SAP S/4HANA

Asset Management
Configure, Equip, and Manage
your Enterprise
—
Rajesh Ojha
Chandan Mohan Jaiswal
 SAP S/4HANA
Asset Management
Configure, Equip, and Manage
your Enterprise

Rajesh Ojha
Chandan Mohan Jaiswal
SAP S/4HANA Asset Management: Configure, Equip, and Manage your
Enterprise
Rajesh Ojha Chandan Mohan Jaiswal
Atlanta, USA Singapore, Singapore

ISBN-13 (pbk): 978-1-4842-9869-5 ISBN-13 (electronic): 978-1-4842-9870-1

https://doi.org/10.1007/978-1-4842-9870-1

Copyright © 2023 by Rajesh Ojha and Chandan Mohan Jaiswal

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Table of Contents
About the Authors������������������������������������������������������������������������������xiii

About the Technical Reviewer������������������������������������������������������������xv

Chapter 1: SAP S/4HANA Asset Management���������������������������������������1

1.1. SAP S/4HANA Business Suite������������������������������������������������������������������������2
1.2. SAP S/4HANA Asset Management�����������������������������������������������������������������3
1.3. S/4HANA Asset Management Key Functionalities������������������������������������������5
1.4. Positioning and Integration of Asset Management with Other
SAP S/4HANA Business Applications��������������������������������������������������������������������6
1.5. Ways to Provision SAP S/4HANA��������������������������������������������������������������������8
1.5.1. Options Within Cloud Provisioning���������������������������������������������������������9
1.6. S/4HANA Asset Management User Interface and User Experience��������������11
1.6.1. SAP Fiori Apps�������������������������������������������������������������������������������������11
1.6.2. SAP GUI for Windows���������������������������������������������������������������������������11
1.6.3. SAP Business Client����������������������������������������������������������������������������12
1.7. Summary�����������������������������������������������������������������������������������������������������13

Chapter 2: Asset Management Organizational Structure�������������������15

2.1. Introduction to Organizational Units in S/4HANA�����������������������������������������16
2.2. Organizational Units Specific to Asset Management�����������������������������������18
2.2.1. Maintenance Plants�����������������������������������������������������������������������������18
2.2.2. Planning Plants (Maintenance Planning Plants)����������������������������������19

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2.3. Centralized and Decentralized Planning Plants�������������������������������������������20

2.3.1. Centralized Planning Plants�����������������������������������������������������������������20
2.3.2. Decentralized Planning Plants�������������������������������������������������������������22
2.4. Maintenance Work Centers��������������������������������������������������������������������������22
2.4.1. Work Center Sections and Information������������������������������������������������24
2.4.2. Work Center Capacity Planning�����������������������������������������������������������26
2.4.3. Integration Between Asset (Equipment Master) and Production
Capacity Planning������������������������������������������������������������������������������������������28
2.5. Configuring an Organizational Structure in S/4HANA����������������������������������29
2.5.1. Configuring a Plant������������������������������������������������������������������������������31
2.5.2. Configuring a Work Center�������������������������������������������������������������������37
2.6. Summary�����������������������������������������������������������������������������������������������������41

Chapter 3: Master Data for Asset Management���������������������������������43

3.1. Functional Location��������������������������������������������������������������������������������������44
3.1.1. Structuring of Functional Locations����������������������������������������������������44
3.2. Data Transfer������������������������������������������������������������������������������������������������50
3.2.1. Hierarchical Data Transfer�������������������������������������������������������������������51
3.2.2. Horizontal Data Transfer����������������������������������������������������������������������52
3.2.3. Data Origin�������������������������������������������������������������������������������������������53
3.3. Defining Alternate Labeling��������������������������������������������������������������������������54
3.4. Standard Fiori Apps for Functional Locations����������������������������������������������56
3.5. Customizing Settings for Functional Locations��������������������������������������������58
3.6. Summary�����������������������������������������������������������������������������������������������������60
3.7. Equipment Master����������������������������������������������������������������������������������������60
3.8. Define Equipment and Its Categories�����������������������������������������������������������62

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3.9. Equipment and Functional Location Relation�����������������������������������������������63

3.9.1. Equipment Hierarchy���������������������������������������������������������������������������64
3.9.2. Equipment Hierarchy with Functional Location�����������������������������������65
3.9.3. Equipment Categories�������������������������������������������������������������������������66
3.10. Status Management and Partner Assignment�������������������������������������������68
3.10.1. Partners���������������������������������������������������������������������������������������������69
3.10.2. Partner Transfer���������������������������������������������������������������������������������70
3.10.3. Address Management������������������������������������������������������������������������70
3.11. Defining Warranties������������������������������������������������������������������������������������71
3.11.1. Usage of Warranty�����������������������������������������������������������������������������72
3.12. Equipment Master and Asset Master Integration���������������������������������������73
3.13. Equipment Master Classification���������������������������������������������������������������74
3.14. Characteristics Inheritance������������������������������������������������������������������������75
3.14.1. Technical Object Classification����������������������������������������������������������75
3.15. Standard Fiori Apps for Equipment Master������������������������������������������������76
3.16. Customizing Settings for Equipment Master���������������������������������������������78
3.17. Summary���������������������������������������������������������������������������������������������������81
3.18. Linear Asset Management�������������������������������������������������������������������������82
3.19. Structuring Linear Assets���������������������������������������������������������������������������83
3.20. Linear Reference Pattern���������������������������������������������������������������������������84
3.20.1. Linear Data Offset������������������������������������������������������������������������������85
3.20.2. Linear Technical Objects��������������������������������������������������������������������86
3.21. Linear Data in Maintenance Processing����������������������������������������������������86
3.22. Network Object Link and Network Attributes���������������������������������������������87
3.22.1. Assigning Network Attributes������������������������������������������������������������88
3.23. Customizing Settings for Linear Asset Master Data�����������������������������������89
3.24. Summary���������������������������������������������������������������������������������������������������90

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3.25. Bill of Materials������������������������������������������������������������������������������������������90

3.26. Structuring a Bill of Materials��������������������������������������������������������������������91
3.26.1. BOM Categories���������������������������������������������������������������������������������92
3.26.2. Assigning a BOM�������������������������������������������������������������������������������94
3.26.3. BOM Structure�����������������������������������������������������������������������������������94
3.26.4. Usage of BOM in Order����������������������������������������������������������������������94
3.26.5. Item Status in BOM����������������������������������������������������������������������������95
3.26.6. Maintenance Assemblies�������������������������������������������������������������������96
3.27. Standard Fiori Apps for Bill of Materials����������������������������������������������������99
3.28. Customizing Settings for Bill of Materials������������������������������������������������100
3.29. Summary�������������������������������������������������������������������������������������������������101
3.30. Serial Numbers����������������������������������������������������������������������������������������102
3.30.1. Working with Serial Numbers in SAP EAM��������������������������������������103
3.30.2. Material and Serial Number������������������������������������������������������������105
3.30.3. Equipment and Serial Number��������������������������������������������������������106
3.30.4. Serial Number Profile����������������������������������������������������������������������107
3.30.5. Stock Check with Serial Number�����������������������������������������������������108
3.30.6. Check Goods Movement������������������������������������������������������������������108
3.31. Standard Fiori Apps for Serial Numbers���������������������������������������������������109
3.32. Customizing Settings for Serial Numbers������������������������������������������������111
3.33. Summary�������������������������������������������������������������������������������������������������112
3.34. Measuring Points and Counters���������������������������������������������������������������112
3.35. Working with Measuring Points and Counters�����������������������������������������114
3.35.1. Measuring Points�����������������������������������������������������������������������������114
3.35.2. Counters������������������������������������������������������������������������������������������115
3.35.3. Measuring Points and Characteristics���������������������������������������������116
3.35.4. Measuring Documents��������������������������������������������������������������������117
3.35.5. Measuring Point Entry List��������������������������������������������������������������118

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3.36. Measurement Transfer and Counter Replacement�����������������������������������119

3.36.1. Perform Measurement Reading Transfer�����������������������������������������120
3.36.2. Counter Replacement����������������������������������������������������������������������121
3.37. Standard Fiori Apps for Measuring Points and Counters�������������������������122
3.38. Customizing Settings for Measuring Points and Counters�����������������������123
3.39. Summary�������������������������������������������������������������������������������������������������124

Chapter 4: Business Processes in Asset Management���������������������125

4.1. Standard Maintenance Process�����������������������������������������������������������������125
4.1.1. Modeling Maintenance Process��������������������������������������������������������127
4.2. Notification�������������������������������������������������������������������������������������������������130
4.2.1. Notification Structure������������������������������������������������������������������������133
4.3. Customizing Settings for Notifications�������������������������������������������������������134
4.3.1. Catalogs���������������������������������������������������������������������������������������������138
4.4. Maintenance Orders�����������������������������������������������������������������������������������140
4.4.1. Corrective/Reactive Maintenance Process����������������������������������������142
4.4.2. Breakdown Maintenance Process�����������������������������������������������������143
4.4.3. Maintenance Order with Notification�������������������������������������������������144
4.4.4. Order Structure����������������������������������������������������������������������������������146
4.5. Customizing Settings for Maintenance Order��������������������������������������������148
4.5.1. Controlling�����������������������������������������������������������������������������������������151
4.5.2. Planning Material and Services���������������������������������������������������������152
4.6. Customizing Settings for Material Planning�����������������������������������������������155
4.6.1. Resource Scheduling for Maintenance Planners�������������������������������155
4.6.2. Utilization Analysis for Work Centers�������������������������������������������������157
4.7. Customizing Settings for Order Scheduling�����������������������������������������������158
4.7.1. Checking and Release Maintenance Order����������������������������������������159
4.7.2. Maintenance Order Release��������������������������������������������������������������161
4.7.3. Maintenance Order Printing��������������������������������������������������������������161

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4.8. Customizing Settings for Maintenance Order Printing�������������������������������163

4.8.1. Execute Maintenance Orders������������������������������������������������������������164
4.8.2. Confirming Notifications and Orders�������������������������������������������������165
4.8.3. Time Confirmation�����������������������������������������������������������������������������165
4.9. Customizing Settings for Completion Confirmations��������������������������������167
4.9.1. Technical Confirmation����������������������������������������������������������������������167
4.9.2. Complete Notifications and Orders����������������������������������������������������168
4.10. Simplified Maintenance Process��������������������������������������������������������������171
4.11. Phase-Based Maintenance Process���������������������������������������������������������176
4.11.1. Phases���������������������������������������������������������������������������������������������177
4.12. Customizing Settings for a Phase-Based Maintenance Process������������180
4.13. SAP GUI Maintenance Process�����������������������������������������������������������������182
4.13.1. Performing Maintenance Tasks through SAP GUI����������������������������182
4.13.2. Order Hierarchies����������������������������������������������������������������������������182
4.13.3. Material Planning����������������������������������������������������������������������������183
4.13.4. Visual Task Lists������������������������������������������������������������������������������183
4.13.5. Material Availability Verification������������������������������������������������������184
4.13.6. Capacity Planning����������������������������������������������������������������������������185
4.13.7. Worker Safety����������������������������������������������������������������������������������186
4.13.8. Permits��������������������������������������������������������������������������������������������186
4.13.9. Work Clearance Management���������������������������������������������������������187
4.13.10. External Services���������������������������������������������������������������������������187
4.13.11. Technical Confirmation������������������������������������������������������������������188
4.13.12. Document Flow������������������������������������������������������������������������������188
4.13.13. Action Log��������������������������������������������������������������������������������������188
4.14. Refurbishment Maintenance Process������������������������������������������������������189
4.14.1. External Refurbishment through Subcontracting����������������������������190
4.15. Preventive Maintenance Process�������������������������������������������������������������193

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4.16. Inspection Checklists�������������������������������������������������������������������������������195

4.17. Mobile Maintenance���������������������������������������������������������������������������������199
4.17.1. SAP Asset Manager�������������������������������������������������������������������������199
4.17.2. SAP Work Manager��������������������������������������������������������������������������200
4.17.3. Key Differences�������������������������������������������������������������������������������201
4.18. Summary�������������������������������������������������������������������������������������������������202

Chapter 5: Preventive Maintenance��������������������������������������������������203

5.1. What Is Preventive Maintenance?��������������������������������������������������������������204
5.2. Master Data�����������������������������������������������������������������������������������������������205
5.2.1. Maintenance Task List�����������������������������������������������������������������������206
5.2.2. Creating Maintenance Order with a Task List������������������������������������215
5.2.3. Task List for Inspection Rounds���������������������������������������������������������216
5.2.4. SAP GUI-Based (User Interface) Functions����������������������������������������217
5.2.5. Customizing Maintenance Task Lists������������������������������������������������218
5.3. Single-Cycle Maintenance Plan�����������������������������������������������������������������220
5.3.1. Maintenance Plan������������������������������������������������������������������������������220
5.3.2. Maintenance Plan Setup for Generating a Maintenance Order���������224
5.3.3. Scheduling a Single-Cycle Plan���������������������������������������������������������225
5.3.4. Creating and Scheduling a Single-Cycle Plan with Notification��������232
5.3.5. SAP GUI-Based (User Interface) Functions for Single-cycle Plans����233
5.3.6. Customizing Maintenance Plan���������������������������������������������������������237
5.4. Planning Regular External Service Procurement���������������������������������������239
5.5. Maintenance Planning with Time-Based Strategy�������������������������������������242
5.5.1. Maintenance Strategy�����������������������������������������������������������������������243
5.5.2. Assigning a Maintenance Strategy to a Task List������������������������������246
5.5.3. Creating a Time-Based Strategy Plan������������������������������������������������247
5.5.4. Scheduling a Time-Based Strategy Plan�������������������������������������������248
5.5.5. SAP GUI-Based (User Interface) Functions for Strategy Plans�����������251

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5.6. Maintenance Planning with Performance-Based Strategy������������������������252

5.6.1. Counters and Measurement Documents�������������������������������������������253
5.6.2. Creating a Performance-Based Maintenance Strategy Plan�������������254
5.6.3. Scheduling a Performance-Based Maintenance Strategy Plan���������256
5.7. Maintenance Planning with Cycles of Different Dimensions���������������������261
5.7.1. Creating and Scheduling a Multiple Counter Plan�����������������������������262
5.7.2. Using Cycle Set Sequence�����������������������������������������������������������������265
5.8. User Interface��������������������������������������������������������������������������������������������268
5.9. Summary���������������������������������������������������������������������������������������������������269

Chapter 6: Costing and Budgeting����������������������������������������������������271

6.1. Costing in Asset Maintenance and Repair Process������������������������������������271
6.1.1. Integration with Finance and Controlling������������������������������������������272
6.1.2. Various Accounting Terms (Order Values) in Maintenance Order�������275
6.1.3. Costing Value Flow in Maintenance Order: Estimated,
Planned and Actual Cost������������������������������������������������������������������������������277
6.1.4. Option of Costing at Operation Level of Maintenance Order�������������279
6.1.5. Overhead Rates���������������������������������������������������������������������������������281
6.1.6. Commitment Management����������������������������������������������������������������284
6.1.7. Costing in Refurbishment of Subassemblies�������������������������������������286
6.1.8. Required Configuration Activities for Costing in Maintenance
and Repair Orders����������������������������������������������������������������������������������������287
6.2. Maintenance Order Cost Settlement and Closure��������������������������������������290
6.2.1. Maintenance Order Settlement and Business Completion����������������291
6.2.2. Refurbishment Order Settlement�������������������������������������������������������297
6.2.3. Required Configuration Activities for Cost Settlement����������������������299

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6.3. Budgeting in Asset Maintenance and Repair���������������������������������������������301

6.3.1. Budgeting Using Funds Management from the Finance Module�������303
6.3.2. Budgeting Using WBS in the Project System Module������������������������305
6.3.3. Budgeting Using Budget Profile from the Controlling Module�����������307
6.4. Summary���������������������������������������������������������������������������������������������������311

Chapter 7: Asset Management Integration with Other

S/4HANA Business Applications�������������������������������������������������������313
7.1. Integration with S/4HANA Supply Chain Applications��������������������������������316
7.1.1. Materials Management����������������������������������������������������������������������316
7.1.2. Production Planning��������������������������������������������������������������������������320
7.1.3. Quality Management�������������������������������������������������������������������������321
7.2. Integration with S/4HANA Financial Accounting and Controlling���������������324
7.2.1. Asset Master and Equipment Master Synchronization����������������������325
7.2.2. Costing Value Flow in Maintenance Order�����������������������������������������326
7.2.3. Maintenance Order Cost Settlement to Cost Object��������������������������328
7.3. Integration with S/4HANA Project System�������������������������������������������������329
7.3.1. Settlement of Maintenance Order to WBS in Project System������������330
7.3.2. Budgeting for Maintenance Order Using the WBS in
Project System����������������������������������������������������������������������������������332
7.4. Integration with S/4HANA Environment, Health, and Safety (EHS)������������334
7.4.1. Importing Technical Objects as Locations in EHS from Asset
Management�������������������������������������������������������������������������������������334
7.4.2. Triggering Maintenance Notification from S/4HANA EHS
Incident Management������������������������������������������������������������������������335
7.5. Summary���������������������������������������������������������������������������������������������������336

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Chapter 8: Innovation with Asset Management��������������������������������337

8.1. SAP Intelligent Asset Management Suite���������������������������������������������������337
8.2. SAP IAM Cloud Solutions����������������������������������������������������������������������������340
8.3. SAP Business Network Asset Collaboration�����������������������������������������������341
8.3.1. Business Benefits������������������������������������������������������������������������������346
8.4. SAP Predictive Asset Insights��������������������������������������������������������������������350
8.5. SAP Asset Performance Management�������������������������������������������������������352
8.6. SAP Mobile Asset Manager������������������������������������������������������������������������358
8.6.1. SAP Mobile Add-On���������������������������������������������������������������������������360
8.6.2. SAP Mobile Development Kit (MDK)��������������������������������������������������361
8.7. SAP Asset Central Foundation��������������������������������������������������������������������362
8.8. SAP IAM Integration�����������������������������������������������������������������������������������364
8.9. Summary���������������������������������������������������������������������������������������������������367

Index�������������������������������������������������������������������������������������������������369

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About the Authors
Rajesh Ojha is a Senior Advisory Consultant at IBM and a certified SAP
S/4HANA EAM professional. He has more than 13 years of SAP consulting
experience across various complex projects, roles, and responsibilities in
oil and gas, construction, manufacturing, transportation, and chemicals
and pharmaceuticals. His areas of expertise are in SAP asset management
portfolio, enterprise digital transformation, and providing strategic
consulting to business leaders on how to best leverage SAP’s potential
power in their organization.

Chandan Mohan Jaiswal is a manager in the

technology consulting practice at EY, where he
specializes in focusing on asset management
and manufacturing solutions using the SAP
S/4HANA Business Suite. He brings more
than 11 years of experience in SAP consulting,
supported by 6 years of industry experience
in asset management, plant maintenance,
and factory automation. Chandan has been
involved in multiple implementations,
transformations, and support projects,
undertaking various roles and responsibilities
for global clients across industries such as public transport, health science,
manufacturing, and oil and gas.

xiii
About the Technical Reviewer
Prince Tyagi is a freelance technical reviewer
specializing in absorbing a lot of data and
articulating the most important points. He
helps large technical organizations clearly
communicate their message across multiple
projects.
Tyagi has more than 13 years of experience
in SAP ERP as a solution specialist in SAP
PM, SAP TM, SAP iMRO, SAP CS, and SAP
QM modules. He has worked on multiple E2E implementations, rollouts,
enhancements, and support and upgrade projects in various domains,
including retail, aviation, manufacturing, healthcare, chemical, defense,
and the software industry.
He has extensive experience in interfaces, debugging, and integration
with SAP GTS, SAP EHS modules, and other SAP modules.

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CHAPTER 1

SAP S/4HANA Asset

Management
Welcome to the world of SAP S/4HANA Asset Management, a
comprehensive solution designed to streamline and enhance asset
management processes within your organization. This chapter embarks
on a journey through SAP S/4HANA Business Suite, focusing on its asset
management capabilities. We delve into various topics that give you a
deeper understanding of this powerful system.
The following are the key topics covered in this chapter.

• SAP S/4HANA Business Suite

• SAP S/4HANA Asset Management

• S/4HANA Asset Management key functionalities

• Positioning and integration of Asset Management with

other SAP S/4HANA Business Applications

• Ways to provision SAP S/4HANA

• S/4HANA Asset Management user interface and user

experience

© Rajesh Ojha and Chandan Mohan Jaiswal 2023 1

R. Ojha and C. M. Jaiswal, SAP S/4HANA Asset Management,
https://doi.org/10.1007/978-1-4842-9870-1_1
Chapter 1 SAP S/4HANA Asset Management

1.1. SAP S/4HANA Business Suite

SAP S/4HANA comprises business applications known as SAP Business
Suite powered by the SAP HANA database. In contrast to the earlier
Business Suite–SAP R/3 ECC–the S/4HANA business applications are built
with a significantly simplified data model with a fewer number of tables,
in-memory SAP HANA database, and new user interface technology
called SAP Fiori, which are most important features of SAP S/4HANA
Business Suite.
The SAP S/4HANA Business Suite (see Figure 1-1) comprises
applications to seamlessly support various functions of an enterprise, such
as engineering and change management, logistics, supply chain, asset
management, finance, and customer service.

Figure 1-1. S/4HANA offerings for enterprise management

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 Chapter 1 SAP S/4HANA Asset Management

1.2. SAP S/4HANA Asset Management

One of the important goals of an enterprise is to optimize asset
performance and maintain good health at the lowest possible cost. It
is critical for an enterprise asset management application to deal with
various aspects, as outlined in the following.

• Reliable, comprehensive, and time-phased master data

management of assets

• Efficient ways of managing tasks, maintenance plans,

and scheduling approaches to perform regular
inspection, service, and repair

• Generating and monitoring real-time machine data

• Anticipating the performance and state of assets

through machine learning and artificial intelligence

• Performing specific tasks on mobile devices

• Provision to network with various business partners

through cloud-based platforms

• Comprehensive and integrated management of the

entire lifespan of an asset

SAP S/4HANA Asset Management software is designed to encompass

all the essential functionalities that can be utilized to address all the
aspects as outlined. It offers the following independent solutions (also
see Figure 1-2), which can be set up in combination for a complete and
reliable asset management application.

• SAP S/4HANA Asset Management, public cloud

• SAP S/4HANA Asset Management, private ­cloud/
on-premise

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Chapter 1 SAP S/4HANA Asset Management

• SAP Intelligent Asset Management (SAP IAM)

• SAP S/4HANA Asset Management for resource

scheduling

• SAP service and asset manager for mobile maintenance

Figure 1-2. S/4HANA Asset Management portfolio of solutions

SAP IAM (Intelligent Asset Management SAP IAM) is a group

of applications. These cloud-based solutions use the SAP Business
Technology Platform. It has three parts: SAP Asset Intelligence Network,
SAP Asset Performance Management, and SAP Service and Asset Manager.
One big aim of SAP Intelligent Asset Management is to use technology and
data science to predict when maintenance is needed. This helps to prevent
unexpected problems and reduce the need for extensive maintenance.

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 Chapter 1 SAP S/4HANA Asset Management

1.3. S/4HANA Asset Management

Key Functionalities
Like other business applications, the asset management software
comprises four components concerning master data maintenance,
business transactions, reporting and analytics, and access control (see
Figure 1-3).

Figure 1-3. Key functionalities in Asset Management application

• Master data maintenance: Master data management

is crucial in maintaining comprehensive records of
technical assets and their associated characteristics.
This encompasses asset details, maintenance planning
and scheduling data, usage and performance values,
bill of materials, resource capacity, and other relevant
information. The primary objective of master data
management is to guarantee the consistency, reliability,
and adherence to data compliance standards.

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Chapter 1 SAP S/4HANA Asset Management

• Business process execution: An enterprise asset

management software aims to achieve a vital
objective: enhance asset performance and ensure
their well-being. It accomplishes this by supporting
various business functions, including scheduled and
unscheduled maintenance planning and scheduling,
initiating, executing, and completing repair work,
conducting quality inspections on technical objects,
refurbishing assemblies, and performing other
relevant tasks.

• Reports and analytics: Asset management reports

and analytics serve the purpose of optimizing the
tracking, monitoring, and analysis of assets, making
these processes highly efficient. This capability enables
businesses to derive maximum value from their asset
management activities.

• Access control: The act of granting necessary

authorizations to users enables access to specific
resources. This serves a dual purpose of safeguarding
sensitive data and ensuring that users can only access
information and perform actions that are essential for
their job responsibilities.

