematic way of recording problems and issues

High number of unapproved changes affecting project profitability and increasing the risk
of budget overruns and delays

Poor communication between project team members, partners, and stakeholders

Project related data and processes are often distributed over multiple tools and
applications

Many processes (for example, Project estimation, Forecasting, Issue Management,

Change Management, Risk Management) are often done in Excel or in specialized 3rd
party solutions

The different tools and applications are either not integrated or are poorly integrated with
the Enterprise Management (ERP) backbone system

Lack of predictability and repeatability of project success

Lack of "single version of the truth" with different tools capturing redundant information

Delays in reporting due to periodic synchronizations & manual reconciliation

Missing transparency in the organization about the true status of the projects

Missing ability to learn from previous projects for future projects

© Copyright. All rights reserved. 6

 Lesson: Introducing SAP Commercial Project Management

Figure 5: Traditional Solutions for Project Controls

Some of the key challenges of traditional solutions for Project Controls (construction
projects / capital projects) are:

Lacks "single version of the truth" with two systems capturing cost information

Delays in reporting due to periodic synchronizations and manual reconciliation

Numerous custom integrations

Challenging automating change management

SAP Commercial Project Management (SAP CPM) provides solutions that address the core
business process requirements of companies that offer project-based services to their
customers. SAP Commercial Project Management covers multiple processes in an end-to-
end scenario spanning the selling, planning, executing, monitoring, and controlling of projects.
Companies that sell projects (for example, in the professional services or the engineering,
construction, and operations industries) can use these solutions to further professionalize
their core business processes and expand beyond back office capabilities.
SAP CPM consists of the following three main areas:

Project Cost and Revenue Planning

Project Issue and Change Management

Project Workspace

© Copyright. All rights reserved. 7

Unit 1: SAP Commercial Project Management

Figure 6: SAP Commercial Project Management: Overview

Cost and Revenue Planning

Plan and Control quantities, costs, and revenues throughout the complete project lifecycle
(bid, plan, forecasting, execution)

Support planning for resources, materials, equipment, expenses, 3rd party etc.

Tight bi-directional integration with SAP S/4HANA

Support for cash flow planning

Flexible and user-friendly user interfaces (support for planning with Excel)

Project Issue and Change Management

Record and track project issues, change requests and their cost and revenue impact

Web-based processing application for project issues and changes

Integration with SAP Business Suite for data exchange and update of business processes
once changes are approved

Integration with document management capabilities

Cost and revenue planning of changes via integration into project financial planning
application

Reporting and analytics capabilities

Project Workspace

Highly user-friendly and flexible work environment that provides an overview about all
relevant information across systems and applications

Configurable views dependent on user role

Predefined views for Project Commercials, Procurement etc.

Enhanced Project Management that supports Status Reporting & Trends

© Copyright. All rights reserved. 8

 Lesson: Introducing SAP Commercial Project Management

Rule based Alerts, Roles & Responsibilities, Reporting Attributes

Access to financial plans, issues and change requests as well as linked objects and existing
SAP S/4HANA apps, transactions, UIs, etc

Figure 7: SAP Project Controls Solution

The following is a list of usage benefits of the SAP Project Controls Solution:

Increased project profitability through increased insight and control

Better decision-making based on up-to-date and accurate information

Enhanced productivity of team members, less time spent searching and more time spent
on value-added tasks

Increased reliability of bids, track plan against actuals and forecast effectively

Reduced percentage of unapproved changes resulting in increased project profitability

Increased visibility of cost drivers, productivity, and profitability of projects

Increased transparency and control of project issues and changes

© Copyright. All rights reserved. 9

Unit 1: SAP Commercial Project Management

Figure 8: Introduction to SAP Commercial Project Management

SAP Commercial Project Management helps to:

Increase project profitability through increased insight and control

Reduce project risks by executing better control

Enhance employee productivity

It supports projects across its entire lifecycle with:

Bid and Proposal phase data

Cost and Revenue Planning

Risk, Issue, and Changes

Monitoring and Controlling

Related Scenarios - Project Procurement, Document Management etc

With Embedded Analytics and Real time Information you can:

Get up-to-date and real-time information on my project financials and project progress

Reduce the effort to manually consolidate data from different sources (for example, for
status reporting, billing etc.

The Integrated Project View provides:

A flexible work environment that provides an overview about all relevant information
across systems and applications

View across multiple business objects belonging to a project (for example, CRM
opportunity, SD order, PS project, PPM Project) by bundling into a object

Project Issue, Changes and Risks help you to:

Detect project risks early

Gives a transparent and accurate status on the projects within my responsibility, anytime,
anywhere

© Copyright. All rights reserved. 10

 Lesson: Introducing SAP Commercial Project Management

Manage change requests along with their cost and revenue impact

Figure 9: SAP Commercial Project Management - The Digital Core for Projects

SAP Commercial Project Management helps enable the Digital Core as part of the SAP
Intelligent Enterprise that help customers in their day-to-day business processes to better
interact with their customers, suppliers, employees, etc. through applications that have
intelligence embedded in them.
Project Managers have access to the most important information such as the financial
strength of the project, logistic information, project resources, risks, issue and changes at
their hands. Such vital information helps Project Managers monitor and control the project for
positive outcome.

Figure 10: Maximize Profit Throughout The Project Lifecycle

With SAP Commercial Project Management you can:

Increase reliability of bids, track plan against actuals and forecast effectively and thus
maximize project profitability

Reduce cost over-runs and lost revenues with increased transparency and control of
project issues and changes

© Copyright. All rights reserved. 11

Unit 1: SAP Commercial Project Management

Increase visibility of cost drivers, productivity and profitability of projects to improve

decision making

Figure 11: SAP Commercial Project Management

Key Functions

Leverage all the existing functionality (for example, for opportunity management, contract
management, billing, project structuring, procurement etc.)

Project Workspace as work environment for project professionals that provides an

integrated view across systems and applications to support the user to complete their
tasks

Project Cost and Revenue Planning to plan and forecast quantities, costs and revenues
throughout the complete project lifecycle (bid stage, base line planning, execution)

Project Issue and Change Management to systematically track project issues and change
requests

Value Drivers

Connect the end-to-end front-office reality to a central and fully integrated ERP solution to
improve consistency of processes, transparency, accuracy, and control

Highly usable and flexible User Interfaces

The following list outlines the key benefits of SAP Commercial Project Management:

Integrated Project Cost Planning

- One single source of truth between financial system and project management system
eliminating the need for reconciliation between the two systems
- Near real-time forecasting to achieve transparency on expected project outcome
- Financial planning and forecasting based on flexible planning model (cost, revenue,
cash flow, productivity etc.)

Single access to all project relevant data

© Copyright. All rights reserved. 12

 Lesson: Introducing SAP Commercial Project Management

- Integrated view on all aspects of a project (billing, procurement, cost planning, risks,
issues, changes, documents, status reports etc.)
- Embedded Analytics including alert functionality for early identification of issues

Transparent Issue and Change Management

- Change Management fully integrated with financial planning
- Workflows to orchestrate and standardize processes

Transparent and accurate project status (for example, on project financials), anytime,
anywhere

Fast creation of reliable bid estimates using Excel

Decrease percentage of unapproved change requests

Figure 12: Processes Addressed by SAP Commercial Project Management

The figure, Processes Addressed by SAP Commercial Project Management, shows the
processes that CPM covers or enhances. CPM covers areas that are not traditionally available
using other modules in SAP. These core areas are Project Cost and Revenue Planning,
Forecasting, Risk, Issue and Change Management. CPM also enhances certain areas in
conjunction with the existing SAP modules. These areas are Bid Proposal, Contract and
Engagement Set up, Project Structuring, Project reporting and Dashboards, Project
Accounting, Analytics, Earned Value/WIP
.

© Copyright. All rights reserved. 13

Unit 1: SAP Commercial Project Management

Figure 13: CPM End-to-End Scenarios

The figure, CPM End-to-End Scenarios, provides the details of the processes that are covered
in CPM under the different process groups for Project Management. Note that the Project
Workspace covers or caters to all the groups and is the single entry point to provide
information to the user.

Figure 14: Industry Alignment

SAP Commercial Project Management is designed for companies selling project-based

services such as professional services, engineering, procurement, construction and others.
The following is a list of examples of the industries where SAP Commercial Project
Management would be most suited:

© Copyright. All rights reserved. 14

 Lesson: Introducing SAP Commercial Project Management

EPC contracts

Architectural services

Engineering services

Accounting firms

Management consulting

Legal services

LESSON SUMMARY
You should now be able to:

Understand the key challenges in managing customer projects

Understand the need for SAP Commercial Project Management

Give an overview of SAP Commercial Project Management and its functions

Understand the core areas and business processes in SAP Commercial Project
Management

Explain the benefits of using SAP Commercial Project Management

© Copyright. All rights reserved. 15

 Unit 1

Learning Assessment

1. Identify the key benefits of using SAP Commercial Project Management?

Choose the correct answers.

X A Single source to access to all project relevant data

X B Functionality of Change Management that is fully integrated with financial planning

X C Increases the reliability of bids using Excel

X D Supports creating resource requests and assignment of resources to project.

X E Near real-time Project forecasting to achieve transparency

2. Which of the following are the main areas of SAP Commercial Project Management?
Choose the correct answers.

X A Project Workspace

X B Project Cost and Revenue Planning

X C Project Progress Management

X D Project Commercial Management

X E Project Issue and Change Management

© Copyright. All rights reserved. 16

 Unit 1

Learning Assessment - Answers

1. Identify the key benefits of using SAP Commercial Project Management?

Choose the correct answers.

X A Single source to access to all project relevant data

X B Functionality of Change Management that is fully integrated with financial planning

X C Increases the reliability of bids using Excel

X D Supports creating resource requests and assignment of resources to project.

X E Near real-time Project forecasting to achieve transparency

You are correct! SAP Commercial Project management acts as a single source to access
to all project relevant data, supports change management that is fully integrated with
financial planning and increases the reliability of bids using Excel. It also supports near
real-time project forecasting to achieve transparency.

2. Which of the following are the main areas of SAP Commercial Project Management?
Choose the correct answers.

X A Project Workspace

X B Project Cost and Revenue Planning

X C Project Progress Management

X D Project Commercial Management

X E Project Issue and Change Management

You are correct! The main areas of SAP Commercial Project Management are Project
Workspace, Project Cost and Revenue Planning and Project Issue and Change
Management.

© Copyright. All rights reserved. 17

 UNIT 2 Workspace

Lesson 1
Understanding Project Workspace 19

Lesson 2
Reviewing Fiori apps for Project Workspace 31

UNIT OBJECTIVES

Explain the features of and functions available in project workspace

Explain the SAP Fiori apps for project workspace and their functions

© Copyright. All rights reserved. 18

 Unit 2
Lesson 1
Understanding Project Workspace

LESSON OBJECTIVES
After completing this lesson, you will be able to:

Explain the features of and functions available in project workspace

Project Workspace

Figure 15: CPM Workspace: Introduction

Key Business Challenges

Decisions are based on inaccurate or outdated data

Project Managers and Project Controllers spent too much in searching for information

Relevant data about projects is spread across different systems

Missing transparency in the organization about the status of projects

Existing systems have low user acceptance leading to inaccurate data

Customer Benefits

Better decision-making based on up-to-date and accurate information

Enhanced productivity of team members, less time spent searching and more time spent
on value-added tasks

Improved user experience, unified across all aspects of handling projects

© Copyright. All rights reserved. 19

Unit 2: Workspace

Enhanced transparency about project status allows tighter monitoring and control to
reduce project risks

Support for critical activities, like WIP management, ETC, Purchasing, and Resource
Staffing

Solution Scope

Provide an integrated view across systems and applications to support the user to
complete his tasks

Bundling of existing business objects (for example, CRM opportunity, SD order, PS project,
PPM Project) via commercial project object

SAP Fiori applications for easy access to project data (Multi Project Overview, Single
Project Overview, Billing and Receivables, Procurement, Project Activities)

Configurable views on project data (dependent on user role)

Embedded Analytics (cost status, progress, WIP etc.)

New functionality (for example, Risk Management, Status Management, Roles &
Responsibilities, Checklists, Alerts)

Enhanced Project Contract Management (Billing Plan Manager)

The SAP Commercial Project Management (SAP CPM) Workspace provides business users
the following functionality:

Enhanced user experience providing a single view across systems and applications

Better decision-making based on up-to-date and accurate information

Enhanced productivity of team members, less time spent searching and more time spent
on value-added tasks

Enhanced transparency about project status allows tighter monitoring and control to
reduce project risks

Figure 16: Project Workspace

© Copyright. All rights reserved. 20

 Lesson: Understanding Project Workspace

Users can access the Workspace for a project using the SAP Fiori tile Multi Project Overview
or Cross Project View.
The following is a list of some of the core and key features that CPM Workspace provides:

Provide an integrated view of the project

- Bundling of existing business objects (for example, CRM opportunity, SD order, PS
project, cProject) via new master project object

Embedded analytics
- For example, Cost Status Report, WIP Report, Progress Report

Configurable views dependent on user role

- Pre-defined views for Project Commercials, Procurement etc.

Enhanced Project Management

- Status Reporting & Trends
- Rule based Alerts
- Roles & Responsibilities
- Reporting Attributes

Contract Management Enhancements

- Rate Card Application
- Billing Plan Manager
- Billing Cockpit

Figure 17: Project Workspace: KPIs

KPIs enable a company to measure and monitor its performance at operational level. The
KPIs are also known as the "lead indicators" as they help indicate the happenings in advance.
Based on the strategic goals of a company, target values for KPIs are set. Comparing actual

© Copyright. All rights reserved. 21

Unit 2: Workspace

KPI values to these targets identifies shortcomings immediately and shows improvement
potentials for business processes at the same time.

Figure 18: Project Workspace: Alerts

In a commercial project environment, multiple projects are usually executed simultaneously.

Therefore, it is critical that business users such as project managers are able to get an overall
view of the status of projects and focus on the ones that need special attention. Often, this is
determined by the status of important project parameters.
The alert framework in the project workspace provides a robust mechanism to inform users
about real-time issues through customized alerts.
Severity : Every Alert has priority and to define that priority, define the global severity levels to
indicate the priority of an alert which are then assigned to alerts via Master Project Settings.

Figure 19: Project Workspace: Status and Trends

© Copyright. All rights reserved. 22

 Lesson: Understanding Project Workspace

The status management function allows stakeholders to periodically review the status of
commercial projects and indicate shifting trends and statuses. Users can view defined status
and trend indicators. Created project scope areas for which status updates can be
maintained. You can decide on one project scope to indicate the overall status of the project.
Users can create a template to record status updates.
This supports the following:

Status Reporting on multiple dimensions with the possibility to add free text information
by the Project Manager

Support for sub-projects with independent status reports

Integration with risk management as well as issue and change management: Select
relevant risks, issues and changes to be included in the status report

Generation of pdf documents (including KPIs, alerts, issues and changes)

Figure 20: Pre-delivered Project Workspace Views

Views are defined by an administrator. UI blocks are assembled together based on role/
context needs. New views can be configured.
The pre-delivered project workspace views are:

Overview: Contains embedded analytics (cost status, progress, WIP, detailed project view)

Commercial View : Shows all relevant information around project commercial, contractual
obligations and billing incl. A/R

Procurement View : Shows all relevant information regarding project procurement

(purchase order, open invoices, unreleased service entry sheets etc.)