1.4. Positioning and Integration of Asset

Management with Other SAP S/4HANA
Business Applications
SAP S/4HANA Asset Management is developed with seamless integration
with various other S/4 HANA Business applications, enabling automatic
identification of pertinent business objects and automated posting of

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 Chapter 1 SAP S/4HANA Asset Management

documents. The benefits of integrating asset management with other

business applications include streamlined processes, real-time visibility,
reduced downtime, and optimal spare parts management at the lowest
possible cost.
Let’s discuss a few of the important integrations.
Integration with S/4HANA Supply Chain applications focuses
on materials management, including initiating material purchase
requisitions, external service requisitions, and the management of
inventory material from maintenance orders. Integration with other
modules, such as Production Planning and Quality Management,
enhances operational efficiency and inspection processes.
Integration with S/4HANA Financial Accounting and Controlling
deals with the synchronization of the asset master from asset accounting
and the equipment master from asset management to maintain accurate
and consistent master data for reliable business transactions and reports
on this data. It also involves the cost value flow in maintenance orders
and the cost settlement of maintenance orders to cost objects in the
controlling module.
Integration with the S/4HANA Project System enables linking
maintenance orders with a project work breakdown structure (WBS). This
integration offers precise cost tracking, especially during shutdowns,
where maintenance costs can be allocated to specific project WBS,
assisting in detailed cost analysis and reporting (see Figure 1-4).

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Chapter 1 SAP S/4HANA Asset Management

Figure 1-4. Asset Management integration with other S/4HANA

applications

1.5. Ways to Provision SAP S/4HANA

The following are various ways to provision S/4HANA Asset Management
and other business suite applications.

• On-Premise: In this widely used option, the customer

purchases a license and installs the software in their
own premise and data center. It is like having the SAP
system in-house, and all the data and processes are
managed and controlled internally by the company’s
IT team. This setup allows the company to have full
control over its SAP system.

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 Chapter 1 SAP S/4HANA Asset Management

• Cloud: In this option, the customer rents the software

for a defined time period. SAP provisions the software
in its own premises and data center. This setup is like
using a service or application online, and the company
can access its SAP system from anywhere with an
internet connection.

• Hybrid: This option involves a combination of

customer-operated applications on-premise and SAP-
operated applications in the cloud (see Figure 1-5).
These two instances can be connected and seamlessly
integrated with each other.

Figure 1-5. Options to provision S/4HANA Business Suite

1.5.1. Options Within Cloud Provisioning

The cloud provisioning model is available in two types: public cloud and
private cloud software.

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Chapter 1 SAP S/4HANA Asset Management

Public Cloud
In this offering, the software is typically hosted on a data center that serves
multiple tenants or customers who share the server’s resources. This setup
is similar to an apartment building, where multiple tenants reside in the
same physical infrastructure and utilize certain shared resources. However,
each tenant has their own secure unit within the building, accessible only
with their individual key. The maintenance of the building and apartment
units is included in the rent paid by tenants and is handled by the cloud
provider when necessary.
In the public cloud, each customer’s data and applications are isolated
from those of other customers. Despite this segregation, since they share
certain resources and the cloud provider takes care of maintenance, the
public cloud is often the most cost-effective and efficient solution.

Private Cloud
Private cloud software operates on a dedicated data center exclusively
used by a single tenant or customer. The primary distinctions between
private cloud and on-premise solutions lie in server maintenance
responsibilities and software licensing.
With on-premises solutions, the customer purchases the server
and assumes responsibility for its maintenance. In contrast, for private
cloud setups, a third-party provider owns the server and takes care of its
maintenance. Customers pay a subscription fee to access the server via
the Internet and install the desired software. In certain cases, one cloud
provider maintains the server, while another provider maintains the
installed software.
For instance, in SAP S/4HANA Cloud, private edition, SAP is
responsible for maintaining the business software. However, customers
can host their software on a server within an SAP data center or in a data
center operated by one of SAP’s partners. In the latter case, the partner

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 Chapter 1 SAP S/4HANA Asset Management

assumes the server maintenance duties. Private clouds offer greater

flexibility and customization compared to public clouds. If a public cloud
can be likened to an apartment, a private cloud is akin to a stand-alone
house on its own land plot.

1.6. S/4HANA Asset Management User

Interface and User Experience
A simple and easy-to-use user interface has become the driving factor
behind the success of a software application. SAP continues to enhance
user experience through continuous improvements and innovations in
user interfaces. SAP S/4 HANA offers various user interface (UI) options.

1.6.1. SAP Fiori Apps

SAP Fiori apps is a new product that aims to achieve a modern, simplified,
browser-based approach. SAP Fiori Launchpad (SAP FLP) is designed to
be the entry point for all Fiori apps. SAP Fiori Launchpad supports SAPUI5
(HTML5) technology, SAP GUI for HTML, and Web Dynpro and runs in all
the browsers available on the market. FLP is a role-based and personalized
UI client that can be deployed on various platforms and device types.
It is browser-based and consists of groups of tiles, which can be flexibly
grouped based on tile catalogs. The availability of tile catalogs for each
user is determined through role assignments.

1.6.2. SAP GUI for Windows

SAP GUI for Windows is client-level software of SAP and runs on the
Microsoft Windows platform for all SAP applications (see Figure 1-6). It
works like any browser and needs to be installed on local PCs within a
company’s network to remotely access the central SAP application server.

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Chapter 1 SAP S/4HANA Asset Management

Figure 1-6. S/4HANA user interfaces

1.6.3. SAP Business Client

The SAP Business Client UI offers a unified landing point for various SAP
business applications and technologies. Customers with S/4HANA
on-premise deployment can use SAP Business Client to execute both SAP
Fiori apps and SAP GUI for Windows transactions.

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 Chapter 1 SAP S/4HANA Asset Management

1.7. Summary
This chapter explored the features and functionalities of SAP S/4HANA, a
cutting-edge business suite designed to revolutionize business processes.
We discussed different ways to provision SAP S/4HANA, including on-
premises and cloud deployments, ensuring organizations can choose the
most suitable approach for their needs.
You gained insights into the comprehensive asset management
capabilities within SAP S/4HANA, which includes maintenance planning,
execution and completion, real-time tracking, and reporting and
analytics. The details also shed light on the key functionalities offered
by the S/4HANA Asset Management application. Finally, we examined
the user-friendly interface and user experience the SAP S/4HANA Asset
Management application provides, empowering users with an intuitive
and efficient tool.
By harnessing the potential of SAP S/4HANA, businesses can optimize
asset management processes, leading to improved productivity and
enhanced decision-making capabilities.

13
CHAPTER 2

Asset Management
Organizational
Structure
In an efficient asset management application, a well-defined
organizational structure is the foundation for successful strategies. This
chapter delves into the important elements of organizational units and
their significance in S/4HANA Asset Management. It navigates through a
series of topics, each shedding light on a crucial aspect of this structure.
The following are some of the key topics covered in this chapter.

• Introduction to organizational units in S/4HANA

• Organizational units specific to asset management

• Maintenance plants

• Planning plants

• Centralized and decentralized planning plants

• Maintenance work centers

• Configuring an organizational structure in S/4HANA

© Rajesh Ojha and Chandan Mohan Jaiswal 2023 15

R. Ojha and C. M. Jaiswal, SAP S/4HANA Asset Management,
https://doi.org/10.1007/978-1-4842-9870-1_2
Chapter 2 Asset Management Organizational Structure

2.1. Introduction to Organizational Units

in S/4HANA
Defining organization units is an elementary requirement to structure
and organize various components of an organization’s structure within
S/4HANA. These organization units help the S/4HANA applications to
represent the real-world functional structure of the organization, such as
finance, logistics, sales, human resources, and others (see Figure 2-1). Each
organization unit serves a specific purpose and is crucial in managing data
and business operations within the S/4HANA application.

Figure 2-1. Organizational units in S/4HANA

The following are some of the most important organizational units in

S/4HANA.

• Client: The client is the top-level entity among all

organizational units; for example, it may represent a
conglomerate of corporations comprising multiple
companies. All the business applications within a client
share a common database for data.

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 Chapter 2 Asset Management Organizational Structure

• Controlling area: A controlling area in S/4HANA is a

way of grouping and organizing one or more company
codes to enable centralized control and management
accounting functions across multiple subsidiaries or
business units within an organization.

• Company codes: A company represents an

independent legal entity or a business unit within a
corporate group. For instance, if you have a parent
company with multiple subsidiaries, each subsidiary
may be represented as a separate company code in
S/4HANA.

• Plant: A plant is a physical location or facility where the

production or stocking of goods occurs. It could be a
manufacturing plant or a warehouse.

• Maintenance plant: Among the plants, those at which

technical systems (machines, equipment, assembly
lines) are installed and operationalized are called
maintenance plants.

• Planning plant (maintenance planning plant):

Among the plants, those at which maintenance
planning is performed are defined as planning
plants. Maintenance planning (e.g., creating and
managing preventive maintenance plans, work orders,
schedules, and optimizing resources) is performed in a
planning plant.

• Maintenance work center: The technical and human

resources used for asset management are known as
work centers (often called workshops in business) and
are associated with a plant.

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Chapter 2 Asset Management Organizational Structure

• Organizational unit: An organizational unit is one of

the elementary objects in human capital management
(HCM) used to construct an HCM organizational
structure. An organizational unit can be linked with
a work center in asset management, enabling the
specification of different teams from both a logistical
and an HR perspective.

• Business partner: A business partner is the functionality

to create master data, such as persons, groups of persons,
and organizations; examples include customers,
vendors, and employees. Each employee (personnel
number) has a mandatory business partner assigned.

2.2. Organizational Units Specific

to Asset Management
In S/4HANA Asset Management, an organizational unit represents a
fundamental element of the organizational structure within the system.
It is a key building block for effectively organizing and managing assets,
maintenance processes, and resources.
The following sections describe a few of the most important
organizational units in S/4HANA Asset Management.

2.2.1. Maintenance Plants
A maintenance plant is an important organizational unit representing
a physical location or facility where technical systems (machines,
equipment, assembly lines) are installed and operationalized. For
example, a plant where an automotive assembly line is set up, a
machine commissioned and operationalized, or a vehicle used for
transporting goods.

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 Chapter 2 Asset Management Organizational Structure

The following describes the characteristics of a maintenance plant,

which comprises various locations, sections, and production facilities.

• Locations: Locations represent different parts/areas

within a plant. For example, if a plant consists of a
store, dispatch area, divisions, and parking area, each
can be defined as a location within the plant. You can
use location as an input parameter in various reports
to filter your information, such as for the equipment
master and functional location lists.

• Plant section: Maintenance plants are divided into

production areas, with machines or sets of machines
represented in the system as equipment or functional
locations installed within these plant sections. Plant
sections indicate the specific location for which a
maintenance task was requested. The plant section can
also designate a contact person for plant maintenance
in production.

• Work center: The technical and human resources used

for asset management are called work centers.

2.2.2. Planning Plants (Maintenance

Planning Plants)
An organizational unit in asset management where planning activities
are conducted is known as a planning plant (see Figure 2-2). These
activities include creating and managing maintenance plans, work
orders, schedules, and optimizing resources. These planning activities
may originate from the planning plant itself, which can also serve
as a maintenance plant, or they may come from other maintenance
plants connected to this maintenance planning plant. The planner

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Chapter 2 Asset Management Organizational Structure

assigned to the planning plant is defined as the maintenance planner in

customization. The planner group is an individual or group responsible for
maintenance planning in a planning plant.

Figure 2-2. Organizational units specific to location and planning

2.3. Centralized and Decentralized

Planning Plants
Based on the organization’s asset maintenance planning structure—
centralized or decentralized—S/4HANA Asset Management defines a
planning plant as either centralized or decentralized.

2.3.1. Centralized Planning Plants

In a centralized planning plant, the planning activities for technical
assets from multiple maintenance plants have been performed from
one planning plant. In this case, the planning plant is responsible for all
the maintenance plants, and planning activities are consolidated and

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 Chapter 2 Asset Management Organizational Structure

managed in this planning plant. This central planning plant serves as a

hub where maintenance plans, work orders, and schedules are created
and coordinated for multiple maintenance plants within the organization.
Components are stored and issued from the centralized planning plant.
However, the maintenance work center can be set up in either the
planning plant or the maintenance plant, depending on the location of
the maintenance workshop. If the maintenance workshop is centrally
available to serve all requesting maintenance plants, the work center
needs to be set up with the planning plant. But in case a few requesting
maintenance plants have their own locally available workshops, then for
those workshops, the work centers need to be set up in their respective
maintenance plants (see Figure 2-3).

Figure 2-3. Centralized planning plant

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Chapter 2 Asset Management Organizational Structure

2.3.2. Decentralized Planning Plants

In contrast, a decentralized planning plant allows each maintenance plant
to manage its plan independently. In this scenario, each maintenance
plant is also its own maintenance planning plant and carries out activities
such as creating maintenance plans, work orders, and schedules for its
technical assets. The work center processes the maintenance orders, and
components are issued from the same plant.

2.4. Maintenance Work Centers

The technical and human resources used for asset management are
defined as work centers. It is one of the elementary master data used in
asset management that defines when and where an operation (repair
work) can be executed. Within these work centers, all maintenance
activities are performed. A work center is made of the following.

• One or more technical objects, such as a forklift or

welding machine

• One or more persons, such as a senior welder or group

of mechanics
These work centers (see Figure 2-4) are associated with a plant.

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 Chapter 2 Asset Management Organizational Structure

Figure 2-4. Maintenance work center

Maintenance work centers are maintained in various master data and

used in several transactions.

• In the functional location and equipment master, they

are responsible for maintenance work.

• In the maintenance plan’s item, they carry out planned

maintenance work.
• In the task list header section, they are responsible for
maintenance work.

• In each operation of the task list, they execute the

operation.

• They are responsible for maintenance work in the

maintenance and repair order header section.

• In each maintenance and repair order operation, they

execute the operation.

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Chapter 2 Asset Management Organizational Structure

2.4.1. Work Center Sections and Information

The following explains a few of the important sections and data within
these sections of a work center.

• Basic data: The Basic Data view/tab of the work center

contains information such as category, description, the
person responsible, usage, and standard value key.

• Default data: The Default Values view of the work

center contains information for transferring a few of
the default values, such as the control key, when the
work center has been entered in an operation of a
maintenance order. There is also an option to maintain
a few more default values if required. By activating a
specific business function, you can maintain default
values for the following.

• Contract and contract item

• Vendor (supplier)

• Purchasing organization

• Purchasing group
• Material group

• Capacity data: The Capacity view of the work center

contains information related to the resource capacity of
the work center, such as capacity category (machine/
person), the number of resources available, working
hours, and break hours. The available capacity may be
limited based on time or arranged in shifts that deviate
from the standard available capacity.

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 Chapter 2 Asset Management Organizational Structure

• Scheduling data: Based on the scheduling data,

an operation’s start and finish time (duration of an
operation) are calculated based on lead times.

• Costing data: The Costing view of the work center

contains important information related to the internal
cost of the resources of the work center, such as the cost
center with which the work center is associated, costing
activity types (various rates based on resource type)
and validity period (see Figure 2-5).

• Personal data: Along with capacity-related

information, you can assign people (employees’
personal data in the Human Resource application) or
their positions in the work center.

Figure 2-5. A work center’s various sections and information

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Chapter 2 Asset Management Organizational Structure

The relationship between work centers and other objects within the
SAP S/4HANA system is established through maintenance work center
links. The linkage with other objects, such as people, positions, and
qualifications, connects and organizes various resources and information
within the system. These links are maintained with a certain validity
period. A work center can be linked with the following objects.

• People

• Positions

• Qualifications

• Cost centers

2.4.2. Work Center Capacity Planning

To utilize a work center’s resources during the execution of maintenance
work for an asset, the work center must have available capacity within a
specific period as required. The system calculates available capacity in
consideration of values from the following fields.

• Work center start and finish times

• Length of breaks (such as for lunch)

• Total number of unit capacity available (such as
number of technicians)

• Capacity utilization percentage (number of hours per

day available for working on planned activities)

The available capacity has two types (see Figure 2-6).

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 Chapter 2 Asset Management Organizational Structure

Figure 2-6. Available capacity in the work center

• Standard available capacity: The standard available

capacity is calculated using values such as the
work center’s start time, end time, break times, and
individual capacity number. The capacity is available
without any time intervals (shifts). With this data, the
system calculates the working time of the capacity. The
capacity is available for the entire duration of the work
center’s operating time, which means an equal number
of capacities are available throughout the period.

• Intervals of available capacity: Intervals of available

capacity refer to the specified start, finish, and break
times for work centers within a shift, along with validity
periods for the available capacity. These timeframes
indicate the capacity that can be utilized during specific
validity periods. To define an interval of available
capacity, you can use shift programs that apply to all
work centers for a fixed time period.

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Chapter 2 Asset Management Organizational Structure

2.4.3. Integration Between Asset (Equipment

Master) and Production Capacity Planning
Along with asset management, other business areas, such as production,
utilize work centers. Generally, manufacturing assets (e.g., machines,
equipment, and assembly lines) are used in production work centers.
Consequently, if a maintenance order is created for any of these assets, the
production planner should have the ability to view all open maintenance
orders for those production orders in their planning report (e.g., planning
board), where the production work center consists of the under-
maintenance asset (see Figure 2-7).

Figure 2-7. Integration between asset (equipment master) and

production capacity planning

To accomplish this, the production work center code must be entered

in the master data of the technical asset (equipment master’s location data
section).
The value for the System Condition field must be selected in the
header section of the open maintenance and repair order.

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The system condition assigned to a maintenance order determines

whether the technical object entered into the maintenance order is under
breakdown or in operation during the processing of the maintenance
order. In the case of the system condition value "not in operation," it
means that the technical object cannot be used for its intended purpose.
In contrast, the value "in operation" means that the technical object is still
available during maintenance order processing and can be used for its
intended purpose.

2.5. Configuring an Organizational
Structure in S/4HANA
Let’s discuss the recommended steps for defining organization structure in
S/4 HANA Asset Management.
After confirming the proposed organizational structure with the
organization’s business team, you need to add the required organizational
objects, as described next, using the S/4HANA configuration.
Asset Management (also known as Plant Maintenance) is generally
implemented only after other application modules, such as Finance (FI),
Controlling (CO), and Procure-to-Pay (Materials Management (MM)),
have been implemented. Hence, the majority of the organizational
structure has already been configured. The configured structure needs
to be reviewed from an asset management perspective, and additional
organizational structures must be included for the asset management–
specific areas.
After a detailed study, the organizational units required for asset
management are set up in the system. Maintenance plants (which are
normally already configured for the Procure-to-Pay module as logistic
plants) and planning plants (also known as maintenance planning plants)
are defined in the organizational structure (see Figure 2-8).

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Chapter 2 Asset Management Organizational Structure

Figure 2-8. Organizational levels

In this step, the maintenance planner groups are created in planning

plants, and maintenance work centers are created for maintenance plants.
Configuration is the process of customizing and setting up various
functionalities and features of the SAP S/4HANA software according to the
specific needs and requirements of an organization’s business processes.
Although the standard S/4HANA Business Suite comes preconfigured,
which can be readily used for an organization’s business process execution,
a certain degree of additional settings and changes to existing settings are
required. This allows system administrators and consultants to add and
change settings and options within SAP S/4HANA to tailor the system as
required. It is a prerequisite step in the SAP S/4HANA implementation
process because it ensures that the software system is aligned with
the organization’s business processes. Among a comprehensive list of
configuration options, you can configure a few of the most common and
important objects (see Figure 2-9), described as follows.

• Organizational structures such as finance, logistics,

asset management, and human resources

• Various document types, such as procurement,

production, maintenance, and sales

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• Mater data–related settings such as for equipment

(assets), product (material), customer, and supplier

• Planning related objects such as material requirement

planning and resource-related planning

• Various checks and validation-related settings for

master data and business process transaction data

Figure 2-9. A few of the important configuration nodes

2.5.1. Configuring a Plant
Defining the plant is one of the elementary and important organizational
unit configurations for logistic-related business processes such as
procurement, inventory, and manufacturing. It is also a prerequisite for
setting up the planning plant for asset management. Although all the
required plants are configured for logistics before implementing asset
management, typically configuring a plant involves the following steps.

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1. Define the plant for logistics.

2. Identify the plant as a planning plant for asset

management.

3. Define storage location in a plant.

4. Assign plant to company code.

5. Assign purchase organization to plant.

6. Assign planning plant to maintenance plant.

7. Define maintenance planner groups.

8. Update quantities/values for material types.

9. Define account determination.

10. Define plant parameters for inventory management.

11. Define plant parameters for consumption-based

planning.

Let’s discuss the navigation path to the Customization section. From

the SAP Easy Access menu, navigate to Tools → Customizing. Double-click
IMG → SPRO–Execute Project. Click the SAP Reference IMG button.
Table 2-1 lists important configuration paths related to the plant.

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Table 2-1. Configuration Path for Important Configuration Related

to Plant
Configuration Step Configuration Path

Define Plant (not done by Asset Enterprise Structure → Definition → Logistics -

Management Project Team) General → Define, copy, delete, check plant
Define Planning Plant Enterprise Structure → Definition → Plant
(configuration done by Asset Maintenance → Maintain maintenance
Management Project Team) planning plant
Assign Planning Plant Enterprise Structure → Assignment → Plant
(configuration done by Asset Maintenance → Assign maintenance planning
Management Project Team) plant to maintenance plant
Define Planner Groups Plant Maintenance and Customer Service
(configuration done by Asset → Master Data in Plant Maintenance and
Management Project Team) Customer Service → Technical Objects →
General Data → Define Planner Groups
Storage Location (not done by Enterprise Structure → Definition → Logistics -
Asset Management Project Team) General → Define Location
Purchasing Organization (not done Enterprise Structure → Assignment →
by Asset Management Project Materials Management → Assign purchasing
Team) organization to plant — / Assign standard
purchasing organization to plant
Quantity and Value Update for Logistics - General → Material Master → Basic
Material Types (not done by Asset Settings → Material Types → Define Attributes
Management Project Team) of Material Types
Account Determination (not done Materials Management → Valuation and
by Asset Management Project Account Assignment → Account Determination
Team) → Account Determination Without Wizard →
Group Together Valuation Areas
(continued)

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Table 2-1. (continued)

Configuration Step Configuration Path

Inventory Management (not done Materials Management → Inventory

by Asset Management Project Management and Physical Inventory → Plant
Team) Parameters
Consumption-based Planning Materials Management → Consumption-Based
(not done by Asset Management Planning → Plant Parameters → Carry Out
Project Team) Overall Maintenance of Plant Parameters
Split Valuation (Refurbishment) Materials Management → Valuation and
(not done by Asset Management Account Assignment → Split Valuation →
Project Team) Activate Split Valuation — / Configure Split
Valuation
Valuation of Goods (Refurbishment) Production → Shop Floor Control → Integration
(not done by Asset Management → Define Valuation of Goods Received
Project Team)

For Asset Management the SAP S/4HANA offers the following

configuration functionalities for organization objects.
1. Mark a plant (logistic plant) as a planning plant.
In this configuration step, you must mark a defined
logistic plant as the planning plant. If all the plants
in the organizational structure are also maintenance
planning plants, then you must mark each as a
maintenance planning plant.
2. Assign the planning plant to maintenance plants.
In this configuration step, you need to assign
all the maintenance plants to their respective
planning plants. This configuration step must assign

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 Chapter 2 Asset Management Organizational Structure

Every maintenance plant to a planning plant. A

maintenance plant can be assigned to only one
planning plant, but a planning plant can be assigned
to multiple maintenance plants.

A maintenance plant can be assigned to a planning plant in various

ways based on the actual organizational structure of asset management.
For example, a maintenance plant may be itself a planning plant
for the assets operationalized in the maintenance plant. Additionally,
a maintenance plant can be assigned to another planning plant.
Several maintenance plants can be assigned to one planning plant (see
Figure 2-10).

Figure 2-10. Various relationships between maintenance plant and

planning plant

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Table 2-2 lists important configuration paths related to planning plant.

Table 2-2. Configuration Path for Identifying Planning Plant and

Assigning to a Maintenance Plant
Configuration Step Configuration Path

Identify Planning Plant SAP Customizing Implementation Guide →

(Maintenance Planning Plant) Enterprise Structure → Definition → Plant
Maintenance → Maintain maintenance
planning plant
Assign Planning Plant to SAP Customizing Implementation Guide →
Maintenance Plant Enterprise Structure → Assignment → Plant
Maintenance → Assign maintenance planning
plant to maintenance plant

Note that the node for configuring Asset Management is labeled as

Plant Maintenance (see Figure 2-11).

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 Chapter 2 Asset Management Organizational Structure

Figure 2-11. Configuration nodes for Asset Management

organization objects

2.5.2. Configuring a Work Center

Based on existing organizational maintenance workshops, you must create
work centers in S/4HANA Asset Management for each workshop. Along
with asset management, other business areas, such as production, use
work centers.
A few functionalities and information items used in the work center
can be configured according to the requirements.

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Chapter 2 Asset Management Organizational Structure

Work Center Types

In this configuration activity, you define types of work centers. Every work
center is assigned to a work center type during creation, which determines
the following functionalities.

• The allowed task list types, such as asset management

(plant maintenance) and production

• The screen sequence, such as basic data, capacity data,

and costing view

• Field selection

• Whether changes to the work center should be

documented with change documents

Field Selections
This configuration step determines whether a field is mandatory, optional,
or display-only. You can configure fields in the following screen areas.

• Task lists

• Header screens

• Sequence screens

• Operation screens

Standard Value Keys

In this configuration step, you can define the standard value keys. The
standard values represent planned values used for calculating the
execution time of an operation in the maintenance task list.