Financial Plan: Serves as an entry point into the financial planning application

Issues and Changes: Entry point to manage issues and changes within a project

Documents : Entry into document management

Risk Management: Entry into project risk management

© Copyright. All rights reserved. 23

Unit 2: Workspace

Figure 21: Pre-delivered Project Workspace View - Commercial View

This Commercial View give users entry into sales relevant aspects. It displays the data
regarding sales, billing, and invoices. The embedded analytic for Aged Debt and SD Document
Flow is also included. The analytics are automatically updated based on the document
selected. This is throughout the Sales and Billing module without having to know the SD
transactions
It provides information about:

Sales Order Items

Billing Plan

Invoices / Debit Memos

Aged Debt Reporting

Clicking a Sales Order number opens the Sales Order and allows the user to view its details.
Depending on the access, users can view, edit or change the Sales Order.

Figure 22: Pre-delivered Project Workspace View - Procurement View

This Procurement View would give users entry into procurement relevant aspects. It displays
relevant purchasing document information for the object selected. Users can also view:

Purchase Orders

Service Entry Sheets

Open Invoices

© Copyright. All rights reserved. 24

 Lesson: Understanding Project Workspace

Purchase Order History

Purchase Requisitions

Clicking the Purchase Order number opens the Purchase Order and displays its details.
Depending on the access, users can view, edit or change the Purchase Order.

Figure 23: Pre-delivered Project Workspace View - Team Overview

The Team Details under the Overview tab provides a nice graphical overview of the team
structure, roles, and members assigned. Authorizations can be tied to the team roles.
It provides functionality to view:

Teams

Sub Teams

Responsibility Assignment

Copy From Master Project

Multi-level project team hierarchy

- Assignment of team members to project roles
- Team Members can be employees, vendors, and customers

Assignment of responsibilities
- On the level of a project structure element (WBS, network activity) or on level of
financial plan

The role and responsibility assignment can be used to control authorizations

© Copyright. All rights reserved. 25

Unit 2: Workspace

Figure 24: Pre-delivered Project Workspace Views - Financial Plan

All the financial plans can be viewed using the Financial Plan view. New financial plans can be
created. We will discuss more about this later in the Financial Planning chapter.

Figure 25: Pre-delivered Project Workspace View - Issues and Changes

The Issues and Changes tab would give users entry into project related issues and changes.
This area allows users to use the Project Issue and Change Management application to record,
track, plan, and monitor the progress of issues and change requests that are reported during
project execution.
You can view the following:

Analytics on a number of issues and changes as well as on financial impact of changes

Detailed issue and change overview list

Activity List

Project cost item details for all the changes

© Copyright. All rights reserved. 26

 Lesson: Understanding Project Workspace

Figure 26: Pre-delivered Project Workspace Views - Documents

The Documents tab give users entry into documents attached to the project. Users can view
documents attached to elements of the commercial project structure (for example, WBS
element). The view gives users option to attach, view or change attachments of the
Commercial Project.

Figure 27: Pre-delivered Project Workspace Views - Risk Management

The Risk Management view gives users entry into risk management of the project. This area
facilitates users access to:

Identify, analyze, and respond to risks or opportunities across the lifecycle of a project.

Use the Risk Matrix to analyze the details of the impact and probability of risks within a
commercial project.

Access analytics of risks and opportunities

Access the risk heat matrix

View a summary of selected risks and opportunities

© Copyright. All rights reserved. 27

Unit 2: Workspace

Figure 28: Project Workspace - Reports

The standard reports that are available in the Overview screen of Workspace are:

Project Cost Status (Hierarchical): Actual, planned and forecasted costs and revenues
along the project hierarchy

Project Cost Status: Actual and planned quantities, costs, and revenues with flexible drill-
down

Progress Reporting: PoC, Earned Value, CPI, SPI etc. based on Progress Analysis in Project
System

Detailed Project View

Project Cost & Revenue Analysis

WIP Reporting

WIP Header Reporting

© Copyright. All rights reserved. 28

 Lesson: Understanding Project Workspace

Figure 29: Project Workspace - Reports

The standard report has embedded analytics and provided detailed information about the
project. The information is fetched using BW Queries and comes from an SAP S/4HANA
database. Users can perform vertical or horizontal drilldown and choose the required fields to
display. Users also have the function to display the results in a data format, graph, or both.

Figure 30: Project Workspace - Reporting Attributes

CPM provides information on attributes that can be used for reporting. User can also define
custom attributes at the overall project level and for individual project structure elements
(WBS, network activity). Different attributes are possible for different project types.

© Copyright. All rights reserved. 29

Unit 2: Workspace

Figure 31: Project Workspace - Checklist Activities

Checklist items are action points that can be created with reference to project structure.
Users can provide information such as proposed and target completion date along with
priority and status. SAP Commercial Project Management provides options for flexible
possibilities to add additional checklist items. There is also provision to enter users that would
be responsible for the checklist item and attachments if needed.

Figure 32: Project Workspace - Billing Plan Manager

The Billing Plan Manager supports emerging contractual agreements (mixed scenarios in
single invoice, billing against bill schedule). It makes it easy to combine Fixed Price, Time &
Material, and Billing as planned events. The Billing Cockpit including bill reminder functionality
so that invoices are issued on time.

LESSON SUMMARY
You should now be able to:

Explain the features of and functions available in project workspace

© Copyright. All rights reserved. 30

 Unit 2
Lesson 2
Reviewing Fiori apps for Project Workspace

LESSON OBJECTIVES
After completing this lesson, you will be able to:

Explain the SAP Fiori apps for project workspace and their functions

SAP Fiori Apps for Project Workspace

Figure 33: CPM- Fiori Launchpad

CPM Provides SAP Fiori Apps with embedded Analytics to provide information on various
areas.
There is an extended SAP Fiori user experience for SAP Commercial Project Management S/
4HANA.

The Fiori launch pad displays detailed project information through multiple workspace
views as well as options to create SAP Commercial Project Management objects

Project managers can reach their work environments through SAP Fiori launch pad with
embedded search, work lists, workflows, and forward navigation to a Web Dynpro
Workspace that reflects SAP Fiori UX

User Roles determine which SAP Fiori tiles are visible to individual users

Currently SAP Commercial Project Management has the following SAP Fiori apps:

Multiproject Overview

Single Project Overview

Billing and Receivables

Procurement

Project Activities

Report Issue

Create Change Request

Each of these apps have their own unique features.

© Copyright. All rights reserved. 31

Unit 2: Workspace

Figure 34: Multiproject Overview

With the Multiproject Overview app users can view information about relevant projects - these
could be projects which the user is responsible for or those that they are interested in. Users
can also evaluate the performance of these projects by selecting key performance indicators
(KPIs). The SAP Fiori tile gives the users flexible project selection (ad-hoc or via pre-defined
variants).
The SAP Fiori tile provides the following features:

Flexible selection of relevant KPIs (ad-hoc or via pre-defined variants)

Insight into important project KPIs

- Margin (plan / actual / forecast)
- Cost (plan / actual / forecast)
- Revenue (plan / actual / forecast)
- Earned Value, PoC, CPI, SPI
- Receivables
- Unbilled Revenue

In addition to KPIs, user can also view:

View Alerts

Project Status

General Project Data

Easy update of project status, contact person and dates

Navigate to details (for example, procurement, billing, workspace, financial planning etc.)

In summary, this app displays the most important project information in one consolidated list.

© Copyright. All rights reserved. 32

 Lesson: Reviewing Fiori apps for Project Workspace

Figure 35: Cross Project View

The Cross-Project View brings together lots of different functionality and displays aggregated
key figures for a selected group of Master Projects. It also shows current status, trends, alerts
and Key Dates

Figure 36: CPM Workspace: Cross Project View: Personalization

Personalization Options for Cross-Project View are divided into 3 categories .

Alert Settings : Is segregated by the Commercial or Master project type. After selecting the
type alert settings can be set for that type.

View Settings : New groups can be added which can contain different set of Project

Sequence Settings

© Copyright. All rights reserved. 33

Unit 2: Workspace

Figure 37: Project Overview

The Project Overview app is a single-project object page app that brings rich data visualization
with embedded analytics.
The key tabs are:

Commercials tab - This tab shows commercials of a single project and gives insight into the
followiing important project key figures:
- Margin (plan / actual / forecast)
- Cost (plan / actual / forecast)
- Revenue (plan / actual / forecast)
- Earned Value, PoC, CPI, SPI
- Receivables
- Unbilled Revenue
- EAC Trending

Status tab - This tab shows status by the number of Issues, Risks, Change Request,
Activities that are overdue and due next week as well as purchase documents. In addition,
it provides a link to view status and trend PMO reports.

Key Members tab - This tab provides information about the key personnel assigned to the
project.

Attachments tab - This tab gives information about the documents attached to this
project.

© Copyright. All rights reserved. 34

 Lesson: Reviewing Fiori apps for Project Workspace

Figure 38: Procurement Overview

The Procurement Overview app that beings in details of the procurement aspects of all
projects. Users can select a single project or multiple projects. The app also provides
additional filter criteria (for example, structure element, supplier, material).
The app displays the following information:

Purchase order items including ordered, delivered, invoiced, and open quantity / amount

Purchase order history (goods receipts, invoice receipts etc.)

Purchase Requisitions including requested, ordered and open quantities

Navigation to purchase order, purchase requisition, goods receipt, and invoice receipt

Users can take direct action to:

- Create goods receipt
- Create service entry sheet
- Release purchase order
- Convert open quantity of purchase requisition into purchase order
- Release purchase requisition

© Copyright. All rights reserved. 35

Unit 2: Workspace

Figure 39: Billing and Receivables Overview

The Billing and Receivables Overview app brings in details of the billing and receivables of all
projects. Users can select a single project or multiple projects. The app also provides
additional filter criteria.
The app displays the following information:

Overview ageing of receivables

Billing Plan

Debit memo requests

Invoices

Summary per sales order item (net value, billed amount, received amount, amount
outstanding)

The app also provides navigation to sales order item, debit memo request and invoice.

© Copyright. All rights reserved. 36

 Lesson: Reviewing Fiori apps for Project Workspace

Figure 40: Project Activities-1

The Project Activities app displays processing of activities related to:

Risks

Issues

Change Requests

Checklists

Typical use cases are:

Project Manager wants to reviews status of all activities of Projects

Project Team Member wants to view and work on his/her assigned activities

Figure 41: Project Activities-2

© Copyright. All rights reserved. 37

Unit 2: Workspace

Using the Project Activities app you review the following project activity details:

Status Control

Detailed Descriptions

Responsible Employee

Planned and Actual dates.

It also supports the navigation to the reference objects (such as risks, issues, change,
checklist).
On the Description tab of the Project Activities app you can work with attachments and view
the additional members involved in the activity.

LESSON SUMMARY
You should now be able to:

Explain the SAP Fiori apps for project workspace and their functions

© Copyright. All rights reserved. 38

 Unit 2

Learning Assessment

1. Identify the view of the SAP Commercial Project Management Workspace that provides
the details of project contractual value and obligations.
Choose the correct answer.

X A Overview

X B Procurement

X C Financial Plan

X D Commercial View

X E Issue and Change Management

2. Which of the following features are available in SAP Commercial Project Management
Workspace?
Choose the correct answer.

X A Embedded Analytics for reporting

X B Rule based alerts

X C Ability to view Project Status and Trends

X D Ability to view Production Order and its details

X E Identify risks using the Risk Management view

3. Which SAP Fiori App provides the flexibility to select relevant KPIs (ad-hoc or via pre-
defined variants)?
Choose the correct answer.

X A Project Activities

X B Multiproject Overview

X C Report Issue

X D Create Change Request

© Copyright. All rights reserved. 39

 Unit 2

Learning Assessment - Answers

1. Identify the view of the SAP Commercial Project Management Workspace that provides
the details of project contractual value and obligations.
Choose the correct answer.

X A Overview

X B Procurement

X C Financial Plan

X D Commercial View

X E Issue and Change Management

You are correct! The Commercial view of the SAP Commercial Project Management
Workspace that provides the details of project contractual value and obligations.

2. Which of the following features are available in SAP Commercial Project Management
Workspace?
Choose the correct answer.

X A Embedded Analytics for reporting

X B Rule based alerts

X C Ability to view Project Status and Trends

X D Ability to view Production Order and its details

X E Identify risks using the Risk Management view

You are correct! You cannot view Production Orders and its details with SAP Commercial
Project Management Workspace.

© Copyright. All rights reserved. 40

 Unit 2: Learning Assessment - Answers

3. Which SAP Fiori App provides the flexibility to select relevant KPIs (ad-hoc or via pre-
defined variants)?
Choose the correct answer.

X A Project Activities

X B Multiproject Overview

X C Report Issue

X D Create Change Request

You are correct! The Multiproject Overview app provides the flexibility to select relevant
KPIs (ad-hoc or via pre-defined variants).

© Copyright. All rights reserved. 41

 UNIT 3 Project Cost and
Revenue Planning

Lesson 1
Understanding Project Financial Planning 43

Lesson 2
Financial Planning Use Cases 51

UNIT OBJECTIVES

Explain the Project Financial Planning Process

Describe a Project Financial Plan and a Planning Workbook

Explain how Analysis Office or Lumira Designer supports planning

List the planning use cases supported by the Project Financial Planning application

© Copyright. All rights reserved. 42

 Unit 3
Lesson 1
Understanding Project Financial Planning

LESSON OBJECTIVES
After completing this lesson, you will be able to:

Explain the Project Financial Planning Process

Describe a Project Financial Plan and a Planning Workbook

Financial Plan Process Overview

Figure 42: Project Cost and Revenue Planning: Objectives, Issues, Capabilities, and Benefits

The figure, Project Cost and Revenue Planning: Objectives, Issues, Capabilities, and Benefits,
shows the overall project process from high level estimate to execution versions. Businesses
faces issues in running these processes.
The following list outlines the key issues that arise:

How can I ensure accurate reliable bids?

How can I re-use a previous bid and actual project outcomes during the bid phase?

How can I effectively plan cost and revenue consistently for my projects?

How can I keep track of my projects against plan and forecast outcomes?

SAP Commercial Project Management, option for cost and revenue planning helps provide
business capabilities that help organizations minimize the stress in performing and executing
projects. It supports businesses and companies run through these critical processes by
providing planning and forecasting functionality.
The following is a list of the key business capabilities that SAP Commercial Project
Management, option for cost and revenue planning provides:

Unified financial planning application of all aspects (resources, materials, expenses, 3rd
party)

Bid, proposal, estimates, and detailed baseline cost and revenue plans

Forecasting (ETC/EAC)

Cash flow planning

Change requests / Supplements

Monitoring and Control

© Copyright. All rights reserved. 43

Unit 3: Project Cost and Revenue Planning

Process integration with core S/4HANA master data and key downstream processes

The following list outlines the benefits of using SAP Commercial Project Management, option
for cost and revenue planning:

Better usability and transparency resulting in a more efficient planning process

Improved decision making and better prediction of the future using integrated planning
framework

End-to-End structured estimating and financial planning and forecasting process for
projects

Timely and increased visibility and transparency into cost drivers, productivity, and
profitability of a project

Figure 43: Project Cost and Revenue Planning

SAP Commercial Project Management, option for cost and revenue planning also provides a
unified planning and controlling of quantities, costs, and revenues throughout the complete
project lifecycle (bid, plan, forecasting, execution).
The following are the key functionalities of this process:

Planning and forecasting of quantities, costs, and revenues through the complete project
lifecycle:
- High-level estimates in bid stage based on bid structure
- Detailed baseline cost and revenue plans
- Forecasting processes during project execution

Support for planning resources, materials, equipments, expenses, 3rd party etc.

Tight bi-directional integration with SAP S/4HANA

Support for cash flow planning

Flexible and user-friendly user interfaces (support for planning with Excel or Web based
planning interface)

© Copyright. All rights reserved. 44

 Lesson: Understanding Project Financial Planning

Figure 44: Project Cost and Revenue Planning: Key Functions

SAP Commercial Project Management, option for cost and revenue planning supports a range
of processes.
It can be a useful tool to help create a bid structure when we want to estimate the cost and
create a contract, thereby help in contract planning or when the planning is done in S/4HANA
Project System. SAP Commercial Project Management, option for cost and revenue planning
can help import the data onto the financial planning section. SAP Commercial Project
Management, option for cost and revenue planning is a powerful planning and forecasting tool
that integrates with WBS, NWA, MRS and provides users with the capability to plan for
material, labor expenses etc. The reporting feature of SAP Commercial Project Management,
option for cost and revenue planning is also adequate to provide real time project financial
information to the user.

Figure 45: Architecture Cost and Revenue Planning

The figure, Architecture Cost and Revenue Planning, shows the architecture or the
connection between layers of SAP Commercial Project Management, option for cost and
revenue planning and other S/4HANA modules.

© Copyright. All rights reserved. 45

Unit 3: Project Cost and Revenue Planning

The front end or the Workbooks for Planning, Forecasting, and Change Requests can be
called either using the Analysis for Office Excel or Lumira. The workbooks use the planning
engine of BW and they are comprised of Queries and Info Objects. Multi providers in BW-IP
bring in the necessary information from the S/4HANA back end. Data from SD, PPM, MRS
and FICO is fetched and displayed in these workbooks. SAP provides different types of
reference workbook and depending on the chosen workbook, both actual and planning data
displays. There is additional functionality to fetch cost and revenue rates and perform
calculations.

Financial Plan – Planning Workbook

Figure 46: Project Financial Plan Overview (1)

The financial plan is linked to a SAP Commercial Project Management commercial project and
there is a 1:n relation between a SAP Commercial Project Management commercial project
and financial plan. There is an option to work with multiple financial plans for commercial
project bid structure and then you can create separate financial plans for different header
business objects (i.e. PS project, SD order, PPM project). However, once the structure is
finalized (when we select the Master Project structure user in the plan hierarchy section of the
financial plan screen) we can have only one financial plan. Each financial plan can have
multiple plan versions (quote, baseline, current, forecast etc)

© Copyright. All rights reserved. 46

 Lesson: Understanding Project Financial Planning

Figure 47: Project Financial Plan Overview (2)

A financial plan can lead or follow master project setup

Multiple bid-structure plans can be assigned to a master project along with one job
structure plan

A plan can have multiple versions. Each version is assigned a version type.

Each financial plan version can have one workbook

Final bid version can be stored and represents the as-sold baseline for future analysis

A version comparison workbook is available to enable version comparison in Excel

Commercial project is a mandatory attribute; it can be created during plan creation.

Multiple financial plans of type bid structure can be assigned to a commercial project.

Each forecast snapshot generates a plan version

A version comparison workbook is delivered to support comparison reporting in Analysis

Office Excel UI

© Copyright. All rights reserved. 47

Unit 3: Project Cost and Revenue Planning

Figure 48: Financial Plan Overview

This figure, Financial Plan Overview, shows the Financial Plan screen and highlights the
various sections that it contains.
Some of the important points to note are:

A financial plan contains header, structure and version information, the financial plan view
provide navigation access to this information

A plan can have multiple versions serving multiple purposes (e.g., multiple bids, forecast
snapshots, multiple change requests, etc.)

Each version can have one planning workbook assigned to it

Planning can be performed for the entire structure at the version level or on lower level
nodes of the bid structure

Attachments are also supported

A planning version is created automatically when a financial plan is created

Planning can be launched at the version level or at the level of a planning structure node by
navigating to the structure view

Some of the key attributes of a financial plan are:

Plan Scenario
- Determines multiple planning settings such as:

Bid structure allowed (y/n)

Forecast snapshot creation (y/n)

Resource types allowed

Valuation strategies used

Default currency and exchange rate source

Plan Type

© Copyright. All rights reserved. 48

 Lesson: Understanding Project Financial Planning

- Determines the plan layout, for example, daily, weekly, monthly

- Determines the AO workbooks that can be used for planning

Plan Version
- Level at which planning items are created
- Provides a link to an AO planning workbook
- Version type defines:

purpose of version: for example, bid, baseline, forecast

Transfer rules (transfer to CO or MRS)

Plan Hierarchy
- Bid Structure (optional)

Used prior to or in place of a job structure

Enables detailed estimating from a sales perspective before a detailed job structure
is available

Can also be used for all planning if a job structure is not available
- Commercial Project Structure (optional)

Derived from object assignments (Project systems, Sales Order, or PPM Project)

Multiple project objects can be assigned resulting in multiple job structure nodes in
the planning hierarchy

Figure 49: AO Workbook and Financial Plan Integration

The figure, AO Workbook and Financial Plan Integration, shows the Financial Plan versions
screen and highlights the various sections that it contains. It also describes the process to call
the workbooks and perform planning.
In this example, there are multiple versions assigned to the financial plan.

© Copyright. All rights reserved. 49

Unit 3: Project Cost and Revenue Planning

The figure also shows planning on the version level. Choose Plan to call the workbooks which
launches the Analysis Office interface which in turn launches the Excel UI and a planning
workbook.
In the figure, the examples planning information has already been maintained in the
workbooks of all versions.

LESSON SUMMARY
You should now be able to:

Explain the Project Financial Planning Process

Describe a Project Financial Plan and a Planning Workbook

© Copyright. All rights reserved. 50

 Unit 3
Lesson 2
Financial Planning Use Cases

LESSON OBJECTIVES
After completing this lesson, you will be able to:

Explain how Analysis Office or Lumira Designer supports planning

List the planning use cases supported by the Project Financial Planning application

Planning with Analysis Office or Lumira Designer

Figure 50: Analysis Office Overview - Launching AO Workbooks from a Financial Plan

Analysis Office Planning Process Overview

Use the following steps to open workbooks, call Analysis for Office and plan in the workbook:

1. Select Version and click Plan: This opens the planning workbook selection dialogue.

2. Launch Analysis Office Planning: There are several ways to launch analysis office from
Financial Planning. In addition to launching planning for a version or a structure element, a
user can also select the forecasting or version comparison functions.

3. Select the Planning Workbook: The planning workbooks available for planning are
determined by the plan type of the financial plan. There is one default workbook for each
of the following categories:

Planning

Forecasting

Version comparison

© Copyright. All rights reserved. 51

Unit 3: Project Cost and Revenue Planning

Alternative workbooks can be selected during AO launch

4. Create and change planning line items for structure elements: Add and insert planning line
items using Financial Planning macros. There can be separate line items for materials,
labor, expenses, and revenues.

5. Leverage Planning functions: During the planning process, planning functions can be used
to assist in planning. The Valuate and Calculate Planning functions can be executed to
update planning lines and summary information. The Distribute Planning function can be
used to ease data entry for multi-period planning.

6. Save the planning workbook and return to the financial plan: Select Excel Planning
template and launch Analysis Office to plan costs and revenues by resource type and
resource.

Figure 51: Analysis Office Workbook - Example Layout

This figure, Analysis Office Workbook - Example Layout, shows the layout of the workbook
and highlights the various sections that it contains.
The analysis office workbooks used by SAP Commercial Project Management financial
planning include macros and these macros can vary by workbook.
SAP Commercial Project Management is delivered with multiple example workbooks which
users can customize to their need.
The financial plan data and summary sections are optional and the default characteristics can
also be varied.

Figure 52: Analysis Office Workbook - AO Excel Ribbon – Commercial Project

The Analysis Office ribbon contains AO macros and CPM Financial Planning Macros.
Upon installing Analysis for Office, the Analysis, Analysis Design and Commercial Project tabs
are activated on the Excel workbook. The FP Macros are dynamically applied to the ribbon
and to the Excel right-click context menu based on the workbook.
On the Commercial Project tab, we would get the Macros to Calculate , Valuate , Copy, Delete
and Distribute functions. These would be used when we enter the data into the Resources and
need to calculate the values or fetch rates from the system.

© Copyright. All rights reserved. 52

 Lesson: Financial Planning Use Cases

Figure 53: Analysis Office Workbook - AO Excel Ribbon and FP Macros

The Analysis tab, we would have the macros to Save Data, Recalculate and Display. We need
to use Save Datamacro to save the values that we entered.

Note:
Do not use the traditional File Save in Excel to save the data. Instead use the
Analysis Save Data.

Figure 54: Analysis Office Workbook - Distribution of Planning Values

The AO Excel Workbooks provide options for the users to either manually distribute the data
over a planning horizon or use the distribution macro to perform the function. Simple, linear
distribution such as entering a value is possible or complex distribution macro can be created
and used. There is no limit on the distribution functionality and multiple planning values can
vary over a planning horizon. The distribution macro can be used to speed up data entry.

Figure 55: Analysis Office Workbook - Planning functions - Valuation

© Copyright. All rights reserved. 53

Unit 3: Project Cost and Revenue Planning

The AO Excel Planning Workbooks provide options for the users to valuate the cost and
revenue rates. Valuate icon is used to communicate with the backend system to get rates
based on the valuation strategy and method.
Some of its important features are:

It provides a flexible framework to determine cost rates and revenue rates

Valuation strategy determination based on resource type

Out-of-the box content

- Activity type costs (KP26)
- SD pricing
- Material prices

Figure 56: SAP Commercial Project Management with Analysis Office and SAP Lumira

The information displayed in SAP Commercial Project Management is fetched from SAP ERP
or SAP S4/HANA. The figure, SAP Commercial Project Management with Analysis Office and
SAP Lumira, explains the architecture of SAP Commercial Project Management where
different SAP modules provide data. The BW input ready queries, planning functions and info
providers collect this information and the SAP Commercial Project Management workbooks
using AO or Lumira display these values.

© Copyright. All rights reserved. 54

 Lesson: Financial Planning Use Cases

Figure 57: SAP BusinessObjects Lumira 2.0: Overview

SAP BusinessObjects Lumira enables customers to gain insights from trusted enterprise data
sources and personal data, and to share those insights through interactive visualizations,
stories and tailored analysis applications with other users, on desktop browsers and mobile
devices.
Discovery

Rich client for business users

Connect to data sources, acquire, manipulate, and merge data

Work offline with data, explore, and analyze data online

Create stories with visualizations from all types of data

Designer

Rich client for professional designers of corporate analysis applications

Full control of the application look and feel, and user interaction

Create shared UI elements (for example, headers, footers, toolbars)

Create planning applications (based on BW-IP or BPC 10.1 Embedded)

Cost-effective management of large corporate BI deployments

Interoperability

Discovery and Designer share data connectivity and UI artifacts (visualizations, stories,
stylesheets), see Common Technology (next slide)

Consistent end user experience for Discovery story and Designer application consumers

IT can extend and / or operationalize Discovery stories from Business users using
Designer

Typical advantages of Lumira Designer compared to Analysis Office are:

Performance
- No WAN limitation

Robustness in a heterogeneous environment

© Copyright. All rights reserved. 55

Unit 3: Project Cost and Revenue Planning

- Web Application
- No dependence on Excel, Windows, .net versions

Usability for casual user

Use Case: Bid Estimation

Figure 58: Bid Estimation

Bid Estimation is an important aspect of SAP Commercial Project Management, option for
cost and revenue planning. It provides functionality for users to estimate their project cost by
creating bid structures. This feature is very useful to perform "what-if" scenarios. The feature
helps users control aspects of the structure and planning (material, resource etc.) to
determine the overall project financials.
Key features are:

Bid Structure provides a hierarchical structure as basis for the estimate

Provides Flexible Versioning with status control

Provides Flexible Frontend for Planning

- Excel based or using SAP Lumira Designer

Users can plan for internal labor, material, equipment, expenses, 3rd party etc.

Full integration with SAP S/4HANA master data

- Activity Types
- Materials
- Pricing Conditions

© Copyright. All rights reserved. 56

 Lesson: Financial Planning Use Cases

Figure 59: Bid Estimation - Key Features

The planning hierarchy to be used can be selected for each plan from two options. It can
either be taken over from the commercial project structure or it can be defined directly in the
plan. Only one plan that uses the Commercial Project Structure is allowed, any number of
plans using the bid structure can be created.

Figure 60: Bid Estimating with Bid Structure

Bid (Quote) Estimating Process Steps

Use the following steps to create a successful Bid Estimate and planning against it:

1. Create Plan : A financial is created and assigned to a master project. Master project is
mandatory but one can also be created together with financial plan creation.

© Copyright. All rights reserved. 57

Unit 3: Project Cost and Revenue Planning

2. Create Plan Version (optional): A default version (set in configuration) is assigned when a
plan is created. Additional versions can be added for each bid if alternative bids are
required or a bid history is required.

3. Create Plan Hierarchy (optional): Navigate to bid structure view and structure bid into a
hierarchy of planning items. Detailed planning can be done at the version level without a
bid structure.

4. Select Planning Item(s) : Bid estimates can be created at the version level or at lower
levels using the planning hierarchy (bid or job structure). Planning is possible at any level
of the planning hierarchy. Note: the planner has the responsibility to ensure that all nodes
that need to be planned are planned.

5. Plan / estimate using Analysis Office Planning Workbook: Select Excel Planning template
and launch Analysis Office to plan costs and revenues by resource type and resource.

Use Case: Plan Hierarchy Structuring

Figure 61: Plan Hierarchies

Another use case for Financial Planning is its flexibility to planning options on multiple
hierarchies. Users can include SAP S/4HANA structure (execution structure from PS, PPM,
or SD) or a bid structure as placeholder for execution structure. This bid structure can be
selected as an option for subsequent transfer of plan values into execution structure.
Plan Hierarchy Transfer is a subsequent functionality that can be used once the Master
Project structure is finalized and the Bid Structure can be mapped to it. The process supports
n:m mapping
The figure, Plan Hierarchies, shows how a Bid Structure displays and can be planned upon. It
also shows how a Bid Structure can be mapped to a Master Project Structure.