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Default Work Centers

In this configuration step, you can define a default work center for each
work center type and plant.
Figure 2-12 shows the navigation path to the customization section.

Figure 2-12. Configuration path for work center functionalities and

information

From the SAP Easy Access menu, navigate to Tools → Customizing.

Double-click IMG → SPRO–Execute Project. Click the SAP Reference
IMG button.
Table 2-3 lists the configuration path for work center functionalities
and information.

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Table 2-3. Configuration Path for Work Center Functionalities and

Information
Configuration Step Configuration Path

Work Center Types Plant Maintenance and Customer Service → Maintenance

Plans, Work Centers, Task Lists, and PRTs → Work Centers
→ General Data → Define Work Center Types and Link to
Task List Application
Field Selection Plant Maintenance and Customer Service → Maintenance
Plans, Work Centers, Task Lists and PRTs → Work Centers
→ General Data → Define Field Selection
Standard Value Keys Plant Maintenance and Customer Service → Maintenance
Plans, Work Centers, Task Lists and PRTs → Work Centers
→ General Data → Define Standard Value Keys
Default Work Center Plant Maintenance and Customer Service → Maintenance
Plans, Work Centers, Task Lists and PRTs → Work Centers
→ General Data → Create Default Work Center

Once all the prerequisite configurations for the work center have been
checked and, if required, modified, you can create a new work center as
master data. Typically, creating a work center involves the following steps.

1. Clarify which work center types you need.

2. Enter the work center descriptions.

3. Assign the keys of work center types for the screen

sequence that serves as a reference.

4. Link the work center category to a task list

application.

Next, let’s discuss user interface for managing a work center.

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SAP Fiori apps for work center maintenance are Create Work Center,
Change Work Center, and Display Work Center.
For, SAP GUI-based transactions for work center maintenance, you can
navigate to create, change, and display the work center (see Figure 2-13).
From the SAP Easy Access menu, go to Logistics → Plant Maintenance →
Management of Technical Objects → Environment → Work Centers →
Work Center → IR01 – Create / IR02 – Change / IR03 – Display.

Figure 2-13. Work center

2.6. Summary
This chapter explained the role of organizational structures within an
enterprise and the corresponding elements available in SAP S/4HANA. It
delved into the organization structure specific to S/4HANA Asset
Management, which includes maintenance plant, planning plant, and
work center. Additionally, we explored various approaches to defining
planning plants, such as centralized and decentralized planning plants.
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The chapter also delved into the detailed process of configuring logistic
plants, identifying a logistic plant as a planning plant, and assigning it to a
maintenance plant. Finally, it detailed the configuration of a work center
and how to create one.
This chapter provided valuable insights into the crucial elements
that form the foundation of effective asset management within the
S/4HANA system.

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CHAPTER 3

Master Data for Asset

Management
In the dynamic landscape of modern asset management, harnessing the
power of SAP S/4HANA brings unprecedented opportunities, and at the
core of this transformation lies in master data in SAP S/4HANA Asset
Management. This chapter is a comprehensive guide to unlocking the
potential of various master data components within the system.
Navigating through functional locations, equipment, classification, and
linear asset management, this chapter lays the foundation for a structured
approach to asset management, enabling organizations to efficiently
allocate resources and streamline maintenance processes. It explores the
intricacies of a bill of materials, serial numbers, measuring points, and
counters, illuminating the critical role these elements play in enhancing
operational accuracy and strategic decision-making.
As businesses seek to extract maximum value from their assets,
mastering the intricacies of SAP S/4HANA becomes indispensable. This
chapter acts as a beacon, guiding both novices and seasoned professionals
through the rich landscape of master data management and facilitating the
transition toward a more agile, informed, and responsive approach to asset
management in the digital age.

© Rajesh Ojha and Chandan Mohan Jaiswal 2023 43

R. Ojha and C. M. Jaiswal, SAP S/4HANA Asset Management,
https://doi.org/10.1007/978-1-4842-9870-1_3
Chapter 3 Master Data for Asset Management

3.1. Functional Location
In SAP Enterprise Asset Management, a functional location is a physical
or logical location within an organization where an asset or a group of
assets are installed or used. It represents a specific place or area where
maintenance activities are performed and is typically associated with a
unique identifier in SAP.
Functional locations can be hierarchical in structure, allowing for the
representation of different levels of detail. For example, you can have a
functional location representing an entire building. Within that, you can
define sub-functional locations for individual floors, rooms, or specific
equipment within those rooms.
Functional locations serve as a foundation for asset management in
SAP EAM. They enable you to track and manage maintenance activities
at specific locations, such as inspections, repairs, and replacements. They
also provide a structure for organizing and categorizing assets, allowing for
better visibility and control over the maintenance processes.
By associating assets with functional locations, you can easily identify
which assets are in a specific area and view their maintenance history,
status, and other relevant information. This helps plan and execute
maintenance tasks efficiently, optimize resource allocation, and ensure
compliance with safety and regulatory requirements.

3.1.1. Structuring of Functional Locations

The following highlights the process of structuring technical objects.

1. Determine the assets that necessitate maintenance

actions and those that require evaluation.
2. Select the appropriate organizational elements
(functional location, equipment, assembly,
material) for each asset and establish the structure.

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3. Establish technical attributes (e.g., engine) and

categories (e.g., locomotive classes). All technical
attributes become accessible for an asset when
associated with a class within a technical object
(e.g., equipment), as shown in Figure 3-1.

4. Perform a configuration assessment on a

prospective structure for a complex technical object
arrangement.

Figure 3-1. List of entries for functional locations

If the following conditions apply, utilize functional locations to

organize your systems.

• You want to depict the structures of your company’s

technical systems based on functional criteria.

• Maintenance activities must be carried out on specific

components of your technical system, and you need to
maintain a record of this work.

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Chapter 3 Master Data for Asset Management

• You need to gather technical data for specific parts

of your technical system and analyze it over an
extended period.

• You require monitoring of maintenance costs for

specific components of your technical system.

• You intend to conduct analyses to determine the

impact of usage conditions on the susceptibility to
damage for installed equipment components.

Structure Indicator
Functional location labels (previously, numbers) are created using the
structure indicator. The structure indicator consists of two input fields: Edit
mask and Hierarchy levels (see Figure 3-2).

Figure 3-2. Structure indicator

An edit mask manages the allowable characters for labeling purposes

(including letters, numbers, or both) and determine how these characters
are grouped or separated. Hierarchy levels establish the endpoint
character for each level and specify the maximum number of hierarchy

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levels that can be included in the structure. The functional location label is
limited to 40 characters, as determined by the coding template’s length.
You can configure functional location categories and structure
indicators in IMG settings (see Figures 3-3 and 3-4).

Figure 3-3. Define structure indicator in IMG settings

Figure 3-4. Create a functional location category in IMG settings

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Chapter 3 Master Data for Asset Management

A functional location is created in transaction IL01 (see Figure 3-5). It is

used for managing and tracking physical locations within an organization.

Figure 3-5. Create a functional location as master data

The following steps create a functional location in SAP using

transaction IL01.

1. Launch the SAP Easy Access menu and enter

transaction code IL01 in the command field.
Press Enter.

2. In the initial screen, enter the Plant for which you

want to create the functional location.

3. Click the Create button or press F5 to proceed with

the creation of a functional location.

4. In the next screen, enter the required data for the

functional location, such as the following.

a. Functional location: Enter a unique identifier for the

functional location.

b. Description: Provide a meaningful description of the

functional location.

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c. Planning plant: Enter the plant code if it differs from the one
entered in the initial screen.

d. Location: Specify the physical location details, such as

building, room, or other relevant information.

5. You can also provide additional details for the

functional location, such as maintenance plant, cost
center, responsible work center, and other relevant
data per your organization’s requirements.

6. Once you have entered all the necessary

information, click the Save button, or press Ctrl+S to
save the functional location.

7. A message confirms the successful creation of the

functional location, along with the newly assigned
functional location number.

Reference Functional Locations

You can utilize a reference functional location to streamline the creation
and administration of multiple similar functional locations within the
system. Individual master records are used to define and manage these
reference functional locations. It’s important to note that reference
functional locations do not represent actual physical locations; instead,
they are assigned as references to real functional locations shown in
Figure 3-6.
The reference functional location’s master record encompasses
information that applies to all functional locations linked to it. You only
need to input location-specific data when generating functional locations
using these reference locations, as the rest is inherited from the reference.

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Figure 3-6. Define reference functional location in IMG settings

At the client level, the system manages master records for reference
functional locations. Consequently, their labels are unique across the
entire corporate group.

3.2. Data Transfer
When establishing a hierarchy with functional locations, various choices
exist regarding data inheritance at lower levels.
The goal is to allocate specific core data at the highest feasible level
and have it automatically propagate to numerous objects. This transfer can
be centrally managed from the topmost functional location for all master
record fields. Additionally (see Figure 3-7), you can disable data transfer at
a specific hierarchy level and field (e.g., cost center), enabling individual
maintenance of each field.

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Figure 3-7. Data origin

3.2.1. Hierarchical Data Transfer

Functional locations and equipment hierarchies involve data transfer,
following the following principles.

Starting from the Superior Object

For instance, data transfer occurs seamlessly when equipment is installed
from a functional location. Fields in the equipment master record that
already have entries remain unaffected and are regarded as individually
maintained. Any fields without entries automatically inherit data from the
functional location.

Starting from the Subordinate Object

If installation is initiated from the equipment master record, data transfer
can be controlled using the Installation with Data Transfer function. This
allows you to specify which fields should be maintained individually,
independent of the functional location, and which fields should be copied
from the functional location (see Figure 3-8).

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To modify the data inheritance options for each field within the
functional location, the Data Origin function can be utilized. For
equipment, this switch can be made by dismantling the equipment
and subsequently performing installation and configuration using the
Installation with Data Transfer function.

Figure 3-8. Hierarchical data transfer

3.2.2. Horizontal Data Transfer

Using reference functional locations, you can define category-specific
data for each asset category and transfer this data to the corresponding
functional locations, equipment, and associated subequipment (see
Figure 3-9).
For instance, let’s consider the responsible work center for the Electric
Motor functional location that changes across multiple clarification plants.
In such a scenario, the employee responsible for managing the master data
would modify the master record for the Electric Motor reference functional
location and save the changes. The system automatically updates all
functional locations linked to this reference location and the equipment

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installed at those locations. A message is then generated, notifying the

employee of the number of functional locations and equipment to which
the data has been transferred.

Figure 3-9. Horizontal data transfer

3.2.3. Data Origin
Regarding reference functional locations and functional locations (see
Figure 3-10), you can view the data source in the master data fields. There
are two display options available, as outlined next.

• Individual display: This option allows you to view the

data origin for each field separately.

• Overview display: With this option, you can obtain a

comprehensive overview of the data origin.

For reference functional locations and functional locations, you can

specify the data source for each master data field. In the case of reference
functional locations, you can determine whether the data should originate
from a higher-level location in the structure or be maintained individually
in the master record. Similarly, for functional locations, you can specify

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whether the data should come from a superior location in the structure,
a reference functional location, or be maintained individually in the
master record.
For equipment, an overview display (in the form of a data origin list) is
available for each tab’s page. However, there is no field-specific display or
option to make changes at the field level.

Figure 3-10. Data origin

3.3. Defining Alternate Labeling

In the case of alternative labeling for functional locations, you can modify
the labels assigned to functional locations.
This modification can involve either “renumbering” the functional
location by changing its primary key or creating an additional view that
presents the object with a different numbering system. When the primary
label is altered, you are prompted to determine whether the renumbered
functional location should be classified under a new hierarchy, provided it
is available.

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Note To enable alternative labeling, you need to activate it through

customizing because it is not active by default in the standard
system. It is advisable to thoroughly test this functionality before
actual usage, as it can impact system performance.
For performance optimization, executing the report RI_IFL0T2IFLOD
(via transaction code SE38) is recommended after activating
alternative labeling.
While it is possible to deactivate alternative labeling, it’s important to
note that the system is not reset to its initial state before activation.
In certain situations, deactivation may result in decreased system
performance.

Alternative labeling of functional locations (see Figure 3-11) offers

distinct labeling systems within the same hierarchy. This feature enables
scenarios where different entities employ separate labeling systems, such
as the system manufacturer and the customer.
It’s important to note that alternative labeling systems, identified by
an internal structure indicator, do not impact the object’s structure. The
primary labeling system determines the structure.

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Figure 3-11. Alternative labeling of functional locations

The definition of the labeling system takes place in the Customizing

settings. The selection of the appropriate labeling system is managed
through a user profile, which enables the creation and activation of
necessary views to accommodate the desired labeling system.

3.4. Standard Fiori Apps

for Functional Locations
The following are some standard Fiori apps related to functional
locations in SAP.

• Display Functional Location (App ID: F1692): This

app allows you to view detailed information and
characteristics of a functional location.
• Manage Functional Locations (App ID: F1076): With
this app, you can create, edit, and delete functional
locations. It provides comprehensive maintenance
capabilities for functional locations.

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• Search Functional Locations (App ID: F1993): This app

enables you to search for functional locations based
on various criteria, such as location ID, description, or
hierarchy level.

• Change Functional Location Hierarchy (App ID:

F1701): This app allows you to modify the hierarchy
structure of functional locations by moving them
within the hierarchy or creating new levels.

• Create Measurement Documents for Functional

Locations (App ID: F1650): This app lets you record
and manage measurement documents associated with
specific functional locations.

• Manage Maintenance Orders for Functional Locations

(App ID: F1705): With this app, you can create, edit,
and manage maintenance orders related to functional
locations.

These are just a few examples of standard Fiori apps available for
functional locations in SAP. The availability and specific functionality of
these apps may vary based on the SAP version and configuration.
Figure 3-12 shows Create Technical Object App.

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Figure 3-12. Technical Object in Fiori apps

3.5. Customizing Settings
for Functional Locations
This section describes the Customizing settings for functional locations
(see Figure 3-13 and Table 3-1).

Figure 3-13. IMG settings for a functional location

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Table 3-1. IMG Settings for Functional Location

Field Name or Data Type Menu Path

Alternate Labeling Plant Maintenance and Customer Service →

Master Data in Plant Maintenance and Customer
Service → Technical Objects → Functional
Locations → Alternative Labeling for Functional
Locations
List Editing Plant Maintenance and Customer Service →
Master Data in Plant Maintenance and Customer
Service → Technical Objects → Functional
Locations → Set List Editing for Reference
Functional Locations
Plant Maintenance and Customer Service →
Master Data in Plant Maintenance and Customer
Service → Technical Objects → Functional
Locations → Set List Editing for Functional
Locations
View Profile Plant Maintenance and Customer Service →
Master Data in Plant Maintenance and Customer
Service → Technical Objects → General Data →
Set View Profiles for Technical Objects
Structure Indicator Plant Maintenance and Customer Service →
Master Data in Plant Maintenance and Customer
Service → Technical Objects → Functional
Locations → Create Structure Indicator for
Reference Locations/Functional Locations
Functional Location Category Plant Maintenance and Customer Service →
Master Data in Plant Maintenance and Customer
Service → Technical Objects → Functional
Locations Define Category of Functional Locations

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3.6. Summary
In this unit, you learned that SAP functional location is a feature within the
SAP Enterprise Resource Planning (ERP) system that allows organizations
to manage and track physical assets or equipment. It is a unique identifier
for a specific location where a functional object or equipment is installed
or maintained.
Functional locations in SAP provide detailed information about an
asset’s physical characteristics, technical data, and maintenance history.
They enable businesses to efficiently manage maintenance activities,
schedule repairs, and track equipment performance.
Using SAP functional location, organizations can assign responsible
personnel, track costs associated with maintenance, and plan preventive
maintenance tasks. It offers a hierarchical structure to organize functional
locations, allowing businesses to group assets based on various criteria
such as location, department, or equipment type.
By integrating functional location data with other SAP modules, such
as Plant Maintenance (PM) or Enterprise Asset Management (EAM),
businesses can streamline their asset management processes, improve
operational efficiency, and make informed decisions regarding
maintenance and resource allocation. Overall, SAP’s functional location
serves as a central repository for managing and monitoring physical assets
within an organization.

3.7. Equipment Master
In SAP EAM, an equipment master record is created to represent a specific
piece of equipment within an organization. The equipment master record
is a central repository of information related to that equipment, including
its characteristics, maintenance history, location, and other relevant data.

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The following are the steps to define an equipment master in

SAP EAM.

1. First, you need to define an equipment type in the

system. An equipment type represents a category
or group of equipment with similar attributes or
characteristics.

2. Once the equipment type is defined, you can create

an equipment class. An equipment class further
categorizes equipment types based on shared
attributes and properties.

3. With the equipment type and class set up, you can
proceed to create an equipment master record.
This involves providing details such as equipment
number, description, manufacturer, model, serial
number, location, installation date, and other
relevant information.

4. Depending on your organization’s requirements,

you can specify additional attributes and
characteristics for the equipment. These attributes
could include technical specifications, maintenance
plans, warranty information, or other custom fields.

5. If the equipment has dependencies or relationships

with other objects, such as functional locations
or other equipment, you can establish these
connections in the equipment master record.

6. You can define maintenance plans and schedules

for the equipment, including planned maintenance
tasks, frequency, and associated resources.

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7. If specific measurements or readings are associated

with the equipment, you can define measurement
points for tracking and recording these values.

8. You can attach documents, manuals, diagrams, or

other relevant files to the equipment master record
for easy reference and access.

9. Define appropriate authorization roles and access

rights to ensure that only authorized personnel can
view and modify the equipment master record.

By following these steps, you can define and maintain equipment

master records in SAP EAM, which provide a comprehensive overview
of the equipment’s details and enable effective management and
maintenance throughout its lifecycle.

3.8. Define Equipment and Its Categories

The project team aims to utilize equipment to depict significant and
valuable individual machinery components, such as pumps and motors.
Equipment is employed to establish a historical record for objects related
to plant maintenance or customer service.
Equipment can represent stand-alone objects, such as tools or
vehicles, or denote assembled units at functional locations, such as
pumps, motors, or gears (see Figure 3-14).

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Figure 3-14. Equipment master in SAP

The equipment category serves as the primary assignment criterion.

It is utilized to classify, describe, and manage fundamentally different
objects, such as machines, fleet objects, production resources/tools, and
customer equipment.

3.9. Equipment and Functional

Location Relation
The combination of a hierarchical system or object structure, along with
the autonomous object view, facilitates the representation of equipment
installation at a functional location.

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In the system, the installation location of an object or aggregate and

the installed object can be represented separately. This differentiation
allows distinct tracking of damages, enabling documentation of whether
the damage is related to the conditions at the installation location
(functional location) or caused by issues with the installed object
(equipment).
The cause of the damage can be attributed and updated to either the
functional location or the specific piece of equipment.
Usage times can be recorded from the equipment view (where
the equipment was installed) and the functional location view (which
equipment pieces were installed at this functional location).

3.9.1. Equipment Hierarchy
If functional locations are not supported in your company or individual
movable aggregates possess a complex structure, equipment hierarchies
can be utilized.
The equipment hierarchy operates differently from a functional
location, as it lacks a structure indicator that establishes relationships
between equipment numbers within the hierarchy shown in Figure 3-15.
Additionally, in a Plant Maintenance Information System (PMIS), costs
cannot be aggregated at the top level of equipment for the underlying
hierarchy.

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Figure 3-15. Equipment hierarchy

Equipment hierarchies can be structured according to specific

requirements. Unlike installations at functional locations, there are no
specific installation specifications for adding another piece of equipment.
This means that equipment pieces not installed at a functional location
can be installed within another piece of equipment.
Data transfer from superior equipment to subordinate equipment
functions similarly to data transfer from a functional location to
equipment.

3.9.2. Equipment Hierarchy
with Functional Location
Equipment hierarchies can be installed at functional locations, just like
individual pieces of equipment. The transfer of data follows the same
principle as between functional locations and equipment or between
functional locations and equipment hierarchies (see Figure 3-16).

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Figure 3-16. Equipment hierarchy and functional location

When equipment usage periods are displayed at the functional

location level, the pieces of equipment within the hierarchy and the entire
hierarchy can be viewed at the top level.
In the Customizing settings, it is possible to create equipment
categories that generate change documents. These change documents
serve to document any modifications made to the equipment master
records. Each change is recorded in a separate document and assigned a
unique document number.

3.9.3. Equipment Categories
To organize equipment categories, you can utilize the object type, which
applies to functional locations as well. For instance, if the equipment type
is a fleet object, the object types can include cars, trucks, motorbikes,
and more.
Moreover, apart from structuring based on equipment and object type,
it is possible to incorporate special views into the master record. This can
apply to production resources/tools and fleet objects.

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The following describes production resources and tools.

• A production resource/tool (PRT) is a portable

operational resource utilized in Plant Maintenance and
Productions, such as tools or measuring devices.

• PRTs can be classified as equipment, materials,

or documents, and they are assigned to specific
operations within the maintenance order.

• In Maintenance Processing, you can perform status

checks, availability checks, and review usage overviews
for PRTs.

• PRTs possess an additional view, namely the PRT Data

view, where you can input details about task list usage
or set the status of the PRT to Locked.

A vehicle within SAP ERP is represented by an equipment master

record containing vehicle-specific data.
To create an equipment master record with vehicle-specific data, you
can utilize transaction code IE31.
The display of tab strips and fields can be configured based on the
combination of equipment category and vehicle type.
For modifying and viewing vehicles in list editing, transaction codes
IE36 and IE37 are accessible. These transactions enable the use of vehicle-
specific selection criteria.
Within these transactions, you can perform the following actions.

• Enter measurement documents for fuel consumption

and distance

• Record the consumption of operating supplies by

creating a material document

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In SAP ERP 6.0 (LOG_EAM_PAM business function) enhancement

package 3, the Pool Asset Management feature becomes available. This
functionality facilitates requirements planning for vehicles within an
internal car fleet.

3.10. Status Management
and Partner Assignment
Status management can be employed to define and ascertain the
availability of a technical object for specific operations. Two types of
statuses exist.

• System status

• User status

System statuses are internally assigned by the system for specific

business transactions within the general status management. They
indicate whether a particular business transaction has been executed for
a technical object and determine which subsequent business transactions
can be performed based on the assigned status.
As system statuses are automatically set by the system during specific
business transactions, users are unable to directly alter them and can only
view these statuses.
User statuses are determined by the system user and configured within
a status profile. This status profile allows you to control the permitted
business transactions corresponding to the relevant system statuses.
Regarding business operations, if you possess the necessary
authorization, you can assign and remove user statuses that have been
defined in the system’s customization settings. By assembling the desired
statuses into a status profile, you can then assign this profile to the object
category, thereby extending it to the equipment category.

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3.10.1. Partners
Partners (business partners, contact persons) are internal or external
organization units that can be involved in the development of
maintenance or service processes.
Using customer exit ICSV0008, you can utilize non-standard partner
types. The standard system supports the following partner types.

• Customer

• Vendor (external)

• Contact person

• Personnel number

• SAP users (internal)

• Job

• Organizational unit

These partner types can be further categorized based on partner

functions, which determine the rights, obligations, responsibilities, and
tasks of partners during the processing of a business transaction. In most
cases, a partner fulfills predefined functions, requiring only one master
record for that partner. However, there are instances where partner
functions are divided among different companies and their subsidiaries.
The partner determination procedure is a grouping of partner
functions that defines whether partners are allowed for a specific object
and which partner functions can be performed in business transactions.
This procedure can be assigned to the object. When a notification or order
is created for a technical object with a partner, the system automatically
transfers the partners from the technical object to the notification or order.

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3.10.2. Partner Transfer
When posting goods issues during a delivery, the partner data is
automatically transferred from the delivery note to the master record for
the respective serial number. The system takes the partner data from the
sales and distribution (SD) document and copies it to the serial number’s
master record. If there is already partner data specified in the master
record, it gets overwritten by the data from the SD document. However,
this overwriting of partner data only occurs for the data that has been
flagged with an indicator in the Customizing settings.

3.10.3. Address Management
The following objects are linked to address management.

• Functional location

• Equipment

• Notification

• Order

• Components for non-stock material (object)

You can assign an address to all technical objects. The addresses of
technical objects, notifications, and orders are synchronized shown in
Figure 3-17.

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Figure 3-17. Central address management

3.11. Defining Warranties
A warranty is a contractual commitment to the customer, where services
are provided either partially or entirely at no cost for a specified duration
or for the lifespan of a specific device.
Before creating a warranty record, it is necessary to establish the
intended usage of the warranty. This requires identifying the warranty
type. The warranty type is associated with an internal warranty category
that determines whether the company, on behalf of which the system user
operates, acts as the warranty or the guarantor.
Within SAP, the following warranty types are distinguished from the
perspective of the system user.

• Manufacturer warranty (inbound warranty)

• Vendor warranty (inbound warranty)

• Customer warranty (outbound guarantor)

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SAP already provides a set of predefined entries in standard tables.

In Customizing, it is possible to define additional warranty types as
needed for your company and assign each warranty type to one of the two
warranty categories. When creating a warranty record for a system user, it
is mandatory to select one of the existing warranty types.
Warranty records can initially be generated as master warranties
independently, without any reference object.

3.11.1. Usage of Warranty
The structure of a master warranty is as follows.

• The warranty header includes the warranty type,

descriptive text, and classification option.

• The warranty items encompass the services covered

or not covered by the warranty. These services can
be described using text, service numbers, or material
numbers. Configurable services can have assigned
values within the warranty.

• Each warranty item can have defined warranty

counters, which serve as validity criteria based on a
time or a performance counter. The warranty counters
can be linked with an AND logic (both conditions must
be met) or an OR logic (at least one condition must
be met).

A master warranty can be assigned to multiple pieces of equipment

and can be linked to functional locations, equipment, and serial numbers.
The system supports the assignment of two warranty types per object.
For each object, both a customer warranty and a vendor warranty can be
assigned. In case of any damage, both warranties are verified.

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• Warranty: The warranty is provided by an external

party, such as a vendor or manufacturer. The party
receiving the warranty is the warranty.

• Guarantor: The warranty is internal and is extended to

the customer. The party providing the warranty is the
guarantor.

3.12. Equipment Master and Asset

Master Integration
To link pieces of equipment to an asset, you have the option to specify
an asset number in the equipment master record, thereby establishing
integration with asset accounting.
If the integration between asset accounting and EAM is enabled in
Customizing, equipment can be automatically created when a technical
system is created. Asset class settings play a role in distinguishing various
mapping aspects, such as the types of equipment utilized.
Alternatively, you can configure the automatic creation of an asset
when a piece of equipment is generated, or you can specify that changes
made to the equipment master record should also reflect in the asset
master record.
Integration can be implemented either through direct synchronization
or workflow processes.
To ensure data consistency between assets and equipment, it is
possible to define that fields in the equipment master record must also be
updated when modifications are made to the asset master record.

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3.13. Equipment Master Classification

In SAP, classification is a cross-application function utilized not only by
Plant Maintenance but also by other applications.
One of the key purposes of classification is to assign detailed features
to a technical object that cannot be accommodated within the fields of the
SAP standard system’s master record.
Additionally, classification offers an alternative search option where
objects can be located based on their characteristics and associated
features. For example, a search could be performed for objects with a
power requirement of 2000 watts and a lifting height of 10 meters, among
other criteria.
Within order processing, classification enables the search for spare
parts that match specific features, such as finding a pump with identical
attributes. The system leverages the classification data to conduct the
search, and in the results list, a component can be selected and copied into
the order.
The primary function of a classification system is to describe objects
using characteristics and group similar objects into classes, facilitating
their classification and improving their searchability.
The structure of a classification system involves three key steps.

1. Feature definition: Features of an object are

described by utilizing characteristics, which are
centrally created within SAP.

2. Class creation: SAP generates classes where the

characteristics are assigned either during the
class creation process or in a subsequent step. In
the context of classification in SAP EAM, a class
represents a category or group that helps organize
and structure data related to assets, equipment,
materials, or other objects within an organization.

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3. Object assignment (classification): Once the

necessary classes for classification are created,
objects can be assigned to these classes. The objects
are described by employing the characteristics
associated with the respective class.

3.14. Characteristics Inheritance
Characteristic inheritance is the mechanism through which a
characteristic and its values are propagated to all subordinate classes
within a class hierarchy. The subordinate classes themselves do not
contain the characteristic directly. This feature allows the definition of
a central characteristic that is required in all subordinate classes. By
assigning it only once to a superior class, there is no need for explicit
assignment to each individual class.
When establishing a class hierarchy, characteristics from all superior
classes are inherited by the lower classes. Consequently, characteristics
that have not been explicitly assigned to a class but originate from superior
classes are also displayed on the valuation screen.

3.14.1. Technical Object Classification

The master record of a technical object (functional location, equipment)
allows its assignment to one or multiple classes.
When assigning the technical object to multiple classes, it is possible to
define a standard class.
Once the technical object is assigned to a class, all the characteristics
associated with that class become accessible within the object. Each object
can have its own values for these characteristics shown in Figure 3-18.

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Figure 3-18. Classification system

Characteristics can be valued manually or automatically. Depending

on the control settings for a characteristic, values can be selected from
a predefined list or entered freely. In the case of automatic valuation, a
characteristic may refer to a table field or another characteristic.

3.15. Standard Fiori Apps

for Equipment Master
There are several Fiori apps available for managing the equipment master
in SAP EAM. The following are some examples.

• Create Equipment (App ID: F0702A): This app allows

you to create new equipment master records with
relevant details and attributes.

• Change Equipment (App ID: F0731A): With this app,

you can modify and update existing equipment master
records by making changes to various fields and
properties.

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• Display Equipment (App ID: F0732A): This app

provides a read-only view of equipment master
records, allowing you to view detailed information and
attributes of equipment.

• Equipment List (App ID: F0721): This app enables you

to search and display a list of equipment based on
specific criteria, providing a comprehensive overview
of equipment records.

• Equipment Analysis (App ID: F0740A): This

app offers analytical capabilities to analyze and
evaluate equipment data, such as equipment status,
maintenance history, and performance indicators.

• Equipment Where-Used List (App ID: F0735A):

With this app, you can determine where a particular
equipment is used by displaying its relationships and
associations with other objects, such as functional
locations or orders.

Please note that the availability and specific functionality of Fiori

apps may depend on your SAP EAM system version, configuration, and
licensing.
Figure 3-19 shows the Technical Object window in Fiori apps.

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Figure 3-19. Technical object Fiori apps

3.16. Customizing Settings
for Equipment Master
This section describes the Customizing settings for the equipment master
(see Figure 3-20 and Table 3-2).

Figure 3-20. IMG settings for equipment master

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Table 3-2. IMG Settings for Equipment

Field Name and Data Type Menu Path

Define User Status Profile Plant Maintenance and Customer Service → Master
Data in Plant Maintenance and Customer Service →
Basic Settings → Maintain User Status
Assign User Status Profile For functional locations: Plant Maintenance
and Customer Service → Master Data in Plant
Maintenance and Customer Service → Technical
Objects → Functional Locations → Define Category
of Functional Location
For equipment: Plant Maintenance and Customer
Service → Master Data in Plant Maintenance
and Customer Service → Technical Objects →
Equipment → Equipment Categories → Maintain
Equipment Category
Automatic Creation of Financial Accounting → Asset Accounting → Master
Equipment Data → Automatic Creation of Equipment Master
Records
Business Views Plant Maintenance and Customer Service → Master
Data in Plant Maintenance and Customer Service
→ Technical Objects → Equipment → Equipment
Categories → Define Additional Business Views for
Equipment Categories
Installation at Functional Plant Maintenance and Customer Service → Master
Location Data in Plant Maintenance and Customer Service
→ Technical Objects → Equipment → Equipment
Usage Period → Define Installation at Functional
Location
(continued)

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Table 3-2. (continued)

Field Name and Data Type Menu Path

Usage History Plant Maintenance and Customer Service → Master

Data in Plant Maintenance and Customer Service
→ Technical Objects → Equipment → Equipment
Usage Period
Equipment Category Plant Maintenance and Customer Service → Master
Data in Plant Maintenance and Customer Service
→ Technical Objects → Equipment → Equipment
Categories → Maintain Equipment Category
Field selection for Equipment Plant Maintenance and Customer Service → Master
Master record Data in Plant Maintenance and Customer Service
→ Technical Objects → Equipment → Define Field
Selection for the Equipment Master Record
Warranty Types Plant Maintenance and Customer Service → Master
Data in Plant Maintenance and Customer Service →
Basic Settings → Warranties → Check Warranty Types
Warranty Categories Plant Maintenance and Customer Service → Master
Data in Plant Maintenance and Customer Service
→ Basic Settings → Warranties → Check Warranty
Categories
Number Range Plant Maintenance and Customer Service → Master
Data in Plant Maintenance and Customer Service
→ Technical Objects → Equipment → Equipment
Categories → Define Number Ranges
Object Type Plant Maintenance and Customer Service → Master
Data in Plant Maintenance and Customer Service →
Technical Objects → General Data → Define Types
of Technical Object
(continued)
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Table 3-2. (continued)

Field Name and Data Type Menu Path

Partner Functions Plant Maintenance and Customer Service → Master

Data in Plant Maintenance and Customer Service
→ Basic Settings → Partners → Copy Partner
Functions to Master and Movement Data
Partner Determination Plant Maintenance and Customer Service → Master
Procedure Data in Plant Maintenance and Customer Service
→ Basic Settings → Partners → Define Partner
Determination Procedure and Partner Function
View Profile Plant Maintenance and Customer Service → Master
Data in Plant Maintenance and Customer Service
→ Technical Objects → General Data → Set View
Profile for Technical Objects

3.17. Summary
In this chapter, you learned how SAP equipment master provides a
comprehensive understanding of managing equipment data within SAP. It
covers the creation, modification, and deletion of equipment records,
allowing users to maintain accurate and up-to-date information. The
chapter emphasized the importance of equipment classification and
hierarchy, enabling efficient organization and easy retrieval of equipment
data. It also explores the integration of equipment master data with other
SAP modules, such as maintenance and procurement, to streamline
business processes. The chapter discussed various functionalities,
including equipment status management, serial number handling, and
attachments management. Overall, this chapter equips users with the
knowledge and tools to effectively manage equipment master data and
optimize equipment-related operations within the SAP environment.

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3.18. Linear Asset Management

A project team is evaluating the functionalities of linear asset management
to facilitate the mapping of technical assets with a linear structure and
enable referencing of linear data during maintenance processing, as part
of the optimization of business processes in your SAP ERP system.
In SAP EAM (Enterprise Asset Management), linear asset management
refers to the management of assets that have a linear or linear-like
structure, such as roadways, railway tracks, pipelines, and power
transmission lines. These assets are typically extensive and have distinct
characteristics compared to traditional fixed assets.
Linear asset management in SAP EAM involves the integration of
spatial data (geographical information) with asset management processes
to enable efficient planning, monitoring, and maintenance of linear assets
throughout their lifecycle.
The following are some key features and functionalities of linear asset
management in SAP EAM.

• Linear asset hierarchy: SAP EAM allows you to define

a hierarchical structure for linear assets, including
main lines, sections, and sub-sections. This structure
helps in organizing and managing the assets effectively.

• Linear asset master data: You can create and maintain

master data for linear assets, including details like start
and end points, distances, coordinates, and associated
attributes. This information helps in accurately locating
and identifying the assets.

• Linear asset networks: SAP EAM enables you to define

networks or routes for linear assets, representing their
physical connections or relationships. This network
concept helps in visualizing the asset layout and
optimizing maintenance activities.

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• Linear asset planning: You can plan and schedule

maintenance activities for linear assets based on
predefined criteria, such as distance, time, or condition.
The system can generate work orders, schedule
inspections, and assign resources accordingly.

• Linear asset inspections: SAP EAM allows you to

perform inspections and condition monitoring of linear
assets using various methods, such as mobile devices
or remote sensing technologies. The data collected
during inspections helps in assessing asset health and
identifying potential issues.

• Linear asset work management: The system supports

work management processes specific to linear assets,
such as work order management, resource allocation,
and tracking of work progress along the asset’s length.

• Linear asset analytics: SAP EAM provides analytical

capabilities to generate reports and perform data
analysis on linear assets. This helps in making
informed decisions, optimizing maintenance strategies,
and improving asset performance.
By leveraging the features of linear asset management in SAP EAM,
organizations can enhance the efficiency, reliability, and safety of their
linear assets while reducing maintenance costs and downtime.

3.19. Structuring Linear Assets

Linear assets refer to technical systems with a linear infrastructure, and
their conditions and properties can vary across different sections. To
display, manage, and maintain these assets effectively, you can input the
following details as linear data.

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• Start and end points

• Length and measurement unit (e.g., kilometers

or miles)

• Marker information (including start and end points,

distance from a marker to a start point, distance from a
marker to an end point) and its measurement unit

• Offset information (e.g., horizontal or vertical offset)

and its measurement unit

Some examples of linear assets are pipelines, roads, railways, overhead

power lines, and cables.
Within the system, you can create linear assets as technical objects,
including functional locations and equipment, and store associated linear
data. Furthermore, you can perform maintenance tasks for these technical
objects, which generate notifications, maintenance orders, measurement
documents, and other relevant items. These maintenance tasks offer
several benefits, allowing you to do the following.

• Effectively manage the condition of your linear assets

• Identify areas of damage or defects using information

such as the start point, end point, and offset
• Handle various types of maintenance tasks, including
planned, unplanned, and preventive activities

3.20. Linear Reference Pattern

Linear asset elements are assigned a linear reference pattern (LRP) to serve
as reference points for describing events or locations. LRPs are utilized to
indicate the distance from the start point to the specific location where a
marker is positioned. Figure 3-21 shows LRP in the Fiori app.

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Figure 3-21. Manage linear reference pattern

3.20.1. Linear Data Offset

Offset refers to the distance or displacement of an object in relation to the
reference line of a linear technical asset. For instance, it could represent
the distance of a single mast from the center of a track or the distance of a
manhole cover from the road. Offsets are employed to accurately describe
the precise position of a technical object shown in Figure 3-22.

Figure 3-22. Linear data offset

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The offset type, such as horizontal or vertical, can be customized and

defined within the system’s configuration settings shown in Figure 3-23.

Figure 3-23. IMG settings for offset types

3.20.2. Linear Technical Objects

To configure the system, it is necessary to define a view profile in
Customizing. This profile should include subscreens related to linear asset
management for both functional locations and equipment.
Linear data fields have been added to the following technical objects as
part of enhancements: functional locations, equipment, measuring points.

3.21. Linear Data in Maintenance

Processing
The following objects have been enhanced with linear data fields for
maintenance processing.

• Maintenance notification
• Work order header

• Work order operation

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• Work order confirmations

• Measurement documents

• Maintenance plan item

• Relevant list reports

3.22. Network Object Link

and Network Attributes
Linear data can be entered for both object networks and individual object
links. Streamlining maintenance processes is possible by utilizing LRP
markers assigned at the network level.
During object network maintenance, the following features can be
employed.

• Managing object links

• Generating notifications and orders

• Accessing various lists such as notification lists,

scheduling overviews, and multilevel lists
• Utilizing a graphical view of object networks, which
can be customized according to specific customer
requirements. You can manage object networks in Fiori
apps (see Figure 3-24).

Figure 3-24. Manage object network

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3.22.1. Assigning Network Attributes

You can enter additional information for object networks through attribute
values and attribute properties via the running transaction, as shown in
Figure 3-25.

Figure 3-25. Transaction code of linear asset master data

Note During the customizing process, it is required to define

network attribute categories. These categories encompass network
attributes, network attribute properties, permissible property values,
and the association of attribute properties with attributes. To ensure
relevance to specific object networks, a network attribute category is
assigned to a network type.

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3.23. Customizing Settings for Linear Asset

Master Data
This section describes the Customizing settings for Linear Asset Master
Data (see Figure 3-26 and Table 3-3).

Figure 3-26. IMG settings for linear asset

Table 3-3. IMG Settings for Linear Asset Management

Field Name or Data Type Menu Path

Linear asset management Plant Maintenance and Customer Service → Master

Data in Plant Maintenance and Customer Service →
Technical Objects → Linear Asset Management

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3.24. Summary
In this chapter you learned how linear assets provides a comprehensive
overview of managing linear assets in SAP. It covered the creation,
maintenance, and monitoring of linear asset master records, enabling
effective management of assets such as roads, railways, pipelines, and
transmission lines. The chapter emphasized the importance of defining
linear asset hierarchies, allowing for better visualization and control
over complex asset networks. It explored functionalities such as linear
referencing systems, enabling accurate positioning and measurement of
assets along linear routes. The chapter also highlighted integration with
other SAP modules, such as maintenance and geographic information
systems (GIS), to streamline asset management processes. Overall, this
chapter equips users with the knowledge and tools to efficiently manage
linear assets, optimize maintenance activities, and ensure regulatory
compliance within the SAP EAM environment.

3.25. Bill of Materials
In SAP, a bill of materials (BOM) is a structured list that defines the
components, subassemblies, and raw materials required to produce a
finished product. It represents the hierarchical structure of a product and
captures the relationships between its various parts.
The BOM in SAP serves as a central repository of information for
manufacturing processes and is utilized across multiple modules,
including Production Planning (PP), Materials Management (MM), and
Sales and Distribution (SD).

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A BOM typically includes the following information.

• Header: Contains general details such as the BOM

number, description, and validity dates.

• Items: Each item represents a component or assembly

required for the production process. It includes
information such as material number, quantity, unit of
measure, and item category.

• Relationships: BOMs can have various types of

relationships, such as parent-child relationships
between assemblies and components, alternative
components, and phantom assemblies (used for
planning purposes without physical existence).

• Routing: BOMs can be associated with routing data,

which defines the sequence of operations and work
centers required for manufacturing.

BOMs are crucial for planning production, material requirements, and

cost estimation. They provide a comprehensive view of the components
needed to manufacture a product, enabling accurate production planning,
procurement, and costing calculations within SAP.

3.26. Structuring a Bill of Materials

A bill of materials (BOM) serves various purposes within a company, and the
specific use of a BOM can vary based on the company’s area of operation.
Let’s look at examples of BOM uses.

• Engineering/Design BOM encompasses all the

components of a product from an engineering
or design perspective, including their technical
specifications. It is generally not specific to a
particular order.

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• Production BOM focuses on items relevant to

production and assembly status. For instance, it may
include only production-related items with process-
oriented data required for assembly.

• Costing BOM represents the product structure and

serves as the basis for automatically determining
material usage costs. It excludes items that are not
relevant for costing purposes.

• Maintenance BOM, unlike other types of BOMs,

contains only items essential for maintenance
activities. It serves two primary functions.

• Structuring the object: This provides a clear

maintenance perspective on its structure.

• Spare part planning in orders: A maintenance

BOM facilitates planning spare parts when creating
a maintenance order.

3.26.1. BOM Categories
The following describes BOM categories.

• Material BOM is directly linked to a material master

record, which includes descriptive and control data
such as measurements, weight, material category,
and industry. It consists of the individual components
(materials or assemblies) required for the object.

• Equipment or Functional Location BOM is

utilized to describe the structure of an equipment or
functional location and assign spare parts specifically

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for maintenance purposes. It helps in organizing

and planning maintenance activities related to the
equipment or functional location.

• Creation of BOM provides the option to create BOMs

of all categories, either with or without utilizing a
template. When using a template, the following
guidelines apply to each category shown in Figure 3-27.

• To create a functional location BOM or equipment

BOM, you can use material BOMs, equipment
BOMs, and functional location BOMs as templates.

• To create a material BOM, you can only use

material BOMs as templates.

Figure 3-27. BOM categories

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3.26.2. Assigning a BOM
BOMs can be linked to technical objects in two ways: through direct
assignment and indirect assignment.

• For direct assignment, a BOM is directly created

for the specific object, be it a functional location or
equipment.

• For indirect assignment, a BOM is assigned to the

technical object’s master record using a material
master record. This is accomplished by entering the
material number in the Construction Type field within
the technical object’s master record. In this case, the
BOM is linked to the material rather than the individual
technical object. Indirect assignment is recommended
when multiple objects share the same construction
type, as there’s no need to create an equipment BOM
for each individual object. Instead, all objects of the
same construction type utilize the same material BOM.

3.26.3. BOM Structure
The data maintained in the BOM header applies to the entire BOM
and its components (BOM items or subitems). On the other hand, the
components of a technical object are represented by the BOM items. The
item data is specific to each individual item within the BOM and is not
valid for the entire BOM.

3.26.4. Usage of BOM in Order

For each operation in the maintenance order, you have the option to
schedule BOM components from the reference object (materials) that are
necessary to carry out the task.

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If the scheduled materials for the maintenance order are available

in stock, they are reserved in the warehouse. The automatic creation of
the reservation is determined by item category S, which represents stock
materials.
However, if you schedule non-stock materials, the process flow differs.
In such cases, the scheduling triggers the initiation of ordering using
item category N, which leads to the automatic creation of a purchase
requisition.

3.26.5. Item Status in BOM

Item status is defined based on the BOM usage. The item status
encompasses various indicators related to engineering/design,
production, costing, and more.
These item status indicators play a crucial role in controlling the
process flow in subsequent work areas and the selection of items during
BOM explosion. They determine whether certain processing is required,
permitted, or excluded in these areas. If processing is supported in a
specific work area, you can maintain data specific to that area for the
items. For example, only items relevant to production are copied to the
production order.
To manage structure elements or items relevant to maintenance in
a functional location BOM or equipment BOM, you must choose a BOM
usage that supports maintenance-related items. Maintenance-related
BOM maintenance is performed separately for different areas, such as
engineering/design and production, each with its own usage. If multiple
BOMs with different uses are created for the same material, the system
stores each BOM with a unique internal number corresponding to
its usage.
Assemblies are structural components within a BOM, bringing
together spare parts pertinent to maintenance activities.

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3.26.6. Maintenance Assemblies
Maintenance assemblies are materials categorized as material type
IBAU. The material master record for maintenance assemblies only
contains essential and classification data, which means that inventory
management is not available for these assemblies.
Material Assembly in SAP EAM involves grouping multiple materials or
components as a single entity for maintenance or construction purposes. It
streamlines processes and stock management by treating the assembly as a
single item. In contrast, Material refers to individual components or items
that are tracked and managed separately in the system.
For the following purposes, you can utilize maintenance assemblies as
structural components within a BOM.

• Grouping similar materials under a single node.

• Tracking costs in the PMIS without requiring inventory

management.

However, you also have the flexibility to select materials of other

material types as maintenance assemblies if needed.
The Maintenance Assembly Indicator is activated in the Status/Long
Text section of the BOM items screen and can only be assigned to items
relevant for maintenance. When performing maintenance tasks, items
designated as maintenance assemblies appear as structural elements
within the operational system. They provide a means to provide more
detailed descriptions of items within the operational system, such as
specifying the potential location of damage shown in Figure 3-28.
The diagram shown in Figure 3-28 illustrates a hierarchical BOM for an
electric pump. The BOM includes the following components.

–– Stock item (L) - Motor

–– PM structure element (I) - Shaft assembly

–– PM structure element (I) - Control electronics

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Each item has its own BOM, which includes the parts relevant for
maintenance.

Figure 3-28. Multilevel BOM with different categories

The overall BOM indicates that the complete motor is stocked as a

spare part. Coal brushes and electric mains are also kept in inventory as
spare parts. However, the casing is procured externally and not managed
as part of the inventory.
The shaft casing assembly and control electronics are not stocked
as complete parts (see Figure 3-29). Instead, they are managed in the
inventory and can be reserved for maintenance tasks.

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Figure 3-29. BOM master data

A BOM can handle essential data for plant maintenance at the

technical object location, ensuring spatial validity within the plant. This
includes organizing workstations where all necessary preparatory tasks,
such as material planning and task list creation, are carried out. In such
cases, a plant-specific BOM can be created.
Several checks are performed, such as ensuring a material master
record with plant data exists for the relevant plant in the BOM header. The
system verifies whether plant data is available for the material components
when adding items. If the checks pass, the system copies the material into
the material BOM.
Alternatively, generating a BOM known as a group BOM does not
require a specific plant reference is possible. This type of BOM is typically
utilized when an engineer creates a BOM during the design phase, which
can later be assigned to one or multiple plants for production. In this case,
the system solely verifies the availability of material master records and
does not conduct plant-specific material checks.

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3.27. Standard Fiori Apps for Bill

of Materials
Several SAP Fiori apps are available for managing SAP BOM within SAP
technologies. The following are some of these apps.

• Manage Bill of Materials (App ID: F1708): This app

allows users to create, edit, and view BOMs. It provides a
user-friendly interface for managing BOM data, including
material components, quantities, and dependencies.

• Display Material BOM (App ID: F1462): This app

lets users view detailed information about a specific
material BOM, including its structure, components,
and associated data. It provides an intuitive interface
for navigating and exploring BOM details.

• Change Material BOM (App ID: F1464): With this

app, users can change existing material BOMs, such as
adding or removing components, updating quantities,
or modifying other BOM attributes. It simplifies the
process of maintaining and updating BOM data.

• Where-Used List for Material BOM (App ID: F1592):

This app allows users to find all the places where a
specific material BOM is used within the SAP solution.
It provides visibility into the various production
processes or assemblies that rely on the selected BOM.

• Display Plant-Specific BOM (App ID: F1709): This

app allows users to view a BOM specific to a particular
plant. It provides plant-specific information, including
plant-specific components, alternate BOMs, and other
plant-related details.

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These are just a few examples of the SAP Fiori apps for managing SAP
BOM. The availability and specific functionalities of these apps may vary
depending on the version and configuration of the SAP software solution
(see Figure 3-30).

Figure 3-30. Manage bill of material

3.28. Customizing Settings for Bill

of Materials
This section describes the Customizing settings for the bill of materials
(see Figure 3-31 and Table 3-4).