© Copyright. All rights reserved. 58

 Lesson: Financial Planning Use Cases

Use Case: Base Line Planning

Figure 62: Baseline Planning

Most companies create a baseline upon winning a customer contract and this is also
considered the final version that is approved by the customer. This version is used for
comparison and also to monitor and control any deviation from the plan. Baseline planning is
the process of creating the first approved planning version in the system. SAP Commercial
Project Management, option for cost and revenue planning can be used to create the baseline
and plan for it. During Baseline planning, the users can work with a temporary structure (Bid
structure) or a finalized Master / Commercial Project Structure.
Baseline Planning provides:

Seamless transition from bid to execution

Mapping of structures

Support for structures from Project System (WBS, Network Activities), PPM and Sales

Tight bi-directional integration with SAP S/4HANA (import and transfer)

Planning on daily, weekly, monthly, or fiscal period basis

Planning in multiple currencies

Output quantity management

Figure 63: Import Plan Data from ERP PS

Sometimes planning is done in SAP S4/HANA PS and this needs to be imported into SAP
Commercial Project Management. For this, SAP Commercial Project Management provides a
feature to import data and this functionality has the following advantages:

© Copyright. All rights reserved. 59

Unit 3: Project Cost and Revenue Planning

Possibility to import plan data from ERP PS to SAP Commercial Project Management

Out-of-the-box functionality
- Network Activity Quantity Import
- Network Activity Material Component Import
- Network Activity element Quantity Import
- Statistical Key Figure Import

Import can be executed for the complete project structure or for selected project structure
elements

Flexible framework that allows to add import methods

Figure 64: Quantity Management

SAP Commercial Project Management, option for cost and revenue planning has reference
workbooks that provide options for quantity management. In certain industries, it becomes
important to plan values for both input and output work and in such cases the quantity
management workbook helps to reduce planning errors.
SAP Commercial Project Management, option for cost and revenue planning provides options
such as:

Possibility to plan not only "input" (labor, subcontractors, materials etc.) but also the
"output" (for example, number of drawings, m3 of wall to be build, m2 of formwork)

Output quantities are linked to statistical key figures

© Copyright. All rights reserved. 60

 Lesson: Financial Planning Use Cases

Figure 65: Integration with SAP Multi-Resource Scheduling - Overall Process

SAP Commercial Project Management, option for cost and revenue planning can be
integrated with MRS. The SAP Commercial Project Management plan line items can be
transferred to MRS as resource requests. The figure, Integration with SAP Multi-Resource
Scheduling - Overall Process, shows the Project and Resource Management processes and
the transfer of requirements from Project planning to resource planning.
SAP Commercial Project Management - Multi-Resource Scheduling integration offers the
following advantages:

Transfer plan to requirements

- Plan line items in SAP Commercial Project Management are transferred to Multi-
Resource Scheduling resource requests

Show as staffed information

- Staffed quantities

Use Case: Forecasting

Figure 66: Forecast scenarios

Project Forecasting is an important topic in SAP Commercial Project Management, option for
cost and revenue planning. It is carried out by users to determine the project financials for
future periods. The key terms are Estimate to Complete (ETC), Estimate at Complete (EAC)
and Percentage of Completion (POC) . Based on the scenario, users enter the ETC, EAC or

© Copyright. All rights reserved. 61

Unit 3: Project Cost and Revenue Planning

POC of the project. Forecasting is usually done for future periods and takes into account the
planned and actual values.
The following list describes the common scenarios for forecasting:

Scenario 1 - ETC forecasting : Forecast of ETC by period

Scenario 2 - ETC forecasting based on physical progress and productivity (based on

quantity management): Forecast of ETC for output quantities by period. System can
derive the ETC of the input resources based on the actual productivity.

Scenario 3 - EAC forecasting : Forecast of the EAC without the need to break it down by
period.

Scenario 4 - POC forecasting : Estimate at complete (EAC) derived from the percentage of
completion (POC).

Figure 67: Forecasting Scenario 1: ETC Based Forecasting

In the figure, Forecasting Scenario 1: ETC Based Forecasting, forecasting is performed for
ETC based on quantities, costs, and revenues. Users enter the quantity, cost or revenue for
future periods and the system calculates the EAC of the project. This is the most common
and most widely used scenario.

© Copyright. All rights reserved. 62

 Lesson: Financial Planning Use Cases

Figure 68: Forecasting Scenario 2: Based on Quantity Management

In the figure, Forecasting Scenario 2: Based on Quantity Management, forecasting is

performed for ETC based on actuals. The system extrapolates the actual productivity of the
input resources. There is also provision to Forecast ETC based on previous EAC. In this case,
the system adjusts the ETC of the input resources to keep the previous EAC

Figure 69: Forecasting Scenario 3: Estimate at Complete (EAC) Forecasting

The figure, Forecasting Scenario 3: Estimate at Complete (EAC) Forecasting, is a simple

Forecasting scenario without period break-down of the ETC. EAC can be manually entered by
the user or system generated based on predefined calculation logic.

Figure 70: Scenario 4: Forecasting Based on Percentage of Completion (POC)

© Copyright. All rights reserved. 63

Unit 3: Project Cost and Revenue Planning

The figure, Scenario 4: Forecasting Based on Percentage of Completion (POC), is a simple

Forecasting scenario without period break-down of the ETC. Users enter the POC and system
determines EAC based on predefined calculation logic.
*This workbook is not included in the Standard SAP Commercial Project Management
delivery

Figure 71: In-period Forecasting

In-period forecasting is different from the normal period end forecasting in that it enables
planning for the current period. With this feature, users can provide forecast values (for
example, ETC value) even for the current period (for example, the current month). This
feature can typically be used to revise forecast values for specific structure elements that
need frequent forecast revision, due to the nature of the activity or shorter life cycles (for
example, a few weeks).
The following options are available:

At any point in time a forecast can be done (in-period forecast)

- This forecast can be done manually or automatically by the system
- For the current forecast period (for example, April 2019) there are actuals as well as
Estimate-To-Complete (ETC) values

The system keeps the sum (actuals + ETC). When additional actuals are recorded
the ETC is automatically adjusted.

At period end there is the period-end forecast

- For the current forecast period there are only actuals. ETC values are in future periods.
- Flexible status control helps to manage the month end process (for example, review
and approval steps)
- Process can be done manually or automatically

Transfer to financials:
- At any point in time the data can be transferred to S/4HANA financials (also possible
within the program that automatically generates the forecast)

© Copyright. All rights reserved. 64

 Lesson: Financial Planning Use Cases

Use Case: Plan Transfer

Figure 72: Transfer Scenarios

SAP Commercial Project Management provides a flexible framework to transfer SAP

Commercial Project Management planning data to SAP S/4HANA tables. Users can transfer
planned data such as quantities, cost, or revenue to business objects in SAP S/4HANA. SAP
Commercial Project Management, option for cost and revenue planning thus provides an end-
to-end integration that allows users to view unified and consistent information in downstream
processes. It provides out-of-the-box content to transfer data to the following:

SAP S/4HANA Project System network activity

- Can transfer Quantity, Material component creation, Planned Cost, EAC

Statistical key figures (when SAP Commercial Project Management quantity management
is used)
- On network activity and WBS level

Cost and revenues for WBS

- Cost, revenue and EAC on cost element level

MRS integration
- Creation of resource requests in MRS

© Copyright. All rights reserved. 65

Unit 3: Project Cost and Revenue Planning

Use Case: Version Comparison

Figure 73: Version Comparison

Users can compare multiple plan versions to compare the cost, revenue, and other
customized key figures based on resource type, resource, and other characteristics. The
Compare Bid, Plan, Actual, and Forecast workbook is available for version comparison and all
data displays as read-only. This workbook allows users to compare data from bid, plan, and
forecast versions, along with actual data.

LESSON SUMMARY
You should now be able to:

Explain how Analysis Office or Lumira Designer supports planning

List the planning use cases supported by the Project Financial Planning application

© Copyright. All rights reserved. 66

 Unit 3

Learning Assessment

1. Which of the following features are available in SAP Commercial Project Management,
option for cost and revenue planning?
Choose the correct answer.

X A Create high-level estimates in bid stage based on bid structure

X B Create detailed baseline cost and revenue plans

X C Supports forecasting processes during project execution

X D Supports only downstream integration with SAP S/4HANA MM, SD, PS etc.

X E Supports the transfer of plan from bid structure to execution structure

2. The relationship between an SAP Commercial Project Management project and its
financial plan is _________.
Choose the correct answer.

X A 1:N

X B N:1

X C 1:1

X D N:N

3. Which of the following are true about a financial plan?

Choose the correct answers.

X A A financial plan can exist independent of SAP Commercial Project Management

Master Project

X B The financial plan version is assigned to a Version Type.

X C A financial plan can have only 1 version

X D Planning can be performed for the entire structure at the version level or on lower
level nodes of the bid structure

© Copyright. All rights reserved. 67

Unit 3: Learning Assessment

4. Arrange the steps in the correct order for Financial Planning Process on a workbook.
Arrange these steps into the correct sequence.

0 Create and or change planning line items for structure elements

0 Select Version and choose Plan

0 Select the Planning Workbook

0 Save the planning workbook and return to the financial plan

0 Launch Analysis Office Planning

0 Leverage Planning Functions

© Copyright. All rights reserved. 68

 Unit 3

Learning Assessment - Answers

1. Which of the following features are available in SAP Commercial Project Management,
option for cost and revenue planning?
Choose the correct answer.

X A Create high-level estimates in bid stage based on bid structure

X B Create detailed baseline cost and revenue plans

X C Supports forecasting processes during project execution

X D Supports only downstream integration with SAP S/4HANA MM, SD, PS etc.

X E Supports the transfer of plan from bid structure to execution structure

You are correct! SAP Commercial Project Management, option for cost and revenue
planning can be used to create high-level estimates in bid stage based on bid structure,
create detailed baseline cost and revenue plans, supports forecasting processes during
project execution and, supports the transfer of plan from bid structure to execution
structure.

2. The relationship between an SAP Commercial Project Management project and its
financial plan is _________.
Choose the correct answer.

X A 1:N

X B N:1

X C 1:1

X D N:N

You are correct! The relation between an SAP Commercial Project Management project
and its financial plan is 1:N.

© Copyright. All rights reserved. 69

Unit 3: Learning Assessment - Answers

3. Which of the following are true about a financial plan?

Choose the correct answers.

X A A financial plan can exist independent of SAP Commercial Project Management

Master Project

X B The financial plan version is assigned to a Version Type.

X C A financial plan can have only 1 version

X D Planning can be performed for the entire structure at the version level or on lower
level nodes of the bid structure

You are correct! The financial plan version is assigned to a Version Type and the planning
can be performed for the entire structure at the version level or on lower level nodes of the
bid structure.

4. Arrange the steps in the correct order for Financial Planning Process on a workbook.
Arrange these steps into the correct sequence.

4 Create and or change planning line items for structure elements

1 Select Version and choose Plan

3 Select the Planning Workbook

6 Save the planning workbook and return to the financial plan

2 Launch Analysis Office Planning

5 Leverage Planning Functions

You are correct! The correct sequence of steps for the financial planning process on a
workbook are: Step 1 – Select Version and click Plan , Step 2 - Launch Analysis Office
Planning, Step 3 - Select the Planning Workbook, Step 4 - Create and or change planning
line items for structure elements, Step 5 - Leverage Planning Functions and Step 6 - Save
the planning workbook and return to the financial plan.

© Copyright. All rights reserved. 70

 UNIT 4 Project Risk, Issue and
Change Management

Lesson 1
Handling Project Issues and Change Management 72

UNIT OBJECTIVES

Explain the business process covered by issue and change management

Understand the functions of project issue and change management

Understand the integration with cost and revenue planning

Understand the integration with risk management

© Copyright. All rights reserved. 71

 Unit 4
Lesson 1
Handling Project Issues and Change
Management

LESSON OBJECTIVES
After completing this lesson, you will be able to:

Explain the business process covered by issue and change management

Understand the functions of project issue and change management

Understand the integration with cost and revenue planning

Understand the integration with risk management

Overview Business Process

Project Issue and Change Management

Figure 74: Project Issue and Change Management: Business Process Overview

Project issues and changes are inevitable. To overcome the problems associated with issues
and changes, the project team (internal and external) must be able to effectively manage
issues and change requests. Project Issue and Change Management of SAP Commercial
Project Management not only reduces the effects of the change on the quality, schedule,
execution plan, and cost, but also tracks the changes in the project to ensure an accurate
compensation for them. This application allows users to identify, document, communicate,
and track issues and changes. Users can estimate costs and submit costs for approval. The

© Copyright. All rights reserved. 72

 Lesson: Handling Project Issues and Change Management

application also supports customer approvals for project issues and changes. Approved
changes are implemented.
Project Issue and Change Management provides solutions that allow users to handle project
deviations along with the ability to plan detailed changes to costs. During the execution of
projects (for example, construction, research and development (R&D), consulting, or IT
projects) the conditions, design, scope, and other items within the projects can change. This
has an impact on factors such as client relations or the cost, quality, schedule, resources,
safety, reliability, feasibility, maintainability, and operability of the projects. Undocumented
changes in a project and a methodology framework insufficient for controlling the change
process are some of the major reasons why projects fail or are not profitable. Companies that
sell project-based services require efficient management of change processes to:

Log issues

Attach related documents and link relevant URLs

Assign responsible people

Create tasks to resolve these issues

There are many reasons why issues and changes are required in a project. In the construction
industry, for example, one of the most common reasons is to accommodate a change in the
owner's requirements even after the execution of the project has begun. Other common
reasons include:

Changing requirements from public authorities

Issues initiated by contractors or subcontractors

Deletion of project features

Resolution of coordination problems

Correction of errors or conflicts in the plans or specifications

Changes in material or equipment

Non-availability or the delayed delivery of specified items

Changes in technology

The Problem
Project personnel do not have appropriate tools to fulfill bottom line expectations in managing
the issue and change process effectively. Project members typically use tools such as
spreadsheets, word processing applications, file folders, e-mails, paper-based documents,
drawings, or software (standalone project management software, CAD software, job cost
software, and accounting systems) to manage their projects. Since there is no integration of
systems, the drawbacks of such a scenario include:

Absence of a systematic way of recording all problems and issues that occur during the
lifecycle of a project

Paper-based or spreadsheet-based change process that is inefficient

Inefficient tracking and billing of changes

Limited visibility of the impact of the change with respect to cost, schedule, and resources

© Copyright. All rights reserved. 73

Unit 4: Project Risk, Issue and Change Management

Budget risk owing to limited visibility of changes (and potential changes), in individual
projects and project portfolios

Performance risk on account of to poor coordination of changes with subcontractors and

suppliers

Incomplete documentation that covers all aspects of the project, such as insights for
negotiations and the change history, leading to inaccurate analyses for the allocation of
funds

This makes it difficult to control the change process since the information is spread across
system boundaries and cannot be easily consolidated for accurate documentation,
processing, and billing.
Project Issue and Change Management (CA-CPD-PCM) helps users overcome the following
important project challenges:

No systematic way of recording problems and issues

Inefficient paper and / or Excel based processes (locally stored)

Missing overview of changes and their impact to project cost / budget over-run

Clarification of issues and changes difficult due to missing collaboration between internal
and external partner

Too long time to get approval for change requests

Project Issue and Change Management (CA-CPD-PCM) provides the following benefits:

Reduced percentage of un-approved changes resulting in increased project profitability

Increased productivity of project professionals

Increased transparency on project issues and potential cost over-runs

Solution Scope of Project Issue and Change Management (CA-CPD-PCM) is:

Provide documentation and tracking of project issues and changes

Integration with SAP S/4HANA for data exchange and update of business processes once
changes are approved

Integration with document management capabilities

Cost and revenue planning of changes

Reporting and analytics capabilities within the process of issue and change management

Project Issue and Change Management (CA-CPD-PCM) provides users with the following
features:

Processing of issues and change requests relevant to different types of business objects
(PS objects, financial plans, purchase requisitions, sales orders, CRM opportunities, SAP
Portfolio and Project Management objects, or DMS documents)

Integration with the multiple application components in SAP S/4HANA to allow the
possibility to exchange data and post updates

Cost and revenue planning of changes (if users are integrated with Project Cost and
Revenue Planning (CA-CPD-FP)

© Copyright. All rights reserved. 74

 Lesson: Handling Project Issues and Change Management

Documentation and processing of project issues and changes using DMS documents,
reference URLs, and attachments (such as word processing documents, spreadsheets,
drawings)

Reporting and analytics

- Embedded analytics in the Project Workspace
- Business Context Viewer (BCV) side panel for ease of navigation
- Reporting content
- Context-sensitive analytics
- Dashboards

Monitoring of issues using the issue log

Organization of issue activities and driving of the follow-up tasks using activities

Monitoring of change requests using the change log (using the Document History feature)

Organization of change request activities and the resolution of changes with the use of
activities

Integration with e-mail functions for notifications

Collaboration among multiple stakeholders using activity management, which is tracked

with statuses

Approval process for change requests

Processing of PDF-based smartforms for external approvals

Full-text search

Functions of Project Issue and Change Management

Figure 75: Workspace View of Issues and Changes

Accessing the Issues and Changes tab from the Commercial Project Management Workspace
would lead us to the Project Issue and Change Management section.