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Figure 3-31. IMG Settings for BOM

Table 3-4. IMG Settings for Bill of Materials

Field Name or Data Type Menu Path

Item Categories Plant Maintenance and Customer Service → Master

Data in Plant Maintenance and Customer Service
→ Bill of Materials → Item Data → Define Item
Categories
BOM Usage Plant Maintenance and Customer Service → Master
Data in Plant Maintenance and Customer Service →
Bill of Materials → General Data → BOM Usage →
Define BOM Usages

3.29. Summary
This chapter explained how SAP BOM provides a comprehensive
understanding of managing BOM data within SAP. It covered creating,
maintaining, and using BOMs, enabling efficient production and assembly
processes. The chapter also emphasized the importance of BOM structure,

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including header, item, and sub-item levels, to define the components,

quantities, and relationships involved in a product’s manufacturing. It
explored functionalities such as variant configuration, allowing flexible BOMs
to accommodate different product variants. The chapter also highlighted
integration with other SAP modules, such as production planning and
procurement, to streamline the supply chain and ensure accurate material
requirements planning. This chapter equips users with the knowledge and
tools to effectively manage BOMs, optimize production processes, and
maintain accurate product structures within the SAP environment.

3.30. Serial Numbers
Serial numbers in SAP are used to uniquely identify individual items or
products within the system. They provide a way to track and manage
individual units throughout their lifecycle, from production to sales
and post-sales activities. The following are some common uses of serial
numbers in SAP.

• Traceability and warranty management: Serial

numbers enable accurate tracking of products from
manufacturing to delivery and beyond. They help
identify the specific unit’s history, components used,
production date, and other relevant information.
This traceability is crucial for warranty management,
product recalls, quality control, and addressing
customer inquiries.

• Inventory management: Serial numbers allow

for precise inventory management by tracking the
movement and location of individual items. Each serial
number can be associated with specific warehouses,
storage bins, or sales orders, providing granular
visibility into stock levels, movements, and valuation.

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• Sales and distribution: Serial numbers are commonly

used in sales and distribution processes to manage
serialized product sales. They ensure accurate
identification of products sold, enable tracking of sold
items to specific customers, and facilitate after-sales
support such as servicing, repairs, or returns.

• Service management: Serial numbers are vital in

managing service and maintenance activities. They
enable service technicians to identify the exact unit
requiring maintenance, track service history, record
repairs and replacements performed, and manage
warranty claims or service contracts.

• Product lifecycle management: Serial numbers

support the management of the entire product
lifecycle, from production to disposal. They enable
detailed analysis of product performance, customer
feedback, maintenance costs, and other metrics to
drive improvements in product design, production
processes, and customer satisfaction.

By leveraging serial numbers in SAP, businesses can achieve better

inventory control, streamlined processes, improved customer service, and
enhanced visibility into product-related data for decision-making and
compliance purposes.

3.30.1. Working with Serial Numbers

in SAP EAM
To initiate the process of dismantling and transferring a faulty piece of
equipment to the warehouse, the equipment must have serialization.
Serialization activates the tab for serialization data and establishes a link

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between the equipment and a specific serial number associated with a

material. To refurbish the defective equipment, which has serialization,
the serial number establishes a connection with a material that undergoes
condition-based evaluation. The material is divided into distinct partial
stocks based on conditions, such as “as new” (C1), “refurbished” (C2), and
“faulty” (C3).
Once the equipment has been refurbished, it is returned to the
warehouse using the corresponding linked material and serial numbers.
Through a single step, it is possible to remove equipment from one
storage location and install it at another equipment or functional location.
Serialization facilitates the management of equipment inventory by
enabling efficient tracking and control of individual pieces of equipment.
The following are sales/customer service examples.

• In sales and customer service, a common requirement

is to deliver a serialized material item to a customer
while ensuring its unique identification. The material
stock can be stored in the warehouse collectively
without tracking individual items.

• By associating the material with a predefined serial

number profile, serialization is automatically applied
during the good’s issue. This process assigns serial
numbers to each piece. If the serial number profile
includes equipment requirements, an equipment
master is automatically created with the assigned
serial number.

• You can store location or main work center data

based on the equipment. In the event of a customer
complaint, it is possible to record a service message
or service order specific to the respective piece of
equipment.

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3.30.2. Material and Serial Number

The serial number profile can be inputted in the following material master
views shown in Figure 3-32.

• Sales: General/plant data

• General plant data/storage 2

Figure 3-32. Serial number master data

When the assignment is made in the Sales: General/plant data view,

the profile automatically appears in the General plant data/storage 2 view
(and vice versa). It’s important to note that the material and serial number
combination is unique at the client level.

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3.30.3. Equipment and Serial Number

Two choices exist for connecting the equipment, material, and
serial number.

• The material and serial number can be manually

assigned to existing equipment.

• The system can automatically generate the equipment

and serial number during a posting.

Assigning a serial number to an equipment item provides effective

equipment management from an inventory perspective. This means
the equipment can be managed in Plant Maintenance and Materials
Management. Such management becomes necessary when an object
previously treated as equipment must be dismantled and transferred to the
warehouse (see Figure 3-33).

Figure 3-33. Example serialization process in EAM

The serial number is assigned in the serialization data section of the

equipment master record. If a material already has a serial number profile
for individual equipment pieces within the equipment master record,

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the system displays the last assigned serial number for that material.
This allows a direct connection between the new serial number and the
previously assigned one.
The relationship between the material and equipment can be
managed in the following ways.

• Synchronizing the equipment number and serial

number with each other.

• Synchronizing the material associated with

the equipment with the material specified in
the Construction Type field of the equipment
(Structure tab).

Note The display of the Serial Data view in the equipment

master record follows the presetting in the Customizing settings
for the equipment category. If the view is not initially activated in
Customizing, it can be displayed later.

3.30.4. Serial Number Profile

A four-digit key defines a serial number profile and contains data that
specifies the conditions and operations for assigning serial numbers to
material items. These profiles are set up during system configuration in
the Plant Maintenance section of Customizing. Parameters that can be
defined include the business transactions requiring checks, existence
requirements for serial numbers, automatic creation of serial numbers,
existence requirements for equipment pieces, and equipment category.

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3.30.5. Stock Check with Serial Number

A stock check refers to verifying stock information in the serial number
record during goods movement.
During the stock check, the system compares the stock information
in the serial number with the stock data in materials management. The
system follows the predefined setting to halt the posting if discrepancies
are detected.
The master record for serial numbers contains stock information,
including stock type, plant, and storage location; stock batch and master
batch; special stock; and vendor and sales order.
Serial numbers are not only updated for the specific plant and storage
location but also for all stock types (e.g., unrestricted-use stock, stock in
quality inspection, blocked status returns, stock in transfer, stock in transit,
blocked stock) and special stock (e.g., open order quantity, project stock,
customer, and vendor consignment stock).
Serial numbers created before the R/3 4.5A Release do not
automatically include stock information. However, this information is
gradually added with each serial number movement.

3.30.6. Check Goods Movement

During goods movement, the relevant stock fields are examined and
validated. The system compares this data with the inventory management
records. Based on the serial number profile configuration, if there is a
mismatch, the movement can be prohibited, allowed, or allowed with
a warning. After the movement, the serial number is updated with the
current stock data from inventory management.
To enable stock verification, it must be activated in the serial number
profile through customizing.

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There are specific programs available to assist in monitoring stock

information.

• The RIMMSF00 program compares the stock data in

the serial number master data with the stock data in
inventory management. It verifies the cumulative serial
number stock against each item of special stock in
inventory management.

• The RISERNR9 program transfers the stock verification

indicator from the serial number profile to individual
serial numbers. It is important to execute this program
if changes have been made to the indicator in the
profile and goods movements have already been
performed with the serial numbers.

You can manually modify stock information in the serial number

under the following circumstances.

• When no plant information is provided

• When there is no active stock check

• When the stock check is active, but only with a warning

In cases where multiple users are concurrently trying to create serial
numbers for the same material number, a lock mechanism is implemented
to ensure consistent number assignment.

3.31. Standard Fiori Apps

for Serial Numbers
Several Fiori apps are available for serial numbers in SAP, which provide
serial number management and tracking functionalities. The following are
some commonly used Fiori apps for serial numbers in SAP.

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• Manage Serial Numbers (App ID: MMIM_

SERIALNUMBERS): This app allows users to manage
serial numbers for materials, including creating,
editing, and displaying serial numbers. Users can also
perform actions like goods receipt and issue, view serial
number details, and perform stock inquiries.

• Create Serial Numbers (App ID: MMIM_

SERIALNUMBERS_CREATE): This app enables users
to create new serial numbers for materials. Users can
enter relevant details such as material number, batch,
equipment, and additional attributes to generate serial
numbers.

• Serial Numbers Overview (App ID: MMIM_

SERIALNUMBERS_OVERVIEW): This app provides
a comprehensive overview of serial numbers for
materials. Users can view and analyze serial number
data, including stock levels, storage locations, and
usage information. It also allows users to search and
filter serial numbers based on various criteria.

• Serial Number Validation (App ID: MMIM_

SERIALNUMBERS_VALIDATION): This app allows
users to validate and verify the correctness of serial
numbers. Users can check the uniqueness and integrity
of serial numbers against predefined rules and criteria.

• Serial Number Stock Overview (App ID: MMIM_

SERIALNUMBERS_STOCK): This app provides a
detailed view of stock information for serial numbers.
Users can check stock levels, movements, and locations
associated with specific serial numbers.

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These are just a few examples of the Fiori apps available for serial
numbers in SAP. The availability and specific functionalities may vary
based on the SAP software version and configuration.

3.32. Customizing Settings
for Serial Numbers
This section describes the Customizing settings for the bill of materials
(see Figure 3-34 and Table 3-5).

Figure 3-34. IMG settings for serial number management

Table 3-5. IMG Settings for Serial Number

Field Name or Data Type Menu Path

Serial Number Profile Plant Maintenance and Customer Service → Master

Data in Plant Maintenance and Customer Service →
Technical Objects → Serial Number Management →
Define Serial Number Profiles
Serialization Attributes for Plant Maintenance and Customer Service → Master
movement types Data in Plant Maintenance and Customer Service →
Technical Objects → Serial Number Management →
Define Serialization Attributes for Movement Types

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3.33. Summary
In this chapter, you learned how SAP Serial Numbers provides a
comprehensive understanding of managing serial numbers within SAP. It
covers creating, tracking, and managing serial numbers for individual
items or products. The chapter emphasizes the importance of assigning
unique serial numbers to track each item’s lifecycle, warranty, and
maintenance history. It explores functionalities such as serial number
profile configuration, allowing customized settings based on specific
business requirements. The chapter also highlights integration with
other SAP modules, such as sales and distribution, service management,
and quality management, to ensure accurate tracking and traceability of
serialized products. This chapter equips users with the knowledge and
tools to efficiently manage serial numbers, improve inventory control, and
enhance customer service within the SAP environment.

3.34. Measuring Points and Counters

In SAP EAM, measuring points and counters are used to track and monitor
various measurements and readings associated with equipment, functional
locations, or other objects. They provide a means to capture and record
data related to specific parameters or indicators, enabling organizations to
monitor performance, conduct analysis, and make informed decisions. The
following are the key uses of measuring points and counters in SAP.

• Equipment maintenance: Measuring points and

counters are crucial for monitoring the condition
and performance of equipment. Organizations can
assess equipment health, identify potential issues,
and schedule preventive maintenance or repairs by
capturing temperature, pressure, vibration, or energy
consumption measurements.

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• Quality control: Measuring points and counters track

quality-related measurements during production
processes. For example, manufacturing can capture
data such as dimensions, tolerances, or defect rates.
This information helps ensure product quality, identify
deviations, and take corrective actions.

• Energy management: Measuring points and counters

are utilized for monitoring and management.
Organizations can identify energy usage patterns,
detect inefficiencies, and implement energy-saving
initiatives by measuring energy consumption at various
points within a facility or production process.

• Performance analysis: Measuring points and

counters provide data for performance analysis
and benchmarking. Organizations can measure
and compare performance across different assets,
locations, and time periods by tracking parameters
such as production output, cycle times, or downtime.
This analysis supports optimization efforts and helps
identify areas for improvement.
• Regulatory compliance: Measuring points and
counters assists in meeting regulatory requirements.
Certain industries have specific monitoring and
reporting obligations, such as environmental emissions
or safety parameters. Measuring points and counters
facilitate the collection of relevant data, ensuring
compliance with regulations and enabling accurate
reporting.

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• Predictive maintenance: Organizations can develop

predictive maintenance models by analyzing historical
data from counters and measuring points. These
models use the collected data to identify patterns,
trends, or anomalies that indicate potential equipment
failures. This proactive approach helps optimize
maintenance planning, reduce unplanned downtime,
and increase overall equipment effectiveness.

Overall, measuring points and counters in SAP provide a structured

and centralized approach to capture and manage critical measurements
and readings. They enable organizations to monitor, analyze, and optimize
various aspects of their operations, leading to improved efficiency,
productivity, and decision-making.

3.35. Working with Measuring Points

and Counters
To enhance the monitoring of capacity utilization, your objects are
equipped with measuring points and counters.

3.35.1. Measuring Points
Measuring points are specific physical or logical locations associated with
technical objects where conditions are described, such as the temperature
of the coolant in a nuclear power station or the rotations per minute of
wind-driven power station blades. These measuring points are at the
technical objects themselves (see Figure 3-35).

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Figure 3-35. Measuring points and characteristics

3.35.2. Counters
Conversely, counters serve as resources that allow you to quantify the
damage to an object or track the consumption or reduction of its useful
life. Examples of counters include the mileage indicator of a motor vehicle
or the electricity consumption meter of an electrically powered system.
Like measuring points, counters are also located at the respective technical
objects.
If you require maintenance for an object, you can input measurements
or counter readings. These readings are essential for documenting
the object’s condition based on measurements or determining the
maintenance schedule based on meter readings. In Customizing, you have
the flexibility to define different types of measuring points.

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3.35.3. Measuring Points and Characteristics

Every measuring point or counter is associated with a specific
characteristic, such as kilometer, liter, or operating hours. The
characteristic of a measuring point or counter determines the unit
in which the measurement or counter readings are recorded (see
Figure 3-36). For instance, the ratio characteristic may have the unit
percent, while the temperature characteristic can have units like Celsius or
Fahrenheit.

Figure 3-36. Creating measuring point master data

The classification system must create all the corresponding

characteristics to ensure accurate maintenance of measuring points and
counters for your objects. This system falls under the cross-application
functions within SAP. Creating these characteristics is a crucial step before
maintaining the measuring points and counters.

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3.35.4. Measuring Documents
A measurement document is a comprehensive term that describes the
data entered in the system following measurements taken at a measuring
point or after a meter reading. The measurement document encompasses
the following information (see Figure 3-37).

Figure 3-37. Measuring document

• Measuring point data includes details such as the

measuring point number, measurement position,
description, characteristic, and unit.

• Measuring result data encompasses information

about the time of measurement/reading, the actual
measurement/counter reading, and a qualitative
assessment of the measurement result/counter
reading.

• Additional information includes supplementary

details like technician information, explanations,
and more.

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Moreover, assigning a processing status to the measurement document

is possible. This status indicates if any action is required based on the
measurement value or counter reading and determines whether existing
tasks cover the need for action based on these readings.
The data can be manually entered into SAP technology through the
SAP user interface (SAP GUI). Alternatively, measurement readings can
be recorded from a maintenance notification or maintenance order using
the mobile application SAP EAM Work Order, which enables data entry via
mobile devices.
A barcode reader can aid in streamlining data entry by transferring
the information to the SAP solution through the PM-PCS interface. This
interface links SAP software and external systems like a process control
system (PCS). The PCS data generated while monitoring, controlling,
regulating, and optimizing a technical process through this connection
can be transmitted to the SAP technology. A Supervisory Control and Data
Acquisition (SCADA) system may extract pertinent data from the PCS and
transmit it to the SAP technology.
Various customer exits are available to automate business processes,
allowing for tasks such as automatically generating a malfunction
report from a measurement document. These customer exits enable
customization and automation of specific functionalities within SAP.

3.35.5. Measuring Point Entry List

For the simplified entry of routine counter and measurement readings
across multiple objects, a master record known as a measurement reading
entry list can be created. This list encompasses various measuring points
or counters associated with different objects.
When determining measurement readings or taking counter readings,
the corresponding values can be directly entered within this list. As before,
the update occurs through a measurement document.

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To transfer measurement and counter readings from external systems

to the SAP solution, the PM-PCS interface can be utilized. This data
is stored in measurement documents within the SAP technology and
can be accessed by both the Plant Maintenance and Customer Service
components.
Performance-based preventive maintenance allows maintenance
planning based on counter readings managed for the relevant technical
objects.
Measurement documents can be utilized to document subjects related
to system security, work safety, and environmental protection.
The following are examples of external systems.

• Mobile data entry systems

• Process control systems

• Building control systems

• SCADA systems

Process control systems provide a wide range of processes, buildings,

or infrastructure data. SCADA systems play a filtering role by extracting
maintenance-relevant data, protecting the SAP technology from an excess
of process data. Additionally, SCADA systems facilitate communication
between one or more PCS and the SAP software solution.

3.36. Measurement Transfer
and Counter Replacement
Measurement transfer in SAP EAM refers to the process of transferring
measurement data, such as equipment readings or inspection results,
from one location or system to another. It ensures accurate data continuity
across different systems, enhancing maintenance and asset management
activities.

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Counter replacement involves updating counter values associated with

equipment or assets during maintenance activities. It helps track usage
and performance, aiding in predictive maintenance strategies by triggering
alerts or actions based on predefined thresholds or intervals. This ensures
optimal asset functionality and minimizes downtime.

3.36.1. Perform Measurement Reading Transfer

The following transfer scenarios are available.

• Transfer of measurements from one measuring point to

another (1:1 relationship)

• Transfer of measurements from one measuring point to

multiple others (1:n relationship)

• Transfer of counter readings from one counter to

another (1:1 relationship)

• Transfer of counter readings from one counter to

multiple others (1:n relationship)

The following conditions must be met for a successful transfer of

measurement and counter readings.
• Both the measuring points and counter readings share
the same characteristic.

• Both the measuring points or counters are part of the

same object hierarchy. It is not possible to transfer
measurement and counter readings across external
object hierarchies.

In the case of a counter reading transfer, interval documents can

be utilized. These documents aggregate the counter readings from
subordinate levels within an asset structure, resulting in recurring

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entry documents. This approach significantly reduces the number of

measurement documents. During a specific installation interval of an
equipment, the same measurement document is used as long as the
equipment remains installed at the same functional location or higher-
level equipment.
If a measurement document is entered for a historical reference time,
it is transferred based on the object structure that was valid during the
reference time, even if there have been changes in the object structure.
When installing or dismantling a piece of equipment with a
historical reference time, the system automatically cancels unnecessary
measurement documents and creates new ones if required.

3.36.2. Counter Replacement
In case of a defective register or the need for an entire counter
replacement, it is necessary to display the counter replacement in the
system. This ensures that the discrepancy in the continuously increasing
or decreasing readings between the old counter and the new counter is
explained. Typically, the reading of the new counter differs from that of the
old one.
The overall counter reading remains unchanged when entering a
measurement document to document a counter replacement. Instead,
the new reading of the newly installed counter should be entered with this
measurement document at the beginning of its usage. This new reading
does not impact the overall counter reading recorded in the previous
measurement document.

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3.37. Standard Fiori Apps for Measuring

Points and Counters
The specific Fiori apps available for measuring points and counters in SAP
may vary based on your SAP solution’s specific version and configuration.
However, let’s look at general information about Fiori apps related to
measuring points and counters in SAP.

• Manage Measuring Points (App ID: F2950): This app

allows you to create, modify, and display measuring
points. You can define measuring points to capture
data related to equipment, functional locations, or
other objects in your SAP system (see Figures 3-38
and 3-39).

Figure 3-38. Measuring point Fiori app

Figure 3-39. Measuring document Fiori app

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• Manage Counters (App ID: F1908): This app enables

you to create, modify, and display counters. Counters
are used to track the usage or readings of measuring
points over time. You can define counters based
on specific measuring points and assign them to
equipment or functional locations.

• Monitor Measuring Points (App ID: F1883): This app

provides a dashboard-style overview of measuring
points and their associated counters. You can view
the current readings, historical data, and graphical
representations of the measurements.

• Monitor Counters (App ID: F1909): This app allows

you to monitor and analyze counter readings. You can
view the counter values over time, compare readings,
and generate charts or reports to analyze the data.

It’s worth noting that SAP regularly updates and enhances its Fiori
app portfolio, so there may be additional or updated apps available
beyond the ones mentioned here. To get the most accurate and up-to-date
information on the available Fiori apps for measuring points and counters,
I recommend referring to the SAP Fiori Apps Library or consulting with
your SAP system administrator or SAP representative.

3.38. Customizing Settings for Measuring

Points and Counters
This section describes customizing the settings for Measuring Points and
Counters (see Table 3-6).

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Table 3-6. IMG Settings for Measuring Points and Counters

Field Name or Data Type Menu Path

Measuring Point Category Plant Maintenance and Customer Service → Master

Data in Plant Maintenance and Customer Service →
Basic Settings → Measuring Points, Counters and
Measurement Documents → Define Measuring Point
Categories

3.39. Summary
In this chapter, you learned how SAP Measuring Points and Counters
provides a comprehensive understanding of managing measuring points
and counters within the SAP solution. It covered creating, configuring,
and using measuring points to capture readings from physical assets
or equipment. The chapter emphasized the importance of defining
measuring point hierarchies and assigning them to relevant objects to
monitor key performance indicators (KPIs) and trigger maintenance
activities. It explored functionalities such as counter management,
enabling tracking usage or production quantities for equipment. The
chapter also highlighted integration with other SAP modules, such as
maintenance and plant maintenance, to facilitate proactive maintenance
planning and optimize asset performance. Overall, this chapter equips
users with the knowledge and tools to effectively manage measuring points
and counters, monitor equipment performance, and drive maintenance
strategies within the SAP environment.

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Business Processes
in Asset Management
4.1. Standard Maintenance Process
In SAP S/4HANA EAM, the standard maintenance process refers to the
established and predefined series of activities that organizations follow to
effectively manage their assets and equipment. This process ensures that
assets are properly maintained, monitored, and repaired to optimize their
performance and lifespan. The standard maintenance process typically
encompasses the following key phases.

• Planning: This phase involves defining the

maintenance requirements for assets, including
scheduling maintenance tasks, determining resource
needs (e.g., labor, materials, tools), and establishing the
necessary budget.

• Scheduling: Once the maintenance tasks are planned,

they are scheduled based on factors such as asset
criticality, availability of resources, and operational
impact. This step aims to minimize downtime and
disruptions.

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Chapter 4 Business Processes in Asset Management

• Execution: During this phase, the actual maintenance

activities are carried out. It includes inspections,
repairs, preventive maintenance, corrective
maintenance, and other relevant tasks.

• Documentation: Accurate and thorough

documentation of maintenance activities is crucial.
It includes recording details of work performed,
parts used, labor hours, and any issues encountered.
Proper documentation helps in historical tracking,
compliance, and future decision-making.

• Completion and Reporting: The relevant data is

entered into the system after the maintenance tasks
are completed. It includes updates on asset status,
maintenance costs, and any changes to asset condition.
These reports contribute to performance analysis and
decision-making.

• Analysis: Organizations analyze maintenance data

to identify trends, patterns, and opportunities for
improvement. This step supports decision-making
regarding optimizing maintenance strategies, resource
allocation, and asset replacement.

• Optimization: Organizations refine their maintenance

processes and strategies based on the analysis. This
might involve adjusting maintenance schedules,
improving resource allocation, and implementing best
practices to enhance asset performance and reduce
downtime.

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SAP S/4HANA EAM provides a comprehensive suite of tools

and features to streamline and automate these processes. It enables
organizations to manage their assets efficiently, reduce operational
costs, extend asset lifecycles, and improve overall business
performance. The system allows integration with other SAP modules
and external systems, providing a holistic view of asset management
across the organization.
It’s important to note that while the standard maintenance process
provides a structured framework, organizations can customize and adapt it
to their specific industry, asset types, and business needs.

4.1.1. Modeling Maintenance Process

Various methods are employed to model the maintenance process (see
Figure 4-1), contingent on factors such as the nature of the task, the
software ecosystem, and the utilization of pre-existing configurations.
When responding to unexpected breakdowns or damage, the reactive
maintenance process typically operates more swiftly with minimal
planning. Conversely, for routine inspections or maintenance, the
proactive maintenance process can be pre-planned and executed to a
certain degree automatically.

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Figure 4-1. Model maintenance process

As shown in Figure 4-1, there are three process variations based on

diverse needs.

• Standard process: This method employs conventional

notifications and orders. It offers adaptability and can
be adjusted for various demands like sudden failures or
planned tasks.

• Phase-based process: This approach features

meticulous and refined planning. It encompasses
multiple phases and subphases, suitable for use
in regulated settings. It can be augmented with
preconfigured content if associated Best Practices
scope items are implemented.

• Simplified process: Utilizing a SAPUI5 foundation, this

process permits the complete procedure to be executed
within a single Fiori app. This version is generally
employed for straightforward repair work, where
intricate planning isn’t necessary.

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The standard maintenance process undergoes the following stages.

1. Create notification. Malfunctions and other

requirements are documented within notifications.
Notifications are accessible and manageable
through the notification list editing.