© Copyright. All rights reserved. 75

Unit 4: Project Risk, Issue and Change Management

This is the area at which users can record and track project issues and change requests and
their cost and revenue impact.
Users can view:

Analytics
- View Analytics on number of issues and change requests

View Analytics on impact of changes on overall cost and revenue situation

Issue and Change List

- View Issues and Change Requests along with the relevant information

The list provides Flexible filtering

Quick information on key data, like status and employee responsible

Creation of new issues and changes (also with reference to existing ones)

Project Cost Item Details

- View Detailed report to analyze cost and revenue impact of change requests

SAP Fiori Apps for Issue and Change Requests

Figure 76: SAP Fiori App: Report Project Issue

SAP Fiori apps that are available for Project Issue and Change Management (CA-CPD-PCM)
are:

Report Project Issue

Create Change Request

The Report Project Issue SAP Fiori app can be used to report issues directly from SAP Fiori
launch pad rather than going into the SAP Commercial Project Management Master Project
to report Issues. Some of the features of this app are:

SAP standard role that can be used to provide access to users is : Project team member

© Copyright. All rights reserved. 76

 Lesson: Handling Project Issues and Change Management

Clicking the SAP Fiori tile takes us to the screen to report issues. Users are presented an
option to choose the Type of Issue which leads us to the Issue screen.

Once on the screen, the user needs to enter the Commercial Project to tie the Issue to the
Project.

Figure 77: SAP Fiori App: Create Change Request

The Create Change Request app can be used to create change requests directly from the Fiori
launch pad rather than going into the CPM Master Project. Some of the features of this app
are:

SAP standard role that can be used to provide access to users is : Project Manager

Clicking the Fiori tile will take us to the screen to create a change request.

The user enters the commercial project to tie the change request to the project.

Issue Management

Figure 78: Issue Processing

© Copyright. All rights reserved. 77

Unit 4: Project Risk, Issue and Change Management

Project Issue and Change Management allows users to log issues in the system so that users
can document project deviations and reduce the effects of changes in quality, schedule,
execution plan, and costs.
Easy creation of issues with key attributes like issue type, status, priority, responsible
employee, etc.
The following fields and functionality are available:

Partners
- Different partner roles can be assigned to an issue
- Assign the people who have to work on resolving the problem in an issue based on roles
they hold in the master project or do it independently. Navigate to the business partner
transaction to see user details. Default Partners for an issue type can be configured.
Send out e-mails conveniently to the employee responsible.

Related reference objects

- Different reference objects (for example, WBS elements, network activities, purchase
orders) can be assigned
- Link an issue to ERP objects like WBS elements, network activities, Sales orders,
purchase order line items, other issues, Change request, DMS documents. Reference
objects for an Issue type can be configured.

Attachments and URLs

- Attachments and URLs can be assigned
- Attach issue relevant documents / URL from the user's local desktop to the issue for
convenient access. Possibility to attach PDF documents, word documents, image files
etc.

Impact and proposed solution

- Issue impact and proposed solution can be maintained

Figure 79: Issue Processing: Activity Management

© Copyright. All rights reserved. 78

 Lesson: Handling Project Issues and Change Management

Project Issue and Change Management has a powerful activity management section. Activity
provides users with the following functionality:

Standardize processing of issues

Clarification processes with multiple experts. i,.e assign Employee Responsible to activities

Track activity completion to resolve the issue

Activities can be defaulted for issue types when an issue is created

System can propose more activities depending on issue type

User can create freely defined activities

Hierarchical activities can be created to model sub tasks for a task

Object (for example, WBS elements, network activities, purchase orders) can be
referenced to an activity

Documents specific to an activity can be attached to it directly

Integration to BRF+ (Business Rules Framework plus) allows automation of new activity
creation based on business rules evaluation

Change Management

Figure 80: Change Request Processing

Project Issue and Change Management allows users to log change requests. Change requests
lead to a variation or deviation in the objective, form, nature, content, or the future course of a
project. A change request is typically created when an issue is analyzed and found to have a
significant cost or schedule impact in the project. Also change requests may also be initiated
by the customer.

Creation of Change Requests

Users can create change requests, with or without references to issues, to handle project
deviations and enhancements. Users can associate change requests to specific Project
System (PS) structures, in addition to purchase order and sales order line items.

© Copyright. All rights reserved. 79

Unit 4: Project Risk, Issue and Change Management

The following fields and functionality are available:

Basic Details of Change request can be maintained including Problem Description,

Proposed Solution, Activities, Related Reference Objects, Partners, Attachments and
URLs

As Common Practice, the Project Manager is the default person responsible from the
assignment in the master project

Functionality similar to that of issue management for Activity Management

Change request creation with reference to one or multiple issues

Collective change requests

Cost estimation alternatives

- Integrated with SAP Commercial Project Management, option for cost and revenue
planning
- Possibility to plan multiple alternatives

Out-of-the-box approval processes

- Leveraging activity management internal and external approval steps

Printing of approval forms

The following fields and functionality are also available:

Partners

In a change request, assign people who have to work on resolving the problem based on
roles they hold in the master project or do it independently.

Navigate to the business partner transaction to see the user details. Default partners for a
change request type can be configured. Send out e-mails to employee responsible

Related reference objects

- Link a change request to ERP objects like WBS elements, network activities, sales
orders, purchase order line items, other issues, change requests, DMS documents.
Reference objects for an issue type can be configured.

Attachments and URLs

- Attachments and URLs can be assigned
- Attach change request relevant documents / URL from user's local desktop to the issue
for convenient access. Possibility to attach PDF documents, word documents, image
files etc.

© Copyright. All rights reserved. 80

 Lesson: Handling Project Issues and Change Management

Figure 81: Change Request Processing: Activity Management

Similar to that of processing an issue, a change request requires certain tasks to be

performed. The tasks have to be assigned to people, tracked and need to be completed within
certain time lines.
Project Issue and Change Management provides Activity Management for Change Request
too where activities can be monitored and they can be defaulted for an Change request type

Figure 82: Change Request Processing: Approval Process – 1

The following process describes the steps that need to be followed to approve a Change
Request. This process flow is based on pre-delivered scenario:

1. Perform planning of Cost Estimation Alternative

2. Check whether the status of the Cost Estimate Alternate is "Active"

3. Set status of Change Request as "In Process" (and Save)

© Copyright. All rights reserved. 81

Unit 4: Project Risk, Issue and Change Management

Figure 83: Change Request Processing: Approval Process – 2

1. Set status of Change Request as Awaiting Approval (and Save).

2. The system automatically creates an Internal Approval Activity. Set status of Change
Request to Approved (and Save).

Figure 84: Change Request Processing: Collective Change Request

Change Requests can be grouped into a collection: an object that allows users to group
change requests for easy processing. On the main screen of Issues and Changes and under
Issue and Change List, the users need to select the list of Change Requests to group. Once
grouped, these Change Requests can be monitored together.

© Copyright. All rights reserved. 82

 Lesson: Handling Project Issues and Change Management

Integration with Project Cost and Revenue Planning

Figure 85: Change Request Processing: Cost and Revenue Planning

If Project Issue and Change Management is integrated with Project Cost and Revenue
Planning, you can plan change requests in the planning workbooks of Project Cost and
Revenue Planning, using cost estimation alternatives. The system automatically associates
the cost estimation alternative with the cost planning activity, during the creation of a change
request.
Cost Estimation Alternative: A characteristic that allows users to plan changes in financial
plans once a project is in execution. A cost estimation alternative links a change request to the
financial plan. It contains the detailed planning information related to the change request. A
characteristic that allows users to plan changes in financial plans once a project is in
execution. A cost estimation alternative links a change request to the financial plan. It
contains information about the KPIs of overall costs, overall revenues, and margins.
Cost and revenue planning is done in SAP Commercial Project Management, option for cost
and revenue planning with dedicated workbooks.

© Copyright. All rights reserved. 83

Unit 4: Project Risk, Issue and Change Management

Risk Management

Figure 86: Project Risk Management: Overview

Project Risk, Issue and Change Management deals with the execution portion of the Project.
During this stage, risks of the project are assessed, issues and changes identified to keep the
project on track.
SAP Commercial Project Management has an effective Risk, Issue and Change Management
area that can help users navigate through the complexities of managing unforeseen events in
their projects.
The figure, Project Risk Management: Overview, shows the flow of processes when a problem
is converted from a Risk->Issue-> Change and the assignment objects that are available.

Project Issues
- Attachments
- Link to reference objects (for example, SD orders, WBS elements)
- Assignment of partner roles

Change Requests
- Creation with reference to one or multiple issues possible
- Change Document History
- Collective Change Requests

Activity Management
- Activity Management for Issues and Change Requests
- Activities can be based on templates or can be freely defined
- Flexible rule definition to create new activities

Approval processes

© Copyright. All rights reserved. 84

 Lesson: Handling Project Issues and Change Management

- Internal and external approvals

Integration with Financial Planning

- Multiple Cost Estimation Alternatives per Change Request supported

Project Risk Management area can be used to address risks that occur or might occur in the
area of project management. The risk management application of Commercial Project
Management allows users to identify, analyze, and respond to risks across the lifecycle of a
project, contributing to the final goal of achieving project objectives.

Figure 87: Processing of Project Risk – 1

Risk and Opportunity management provides a graphical representation of the identified

objects. The heat chart provides the details of the number of risks or opportunities in each
category and enables uses to navigate to them by clicking the numbers.
The pie chart provides users with information on the percentage or prevalence of objects
based on high, medium, or low risks and opportunities.

Figure 88: Processing of Project Risk – 2

Users create, edit, analyze, and review system entries of risks on the Risk Register screen.
The risk management application of Commercial Project Management provides the following
features:

© Copyright. All rights reserved. 85

Unit 4: Project Risk, Issue and Change Management

Project Risk Identification and Assessment

The Project Risk Management application allows users to create system entries for risks
and opportunities that might affect project objectives.
When users identify a risk or opportunity, users can create a system entry with relevant
information like description, category, subcategory, and project stage. Users can also
specify a status for the risk or opportunity, for example, New, Active, Void, or Finished.
Users can also define custom statuses according to organizational needs.
During qualitative risk assessment, users can specify the probability of the occurrence of a
risk or opportunity and the impact of the risk. These values are used to calculate the risk
score and risk level. Users can also specify multiple impacts that can occur on account of
the risk. During the assessment of a risk, if users find that a risk is actually an opportunity,
users can create a system entry for the opportunity and pass it on to relevant people for
further follow-ups.
During quantitative risk assessment, users can specify the estimated cost impact in terms
of financial value, as well as the estimated impact on the schedule in terms of delay in
number of days.

Project Risk Response and Risk Activities

The Project Risk Management application allows users to provide a risk response that
would mitigate the threats to the project objectives.
Typically, a risk review committee reviews a risk, specifies a response type, and finally
assigns a response owner to the risk.
As a response owner, users can specify a response status to indicate whether the
response is on track or not. users can also specify the mitigation cost, if any. If users need
support from other team members, users can define risk activities and assign them to
individual members. users can also create issues or change requests for the mitigation of a
risk.
Users can assign references to a risk, such as objects from the master project structure or
purchase orders.
Users can attach documents and add notes to a risk activity. Notes are stored with user
details and time stamps.

Project Risk Monitoring, Control, and Reporting

The Project Risk Management application allows users to monitor and control identified
risks and opportunities that are active.

Note:
Risks and opportunities that are void or finished, do not show in the Risk /
Opportunity Report in the Risk Management view of Project Workspace. The
monitoring and reporting features provide information to all the relevant
stakeholders of the project.

Users can filter the type of risks or opportunity by clicking a specific region in the pie chart.
They can export the risk or opportunity summary to a spreadsheet.
They can search for and assign risks, from the risk register, to status reports (including the
PDF output).

© Copyright. All rights reserved. 86

 Lesson: Handling Project Issues and Change Management

LESSON SUMMARY
You should now be able to:

Explain the business process covered by issue and change management

Understand the functions of project issue and change management

Understand the integration with cost and revenue planning

Understand the integration with risk management

© Copyright. All rights reserved. 87

 Unit 4

Learning Assessment

1. Arrange the steps in the correct order to approve a change request.

Arrange these steps into the correct sequence.

0 Set status of change request as Awaiting Approval

0 Check whether the status of the cost estimate alternate is Active

0 Set status of change request to Approved .

0 Set status of the change request as In Process

0 Perform planning of Cost Estimation Alternative

© Copyright. All rights reserved. 88

 Unit 4

Learning Assessment - Answers

1. Arrange the steps in the correct order to approve a change request.

Arrange these steps into the correct sequence.

4 Set status of change request as Awaiting Approval

2 Check whether the status of the cost estimate alternate is Active

5 Set status of change request to Approved .

3 Set status of the change request as In Process

1 Perform planning of Cost Estimation Alternative

You are correct! To approve a change request follow these steps: Step 1 - Perform
planning of Cost Estimation Alternative, Step 2 - Check whether the status of the Cost
Estimate Alternate is Active , Step 3 - Set status of the change request as In Process, Step
4 - Set status of change request as Awaiting Approval and, Step 5 - Set status of change
request to Approved .

© Copyright. All rights reserved. 89

 UNIT 5 Configuration Options

Lesson 1
Configuring SAP Commercial Project Management 91

UNIT OBJECTIVES

List the important steps to set up the system

Describe the prerequisites and configuration options for Project Workspace

Describe the prerequisites and configuration options for Project Cost and Revenue
Planning

Describe the configurations for Project Issue and Change Management

© Copyright. All rights reserved. 90

 Unit 5
Lesson 1
Configuring SAP Commercial Project
Management

LESSON OBJECTIVES
After completing this lesson, you will be able to:

List the important steps to set up the system

Describe the prerequisites and configuration options for Project Workspace

Describe the prerequisites and configuration options for Project Cost and Revenue
Planning

Describe the configurations for Project Issue and Change Management

SAP Commercial Project Management Architecture

Figure 89: Architecture SAP Commercial Project Management

The figure, Architecture SAP Commercial Project Management, shows the architecture of
SAP Commercial Project Management and its different layers and components. The figure

© Copyright. All rights reserved. 91

Unit 5: Configuration Options

shows how information from the database is fetched and displayed on the SAP S/4HANA
Fiori apps.

Important Steps to Set up the System

Important activities

Review of Release Information Note for SAP Commercial Project Management (for 1809:
2674994; for 1909: 2824068)

Setup of the local BI client

- No additional BI system is needed
- Activation and deployment of SAP Commercial Project Management content only
supported in the SAP S/4HANA system (embedded scenario)

Activation of BI content for SAP Commercial Project Management, option for cost and
revenue planning
- Note 2363617 (SAP S/4HANA Commercial Project Management: Set-Up of Project
Cost and Revenue Planning) contains the details

Activation of BI content for Analytics

- Note 1999149 (Initial Set-Up for Analytics (CA-CPD-ANA): New Installation and
Upgrade) contains the details

When configured in a client that was created before SAP Commercial Project Management
was available: Cascading of BC sets

IMG node
- Implementation of note 1797904 (Commercial Project management: IMG Node not
available)

Note:
Details are available in the installation guide under https://help.sap.com/
viewer/p/SAP_S4HANA_ON-PREMISE .

Prerequisites and Configurations for Project Workspace

Figure 90: Define Custom Term

© Copyright. All rights reserved. 92

 Lesson: Configuring SAP Commercial Project Management

The following is a list of the important settings to make or check under the Master Data node:

Define Custom Term

Make Setting for Stages

Make setting for Objects

Define Object link to Logical System

Define Launch pads for Object links

Make setting for Object Attribute

Make setting for Organization

Define Components for Commercial Project Structure

View Setting

Define Setting for Status Management

Define Role Profile

Role and Authorization

Alert and severities

Commercial Project

SAP Commercial Project Management allows the name of the Commercial Project Object to
be custom named. This is one of the most important settings as the projects that we create in
SAP Commercial Project Management are referred using this term.
The figure, Define Custom Term, shows the standard delivered terms.

Figure 91: Make Settings for Commercial Projects

You can create a commercial project type and assign the settings that determine the object's
behavior and functions.
You can define the following settings for the commercial project type:

© Copyright. All rights reserved. 93

Unit 5: Configuration Options

Project ID - to define a naming convention for the commercial project IDs. You can either
use a project coding key to enforce a fixed naming convention or leave the field empty to
allow any user-defined ID.

Organization Profile - to specify the organizations for which a commercial project type is
applicable

Reporting Attribute Profile - to capture additional information specific to commercial

project type

Stage Profile - to specify the stage-wise transition of the commercial project type from
initiation to completion

Role Profile - to define the types of roles that are required in the commercial project team

View ID - to indicate the possible alternative views of objects in the commercial project
type

Status Template and Period - to assign a template for tracking commercial project status
and a default review period

Alert Personalization - to decide whether users can personalize alert settings for the
commercial project type

Figure 92: Make Settings for Commercial Projects - Project ID

Project Coding ID: This setting is used to define a naming convention for the commercial
project IDs. You can either use a project coding key to enforce a fixed naming convention or
leave the field empty to allow any user-defined ID. Defined project coding keys and the
permitted special characters under Project System Structures Operative
Structures Work Breakdown Structure (WBS) Project Coding Mask.
The figure, Make Settings for Commercial Projects - Project ID, shows example coding masks
configured in SAP Project Systems that can be called in SAP Commercial Project
Management.

© Copyright. All rights reserved. 94

 Lesson: Configuring SAP Commercial Project Management

Figure 93: Make Settings for Commercial Projects - Organization Profile

Organization Profile - An organization profile is used to specify the organizations for which a
commercial project type is applicable.

Figure 94: Organization Profile

Define organizational settings for commercial projects by creating organization profiles for
locations and assigning organization units from an SAP organization structure. Although the
organization of a commercial project does not directly determine the organizational
information in related business objects, this information can be used by project managers,
controllers, and others in activities.

© Copyright. All rights reserved. 95

Unit 5: Configuration Options

Figure 95: Status Management - Status and Trends

With status management you set up a framework to manage and monitor high-level project
scope areas by assigning statuses and trends that can be used across the commercial project
lifecycle. When this framework is set up, users (through the project workspace) can enter
status updates and indicate the trend related to each project scope area.
Use the following steps to set up a status management framework:

1. Define statuses and trends that will be used across different commercial projects. For
example, statuses such as Green, Yellow, or Red, and trends such as Improving, Constant,
and so on.

2. Define project scope areas that describe the major activities in a project setup and assign
status and trend indicators that are relevant for each scope area. Example project scope
areas are Project Execution, Staffing, and so on.

3. Create customized templates for status management of different commercial project

types in your business environment. You can create a template by adding relevant project
scope areas, statuses, and trends. In addition, you must also specify one scope area that
will be used to represent the overall status of the commercial project.

Note:
A status template can have only one scope area to indicate overall status.

Define statuses and trends that will be used across different commercial projects. For
example, statuses such as Green, Yellow, or Red, and trends such as Improving, Constant,
and so on.

© Copyright. All rights reserved. 96

 Lesson: Configuring SAP Commercial Project Management

Figure 96: Status Management - Scope Areas

Define project scope areas that describe the major activities in a project setup and assign
status and trend indicators that are relevant for each scope area. Example project scope
areas are Project Execution, Staffing, and so on.

Figure 97: Status Management - Status Templates

Create customized templates for status management of different commercial project types in
your business environment. Specify one scope area that will be used to represent the overall
status of the commercial project.

© Copyright. All rights reserved. 97

Unit 5: Configuration Options

Figure 98: Status Template and Frequency

Status Template and Frequency - This setting is used to assign a template for tracking
commercial project status and a default review period.

Figure 99: Reporting Attribute Profile

Reporting Attribute Profile - This setting is used to capture additional information specific to
commercial project type.

Figure 100: Reporting and Object Attribute Profile

© Copyright. All rights reserved. 98

 Lesson: Configuring SAP Commercial Project Management

Reporting attribute profile (Object Level) - This setting is used capture additional information
specific to objects attached to the commercial project. Specifying object attributes that the
system should retrieve and additional reporting attributes that the user can enter for an
assigned business object type.

Figure 101: Define Stages and Stage Profiles

Create commercial Project Stages and link them together and sequence them in a Stage
Profile.

Figure 102: Stage Profile Linked to Commercial Project

Stage profile - to specify the stage-wise transition of the commercial project type from
initiation to completion.

© Copyright. All rights reserved. 99

Unit 5: Configuration Options

Figure 103: Role Profile

Role profile - This setting is used to define the types of roles that are required in the
commercial project team.

Figure 104: Structure View ID

Structure View ID - This setting is used to indicate the possible alternative views of objects in
the commercial project type.

Figure 105: Alert Personalization

Alert personalization - This setting is used to decide whether users can personalize alert
settings for the commercial project type.

© Copyright. All rights reserved. 100

 Lesson: Configuring SAP Commercial Project Management

Figure 106: Define Object Types

Create the definition of an Object Type and link sub-objects to header objects.

Figure 107: Object Links: Define Object Links

You can create object links for your user-defined object types and specify the corresponding
business object type from the SAP or non-SAP system. Besides specifying the business
object type, you must also enter the search structure, the result structure, and the
implementation class that the system uses to communicate with another system and retrieve
the business object's attributes.

Figure 108: Object Links: Assign Logical Systems

© Copyright. All rights reserved. 101

Unit 5: Configuration Options

A commercial project can integrate business objects from different systems. To facilitate this
integration, specify the logical system for retrieving each business object type. For example,
cProjects or CRM Opportunities can be integrated from different logical systems.

Figure 109: Define Launchpads for Navigation

By using the launchpad configuration, you can configure standard SAP transactions that are
called from the Project Workspace to perform actions on a business object. For example, you
configure that the display transaction opens for a business object.

Figure 110: Assign Launchpads to Object Links

Map launchpads to their corresponding object links. This mapping allows direct navigation to
business objects from the project workspace. The role/instance combination defines the
launchpad from the previous step.

© Copyright. All rights reserved. 102

 Lesson: Configuring SAP Commercial Project Management

Figure 111: Object Attributes

Object attributes help business users to view important information about the business
object, directly in the project workspace. Here you define the set of attributes that you want
the system to retrieve and display for each business object type.

Figure 112: Reporting Attributes

Define additional attributes that you may want the user to maintain for commercial projects
and individual business objects associated with commercial projects. Add your reporting
attributes to the structure Customer Structure for Reporting Attributes:(/CPD/
S_MP_REP_ATTR)

© Copyright. All rights reserved. 103

Unit 5: Configuration Options

Figure 113: Components for Commercial Project Structure

Define the commercial project structure which represents the business objects that form the
Commercial Project. This Customizing setting allows you to decide which business object
types are visible in the commercial project structure and in what order.

Figure 114: Project Workspace Views

Define project workspace views for different aspects of commercial projects. You use this
activity to specify the views, the corresponding icons, and the sequence in which they appear
in the project workspace. To add your own views, create and configure the main pages using
Floor Plan Manager (FPM), in the FPM OVP component configuration /CPD/
PWS_WS_MP_WORKSPACE.

© Copyright. All rights reserved. 104

 Lesson: Configuring SAP Commercial Project Management

Figure 115: Role Profiles

Define SAP Commercial Project Management roles that represent user functions in a real-
world project. By creating a role profile, you can also group together roles for different types
of project setup. Note that this role is specific to Project Workspace and is not an object for
authorization.

Figure 116: User Interface Groups for Project Workspace

Categorize user interface areas from the perspective of role-based access. You create this
categorization by defining which FPM (Floor Plan Manager) main pages and UIBBs (User
Interface Building Blocks) are available for a particular authorization group (Aspect ID).

© Copyright. All rights reserved. 105

Unit 5: Configuration Options

Figure 117: Map CPM Roles to Authorization Groups

In this Customizing activity, users can decide which parts of the user interface are available
for each user role. You do this by mapping aspect IDs to user roles.

Figure 118: Subactivities for Authorizations

Create subactivities that can be used to define user authorizations in an authorization object.
To create your own subactivities and implement your own authorization checks for Project
Workspace, first deactivate SAP's default BAdI implementation and create your own
implementation of BAdI: Commercial Project Authorization.

© Copyright. All rights reserved. 106

 Lesson: Configuring SAP Commercial Project Management

Figure 119: Define Access Controls

Using Access Control it is possible to control authorizations on a very fine granular level - for
specific functions and for specific objects of the commercial project structure.

Figure 120: Define Alerts

Define various alerts for business users of Project Workspace. Here, you define unique IDs for
each alert that the system must process and display. For each alert ID that you want to
create, you must create your own implementation of BAdI: Commercial Project Alerts and use
the alert ID as the filter for the BAdI implementation.

© Copyright. All rights reserved. 107

Unit 5: Configuration Options

Figure 121: Define Severities

Define global severity levels to indicate the priority of an alert. You create severity levels by
entering a description and choosing a representative icon from the standard SAP icon
repository. Subsequently, you assign severity levels to alert conditions in Make Settings for
Commercial Projects .

Figure 122: Assign Object Links to SAP Commercial Project Management Project Types

Once the configuration points are taken care of, the user needs to make settings for the
object links.

Assign object links to define the business object types that can be assigned to the
commercial project type.

You can also decide the following:

Multiple - whether the commercial project type can contain multiple objects of a business
object type

CopyObjID - whether the user can assign the ID of a business object type as the
commercial project ID

Incl. Srch - whether users can search for a business object type for assignment to a
commercial project

© Copyright. All rights reserved. 108

 Lesson: Configuring SAP Commercial Project Management

Figure 123: Assign Alert ID to SAP Commercial Project Management Project Types

Assign relevant alerts and defining the conditional thresholds for different severity types.

Figure 124: Maintain Alert Conditions

Assign Severity types to the Alert ID and Define the conditional thresholds for different
severity types.

© Copyright. All rights reserved. 109

Unit 5: Configuration Options

Figure 125: Maintain Attachment Type Schema

Set up attachment types and assign these to attachment schemas. An attachment schema
may be assigned for a specific hosting business object (BO) node that uses the dependent
object attachment folder.

Figure 126: Billing Plan Manager- Reason Codes

Define reason codes for creating delta billing events for sales documents. You create delta
billing events to adjust changes (such as price or quantity) in a scheduled billing event. Delta
billing events are similar to credit or debit memos with reference to a scheduled billing event.

Figure 127: Commercial Project Data Model: Business Object Processing Framework

© Copyright. All rights reserved. 110

 Lesson: Configuring SAP Commercial Project Management

The SAP Commercial Project Management Commercial Project is implemented as a Business

Object Processing Framework (BOPF) object. BOPF objects are eSOA compliant and modeled
using Unified Modeling Language standards. BOPF is designed to support Model-View-
Controller (MVC) applications. ABAP WebDynpro is based on the MVC standard and is the
technology being used to deliver the project workspace components.
The figure, Commercial Project Data Model: Business Object Processing Framework,
illustrates the advantages of using BOPF.

Figure 128: Commercial Project Data Model: BOPF Structure

Transaction /BOBF/CONF_UI can be used to view the MP business object data model details.

Figure 129: Commercial Project Data Model: Structure View - Object Hierarchy

The figure, Commercial Project Data Model: Business Object Processing Framework, shows
the commercial project structure tables. The commercial project item table enables a key
feature of the commercial project, namely, to have commercial project objects linked to a

© Copyright. All rights reserved. 111

Unit 5: Configuration Options

commercial project. The objects types that can be linked to a commercial project are defined
in SAP Commercial Project Management customizing.

Figure 130: Project Workspace: BADIs

The figure, Project Workspace: BADIs, gives an overview of the available BAdIs.

Prerequisites and Configuration Options for Project Cost and Revenue Planning

Figure 131: Project Financial Planning Architecture Overview

© Copyright. All rights reserved. 112

 Lesson: Configuring SAP Commercial Project Management

The second important configuration node for SAP Commercial Project Management is the
Project Cost and Revenue Planning. The following figures and associated text give options to
navigate the configuration process.
Project Financial Planning in SAP Commercial Project Management is delivered using PAK
(BW-IP) on a local BW installation.
Standard NetWeaver deployment contains BW - It only needs to be activated using a separate
client on the same system as SAP S/4HANA.
This facilitates efficient response times during operational planning as no remote calls are
required for example from a central BW system.
The following is a list of the advantages of BW Integrated Planning:

Tight UI integration to reporting and analytics

Data model compatible to reporting (planning as an extension)

Tight UI integration to transactional applications (embedded planning)

Planning directly on operational data, no data replication necessary

Direct access to master data, no replication necessary

Lowest TCO, for example, no additional servers necessary

Excel-UI (Analysis) and Web-UI (Lumira, Floorplan Manager) included out of the box

Scalability with regards to in-memory-planning/HANA

Model driven adaptability on all levels (data model, planning functions, UI)

Seamless integration of customer-specific planning models

Customer needs to know only one tool

Profit from the future enhancements of the generic framework (for example, planning
process management, document handling etc.)

Figure 132: Data Enrichment - Analysis Architecture

© Copyright. All rights reserved. 113

Unit 5: Configuration Options

The figure, Data Enrichment - Analysis Architecture, represents the process of how BI Queries
fetch information from a database.
BI Queries are a standardized way to access the SAP Commercial Project Management data.
Through the use of the BI queries virtually any reporting front-end tool can be used to report
on the underlying data.
The multiprovider layer provides flexibility to adjust to the reporting needs of the clients. In
the multiprovider Actuals from the S/4HANA tables and the plan data from the real-time
InfoCube are combined.