2. Plan maintenance order. During this stage, orders

are generated and scheduled based on reported
needs. The planning involves defining necessary
steps, required materials, and any pertinent PRTs,
such as measurement instruments or cranes.

3. Check and release maintenance order. This stage

subjects the order to various checks, including
material availability and capacity planning, which
are crucial for order release. The system examines
permit approval, safety plans, and compliance with
work clearance criteria in specific areas. If these
checks raise no issues, the order progresses into the
processing stage. Typically, shop papers are printed
at this juncture.
4. Execute maintenance order. The actual execution
of the order occurs here. The necessary materials,
even those not initially planned or reserved, are
retrieved for the order’s execution.

5. Confirm maintenance order. This stage involves

inputting time and technical confirmations into
the system.

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6. Complete maintenance order. In this stage, the

order is marked as technically complete. The order’s
settlement by the controlling (CO) department
can occur before or after the technical completion.
Eventually, the controlling department designates
the maintenance order as “business complete.”

4.2. Notification
In SAP EAM, notification is a critical element in the maintenance and
service management process. This formal communication within the
system indicates a situation that requires attention, action, or response
related to assets, equipment, or processes. Notifications can initiate
various maintenance activities, such as repairs, inspections, preventive
maintenance, and more.
The following are some key points about notifications in SAP EAM.

• Initiation of work: Notifications are the starting point

for maintenance work. When a problem or issue is
identified with an asset or equipment, a notification
is created to document the issue and trigger the
appropriate actions.

• Information capture: Notifications contain detailed

information about the issue or situation, such as
the description of the problem, location of the
asset, priority, affected equipment, and more. This
information helps maintenance teams understand the
nature of the issue and respond accordingly.

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• Types of notifications: There are different types of

notifications in SAP EAM, including maintenance
notifications, service notifications, quality notifications,
and more. Each type of notification serves a specific
purpose and may follow a different workflow.

• Workflow and processing: Notifications in SAP

EAM typically follow predefined workflows. Once a
notification is created, it can be assigned to responsible
parties, such as maintenance technicians or teams.
The workflow involves assessment, planning,
scheduling, execution, and completion of the required
maintenance activities.

• Integration with other processes: Notifications are

closely integrated with other processes in SAP EAM,
such as work orders, maintenance plans, and purchase
requisitions. When a notification requires maintenance
work, it can be converted into a work order to ensure
the proper execution of tasks.

• Tracking and reporting: Notifications provide a way

to track and monitor the progress of maintenance
activities. This data can be used for reporting, analysis,
and continuous improvement of maintenance
processes.

• Notification types: Different notification types may

have distinct attributes and fields based on their
specific purpose. For example, a service notification
might include information about a customer issue,
while a maintenance notification might focus on an
equipment malfunction.

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• Prioritization: Notifications often include a priority

designation to help maintenance teams determine
the issue’s urgency and prioritize their workload
accordingly.

Overall, notifications play a crucial role in SAP EAM by streamlining

communication, facilitating efficient maintenance processes, and ensuring
that assets and equipment are properly maintained to minimize downtime
and optimize performance.
In corporations, the initial step involves generating maintenance
needs within the system by creating notifications. This process aims to
enhance prioritization and coordination efforts. These notifications must
encompass comprehensive data to retain a historical record and facilitate
subsequent assessments.
The inception of the corrective maintenance procedure hinges on
generating a notification concerning issues such as damage, malfunctions,
or modification requests. Generally, this notification pertains to a
technical entity and describes the malfunction or requisites. Furthermore,
supplementary data can be inputted into the notification to establish a
historical record, encompassing factors like damages and causes.
Maintenance tasks can be strategized based on notifications, often
leading, though not invariably, to formulating a maintenance order.

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4.2.1. Notification Structure
Maintenance notifications (see Figure 4-2) include header data to identify
and manage them. This information remains consistent across the entire
notification.

Figure 4-2. Notification structure

Data is entered and maintained in notification items to provide a more

detailed account of problems, damages, or activities. Notifications (see
Figure 4-3) can consist of multiple items.
Activities within a notification document the work carried out,
especially crucial for inspections as they are evidence of completed tasks.
Tasks, on the other hand, outline pending activities. This encompasses
tasks arising after the maintenance task, such as creating a report. In some
cases, tasks can also aid in planning, particularly when order processing is
inactive. Different individuals can be designated for notification processing
during such instances, and task execution can be monitored over specific
timeframes. However, it’s important to note that certain processes, like cost
monitoring, material planning, or capacity requirements planning, are not
feasible with this type of processing.

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The notification interface is customizable, allowing the adjustment of

tabbed pages and their content through Customizing to align with specific
requirements.

Figure 4-3. Request maintenance notification

4.3. Customizing Settings for Notifications

This section describes the Customizing settings for Notifications. Table 4-1
lists and describes IMG Settings for Notifications.

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Table 4-1. IMG Settings for Notifications

Field Name and Data Type Menu Path

Overview of Notification Plant Maintenance and Customer Service →

Type Maintenance and Service Processing → Maintenance
and Service Notifications → Overview of Notification
Type
Action Box Plant Maintenance and Customer Service →
Maintenance and Service Processing → Maintenance
and Service Notifications → Notification Processing
→ Additional Functions → Define Action Box
General Notification Cross-Application Components → Notification
System Condition Plant Maintenance and Customer Service →
Maintenance and Service Processing → Maintenance
and Service Notifications → Notification Processing
→ Define System Conditions
Catalog Profile Plant Maintenance and Customer Service →
Maintenance and Service Processing → Maintenance
and Service Notifications → Notification Creation →
Notification Content → Define Catalog Profile
Screen Templates Plant Maintenance and Customer Service →
Maintenance and Service Processing → Maintenance
and Service Notifications → Notification Creation →
Notification Types → Set Screen Templates for the
Notification Type
(continued)

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Table 4-1. (continued)

Field Name and Data Type Menu Path

Allowed Change of Plant Maintenance and Customer Service →

Notification Type Maintenance and Service Processing → Maintenance
and Service Notifications → Notification Creation →
Notification Types → Allowed Change of Notification
Type
Field Selection Plant Maintenance and Customer Service →
Maintenance and Service Processing → Maintenance
and Service Notifications → Notification Creation
→ Notification Types → Set Field Selection for
Notifications
Integration Notification/ Plant Maintenance and Customer Service →
Order (Long Text Transfer, Maintenance and Service Processing → Maintenance
Object List Control) and Service Orders → Functions and Settings for Order
Types → Define Notification and Order Integration
Catalogs Plant Maintenance and Customer Service →
Maintenance and Service Processing → Maintenance
and Service Notifications → Notification Creation →
Notification Content → Maintain Catalogs
Long Text Control Plant Maintenance and Customer Service →
Maintenance and Service Processing → Maintenance
and Service Notifications → Notification Creation →
Notification Types → Define Long Text Control for
Notification Types
List Editing Plant Maintenance and Customer Service →
Maintenance and Service Processing → Maintenance
and Service Notifications → Notification Processing
→ List Editing
(continued)
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Table 4-1. (continued)

Field Name and Data Type Menu Path

Notification Type Plant Maintenance and Customer Service →

Maintenance and Service Processing → Maintenance
and Service Notifications → Notification Creation →
Notification Types
Assign Notification Types Plant Maintenance and Customer Service →
to Order Types Maintenance and Service Processing → Maintenance
and Service Notifications → Notification Creation
→ Notification Types → Assign Notification Types to
Order Types
Number Ranges Plant Maintenance and Customer Service →
Maintenance and Service Processing → Maintenance
and Service Notifications → Notification Creation →
Notification Types → Define Number Ranges
Object Information Plant Maintenance and Customer Service →
Maintenance and Service Processing → Maintenance
and Service Notifications → Notification Processing
→ Object Information
Partner Determination Plant Maintenance and Customer Service →
Procedure Maintenance and Service Processing → Maintenance
and Service Notifications → Notification Creation →
Partners
Priorities Plant Maintenance and Customer Service →
Maintenance and Service Processing → Maintenance
and Service Notifications → Notification Processing
→ Response Time Monitoring → Define Priorities

(continued)

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Table 4-1. (continued)

Field Name and Data Type Menu Path

Response Profile Maintenance and Customer Service → Maintenance

and Service Processing → Maintenance and Service
Notifications → Notification Processing → Response
Time Monitoring → Define Response Monitoring
Transaction Start Values Plant Maintenance and Customer Service →
Maintenance and Service Processing → Maintenance
and Service Notifications → Notification Creation →
Notification Types → Define Transaction Start Values
Fiori Apps Settings: Plant Maintenance and Customer Service →
Notification Type Planning Maintenance and Service Processing → Fiori Apps for
Plant Maintenance Processing → Assign Notification Types
to Maintenance Planning Plants
Fiori Apps Settings: Define Plant Maintenance and Customer Service →
Overall Status Maintenance and Service Processing → Fiori Apps for
Maintenance Processing → Define Overall Status

4.3.1. Catalogs
The catalog finds applications while managing notifications, facilitating the
systematic input of outcomes and tasks using codes. This coded approach
proves especially valuable for analytical purposes (see Figure 4-4). Within
the Plant Maintenance Information System (PMIS), specific predefined
analyses exist that leverage these codes for in-depth examination.

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Figure 4-4. Catalog

The following describes the catalog’s features.

• Catalog: This is an aggregation of code groups united

by their content (such as types of damages and their
causes).

• Code groups: These are clusters of codes organized

based on their associated content (for instance,
damages to vehicles, pumps, and motors or distinctions
between mechanical and electrical damage).

• Codes: These are descriptions encompassing damages,

activities, causes of damage, parts of objects, tasks, etc.
This approach substantially minimizes the likelihood of
inaccurate entries. Codes can serve as the initial stage
for workflows and subsequent processes. Standard
analyses within the PMIS enable statistical assessments
to be conducted.

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Within a catalog profile, it’s possible to stipulate the code groups

utilized while handling a particular entity. The benefit lies in presenting
solely those code groups pertinent to the given entity. Catalog profiles can
be linked to either a technical object or a notification type.

4.4. Maintenance Orders
In SAP EAM, a maintenance order is fundamental in planning, executing,
and monitoring maintenance activities on assets and equipment. It is a
formal document outlining the tasks, resources, materials, and timelines
required to perform maintenance work. Maintenance orders play a central
role in managing maintenance processes efficiently and effectively.
The following are the key aspects of maintenance orders in SAP EAM.
• Planning and scheduling: Maintenance orders are
created based on notifications, work requests, or
maintenance plans. They provide a structured way
to plan and schedule maintenance tasks, ensuring
that the right resources are allocated and available
when needed.
• Work execution: A maintenance order contains detailed
information about the work to be performed, including
the scope of tasks, labor requirements, required tools
and materials, safety instructions, and other relevant
information. This information guides technicians during
the execution of maintenance activities.
• Resource allocation: Maintenance orders allow
allocating personnel, equipment, and materials to
specific tasks. This ensures the necessary resources are
organized and utilized efficiently, reducing downtime
and improving productivity.

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• Cost tracking: Maintenance orders facilitate cost

tracking by capturing labor hours, materials used,
and other expenses incurred during the maintenance
process. This data helps organizations analyze
maintenance costs and make informed decisions about
resource allocation.

• Status tracking: Throughout the maintenance process,

the order’s status is updated to reflect its progress, from
planning and scheduling to execution and completion.
This real-time status tracking enables better
communication and coordination among teams.

• Integration with notifications: Maintenance orders

often originate from notifications. Once a maintenance
notification is created and assessed, it can be converted
into a maintenance order to initiate the work.

• Measurement and documentation: Maintenance

orders allow for recording measurements,
observations, and notes related to the maintenance
activities. This documentation helps maintain a
historical record of work performed and can be useful
for future reference or audits.

• Follow-up actions: After maintenance work is

completed, the order can trigger follow-up actions,
such as creating service reports, updating asset history,
or generating maintenance history for reporting
purposes.

• Integration with financial processes: Maintenance

order data, including costs incurred, can be integrated
with financial systems for accurate cost allocation,
budgeting, and reporting.

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• Performance evaluation: Analyzing maintenance

orders and their associated data enables organizations
to evaluate their maintenance strategies’ effectiveness,
identify improvement areas, and optimize maintenance
processes.

In summary, maintenance orders in SAP EAM provide a structured

framework for planning, executing, and managing maintenance tasks.
They help organizations streamline their maintenance processes, reduce
downtime, manage costs, and maintain assets and equipment to achieve
optimal operational performance.

4.4.1. Corrective/Reactive Maintenance Process

The effective execution of maintenance tasks on a technical object
necessitates meticulous pre-planning to enhance efficiency and optimize
resource utilization. Subsequently, a maintenance order (see Figure 4-5)
is orchestrated from a notification, constituting the second phase of the
process. Typically, planning activities encompass formulating order
operations, predetermined work efforts, and preserving pertinent
materials or spare parts.

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Figure 4-5. Display maintenance order

4.4.2. Breakdown Maintenance Process

Breakdown maintenance involves the instantaneous generation and
authorization of a maintenance order, condensing the process into a single
step right after a malfunction has been reported, often by a production
employee. Depending on the procedural model, this step can be done
through the SAP GUI (transaction) or via the web (SAP Fiori launchpad
or Business Client). Alternatively, the notification can be initiated using a
mobile device.
The breakdown maintenance process consists of the following steps.

1. The process initiates with a maintenance order’s

inception and a malfunction notification.
Subsequently, the maintenance order is set
into motion.
2. The execution phase involves retrieving spare parts
from inventory and the direct execution of the order.

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3. During the completion phase, actual time expended

is validated, and technical confirmations are
inputted to document the repair and condition of
the technical system within the notification.

4. Further into the completion phase, the order

(including the notification) reaches technical
finality. The order is settled within controlling (CO)
and marked as business complete.

4.4.3. Maintenance Order with Notification

The following describes the tools accessible for managing
maintenance tasks.

• Orders serve to strategize maintenance tasks and

plan and oversee incurred costs. It’s not obligatory
to execute planning functions; orders can also be
generated as immediate orders devoid of planning.

• Notifications are employed to communicate

maintenance requisites, document technical
findings, and record performed activities. Orders and
notifications can be utilized distinctly. Nevertheless,
they are frequently integrated to leverage the benefits
of both tools, as shown in Figure 4-6.

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Figure 4-6. Order and notification

In approach A, the initial stage involves crafting a malfunction

notification (see Figure 4-7) containing pertinent particulars to delineate
the malfunction. Subsequently, a breakdown order is formulated in
connection with the malfunction notification. Typically, the order pertains
to a technical entity (e.g., a functional location or equipment). In the initial
order operation, the malfunction is briefly described.

Figure 4-7. Approaches to process maintenance order

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Alternatively, approach B shows a breakdown order can be directly

initiated alongside a malfunction notification. This method’s advantage lies in
the simultaneous display of both the Report and Order tabs on the interface.

4.4.4. Order Structure
Figure 4-8 illustrates the core components of a maintenance order.

Figure 4-8. Maintenance order structure

• Order header: The order header data includes

information for identifying and managing the
maintenance order. This data holds throughout the
entire order and comprises details like order number,
description, order type, scheduled execution dates, task
priorities, creator, last modifier, and more.
• Object list: The object list enumerates the entities to
be processed (e.g., functional locations, equipment,
assemblies, serial numbers). It is utilized when the
same activity needs to be executed across multiple
objects of the same kind.

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• Operation: Order operations outline the tasks to be

accomplished, the individuals responsible for these
tasks, and the guidelines they must adhere to.

• Materials list (components list): This list records spare

parts utilized during order execution.

• Production resources and tools: Resources such as

tools, protective gear, and vehicles that are essential for
order execution, are necessary but not consumed as
they can be reused.

• Settlement rule: The settlement rule data specifies

the account assignment object for settling costs. The
suggested account assignment object comes from the
reference object’s master record, which can be changed
when the initial settlement rule is established for
the order.

• Cost: The cost view presents the order’s estimated,

planned, and actual costs across value categories. Both
a technical view and a controlling view are accessible.

The following are options for creating maintenance orders.

• Scenario 1: Orders can be created with a single
operation (quick entry) or more complex planning with
multiple operations. Operations can be listed in the
order’s operations list.

• Scenario 2: Direct creation of a maintenance order (e.g.,

a breakdown order).

• Scenario 3: Maintenance notification is submitted by a

requester, and a maintenance order is then created by
the planner referencing the notification.

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• Scenario 4: A maintenance order can feature multiple

technical objects in the Object List tab, with individual
notifications assigned to each object.
• Scenario 5: A maintenance order can be generated
without referencing a maintenance notification. A
technical confirmation in the form of an activity report
is created for this order.
• Scenario 6: A maintenance order can be automatically
generated from a maintenance item within a
maintenance plan.

4.5. Customizing Settings for

Maintenance Order
This section describes the Customizing settings for Maintenance Order.
Table 4-2 lists and describes IMG Settings for Maintenance Order.

Table 4-2. IMG Settings for Maintenance Order

Field Name and Data Type Menu Path

Configure Order Types Plant Maintenance and Customer Service →

Maintenance and Service Processing →
Maintenance and Service Orders → Print Control →
Functions and Settings for Order Types → Configure
Order Types
Number Ranges Plant Maintenance and Customer Service →
Maintenance and Service Processing →
Maintenance and Service Orders → Functions and
Settings for Order Types → Configure Number Ranges

(continued)
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Table 4-2. (continued)

Field Name and Data Type Menu Path

Planning Plant Plant Maintenance and Customer Service →

Maintenance and Service Processing → Maintenance
and Service Orders → Functions and Settings for Order
Types → Assign Order Types to Maintenance Plants
Costing Variant Plant Maintenance and Customer Service
→ Maintenance and Service Processing →
Maintenance and Service Orders → Functions
and Settings for Order Types → Costing Data for
Maintenance and Service Orders → Assign Costing
Parameters and Results Analysis Keys
Settlement Rule Plant Maintenance and Customer Service
→ Maintenance and Service Processing →
Maintenance and Service Orders → Functions
and Settings for Order Types → Costing Data for
Maintenance and Service Orders → Settlement Rule:
Define Time and Creation of Distribution Rule
Maintenance Activity Type Plant Maintenance and Customer Service →
Maintenance and Service Processing → Maintenance
and Service Orders → Functions and Settings for
Order Types → Costing Data for Maintenance and
Service Orders → Maintenance Activity Type
Planning Indicator Plant Maintenance and Customer Service
→ Maintenance and Service Processing →
Maintenance and Service Orders → Functions
and Settings for Order Types → Costing Data for
Maintenance and Service Orders → Define Default
Value for Planning Indicator for Each Order Type
(continued)
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Table 4-2. (continued)

Field Name and Data Type Menu Path

Profiles Plant Maintenance and Customer Service

→ Maintenance and Service Processing →
Maintenance and Service Orders → Functions
and Settings for Order Types → Costing Data for
Maintenance and Service Orders → Create Default
Value Profiles for External Procurement .../Create
Default Value Profiles for General Order Data
Change Docs/Purchase Plant Maintenance and Customer Service →
Requisition/MRP Maintenance and Service Processing → Maintenance
and Service Orders → Functions and Settings for
Order Types → Costing Data for Maintenance and
Service Orders → Define Change Documents,
Collective Purchase Requisition, MRP relevance
Priorities Plant Maintenance and Customer Service
→ Maintenance and Service Processing →
Maintenance and Service Orders → General Data →
Define Priorities
Partners Plant Maintenance and Customer Service
→ Maintenance and Service Processing →
Maintenance and Service Orders → Partner
Documentations of Good Plant Maintenance and Customer Service
Movements → Maintenance and Service Processing →
Maintenance and Service Orders → Goods
Movements for Order
Object Info Plant Maintenance and Customer Service →
Maintenance and Service Processing → Maintenance
and Service Orders → Object Information

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4.5.1. Controlling
Let’s compare cost calculations and postings between the header level and
the operation level.
By default, the computation of costs for maintenance orders occurs
at the header level. However, the operation account assignment (OAA)
solution introduces the capability to compute maintenance order costs
at the operation level. The summation of header totals is performed
dynamically as needed, with no cost storage on the OAA order object
database.
Similarly, when it comes to cost postings, conventional practice
involves settling costs for maintenance orders at the header level. However,
the OAA approach empowers you to post maintenance order costs at the
operation level. A maintenance order must adopt either header-based
or operation-based costing; a mixed-mode costing approach is not
permissible. While certain maintenance order types, such as PM01 and
PM02, predominantly employ header-level postings, there arises a need to
both compute and post costs at the operation level.
To activate OAA or operation-level costing (OLC), you configure the
Customizing settings for a specific combination of maintenance order type
and the maintenance planning plant.
It’s crucial to note that an order must unequivocally adopt either
header-based or operation-based costing, with mixed-mode costing being
infeasible.
Ordinarily, orders subjected to header-based costing automatically
generate their settlement rule based on the account data of the reference
object present in the order header.
Conversely, orders employing OAA adhere to a similar logic—relying
on the reference object within the order header—but each operation
creates an individual settlement rule.

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In scenarios where a technical object is linked to an operation, the

settlement rule for said operation takes its cues from the data associated
with this object.

4.5.2. Planning Material and Services

When creating a maintenance order in SAP EAM, you can plan and
allocate both internal and external materials and services to ensure the
successful execution of maintenance tasks. Let’s look at how to do it.
The following steps address internal materials.
1. In the maintenance order creation screen, navigate
to the Materials tab or a similar section dedicated to
materials.
2. Select the option to add internal materials.
3. Search for and select the required materials from
your organization’s material master or inventory.
4. Specify the quantities and units needed for the
maintenance task.
5. Assign the materials to the appropriate order
operations if the order contains multiple operations.
6. The system may provide information about the
availability of materials based on your organization’s
inventory.

The following steps address external services.

1. On the maintenance order creation screen, navigate

to the Services tab or an equivalent section.

2. Add external services by searching for the required

services using a service catalog or predefined
service entries.

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3. Provide details such as the service description,

quantity, unit of measure, and specific
requirements.

4. Assign the services to the relevant order operations

if necessary.

The following steps address external materials.

1. External materials are typically handled similarly

to internal materials but might require additional
procurement steps.

2. You can create a purchase requisition or purchase

order to procure the required external materials
from vendors.

The following steps address service entry sheets.

1. After the maintenance work is completed and the

external services are provided, you can create a
service entry sheet to verify the services rendered by
external vendors.

2. The service entry sheet confirms the completion

of the services and initiates the invoice verification
process.

The following steps address integration with procurement.

1. SAP EAM can be integrated with procurement

modules like SAP MM (Materials Management) and
SAP SRM (Supplier Relationship Management).

2. For external materials and services, the

procurement process can involve creating purchase
requisitions, purchase orders, and tracking the
procurement lifecycle.

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The following steps address cost tracking and settlement.

1. By planning and allocating materials and services

to maintenance orders, you facilitate accurate cost
tracking.

2. After execution, the actual costs incurred for

materials and services can be compared to the
planned costs.

3. Settlement processes can be used to allocate costs

from maintenance orders to cost centers or other
relevant accounts.

Finally, let’s address scheduling and availability checks. During the

planning phase, the system might perform an availability check as shown
in Figure 4-9 to ensure that the required materials are available in stock
or can be procured in time. This helps prevent delays due to material
shortages.

Figure 4-9. Material availability check

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It’s important to note that the specific steps and terminology could
vary slightly based on your organization’s SAP EAM configuration and
version. Always refer to the documentation and training materials specific
to your SAP system for accurate guidance.

4.6. Customizing Settings
for Material Planning
This section describes the Customizing settings for Material Planning.
Table 4-3 lists and describes IMG Settings for Maintenance Planning.

Table 4-3. IMG Settings for Maintenance Planning

Field Name and Data Type Menu Path

Material Availability Check Plant Maintenance and Customer Service

→ Maintenance and Service Processing →
Maintenance and Service Orders → Functions and
Settings for Order Types → Availability Check for
Material, PRTs and Capacities
Interface for Procurement Plant Maintenance and Customer Service
Using Catalogs (OCI) → Maintenance and Service Processing →
Maintenance and Service Orders → Interface for
Procurement Using Catalogs

4.6.1. Resource Scheduling
for Maintenance Planners
SAP S/4HANA offers an additional feature for scheduling resources, known
as SAP S/4HANA Asset Management for Resource Scheduling (RSH), as
shown in Figure 4-10.

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Figure 4-10. Resource scheduling steps

The Fiori group titled Resource Scheduling for Maintenance Planner

includes the following tiles.

• Resource Scheduling for Maintenance Planners

• Schedule Management

• Maintenance Scheduling Board

• Allocation of Maintenance Order Operations

• Schedule Management - Under Review Fiori App

The Fiori Resource Scheduling for Maintenance Planners application

provides several functions or cards.

• Outstanding maintenance orders prioritized by the

due date, featuring operations scheduled within the
upcoming four weeks

• Outstanding maintenance orders with operations

scheduled within the upcoming four weeks

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• Work center usage based on maintenance plans and

order operations

• Pending maintenance orders with operations

concluded over the previous six months

• Unassigned work

• Schedules

4.6.2. Utilization Analysis for Work Centers

Within the Utilization Analysis app for work centers, you have the
capability to assess the capacity status of your work centers. The utilization
chart empowers you to display utilization based on several attributes,
including the following.

• Work center

• Priority

• Order type

• Activity type

• Processing status
• Control key

Furthermore, you can perform the following actions within the app.
• Schedule, modify, and dispatch order operations as
well as suboperations
• Possibility to cancel dispatch operations
• To balance work center utilization, you can alter
the work center assigned to order operations and
suboperations
• Adjust the start date and time for order operations

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The app provides the following functionalities.

• Setting specific start dates for order operations

• Modification of the processing status of order

operations, with visualization through distinct colors

• Simulation feature for rescheduling planned dates

• Dispatching of scheduled order operations,

incorporating simulated outcomes

• Availability of multiple views for utilization forecasting,

organized according to work centers and days

4.7. Customizing Settings
for Order Scheduling
This section describes the Customizing settings for Order Scheduling.
Table 4-4 lists and describes IMG Settings for Order Scheduling.

Table 4-4. IMG Settings for Order Scheduling

Field Name and Data Type Menu Path

Scheduling Plant Maintenance and Customer Service →

Maintenance and Service Processing → Maintenance
and Service Orders → Scheduling
Time Zone Support Plant Maintenance and Customer Service →
Maintenance and Service Processing → Basic
Settings → Activate Time Zone Support for
Application Areas

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4.7.1. Checking and Release Maintenance Order

The maintenance planner holds the responsibility of ensuring the timely
processing of orders. This entails guaranteeing the availability of materials,
generating shop papers, and authorizing orders for further processing.
This phase within the corrective maintenance process encompasses
the following actions.

• Selection of maintenance orders earmarked for

execution

• Examination of material availability

• Capacity assessment for available resources

• Assessment and issuance of relevant permits

• Risk evaluation and formulation of a safety plan

• Tagging of pertinent areas (applies when using WCM)

• Release of orders and printing of shop papers

The following are some key aspects.

• Reviewing outstanding notifications yet to be processed

and unassigned to maintenance orders.
• Analyzing maintenance orders that remain in the
planning phase without being released for processing.

• Assessing unreleased purchase requisitions or

purchase orders for non-stock materials essential as
spare parts in maintenance orders.

• Displaying approved purchase requisitions for non-

stock materials lacking corresponding purchase orders.

• Identifying non-stock materials ordered but potentially

unavailable by the required date.

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• Evaluating released maintenance orders that have

passed their end date but are still awaiting final
confirmation.

• Analyzing confirmed maintenance orders whose

stipulated end date falls within the chosen reference
period but remain incomplete both technically and
from a business standpoint.

The following methods are used for material availability verification.

• Verification via order list for multiple orders.

• Verification through a background job for a

considerable number of orders.

• Individual order verification.

For stock materials planned to be used in order operations, the

system can conduct a comprehensive availability check in one step. This
function, known as the Availability Check, verifies whether all materials
in the maintenance order are sufficiently available. Depending on system
settings and data entered in material master records, the system carries
out an availability check for all materials linked to operations within the
maintenance order. The system promptly notifies you of the outcome
through an online message. In the event of scarcity, the system presents an
error log containing detailed check results.
Upon releasing a maintenance order, the system performs
an availability check for planned materials per your customizing
configurations. If certain planned materials are insufficiently available, you
may release the order if your system settings permit.
Worker safety within EAM involves the following aspects.

• Ensuring worker safety (Web functions)

• Integration with the risk management system (GRC)

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These functionalities enable the establishment of a secure work

environment by stipulating safety protocols (such as protective gear and
safety briefings). These protocols can be linked to maintenance order
operations. The cumulative effect of all safety protocols associated with a
maintenance order constitutes the safety scheme.

4.7.2. Maintenance Order Release

Upon releasing a maintenance order, the system verifies the accessibility of
materials, production resources, and tools. Material reservations become
pertinent to material planning no later than the release point, facilitating
the withdrawal of materials and the initiation of purchase requisitions.
After order release, the following tasks can exclusively be executed.

• Printing shop papers

• Material withdrawal

• Recording goods receipts (GRs)

• Inputting time confirmations

• Finalizing the task

4.7.3. Maintenance Order Printing

The act of generating shop papers yields the following outcomes.

• Job ticket: This document provides a comprehensive

overview of the maintenance order for the personnel
engaged in the maintenance task. If your system is
linked to the document management system (DMS),
graphic elements can also be included on the job ticket,
such as engineering or design drawings of the pertinent
technical system.

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• Operation control ticket: The operation control ticket

furnishes the designated maintenance engineer with
a comprehensive outline of the maintenance order,
incorporating permit information.

• Material pick list: The material pick list guides the

warehouse clerk in identifying the materials designated
for each operation within the order.

• Object list: The object list presents an inclusive view

of the technical objects and notifications involved in
the order.

• Time ticket: For operations adhering to the specific

control key, the time ticket encompasses the standard
time and duration for the order operations. It is
produced only when manual workers are involved, and
each worker’s time required for executing the operation
is recorded on the ticket.

• Completion confirmation slip: Utilized by workers,

this slip serves as a record of their work times.

• Material issue slip: Issued to the maintenance workers,

this slip authorizes the retrieval of necessary materials
from the warehouse. A separate material issue slip is
printed for each material component.

• Delta printing: Through delta printing, all unprinted

shop papers for a maintenance order can be generated
collectively. This functionality is applicable only if the
required Customizing setting is configured by your
system administration. The outcomes of delta printing
encompass.

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• Display of new operations (those not previously

printed) on the job ticket and operation
control ticket.

• Printing of time tickets only if they haven’t yet been

marked as Printed.

• Printing of components solely if they haven’t been

previously printed on a component slip, such as the
material withdrawal slip.

• Identification of printouts as delta printouts. Once

shop papers are printed for a maintenance order,
the system automatically designates the order
status as Printed and generates a print log.

• Print log usage: The print log serves to determine the

following.

• Shop papers already printed for a given

maintenance order

• Initiator of the printing process

• Timing of the print activities

• Internal Transaction (IW3D): An internal transaction
(IW3D) exists for employees who possess the printing
capability for orders but lack authorization to modify
the overall order.

4.8. Customizing Settings for Maintenance

Order Printing
This section describes the Customizing settings for Maintenance Order
Printing. Table 4-5 lists and describes IMG Settings for Maintenance Order
Printing.
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Table 4-5. IMG Settings for Maintenance Order Printing

Field Name and Data Type Menu Path

Define Shop Papers Plant Maintenance and Customer Service

→ Maintenance and Service Processing →
Maintenance and Service Orders → Print Control →
Define Shop Papers, Forms and Output Programs
Define Printer/Print Plant Maintenance and Customer Service
Diversion → Maintenance and Service Processing →
Maintenance and Service Notifications →
Notification Processing → Additional Functions →
Define Action Box
Print Control for Job Card Plant Maintenance and Customer Service →
Maintenance Roles → Maintenance Worker →
Configure Print Control for Job Card

4.8.1. Execute Maintenance Orders

During the corrective maintenance process’s implementation stage, spare
parts are retrieved from the warehouse, and the actual order execution
takes place. Manual workers access materials from the warehouse to
conduct maintenance activities.
Two withdrawal approaches exist.

• Intended retrieval of stock materials

• Unscheduled retrieval of stock materials

Alternatively, materials can be obtained externally. The movement of

goods for a maintenance order is traceable within the order’s document
flow. To assess the planned and unplanned withdrawals for a material, the
material’s usage list (IW13) is available for reference.

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4.8.2. Confirming Notifications and Orders

Before a maintenance task can be considered technically concluded, the
input of working times is registered in the time confirmation, and details
encompassing activities, damages, and causes of damage are logged in the
technical confirmation. Figure 4-11 shows the confirmation screen.

Figure 4-11. Enter confirmation

4.8.3. Time Confirmation
There are various methods to validate the time needed for work on a
maintenance order.
• Collective input through direct entry or operation list
utilization
• Comprehensive completion confirmation for times,
activities, measurement values, etc., via a combined
interface
• Entry facilitated by the cross-application time
sheet (CATS)

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Upon inputting completion confirmations for operations or

suboperations within a maintenance order, the system automatically
designates a partially confirmed (PCNF) status for these operations or
suboperations. The Configuration settings under Customizing can trigger
an automatic proposal for final completion confirmation instead. Once
all operations or suboperations within a maintenance order receive full
confirmation, the order itself attains a finally confirmed (CNF) status. The
possibility of errant assignment or incorrect data entry for completion
confirmations exists. Therefore, the system permits the reversal of
completion confirmations when necessary. If multiple orders, each with
multiple operations, are confirmed with errors, a mass reversal can be
executed from the confirmation list (transaction IW47).
Activities conducted as maintenance notifications can be recorded
using the activity report notification type and linked to the corresponding
order. Alternatively, confirmation texts can be entered along with time
confirmations. However, confirmation texts might lack the same structural
organization and analytical ease as activity reports. Measurement values
and counter readings are input as measurement documents for the
reference object. Technicians employ the confirmation list to validate their
orders, often employing a preset query (referred to as a selection variant)
that typically employs the operation’s work center as a selection criterion.
The confirmation list furnishes two confirmation methods.

• Confirm as Planned is direct confirmation without

additional processing steps (Confirm function).

• Confirm by Entering/Adjusting Actual Times allows

editing and confirmation of actual times (Edit and
Confirm function).

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4.9. Customizing Settings for

Completion Confirmations
This section describes the Customizing settings for completion
confirmations. Table 4-6 lists and describes IMG Settings for Completions
Confirmations.

Table 4-6. IMG Settings for Completions Confirmations

Field Name and Data Type Menu Path

Control Parameters for Plant Maintenance and Customer Service →

Completion Confirmation Maintenance and Service Processing → Maintenance
and Service Orders → Completion Confirmations
→ Define Control Parameters for Completion
Confirmations
Screen Templates for Plant Maintenance and Customer Service →
Completion Confirmation Maintenance and Service Processing → Maintenance
and Service Orders → Completion Confirmations →
Set Screen Templates for Completion Confirmation

4.9.1. Technical Confirmation
When maintaining technical objects, the most comprehensive technical
findings serve as the foundation for subsequent evaluations. Technical
findings can encompass the following details.

• Causes of damage

• Performed work (activities and tasks)

• Specific damages and their locations

• Equipment downtimes and system availability during

and post-maintenance (system availability)
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Technical findings can be recorded either within the malfunction

report (which constitutes the basis of the order, if present) or within an
activity report created after the order’s establishment. Upon completing
the maintenance notification, data is transferred to the notification history.
This history forms a component of the maintenance record, housing
information pertinent to each technical object (e.g., damage, malfunctions,
causes, findings, and performed maintenance work).

4.9.2. Complete Notifications and Orders

Once a maintenance task is confirmed, both the order and the notification
are subsequently marked as completed. The process of order completion
consists of two distinct stages: technical completion and business
completion.

• Technical completion: A maintenance order is

considered technically complete when there are no
further tasks left to be fulfilled from a maintenance
standpoint.

• Settlement and business completion: The Controlling

function is responsible for settling maintenance
orders and designating them as business complete.
This signifies the final step within the corrective
maintenance business process. The range of
permissible business processes available is notably
limited.

• Technical completion and order: For the technical

completion of a maintenance order, the following
options are available.

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• Completing the maintenance order and notification

individually

• Simultaneously completing the maintenance order

along with the associated notifications

Upon completing the maintenance order, its status is altered to

TECO (technically completed). Essentially, this denotes fulfilling all
maintenance-related tasks outlined by the order. Once a maintenance
order achieves the TECO status, further modifications can only be made in
specific ways, including the following.

• Locking or unlocking the order

• Applying a deletion flag

• Entering confirmations, invoicing receipts, and

outstanding goods movements

• Modifying the settlement rule

If no settlement rule has been established for the maintenance order,

the system automatically generates one. In cases where data is insufficient
for this process, the system guides you to the point where you can create
the settlement rule. Any purchase requisitions lacking corresponding
purchase orders are flagged for deletion. Open reservations and capacities
are likewise closed.

Business Completion
In SAP maintenance orders, business completion signifies the
comprehensive fulfillment of all tasks, resources, and objectives outlined
within the order, validating successful execution, and enabling accurate
performance evaluation and historical documentation. This milestone
ensures operational efficiency and informed decision-making for future
maintenance endeavors.

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Technical Completion Data and Notification

During technical completion, a reference date and time must be provided,
contingent on the periods assigned to the order in the PMIS. This
reference date does not impact the determination of location and account
assignment data; these details are established based on the order’s
creation date.
If, for instance, there are changes to the equipment’s cost center during
order processing, the Update Reference Object Data entry in the context
menu can be utilized to effect these changes.
The maintenance history incorporates order data, data from
maintenance notifications, and usage histories. This collective data pool
serves for retrospective assessment of past work and the formulation
of future.
To conclude both the order and notification together, there must be
no pending tasks within the notification. If outstanding tasks (marked
as OSTS) are present in a notification, completion is hindered until
these tasks are resolved. The order linked to the notification can be
completed even in the presence of outstanding tasks, as these tasks might
not necessarily pertain to the performed order (a new order could be
needed in certain instances). The notification status is updated to NOCO
(notification completed) upon completion.
Reversing the TECO status is feasible, should the need arise. Reverting
a technical completion restores the order to its status before technical
completion, recalibrates capacity requirements and reservations, and
resets the deletion indicator for unconverted purchase requisitions.

Completing a Notification
Before finalizing a maintenance notification, several factors should be
considered.

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• Availability and accuracy of data pertaining to the

notification’s reference object

• Availability and accuracy of relevant item data

• Availability and accuracy of pertinent task data

• Completion or release of all tasks without any

outstanding items

• Availability and accuracy of technical data related to

the technical object’s breakdown and availability

Upon the completion of a maintenance notification, the following

consequences ensue.

• The reference date and time define the periods

assigned to the notification in PMIS.

• The maintenance notification becomes locked for

alterations, rendering further changes to notification
data impossible.

• The notification status is updated to NOCO.

4.10. Simplified Maintenance Process

Malfunction Reporting and Repair
This application assists maintenance technicians throughout the
breakdown, guiding them from the initial stages to the conclusion in a
responsive design, as shown in Figure 4-12.

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Figure 4-12. Report and repair malfunction

The following are the supported steps in the process.

1. Generate a malfunction report encompassing all

necessary and pertinent information.

2. Locate pre-existing malfunction records within a

comprehensive list.

3. Strategize the repair process, considering all

required resources.

a. Work items designated to the responsible work center

b. Spare parts needed for the repair task

4. Document and confirm the repair work.

5. Finalize the malfunction report.

The following explains how to create a malfunction report.

1. Identify the affected technical object.

2. Access technical object details by navigating to the

master data or the Asset Viewer.

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3. Review a list of recently generated malfunction

reports concerning the relevant technical object.

4. Draft a detailed description of the issue using an

extended text.

5. Specify the present location of the technical object.

6. Choose an effect from the drop-down menu to

evaluate the significance of the repair work, such as
its impact on safety or environmental compliance.

7. Utilize the camera icon to capture an image of

the damage, which is automatically linked to the
notification (applicable only on mobile devices).

8. Include a URL for supplementary information.

The following explains how to plan the repair work.

1. Allocate responsibilities to tasks.

2. Define new work items or modify existing ones.

3. Attach spare parts to the designated work items.

4. Add work items.

a. Input the corresponding work center.

b. Specify the responsible person for task completion.

c. Describe the nature of the work to be conducted.

d. Estimate the required time.

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5. Assign spare parts for the repair work.

a. Search within the technical object’s bill of materials.

b. Browse a list of recently used parts commonly required for

repairs on this technical object.

c. Utilize a comprehensive search encompassing all materials.

d. Evaluate whether the material is available at a suitable storage

location.

The following steps address repairing malfunctions in the My Jobs List.

1. Display a comprehensive list of all tasks assigned to

you or your team.

2. Configure the display of jobs within the work list.

• Mine only: Tasks linked to your number

• My team’s only: Tasks for other technicians within

your work center

• Mine and my team’s: All tasks for your work center

technicians

• To be assigned in my team: Unassigned tasks within

your work center

3. Apply filters to narrow down the scope of the list

based on factors like status or priority.

In Material Provisioning

• Inventory Manager executes the goods issuance of

the reserved material.

• Maintenance Technician displays the barcode.

The following explains how to document and confirm work.

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1. Validate the malfunction duration.

a. Confirm the start of the malfunction.

b. Determine the end of the malfunction.

c. Indicate whether the machine experienced a breakdown.

2. Record malfunction details.

a. Specify the impacted object parts.

b. Select relevant damage codes.

c. Include cause codes accompanied by explanations.

d. Enter executed activities.

3. Confirm job details.

a. Initiate the job.

b. Pause the job with the reasons provided.

c. Captured job time is proposed for use.

d. Confirm the work item.

The Comprehensive Status - An Innovative Status Concept

• Reveals the specific phase of individual tasks

• Chronicles the advancement of the complete

malfunction report

• Merges system status and user status into a unified

overall status

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4.11. Phase-Based Maintenance Process

A holistic phase-based process facilitates technical object maintenance.
This comprehensive phase-based procedure provides invaluable support
in managing technical objects’ maintenance. The process encompasses
the treatment of maintenance requests and orders across nine distinct
phases, as shown in Figure 4-13.

Figure 4-13. Phase-based maintenance

For both reactive maintenance and proactive maintenance order types,

additional planning, approval, preparation, scheduling, and execution
steps are executed, all reflected in supplementary system statuses.
The maintenance process accommodates the following order types.

• Reactive maintenance empowers you to conduct

maintenance on technical objects when a breakdown
or malfunction occurs. This approach minimizes asset
downtime, enhancing productivity.

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• Proactive maintenance enables preemptive measures

to avert asset failures or breakdowns. Implementing
preventive maintenance and proactive strategies
ensures optimal asset utilization and availability.
This results in improved asset performance and cost
reduction by curtailing breakdowns.

4.11.1. Phases
For both the reactive maintenance and proactive maintenance order types,
an enriched series of planning, approval, preparation, scheduling, and
execution phases occur, manifesting in supplemental system statuses.
The first phases are initiation and screening.

• Initiation phase: Maintenance requests are created

for technical objects, such as equipment or functional
locations, facilitated by the Create Maintenance
Request app. All essential data is input for screening,
processing, planning, and execution of the request.
Attachments and links can be included. Open requests
are presented for review until submission.
Prioritization is achieved by selecting from a priority
list or evaluating priority based on consequence
categories, consequences, and likelihoods. This
assessment requires maintained prioritization
profiles for a combination of maintenance plant
and notification type. Upon request submission,
the latest draft is accessible in the My Maintenance
Requests app, categorized based on processing
statuses.

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• Screening phase: Submitted maintenance requests

progress to the screening phase, where screening
and acceptance occur. Supervisors review open
maintenance requests through the Screen Maintenance
Requests App. Inadequate information can prompt the
return of the request to the initiator. Upon the provision
of necessary details, supervisors review the request
once more. The app groups maintenance requests
according to their statuses.

The next phases involve planning, approval, preparation, and

scheduling.
• Planning phase: Upon acceptance, a maintenance
request transitions into the planning phase, becoming
a maintenance notification. As a maintenance planner,
you can create and plan orders. The planning phase
includes creating orders requiring cost approval based
on configuration. Workflow steps for approval are
applicable based on the order type’s configuration.
Workflow approval can be automatic or manual, affecting
the order’s progression. Orders can be submitted for
approval through various apps. The Preparation phase
follows approval, enabling the division of maintenance
effort, resource, and material planning.
• Approval phase: Maintenance order approval involves
a flexible workflow process managed through the
Manage Workflows for Maintenance Orders app.
Workflow configuration includes step conditions,
sequences, and approvers. Workflow steps with true
conditions are executed, leading to order approval or
rejection. Approved orders can be released, progressing
to the Preparation phase.

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• Preparation phase: Orders approved for execution

enter the preparation phase, where resources, spare
parts, and services are coordinated. This phase ensures
efficient workload distribution and availability checks.
Subsequently, orders proceed to the scheduling phase.

• Scheduling phase: Orders are dispatched for

execution, signifying readiness. Resource Scheduling,
available with an additional license, can be used to
manage specific work centers. Material availability
checks can be conducted through various apps.

The final phases are execution, post-execution, and completion.

• Execution phase: In this phase, maintenance

technicians execute tasks. Preliminary (PRE) and
main (MAIN) operations are typically performed in
this phase. After task completion, the order’s status is
updated to Main Work Completed.

• Post-execution phase: Technicians conduct post-

execution tasks, such as time recording, malfunction
detail preparation, and confirmation. Supervisors
review failure data and approve orders for technical
completion, which leads to the Completion phase.

• Completion phase: This phase entails comprehensive

review, financial settlement, and eventual business
completion of the maintenance orders. This phase
concludes the maintenance process, achieving a closed
order status.

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Phase Control Codes

Phase control codes are employed to regulate phase transitions. By activating
a phase control code to block a specific phase in a maintenance order, the
phase transition is disallowed until the corresponding code is deactivated.
These codes can be activated for both order headers and operations.

4.12. Customizing Settings for a

Phase-Based Maintenance Process
This section describes the Customizing settings for a phase-based
maintenance process. Table 4-7 lists and describes IMG Settings for
Phase-Based Maintenance Process.

Table 4-7. IMG Settings for Phase-Based Maintenance Process

Field Name and Data Type Menu Path

Business Feature ABAP Platform → Application Server → Business

Management → SAP Business Feature → Activate
Business Feature
Event Prioritization - Plant Maintenance and Customer Service →
Consequences and Maintenance and Service Processing → Maintenance
Likelihoods and Service Notifications → Notification Processing
→ Response Time Monitoring → Event Prioritization
→ Define Consequences Categories, Consequences,
and Likelihoods
Event Prioritization - Plant Maintenance and Customer Service →
Prioritization Profiles Maintenance and Service Processing → Maintenance
and Service Notifications → Notification Processing
→ Response Time Monitoring → Event Prioritization
→ Define Prioritization Profiles

(continued)
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Table 4-7. (continued)

Field Name and Data Type Menu Path

Detection Methods Plant Maintenance and Customer Service →

Maintenance and Service Processing → Maintenance
and Service Notifications → Notification Creation
→ Notification Content → Additional Functions for
Notification Types → Define Detection Methods
Order Type Plant Maintenance and Customer Service →
Maintenance and Service Processing → Maintenance
and Service Orders → Functions and Settings for
Order Types → Configure Order Types
Template for the Material ABAP Platform → Application Server → System
Availability Check Administration → Activation of Scope Dependent
Application Job Catalog
Activate Event Type Plant Maintenance and Customer Service →
Linkage for Procurement Maintenance and Service Processing → Maintenance
Milestones and Service Orders → Functions and Settings for
Order Types → Procurement → Activate Event Type
Linkage for Procurement Milestones
Define Assignment Plant Maintenance and Customer Service →
Rules for Procurement Maintenance and Service Processing → Maintenance
Milestones and Service Orders → Functions and Settings for
Order Types → Procurement → Define Assignment
Rules for Procurement Milestones
Overall Status Profile Plant Maintenance and Customer Service →
Maintenance and Service Processing → Fiori Apps
for Maintenance Processing → General Settings →
Configure Overall Status Profiles

(continued)

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Table 4-7. (continued)

Field Name and Data Type Menu Path

Phases and Subphases Plant Maintenance and Customer Service →

Maintenance and Service Processing → Fiori Apps
for Maintenance Processing → General Settings →
Define Subphases and Map to Overall Statuses

4.13. SAP GUI Maintenance Process

Your organization aims to introduce asset management using SAP
S/4HANA and has chosen to collaborate with SAP GUI for the user
interface, opting for it instead of web-based UIs. You want to understand
the process of generating notifications and orders through the
conventional SAP GUI user interface.

4.13.1. Performing Maintenance Tasks

through SAP GUI
From a procedural standpoint, the sequential stages for planning and
executing maintenance tasks in SAP GUI mirror those in web-based
interfaces. However, SAP GUI transactions stand apart from web
applications not only in terms of user interface but sometimes also in
functionality.
Therefore, delving into the SAP GUI-centric process is valuable,
especially for proficient users or application consultants primarily engaged
in backend activities like master data creation or system configuration.
The following sections briefly outline the procedure for planning and
executing a maintenance task via SAP GUI, occasionally highlighting
specific functions exclusively accessible through SAP GUI.

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4.13.2. Order Hierarchies
Maintenance orders can be organized in a hierarchical structure.
Subsequent orders can be generated in relation to an existing maintenance
order using a dedicated transaction. The initial order crafted becomes the
apex node of the hierarchy and is referred to as the main order.
An order hierarchy can prove immensely useful when disparate work
centers collaborate on the same maintenance task while necessitating
separate cost considerations and processing.
To create a sub-order for an existing main order, you can employ
transaction IW36.

4.13.3. Material Planning
Within the scope of a maintenance order, you can select spare parts
directly from a 3D model utilizing the SAP 3D Visual Enterprise viewer.
This process necessitates linking the appropriate document, categorized as
document type SP.
SAP Visual Enterprise Author assigns valid material numbers to the
model’s spare parts.
When a valid SAP material number cannot be identified, it becomes
unfeasible to associate the spare part with the spare part list.
Access to the graphical representation is possible through the
Operations tab and the operation-specific details when utilizing SAP GUI
transactions within the maintenance order. In the task list, the VE-Viewer
button is accessible via the component overview, serving as a gateway to
display the visual representation of the spare parts.