Figure 133: Data Model Overview

Data Model Overview Project Financial Planning

The planning environment consists of objects in SAP Business Warehouse (SAP BW), BW
Integrated Planning and Microsoft Excel-based spreadsheets using SAP BusinessObjects
Analysis, edition for Microsoft Office as the frontend application for planning. The delivered
content includes :

A Real Time Info Cube to store planning data, various aggregation levels for the different
planning horizons, specific planning functions and planning sequences to support project
planners in performing activities such as automatic valuation of cost and revenue
calculations, revaluations, forecasting, simulations, and so on.

Template workbooks to act as a guide for common planning horizons.

Multiple queries for the workbooks and to be used for planning and reading data.

Special Characteristics and Key Figures such as Structure Element, Resource and
Resource Type, Key Figure element and so on.

The Info Areas, InfoObject Catalogues are listed below:

Info Areas
- CA-CPD: Project Cost and Revenue Planning
- CA-CPD: Analysis Office Texts
- CA-CPD: Analytics
- PICM: Project Issue and Change Management Analytics

© Copyright. All rights reserved. 114

 Lesson: Configuring SAP Commercial Project Management

InfoObject Catalogues
- Financial Planning Characteristics
- Financial Planning Key Figures
- CPD PFP AO Characteristics
- CA-CPD Analytics Characteristics
- CA-CPD Analytics Key Figures
- PICM AVR Characteristics
- PICM AVR Key Figures

Figure 134: Data Model Overview Project Financial Planning

Plan Data is stored in the Real Time InfoCube CPD PFP Plan Real Time Info Cube. Structure
Element and Resource Type are the two key objects fundamental to the planning solution.
Customers can enhance and add their own objects using this framework.

Figure 135: CPD PFP Plan Real Time Info Cube - Schema

© Copyright. All rights reserved. 115

Unit 5: Configuration Options

The Real time InfoCube is used to store all the data that is planned using Project Cost and
Revenue Planning. The stored data includes planning and forecasting data. In the figure, CPD
PFP Plan Real Time Info Cube - Schema, we can see the different objects for which the data is
stored and the group / category they belong to.

Figure 136: Data Model Overview Plan Actual Reporting

"CPD AVR Multiprovider for Project Cost Status Report" is provided that combines plan data
from the planning cube with the Actual Data from S/4HANA tables read via Virtual Providers.
Only plan data is stored within the real time cube, all other data for actuals on different
business objects (Network, Network Activity Types, Sales Orders, WBS elements..) is read
from the CO tables via SAP BW Virtual Provider Implementations using Class Based
Approach.
Customers can enhance and add their own objects using this framework.

Figure 137: Data Enrichment - Key Figure Element Customization in SPRO

Key Figure Elements are meant to summarize and group costs, revenues and WIP values in
the Project Cost Status (PCS) and WIP report. They are similar to Value Categories in Project
Systems (where they are mapped to cost elements).
The key figure element (KFE) customizing is used for two things:

Enrich the actual record with Key Figure Element (used in reporting for displaying data
grouped according to the business requirements)

Mapping the value of the actual record to the key figure column (for example, Actual Cost,
Actual Revenue), which is shown in the Project Cost Status report.

For example, if values posted against cost elements 400000 to 470000 are costs and they
are to be reported as 'Actual Costs' and values posted against cost elements 800000 to
820000 are revenues and are to be reported as 'Actual Revenues' in the PCS report, the
relationship has to be maintained in key figure element customizing.

© Copyright. All rights reserved. 116

 Lesson: Configuring SAP Commercial Project Management

The customizing can be accessed in SPRO using path: Commercial Project Management
Analytics Define Key Figures for Analytical Reporting

1. If you wish to have different key figure elements for different controlling areas, fill the
controlling area field while creating the KFE. If you leave it empty, it will be considered for
all controlling areas.

2. Select the Key Figure Element for which you want to maintain the cost elements and key
figures and select 'Key Figure Assignment'.

The figure, Data Enrichment - Key Figure Element Customization in SPRO, depicts how to
map an actual posting against cost element 474210 and display it in the 'Actual Cost' column
within the PCS report.
In order to accomplish this two entries have to be maintained for the Key Figures /CPD/ACST
and /CPD/ACT. This is due to technical reasons.
In this customization screen it is also possible to give a range of cost elements as well as use
the existing cost element groups.
If you have maintained or created a new resource type for a Cost Element in BRFplus you
have to maintain the resource type ID here as well to achieve proper mapping.

Figure 138: Key Figure Setup - Example

The figure, Key Figure Setup - Example, illustrates an example for a mapping when a resource
type has been maintained in BRFplus.
0ACT and 0MRS are resource types maintained in the system in the customizing at:
Commercial Project Management Analytics Define Resource Types.
The entries indicate that if actual data has been posted for 640000 and the resource type,
determined in BRFplus, is 0MRS then the Key Figure to which the actual value has to be
mapped is 'Actual Cost' (technical name = /CPD/ACST and /CPD/ACT).

© Copyright. All rights reserved. 117

Unit 5: Configuration Options

Figure 139: Business Rule Framework Plus (BRF+ ): Set up Tasks

BRFplus has been used within SAP Commercial Project Management for the resource type/
resource enrichment because rules to determine how actual records are mapped to resource
types/resource can be flexibly defined compared to traditional customizing. Different
customers will have different rules and these can be varied over time. Using this construct
enables rule maintenance in a user friendly and flexible manner.
For determining the resource and resource type of actual line items for the Project Cost
Status and the Work in Progress reports, entries have to be maintained in the BRFplus
application /CPD/AVR_ENRICHMENT_RULES, in the decision table /CPD/
AVR_DECISION_TABLE.
In BRFplus we define rules to define the different Resource Types and the Resources which
have to be added (via enrichment) to the actual records for matching plan and actual values in
the reporting.
In this example the second entry indicates that the actual records posted against cost
element range(406000 to 406999) and any activity types have to be mapped to Resource
Type 0MAT.
The last column is the resource selector -field which indicates how the resource is derived: If
the resource is the same as the 'material' in the actual record set the value as 01. If the
resource is same as activity type in the actual record set the value to 02. If the resource has
been created in the CPM customization, the resource selector value is blank and two entries
have to be maintained(one for the resource (/CPD/FRES) and one for the resource type
(/CPD/FRTYP)).

Figure 140: Define Resources Types

Use: Each PFP financial planning line item must have a resource type and resource to enable
planning. The attributes resource type and resource are unique to the PFP application.

© Copyright. All rights reserved. 118

 Lesson: Configuring SAP Commercial Project Management

Resource types are used to categorize resources while carrying out financial planning
activities. The resource type enables flexibility in planning.
Preconfigured Content: SAP delivers five resource types that cover common commercial
project planning requirements. A class is assigned to each resource to support master data
retrieval (for example, activities, personnel, material) during planning.
Configuration guidance: New resource types can be added and depending on a resource a
new implementation class may be required. The class needs to be created in the customer
name space. Selection criteria can be optionally assigned to a resource type to delimit the
range of resource values that are available during planning.

Figure 141: Define Resources

Use: Resources can be sourced from SAP master data tables or from the PFP resource
configuration table. The classes for the standard resource types 0EXP, 0HUM and 0REV are
each sourced from the PFP resource configuration table.
Preconfigured Content: This configuration option is customer specific, no standard content is
delivered.
Configuration guidance: Resources are added as required. The figure, Define Resources,
provides some examples for each of the resource types that use the PFP configuration table.
Cost elements or Activity Types need to be assigned to resource types to enable financial
integration.

Figure 142: Define Plan Type

Use: The plan type defines the planning intervals, daily, weekly, monthly and the Analysis
Office (AO) workbooks available for each plan type.

© Copyright. All rights reserved. 119

Unit 5: Configuration Options

Preconfigured Content: SAP delivers three plan types shown following. Additionally at least
one workbook is delivered for each PFP function (planning, forecasting and version
comparison). The delivered planning workbooks for plan type 0PTM are shown. There is one
default workbook for each combination of plan type and function.
Configuration guidance: The plan types provided by SAP should be sufficient for most use
cases. However the planning, forecasting and version comparison workbooks vary and need
to be mapped in this configuration step.

Figure 143: Define Version Type

Use: The version type configuration enable versioning capabilities and controls. It is foreseen
that multiple versions are required to support financial planning and the version type provides
the ability to differentiate versions and their uses.
Preconfigured Content: SAP delivers for standard version types along with the following
configuration settings. The quotation version support bid estimates and multiple quote
versions can be created for a single project. In contrast, only one baseline and on current
version type are supported. Plans created with the version type, forecast, are read only
cannot be changed.
Configuration guidance: The version types provided by SAP are sufficient for simple planning
requirements. Changes or additional versions might be required if a customer requires a
history of baselines or the need to support different or multiple ERP controlling versions. It
might also be necessary to vary versions by planning scenario (see following configuration
step) and to have additional versions to support this.

Figure 144: Define Plan Scenarios

Use: One plan scenario is assigned to each financial plan in PFP. The plan scenario defines the
plan types and version types available in a financial plan. The plan scenario also defines
several controls that are applicable to the plans to which a plan scenario is assigned.
Preconfigured Content: SAP delivers four plan scenarios that are differentiated by the project
structure elements they are intended to support, network activities or WBS elements, and the
planning interval, daily, weekly or monthly.
Configuration guidance: There are many settings in the plan scenario configuration table that
enable PFP to be configured to customer preferences. There are several links that need to be

© Copyright. All rights reserved. 120

 Lesson: Configuring SAP Commercial Project Management

addressed for any new scenarios. In addition if new commercial project types or Plan version
types are created they will need to be mapped to the plan scenario configuration.

Figure 145: Make Settings for Status Management

Use: Enables setting and monitoring of status information for a financial plan and for a plan
version. Status profiles are created in this configuration step that are available for assignment
to plans and version types.
Preconfigured Content: Example status types and status profiles are delivered along with
status configuration.
Configuration guidance: The preconfigured content can be leveraged to enable basic status
setting and monitoring. The status types and profiles can be updated with new content to
enable status variation by plan type and scenario.

Figure 146: Link Service Attributes

Use: The configuration option is relevant for customer using or planning to use service
attributes. It allows service attributes to be linked to financial planning characteristics. The
business function PRS_ERP_CPILS_1 must be switched on to use this configuration option.
Configuration guidance: The figure, Link Service Attributes, provides a configuration example.
The available service attributes are specified in structure CI_PRS_CPILS_1. A characteristic
has be created in InfoCube /CPD/PFP_R01 for each service attribute to be supported and

© Copyright. All rights reserved. 121

Unit 5: Configuration Options

then the characteristics and service attributes (components) have to be added to the PFP
configuration table.

Figure 147: IMG Configuration: Configuration Nodes for Import Data, Project Valuation and Transfer to ERP

In the figure, IMG Configuration: Configuration nodes for Import Data, Project Valuation and
Transfer to ERP, you can find the summary steps to set up methods and strategies for import,
valuation, and transfer. The configuration steps are reviewed in the following pages.

Figure 148: Make Settings for Valuation Methods

Use: Enables flexible valuation of planning line items.

Preconfigured Content: SAP best practice valuation methods.
Configuration guidance: The preconfigured content will have to updated with customer
specific organizational and financial data. Additional valuation strategies can be added and
mapped as required.

© Copyright. All rights reserved. 122

 Lesson: Configuring SAP Commercial Project Management

Figure 149: Make Settings for Valuation Strategies

Use: Combines multiple valuation methods and date rules and maps assigned methods to
PFP key figures.
Preconfigured Content: SAP best practice valuation strategies with assigned methods and
key figure mapping
Configuration guidance: Customer specific valuation strategies can be added. Valuation
strategies are assigned to resource types and plan scenarios.

Figure 150: Make Settings for Transfer Methods

Use: Enables transfer of financial planning information to other applications.

Preconfigured Content: SAP best practice transfer methods.
Configuration guidance: Transfer methods need to be updated with customer specific
organizational and master data settings.

© Copyright. All rights reserved. 123

Unit 5: Configuration Options

Figure 151: Make Settings for Transfer Strategies

Use: Enables transfer of financial planning information to other applications.

Preconfigured Content: SAP best practice transfer methods.
Configuration guidance: SAP delivered transfer strategies can be used. Customer can add
transfer strategies and map them to version types in plan scenario configuration.

Summary Configurability and Extensibility of Cost and Revenue Planning

Hierarchical Planning Structure from S/4HANA
- Flexible configuration which objects to use and how the hierarchy is built (for example,
using SD orders, WBS elements, cProjects phases and tasks etc.)

Valuation
- Open framework controls how the valuation is done per resource type

Pre-delivered integration with SD pricing and activity type costing (KP26)

Planning
- Flexible definition of characteristics and key figures

Pre-delivered characteristics: Resource type, Resource, Change ID, ...

Pre-delivered key figures: Quantity, Cost, Revenue

- Planning Functions

Planning Functions can be easily added to BW-IP

Pre-delivered: Distribution, Valuation, Copy/Paste, ...

- Planning Sheet (Excel Workbooks)

Flexible format and layout leveraging Excel functionality

Downstream integration to SAP S/4HANA

- Flexible framework to trigger update processes in SAP S/4HANA

© Copyright. All rights reserved. 124

 Lesson: Configuring SAP Commercial Project Management

Pre-delivered updates: WBS elements, Network Activity, MRS resource request

Cost and Revenue Planning: Typical Enhancements

Figure 152: Setting up Workbooks for Analysis Office

SAP Commercial Project Management uses Microsoft Excel-based spreadsheets or

workbooks based on SAP BusinessObjects Analysis, edition for Microsoft Office as the
frontend application for planning.
Workbooks allows you to plan costs, revenues, quantities, margins, and expenses across the
overall project lifecycle. Planning can also be done on custom-defined attributes of the
commercial project, for example, planning on overhead costs.
SAP Commercial Project Management uses SAP Business Explorer (BEx) Queries created
using BEx Query Designer as Data Sources in the Analysis Office Workbooks.
New workbooks can be created on existing queries delivered as part of the SAP Commercial
Project Management solution or on new queries that have been written that provide the
format, for example, the rows and columns of how you need the planning grid to be displayed
in the planning sheet.
Steps for Setting up Workbooks for Analysis Office:

1. Open a new blank workbook in Analysis for Office.

2. Insert the query you have created as a Data Source in your workbook from the relevant
BW system.

3. Search for the Query by Role or Area.

4. Select the query and insert it into the workbook.

5. The planning grid is inserted into your workbook.

6. Format the workbook as per your requirements

7. Ensure that the system requirements to enable planning on a Data Source are carried out.
These have been covered in detail in the EKT materials for Analysis Office.

© Copyright. All rights reserved. 125

Unit 5: Configuration Options

8. Amend the workbook macros to be able to view and use the SAP Commercial Project
Management ribbon delivered with SAP Commercial Project Management on Analysis
Office.

9. Set SAP NetWeaver as the preferred platform in User Settings.

10. Format the workbook as per your requirements.

11. Ensure that the system requirements to enable planning on a Data Source are carried out.
These have been covered in detail in the EKT materials for Analysis Office.

12. Amend the workbook macros to be able to view and use the SAP Commercial Project
Management ribbon delivered with CPM on Analysis Office.

13. Set SAP NetWeaver as the preferred platform in User Settings.

Figure 153: Set up Workbooks for Analysis Office

Within SAP Commercial Project Management customising of Plan types, at least one
workbook is delivered for each PFP function (planning, forecasting and version comparison).
The delivered planning workbooks for plan type 0PTM are shown. There is one default
workbook for each combination of plan type and function.
The new workbooks that you have created are added here in customising against your
relevant Plan type. You can define here whether the system prompts by default to open your
workbook or the system delivered one.
In the figure, Set up Workbooks for Analysis Office, /CPD/PFP_A02_IRQ0005_PL_WB01 is
the default workbook and a number of user defined workbooks are configured as alternates.

BAdI Valuation
Use: This BadI can be used to enhance the valuation rules defined in the valuation method as
well as to define Date rules that are different from the date rule creating in customizing.
BAdI Implementations: There is one example implementation /CPD/
CL_PFP_BADI_VALUATION. In this example method GET_PRICING_DATES is implemented to
find out the pricing values for current date. The example overrides the date rule assigned to
the valuation method in the valuation strategy configuration with current date. Method
MODIFY_INPUT_PRICING_FIELDS is implemented to override the Cost Center values defined
in the valuation method configuration with the Cost Center defined in the WBS Elements of
the financial plan .
BAdI Methods

GET_SD_PRICING_FIELDS

© Copyright. All rights reserved. 126

 Lesson: Configuring SAP Commercial Project Management

This method can be used to update new fields or modify existing pricing fields defined in
the configuration of valuation method. This method gets called before the pricing is
derived.

GET_KP26_PRICING_FIELDS
This method can be used to override existing parameter values defined in the
configuration of valuation method or add new parameters that are not present in the
valuation method configuration. All input parameters defined in the valuation method are
available for processing.

GET_PRICING_DATES
This method can be used to pass dates based on custom logic to get the dates required for
pricing determination. This method is only called if Date rule is defined as "Custom" in the
Date Rule Configuration.

Prerequisites: Valuation Methods and Valuation Strategies must be defined in customizing

under: SAP Commercial Project Management Project Cost and Revenue Planning Project
Valuation

Transfer of Project Financials to ERP

Use: This BAdI can be used to transfer cost and revenue values planned against different
business objects in a commercial project.
BAdI Implementations: There is one example implementation /CPD/
PFP_BDIMP_ERP_TRANSFER which is used to determine account assignment objects for the
tasks and the phases of the cProject used in the commercial project.
BAdI Methods

DETERMINE DEPENDENT OBJECT TYPE

Is used to populate object types required for the account assignment object determination

GET_ASSIGNED_OBJ_TYP
Used to derive the account-assigned objects assigned to the dependent object types.

GET_MRS_SYSTEM
Pass the MRS system required to update MRS related data.

Prerequisites: Following activities are completed in the customization under: Commercial

project Management Master data Commercial Project

Make Settings for Objects

Define Object Links and Logical Systems

Transfer Methods and Transfer Strategies must be defined in the customization under:
Project Cost and Revenue Planning Transfer to ERP

Copy Plan Objects

Use: This BAdI can be used to copy line items of one plan version to another plan version for
different planning period.
BAdI Implementations: None
BAdI Methods:

GET_VERSION_ID

© Copyright. All rights reserved. 127

Unit 5: Configuration Options

This method can be used to determine the source version for to copy.

GET_PLAN_ITEM_ID
This Method can be used to populate the line items to be copied to the target version .

GET_COPY_PLAN_PF
This method can be used to define the planning function and the planning filter used for
copying the source version to the target version.

Prerequisites: None

Handling Date Rescheduling

Use: This BAdI can be used to adjust the plan data as per user defined rules if there is a
change in the start and end date of a structure element. The plan data can be adjusted at
monthly and daily level using this BAdI.
BAdI Implementations: There are two Standard implementations, a default implementation
and another example. The logic is described in the respective IMG documentation.
BAdI Methods

RESCHEDULE_DATE_MONTHLY
This method can be used to adjust the plan at monthly level.

RESCHEDULE_DATE_DAILY
This method can be used to redistribute the plan at daily level.

GET_MONTH
This method can be used to find out the difference between the validity of the structure
element.

GET_CALMONTH
This method can be used to determine the end months based on the start month and the
number of calendar months by which the horizon should be extended

Prerequisites: None

Authorizations for Financial Plans

Use: This BADI provides SAP delivered authorization controls based on financial planning sub-
activities and the authorization object /CPD/FPH. Customer-specific authorizations controls
can use alternatively by deactivating the SAP implementation, adding a customer specific
implementation. Customer specific sub-activities added to standard configuration can be
evaluated in the new implementation.
BAdI Implementations : There is one default BADI implementation /CPD/
PFP_PH_AUTHORIZATION.
BAdI Methods: There are many delivered standard methods. If a customer specific
implementation is required the SAP delivered methods can be copied and updated as
required and customer methods can be added. See the example implementation for more
information.
Prerequisites: Sub-activities for Authorization have been defined. Authorization
object /CPD/MP assigned to users.

© Copyright. All rights reserved. 128

 Lesson: Configuring SAP Commercial Project Management

Configurations for Issue and Change Management

Figure 154: Define Object Types

Define object types as they are the basis for object references. We deliver various object
types, such as projects (Project System) and purchase orders

Figure 155: Define Object Categories

Object category represents a concrete implementation for accessing and validating object
type data. We deliver various object categories for different object types and deployment
scenarios

© Copyright. All rights reserved. 129

Unit 5: Configuration Options

Figure 156: Define Object Access

The object access for each of the object types and object categories defined in the system. In
addition, you can view and delete logs related to access and make settings for the logs.

Figure 157: Define Document Types and Document Schemas

Define the document types that you want to use as attachments for an issue or change
request. You can restrict the authorization of users to specific document types. You can
assign document schemas to the document types.

Figure 158: Define Number Range Intervals for Activities

Specify internal number range intervals for activities and cost estimation alternatives
(alternatives) in change requests. When you create an activity or an alternative, the system
assigns a number automatically. You use the number range interval to determine which
number range the number is taken from.

© Copyright. All rights reserved. 130

 Lesson: Configuring SAP Commercial Project Management

Figure 159: Define Number Range Intervals for Issues and Change Requests

Specify the internal number range intervals for issues and change requests. When you create
an issue or a change request, the system assigns a number automatically. You use the
number range interval to determine from which number range the number is taken. In the
Customizing node Define Issue and Change Request Types, you assign the number range
intervals to an issue type.

Figure 160: Configure Output Formats for Printing

Specify a list of print forms that you want use to print approval requests and e-mail
notifications of issues and change requests. You can assign a corresponding PDF form to
each print form. You can use this output type to define forms for printing an issue or change
request. You must specify an output (print, notification, or external approval) and then finally
enter the PDF form name.

© Copyright. All rights reserved. 131

Unit 5: Configuration Options

Figure 161: Define Business Partner Roles

Specify roles for Project Issue and Change Management for business Partners. You use the
business partner role defined here in the Customizing activities Define Activity Types and
Define Issue and Change Request Types to specify business partners for issues, change
requests, and activities.

Figure 162: Map Role to Project Workspace Role

To map the roles in Project Issue and Change Management (CA-CPD-PCM) to the Project
Workspace (CA-CPD-WS) roles. Note that while you can map a Project Workspace role to
multiple roles, you can only map a role from Project Issue and Change Management to one
Project Workspace role.

© Copyright. All rights reserved. 132

 Lesson: Configuring SAP Commercial Project Management

Figure 163: Define Issue and Change Request Types

Each issue or change request is created with a specific type. In an issue type or change
request type, you can, for example, specify activities that are entered automatically for all
issues or change requests of this type . You assign an issue category to issue types. In the
Issue Type view, you can create the issue type and specify the issue category, maintain
number ranges, and specify the responsible partner roles.

Figure 164: Define Category Reference of Change Requests

Indicates whether a change request is a single change request or a collective change request.

Figure 165: Manage Statuses

© Copyright. All rights reserved. 133

Unit 5: Configuration Options

Define User statuses, map these user-defined statuses to the corresponding system statuses,
and define successive statuses. You can use this view to define custom statuses relevant to
your project. Note that if you do not define custom statuses, the Status fields in the issue and
change application screens do not display any values.

Figure 166: Define Priorities

Define priority codes to process issues and change requests. Priority codes refer to the time-
critical aspect of an issue or a change request. When you create new entries, the values are
displayed in the input help. If you do not want to use the default values, create new entries for
the values required by you, and mark the default values as inactive.

Figure 167: Define Impact

Define impact codes to process issues and change requests. You specify the impact
according to your own standpoint and factors. It may be, for example, with regard to the
safety, quality, or risk of the processes. A high impact could be used to indicate that an issue
or change request is critical for your project. When you create new entries, the values are
displayed in the input help. If you do not want to use the default values, create new entries for
the values required by you, and mark the default values as inactive.

© Copyright. All rights reserved. 134

 Lesson: Configuring SAP Commercial Project Management

Figure 168: Define Activity Types

Specify which activity types you want to use in Project Issue and Change Management . The
activity type determines the fundamental properties of an activity, for example, the status
profile. The status profile is assigned to an activity type indirectly through the activity
category.

Figure 169: Define Activity Templates

Define activity templates for Project Issue and Change Management. Activity templates
contain specific instructions for an activity type. A multilevel hierarchy can be created for
activity templates. To do this, you create the required activity templates and assign an activity
template the subordinate activity templates under Automatic and Proposed Activity
Templates

© Copyright. All rights reserved. 135

Unit 5: Configuration Options

Figure 170: Business Rule Framework Plus (BRF+ ): Example

You use the Business Rule Framework plus (BRFplus) decision table to define rules for
activities. BRFplus provides a comprehensive application programming interface (API) and
user interface (UI) for defining and processing business rules. It allows you to model rules in
an intuitive way and also allows you to reuse these rules in different applications.
In Project Issue and Change Management (CA-CPD-PCM), you use BRFplus to automate
tasks related to the issue and change process based on the business context. For example,
you can automate the creation of activities related to the approval process, according to the
business requirements of your organization.
Execute transaction BRF+ from ECC to launch a web browser window to manage the rules.
Rules are defined in the BRF+ application /PICM/ACTIVITY_MGMT_RULES.
Make changes to the Rule sets to control PICM behavior.

Pre-delivered rules in BRF+ for PICM

The following rules are pre-delivered

Automation of statuses

Handling of activities

Determination of partners for approvals

Validation of activities

These rules are used in the approval process for change requests

1. When a cost planning activity (type CR1) is set to complete an internal approval activity is
created (via rule "Handling of activities")

Rule "Validation of activities" checks that there does not exist already an internal
approval activity

2. Assignment of responsible person

© Copyright. All rights reserved. 136

 Lesson: Configuring SAP Commercial Project Management

Rule "Determination of partners for approvals" determines relevant role based on

approval matrix

Method GET_PERSON_RESPONSIBLE of BAdI "Definition of Activity Approval Process"

returns the person

3. When status of internal approval activity is set to "approved" an external approval activity
is created (via rule "Handling of activities")

Rule "Validation of activities" checks that there does not exist already an external
approval activity

4. Assignment of responsible person is done analogously to step 2

5. Via rule "Automation of statuses" the status of the change request is set to approved once
the external approval activity is set to approved

In the example shown in the screenshot 'Business Rule Framework Plus (BRF+ ): Example' the
"Status ruleset" ruleset controls automatically setting the activity status to Approved when
the tasks have been approved

Figure 171: BAdI Definition of Activity Approval Process

This Business Add-In (BAdI) is used in the Project Issue and Change Management (CA-CPD-
PCM) component. You can use this BAdI to control the approval process with the issue and
change request activities (activities) in Project Issue and Change Management.
This BAdI reads the activities relevant to a change request and implements the approval
matrix. It allows customer-specific validations for activities. The BAdI also allows you to apply
the commercial project roles defined in Project Workspace (CA-CPD-WS). You also use this
BAdI to map the change request data to PDF forms (the context structure of the forms).

© Copyright. All rights reserved. 137

Unit 5: Configuration Options

Figure 172: Integration of Product Costing and Revenue Planning

You can use this BAdi to integrate Project Issues and Change Management with a financial
planning application.

Figure 173: Specification of a Project Management Application

Use: This BAdI can be used to link to a project management application such as Workspace,
Project Systems, or a 3rd Party Application

© Copyright. All rights reserved. 138

 Lesson: Configuring SAP Commercial Project Management

Figure 174: Specification of a Default Deployment

You use this BAdi to specify the default project deployment after connecting to a specific
project management application using BAdi: Project Access (/PICM/
BADI_PROJ_CATEGORY).

Figure 175: Creation of Update Activities

You use this BAdI to create update activities, which are issue and change request activities
that contain tasks and descriptions of operational information related to updating changes in
S/4HANA.

LESSON SUMMARY
You should now be able to:

List the important steps to set up the system

Describe the prerequisites and configuration options for Project Workspace

Describe the prerequisites and configuration options for Project Cost and Revenue
Planning

Describe the configurations for Project Issue and Change Management

© Copyright. All rights reserved. 139

 Unit 5

Learning Assessment

1. Which of the following are some of the steps to set up the SAP S/4HANA Commercial
Project Management?
Choose the correct answers.

X A Activate the relevant Business functions

X B Setup a separate BI system for Analytics

X C Activate the BC Sets for CPD

X D Activate the relevant services

X E Activate the relevant content bundles

2. Which of the following information is a part of the Organization Profile.

Choose the correct answers.

X A Controlling Area

X B Company Code

X C Sales Organization

X D Employee

X E Purchasing Organization

3. Identify the statements that are true about the Planning framework?
Choose the correct answers.

X A It consists of objects in SAP BW, BW Integrated Planning and Microsoft Excel-

based spreadsheets

X B A Real Time Info Cube is used to store planning data

X C Template workbooks act as a guide for common planning horizons

X D Pre-delivered content only and customers cannot enhance and add objects to this
framework.

X E Multiple queries are available for the workbooks and can be used for planning and
reading data.

© Copyright. All rights reserved. 140

 Unit 5

Learning Assessment - Answers

1. Which of the following are some of the steps to set up the SAP S/4HANA Commercial
Project Management?
Choose the correct answers.

X A Activate the relevant Business functions

X B Setup a separate BI system for Analytics

X C Activate the BC Sets for CPD

X D Activate the relevant services

X E Activate the relevant content bundles

You are correct! To set up the SAP S4/HANA Commercial Project Management system
running you have to activate the relevant business functions, the BC sets for CPD, the
relevant services and the relevant content bundles.

2. Which of the following information is a part of the Organization Profile.

Choose the correct answers.

X A Controlling Area

X B Company Code

X C Sales Organization

X D Employee

X E Purchasing Organization

You are correct! The Organization Profile contains information about the Controlling Area,
Company Code, Sales Organization and Purchasing Organization.

© Copyright. All rights reserved. 141

Unit 5: Learning Assessment - Answers

3. Identify the statements that are true about the Planning framework?
Choose the correct answers.

X A It consists of objects in SAP BW, BW Integrated Planning and Microsoft Excel-

based spreadsheets

X B A Real Time Info Cube is used to store planning data

X C Template workbooks act as a guide for common planning horizons

X D Pre-delivered content only and customers cannot enhance and add objects to this
framework.

X E Multiple queries are available for the workbooks and can be used for planning and
reading data.

You are correct! The planning framework consists of objects in SAP BW, BW Integrated
Planning and Microsoft Excel-based spreadsheets. Template workbooks act as a guide for
common planning horizons. A Real Time Info Cube is used to store planning data. Multiple
queries are available for the workbooks and can be used for planning and reading data.

© Copyright. All rights reserved. 142