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4.13.4. Visual Task Lists

Visual task lists depict sequential work processes founded on a document
featuring an animated 3D file (RH file). This sequence of operational steps
can be presented comprehensively through the Visual Enterprise Viewer
or in a step-by-step manner.
Within maintenance orders and task lists, each operation can be linked to
a visual task list (on either the operation screen or the operation-specific detail
screen). Upon successfully linking a visual task list at the operation level to the
maintenance order or task list, the task list’s content can be played and viewed.

4.13.5. Material Availability Verification

When scheduling stock materials for order operations, the system can
perform a comprehensive check to determine whether all required
materials within the maintenance order are available in sufficient
quantities. The Availability Check function fulfills this task.
Depending on the system configurations and the data entered in
material master records, the system conducts an availability check for all
materials linked to the operations in the maintenance order. The outcome of
this check is communicated to you through an automated online message.
In cases where materials are insufficiently available, the system generates an
error log containing detailed information about the check’s outcome.
Upon releasing a maintenance order, the system can execute an
availability check for planned materials, subject to your customized
settings. If the check reveals that certain planned materials lack enough,
it’s possible to proceed with order release based on your system’s settings.
The material availability list furnishes insights into the availability of
materials planned for an order.

• For non-stock items, this list informs whether the planned

goods receipt (GR) date aligns with the operation’s
earliest or latest start date. It also provides reasons for any
potential inability to meet the GR deadline.
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• In the case of stock items, the quantity is determined

and confirmed as available or unavailable through the
material availability check.

In SAP S/4HANA, an additional transaction, IW38A, is available for

performing a material availability check.

Note The list presents valid material availability data based on

available system records. It doesn’t display simulation data used for
calculating appropriate start dates.

You also have the option to mark specific order components as

irrelevant for planning. This signifies that no reservation or purchase
requisition is generated for such components.
The material availability list can be initiated within an order or from
the order list editing function. If accessed from the list editing function, the
list can be displayed at various summarization levels, including order level,
orders with operations, and material items.

4.13.6. Capacity Planning
Capacity planning within the SAP system empowers you to regulate and
supervise the capacity load across your various workshops, facilitating the
synchronization of capacity supply with demand. The maintenance work
center (workshop) defines the capacity supply in the master record, while
the planned maintenance orders serve as indicators of capacity demand.
Capacity planning encompasses the following components.

• Capacity evaluation

• Capacity leveling

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During capacity evaluation, the capacity requirements are compared

to the available capacity, which is what is accessible per working day and is
maintained within the maintenance work center.
Capacity requirement delineates the capacity demanded by orders at a
specific point in time.
Capacity leveling aims to equalize exceeded and unutilized capacities
of work centers, enabling optimal utilization of employees, machinery, and
appropriate resource selection.
In addition to capacity planning for maintenance work centers
(workshops), detailed planning at the individual level is achievable. When
planning at this level, individuals can be scheduled and organized based
on a graphical or tabular planning board, facilitated through integration
with human capital management (HCM), which provides data like
qualifications and attendance records.

4.13.7. Worker Safety
Worker safety encompasses various aspects.

• Permits

• Worker Safety (web functions)

• Integration with Risk Management System (GRC)

• Work Clearance Management (WCM)

4.13.8. Permits
Order release can also be contingent upon permits to adhere to health
and safety regulations and oversee order processing. Permits can be
automatically assigned to the order header based on predefined criteria,
determining order release timing.

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Technical permits, like welding permits, are manually assigned to

technical objects and aren’t classified. When an order is generated for the
technical object, these permits are copied to the order and can influence
release based on specific settings.
Process-oriented permits are automatically determined based on order
header attributes, such as planned costs, potentially influencing order
release. This automatic determination hinges on permit classification.

4.13.9. Work Clearance Management

Essential maintenance tasks on technical objects require implementing
safety measures before execution, ensuring a secure working environment.
These measures include lockout/tagout, fire protection, and radiation
protection.
Work Clearance Management (PM-WCM) oversees these safety
measures, ensuring safe working conditions for maintenance staff,
compliance with environmental regulations, and technical system reliability.

4.13.10. External Services
In maintenance orders, external operations are initiated by assigning
control key PM02. The description of the external service is integrated into
the order operation as a long text. Planning external services generates a
purchase requisition in the background, which the purchasing department
converts into a purchase order.
External services aren’t confirmed with time entries; instead, GR for the
purchase order serves as confirmation. The service is assigned the value
of the purchase price, entered in financial accounting. The debiting of the
maintenance order with this value is recorded in financial accounting.
Within the maintenance order, the external processing screen for each
operation indicates whether a GR has been posted for the purchase order
(PO), displaying the posted GR quantity.

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Vendor invoices typically follow deliveries, with offsetting entries

recorded in a goods receipt/invoice receipt clearing account (GR/IR
clearing account), automatically adjusted upon invoice receipt. Any
discrepancies between PO and invoice values are adjusted in order.

4.13.11. Technical Confirmation
Detailed technical findings during maintenance activities form the
basis for subsequent evaluations. These findings encompass details like
the cause of damage, executed tasks, exact damage location, machine
downtimes, and system availability.
Technical findings can be recorded in the malfunction report (if
applicable) or an activity report post-order creation. Upon completing
the maintenance notification, the system transfers data to the notification
history, containing information about each technical object’s damage,
malfunctions, causes, findings, and performed maintenance work. The
TECO status can be reversed as needed.

4.13.12. Document Flow
The document flow overviews all document types generated during order
processing, including notifications, time confirmations, goods issue/
receipt, purchase requisitions, purchase orders, quotations, service entry
sheets, and invoices.

4.13.13. Action Log
The action log chronologically documents changes to notifications, orders,
equipment, and functional locations. It offers insights into who altered
data or statuses in various fields and when. Activating change document
creation for relevant objects is a prerequisite for using this function.

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4.14. Refurbishment Maintenance Process

Your company possesses valuable components that aren’t viable for
internal repair or restoration. As a result, you intend to dispatch them
to a service company staffed by qualified experts for refurbishment.
Concurrently, you aim to maintain constant visibility into the condition
and status of these components. Hence, you need to comprehend the
external refurbishment process for spare parts, as shown in Figure 4-14.

Figure 4-14. Refurbishment process

Refurbishing valuable components encompasses the following.

• Derived from a designated inventory

• Forwarded to an external subcontractor

• Initiated by a maintenance directive

• Interlinked with Material Requirements Planning

(MRP) and procurement

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The merits of refurbishment encompass the following.

–– Enhanced identification of faulty components

–– Closer integration of Materials Management and Plant

Maintenance

–– Distinct inventory for externally processed components

–– Fusion of subcontracting with procurement

–– Inclusion of serial numbers within purchase orders

4.14.1. External Refurbishment
through Subcontracting
Subcontracting involves sending refurbishment parts to external
subcontractors with or without serial numbers. A service provider obtains
a part (also known as a rotable) from a client for upkeep or repair. Initially,
the service provider incorporates the defective part into its inventory.
Subsequently, it conducts internal repair or forwards the part to another
subcontractor for refurbishment, repair, or maintenance. Upon completion
of the work, the subcontractor returns the part to the service provider, who
then returns it to the customer.
The genesis of the external refurbishment process can be traced to the
rotables and subcontracting business process within the aerospace and
defense industry solution. Various process variations are available. From a
maintenance perspective, the external refurbishment process is activated
through a refurbishment order.
The following explains the process of subcontracting with a direct
order reference.

1. Initiation involves generating a maintenance order

with subcontracting as the target, accompanied by a
subcontracting task featuring the relevant part and
material provision indicator.

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2. The subcontracting task bears the characteristics

of an external activity (control key PM02) with a
subcontracting flag. This task leads to creating a
purchase requisition upon order saving or release.

3. The PO is formulated in the purchasing department,

referencing the purchase requisition from the
maintenance order. The PO contains the serial
number (the defective unit), any other necessary
spare parts, and a specification of the expected state
(batch) upon delivery.

4. The subcontracting monitor facilitates the creation

of a delivery associated with the PO. Following
this, a goods issue (GI) is recorded concerning
the delivery. Once the GI is logged, the defective
component is physically transferred to the service
partner. This component is stored within a distinct
inventory in the system (material provision to the
vendor), ensuring its visibility during external
refurbishment.

5. Repair is undertaken either by the service partner or

its subcontractor.

6. The GR for the refurbished component is logged

in the spare parts warehouse using a new
valuation type.

7. The refurbished component is now ready for use. A

maintenance order pertaining to subcontracting is
marked as technically complete.

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Subcontracting via MRP with Indirect Order Reference

Subcontracting facilitated by MRP is based on separate inventory
management in different storage locations. In this scenario, faulty parts are
housed in a dedicated inventory linked to their corresponding state. The
storage location for defective parts is designated as irrelevant to MRP. The
material master contains a subcontracting special procurement indicator.
When regular stock is insufficient, MRP can opt for either conventional
procurement or subcontracting.
In a subcontracting scenario, parts are sourced from the defective parts
inventory.

1. The maintenance order serves as an indirect

trigger for subcontracting. Although it lacks a
direct subcontracting task, it outlines a routine
maintenance activity associated with the spare part.

2. The reservation initiated by the maintenance order

results in stock shortfall.

3. MRP’s planning process generates a planned

order. This order can be transformed into a
purchase requisition/purchase order or an internal
refurbishment order. The planned PO features a
subcontracting item linked to the defective unit.

4. The subcontracting monitor aids in creating and

selecting a delivery for the PO. A goods issue (GI)
is then recorded for the delivery. Subsequently, the
defective component is physically transferred to
the service partner. This component remains in a
specialized inventory within the system (material
provision to the vendor), ensuring its visibility
during the external refurbishment process.

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5. The service partner or its subcontractor performs

the repair.

6. The GR for the refurbished component is registered

in the spare parts warehouse, utilizing a new
valuation type.

7. The revitalized component is now available for use.

The maintenance order related to subcontracting is
marked as technically completed.

4.15. Preventive Maintenance Process

To minimize downtime and reduce maintenance expenses, it’s imperative
to regularly inspect and uphold the technical systems within a company.
This underscores the importance of grasping the preventive maintenance
process (see Figure 4-15).

Figure 4-15. Various types of preventive maintenance

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Preventive maintenance can be classified into the following four

distinct categories.
• Time-based: Within time-based preventive
maintenance, maintenance tasks are initiated following
the passage of a specified duration. For instance, every
six months.
• Performance-based: In performance-based preventive
maintenance, maintenance tasks are initiated upon
reaching a specific performance level (counter
reading); for instance, after every 10,000 km.
• Condition-based: This type of preventive maintenance
triggers maintenance tasks when a condition deviates
from a predetermined value range. For example,
when thread depth falls below 15 mm or temperature
exceeds 85°C.
• Predictive maintenance: Also known as machine
control, it is cloud-based and real-time, utilizing
collected data to anticipate machine failures (IoT
applications). The preventive maintenance process
encompasses the planning and execution of periodic
inspection and maintenance activities.
The steps within the preventive maintenance process are outlined as
follows.
1. The task list delineates the process steps to be
executed, which can either be reliant on the specific
object or independent thereof.
2. A maintenance plan is generated for the object,
automatically generating orders, notifications, and
service entry sheets in alignment with designated
guidelines.

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3. Scheduling is responsible for regularly calling up

orders, notifications, and service entry sheets while
recalculating planned dates.
4. The maintenance order is automatically generated
by scheduling the maintenance plan and is recorded
within the order list for subsequent processing
alongside other orders.
5. Technical completion marks the order and
its corresponding planned date within the
maintenance plan as concluded. This date of
technical completion plays a role in calculating the
next planned date within the maintenance plan.
Further insights into preventive maintenance are
covered in the upcoming unit.

4.16. Inspection Checklists
Checklists find frequent utility in Plant Maintenance for executing
inspections and assessments of assets. These checklists also carry the
weight of legally binding documentation.
The inspection checklist process represents a comprehensive cycle
encompassing the creation of inspection plans, recording results, and
follow-up steps within Plant Maintenance.
Given that inspections are conducted at regular intervals, maintenance
orders are initiated based on predefined maintenance plans. The initiation
of an inspection checklist linked to a maintenance order occurs under the
following triggers.
• Classification data allocated to a technical object along
with an inspection plan
• Checklist type associated with a maintenance order
operation
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Quality Management (QM) inspection lots are established and

matched with the corresponding inspection checklists during the
inspection checklist process.
By configuring the inspection checklist process within your system,
you benefit from streamlined efforts in maintaining master data and
executing operational tasks.
To facilitate a recurring checklist process, you must regularly establish
the following master data components.

• PM Technical Object

• PM Work Center

• PM Maintenance Plan

• PM Task List

• QM Inspection Plan

Inspections are predicated on work orders, which are automatically

generated through maintenance planning. Matching the inspection plan’s
classification characteristics occurs with the technical object classification
and the maintenance order operation’s checklist type (or with business
add-ins).
• Generating object lists: Upon or after creating a Plant
Maintenance (PM) work order, an object list can be
created from the order’s header object and objects
from the maintenance plan item. Subsequently,
during inspection checklist generation, all technical
objects within the order’s object list are examined for
congruent inspection plans.

• Manual generation in maintenance order

transactions: The Generate button on the Objects
tab in transactions like IW31 or IW32 can manually
create an object list based on a reference object.

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After manually generating the object list, press the

Generation Log button to display new or removed
objects.

• Automatic generation when saving a maintenance

order: When a maintenance order is generated using
transaction IW31 and specific criteria (order type and
plant) configured for the inspection checklist process
are met, an object list is automatically created upon
order save.

• Automatic generation when scheduling a

maintenance plan: If a maintenance order originates
from a maintenance plan and relevant criteria are met,
an object list is generated automatically when the order
is saved.

• Generating inspection checklists and inspection

lots: Inspection checklists can be created manually
or automatically. To generate inspection checklists,
certain prerequisites must be met.

• An object list must be generated, and the OLGE

(object list generated) system status must be set at
the order header level.

• The classification characteristic of the inspection

plan must align with the checklist type of the
maintenance order operation.

• The inspection plan and the technical object must

share the same class name.

• During checklist generation, the system scans for

matching values of classification characteristics in
the QM inspection plan and the technical object.

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Based on the located inspection plan, new

inspection lots are formed and presented on the
Checklists tab. The inspection lot origin is set as
89 by default, with the material number of the
inspection plan transferred to the inspection lot.

• Inspection checklist results recording: Transaction

IW91 (Checklists: Result Overview) can be used to
view inspection checklist results. The results can be
displayed at different levels.

• Inspection characteristics

• Inspection lots

• Order operations

• Technical objects

The ability to include or exclude deactivated

checklists in the results list is provided, and
navigation from the results list to corresponding
display transactions is possible.

• Closing inspection checklists and maintenance

orders: Using the results list in transaction IW91,
navigation to transactions QA13 (Display Usage
Decision) and QA11 (Record Usage Decision) can
be done to view or record the usage decision for an
inspection lot. This is achieved by selecting the glasses
icon or pen icon in the Usage Decision column.

• Transaction IW93 (Checklists: Collective Usage

Decisions) enables collective usage decisions, along
with follow-up actions like creating measurement
documents.

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In closing, setting a usage decision triggers follow-up actions defined

in Customizing for the selected maintenance orders and inspection lots.

4.17. Mobile Maintenance
In SAP S/4HANA EAM, Asset Manager and Work Manager are mobile
applications designed to enhance asset management and work execution
processes. These applications enable users to perform various tasks,
inspections, and maintenance activities while being mobile, thereby
increasing efficiency and effectiveness. However, there are differences in
terms of their focus and functionalities.

4.17.1. SAP Asset Manager

SAP Asset Manager is a next-generation, asset-centric mobile application
that is tightly integrated with the SAP S/4HANA digital core and SAP
Business Technology Platform. It is available for both iOS and Android
platforms. The primary focus of SAP Asset Manager is on managing and
maintaining assets in a more efficient and streamlined manner. It offers
features that allow users to do the following.
• View and manage technical objects/assets

• Perform inspections, readings, and measurements

related to assets

• Create and manage work orders for maintenance,

repairs, and service tasks

• Handle notifications for unexpected events or issues

related to assets

• Record time spent on different tasks

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• Manage spare parts and components needed for

maintenance tasks

• Utilize maps for geolocation and tracking

• Access and view relevant documents and attachments

SAP Asset Manager provides a user-friendly interface with integration

to native device features, offering a holistic solution for managing assets,
maintenance, and related processes on the go.
The following are the prerequisites to implement SAP Asset Manager.

• SAP S/4HANA on-premises 1610 FPS01 or higher

• Implementation of SAP S/4HANA Asset Management

• SAP Business Technology Platform

• macOS development environment

• iPads for deployment of the mobile app

4.17.2. SAP Work Manager

SAP Work Manager is an application for mobile asset management that
evolved from the former Syclo Work Manager. It is also available for both
on-premise and cloud editions. While SAP Asset Manager focuses on a
broader range of asset-related activities, SAP Work Manager specifically
targets work order management and execution. Users can utilize SAP Work
Manager to do the following.
• Receive, manage, and execute work orders
• View detailed task lists and instructions for work orders
• Capture time and labor details
• Record completed tasks and update task statuses
• Request and manage spare parts and materials for
work orders
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• Access relevant documents and attachments for work orders

• Perform follow-up actions on work orders

4.17.3. Key Differences
The main difference between SAP Asset Manager and SAP Work Manager
lies in their focus and scope of functionality.

• SAP Asset Manager offers a broader range of

capabilities, encompassing asset management,
inspections, readings, maintenance, notifications, and
more. It’s suitable for users who need to manage various
aspects of assets beyond just executing work orders.

• SAP Work Manager is more narrowly focused on work

order management and execution. It caters specifically
to users responsible for carrying out tasks and
activities outlined in work orders, such as maintenance
technicians, field workers, and service personnel.

In essence, while SAP Asset Manager covers a wider array of asset-

related activities, SAP Work Manager specifically addresses the needs of
workers involved in executing work orders and related tasks. Organizations
can choose the application that best aligns with their specific requirements
and the roles of their mobile workforce.

4.18. Summary
This chapter explored various maintenance processes within SAP
S/4HANA EAM. You gained an overview of the standard maintenance
process, which establishes a fundamental framework for maintenance
activities, and insight into a simplified maintenance process, offering
streamlined approaches for swift task execution.

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The phase-based maintenance process was introduced, illustrating

how tasks are segmented into phases, aligning with the specific needs of
each project phase. Transitioning to the SAP GUI maintenance process,
the integration of graphical user interfaces was examined, enhancing user
experience.
Next, the refurbishment maintenance process was covered,
showcasing the process of rejuvenating valuable components through
external services and you learned about the significance of preventive
maintenance process, elucidating strategies to anticipate and manage
asset issues proactively.
The chapter progressed to explore inspection checklists, highlighting
how these comprehensive lists streamline inspection and recording
activities. Concluding the chapter, the integration of was unveiled,
enabling on-the-go task execution and data management through
dedicated mobile applications. Collectively, these diverse processes
cater to a spectrum of maintenance needs within SAP S/4HANA EAM,
optimizing efficiency and effectiveness.

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Preventive
Maintenance
This chapter delves into the essential aspects of keeping your assets in top-
notch condition while harnessing the power of SAP S/4HANA. We explore
a range of functionalities that cover everything you need to know.
The following are some of the key topics covered in this chapter.

• Preventive maintenance

• Master data

• Single-cycle maintenance plan

• Planning regular external service procurement

• Maintenance planning with a time-based strategy

• Maintenance planning with a performance-based
strategy

• Maintenance planning with cycles of different

dimensions

• User interfaces

© Rajesh Ojha and Chandan Mohan Jaiswal 2023 203

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https://doi.org/10.1007/978-1-4842-9870-1_5
Chapter 5 Preventive Maintenance

5.1. What Is Preventive Maintenance?

Preventive maintenance, or proactive maintenance, is a way of taking
care of things before they break or stop working. It involves doing regular
checks and minor repairs to keep things running smoothly and avoid
bigger problems later on. Just like getting regular check-ups at the doctor
helps keep you healthy, preventive maintenance helps keep machines,
equipment, and facilities in good shape and prevents unexpected
breakdowns.
All planned maintenance (preventive / proactive maintenance) can be
grouped into the four types shown in Figure 5-1.

Figure 5-1. Different ways to schedule preventive maintenance

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• Time-based maintenance: Maintenance tasks are

scheduled at specific time intervals; for example, the
air filter is replaced every three months.

• Performance-based maintenance: Maintenance tasks

are scheduled when a specific number of operating
hours or a certain reading is reached; for example,
the oil should be replaced after 500 hours of engine
running.

• Condition-based maintenance: Maintenance tasks

are scheduled when the asset’s or its parts’ condition
is outside the acceptable value range; for example,
replacing a vehicle’s battery is performed when the
power level is below 25%.

• Predictive maintenance: Maintenance tasks are

scheduled when real-time condition data of the asset or
its parts signals a possibility of part failure; for example,
if a machine’s oil flow pressure sensor reading is very
high, it indicates that the oil filter is clogged.

S/4HANA Asset Management includes detailed preventive

maintenance functionalities that help companies care for their machines,
equipment, and facilities. The functionalities help them schedule regular
inspections, servicing, cleanings, and minor repairs. This way, they can
avoid unexpected breakdowns that could disrupt their work and cost a
lot to fix.

5.2. Master Data
Master data is akin to the foundation of a software application. It
constitutes the fundamental information that a software application, such
as SAP S/4HANA, employs to interact with business process data. Envision

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it as the crucial details regarding entities such as equipment, materials,

customers, vendors, and more. For instance, if you’re utilizing S/4HANA
to oversee a manufacturing factory, the master data would encompass
information about all the machines, their specifications, their locations, a
list of tasks to be performed, and other indispensable particulars.

5.2.1. Maintenance Task List

The maintenance task list is among the most crucial master data sets
for conducting planned maintenance and repair activities, including
preventive maintenance, periodic maintenance, regular checks,
and inspections. For example, as preventive maintenance, a specific
maintenance job must be performed for all piston pumps at a regular
frequency. This job consists of operations and replacement parts from
wear and tear if needed (e.g., disconnection from the electrical power
supply, closing incoming fluid to the pump, visual inspection for leakage,
seal replacement, etc.).
This section delves into intricate details about the various types
of maintenance task lists, their utilization in maintenance orders, the
planning of routine inspections, and important customization settings.

Types of Task Lists

In S/4HANA Asset Management, there are three types of maintenance
task lists.

• An equipment task list (E) is created for a specific

piece of technical object. This task list is assigned to a
particular equipment master, such as the task list for
half-yearly servicing of an equipment master number
200000235.

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• A functional location task list (T) is also created for

a specific piece of technical object. This task list is
assigned to a particular functional location master,
such as the task list for a yearly overhaul of the engine
assembly line represented as functional location
master number 1000-EA-AL01.

• A general maintenance task list (A) is not linked to

any specific technical object, such as an equipment
master or functional location. It is created to be used
for a group of technical objects which have similar
technical characteristics. For example, a task list for
quarterly preventive maintenance of a particular make
of piston pumps with the same technical specifications.

Any of the task list types can be used for planned maintenance (e.g.,
preventive maintenance, routine inspection) and unplanned maintenance
(corrective maintenance, breakdown maintenance).
Maintenance task lists are organized into clusters known as task list
groups. Each task list group comprises maintenance task lists sharing
identical or akin maintenance steps. The task lists in a task list group are
recognized by the group counter, which sequentially labels the task lists
within that specific group (see Figure 5-2).

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Figure 5-2. Organization of maintenance task list in group counter

Based on task list type, task list groups are either technical object-
based (see Table 5-1) (functional location and equipment master task lists)
or object-independent (see Table 5-2) (general maintenance task lists).

Table 5-1. Equipment Task List Group

Task List Group Technical Object Task List Description
Counter

3003 Equipment–200000235 1 3-month general service

3003 Equipment–200000235 2 6-month air filter
replacement

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Table 5-2. General Maintenance Task List Group

Task List Group Task List Counter Description

PUMP_PISTON01 1 Task list for pump general service

PUMP_PISTON01 2 Task list for pump piston
replacement
PUMP_PISTON01 3 Task list for pump replacement

All the maintenance task lists within a group are managed as a single
unit. Therefore, SAP suggests dividing your maintenance task lists into
several smaller groups to streamline processing. This reduces the data
volume that the system needs to handle when accessing a task list group,
leading to shorter system response times.

Structure of Maintenance Task List

In general, data within a maintenance task list is divided into two sections
called task list general data (referred to as header data in the SAP GUI user
interface) and task list operation data. The header section data applies to
the entire task list, whereas operation data is specific to each operation in
the task list (see Figure 5-3).

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Figure 5-3. Important data in header level and operation level of a

task list

The following are important pieces of information maintained at

general data level.

• Plant

• Maintenance work center

• Planner group

• Maintenance strategy

• Assembly

• Quality management data

• Status

The following are some important data maintained at the

operational level.

• Operation number

• Operation short description

• Maintenance work center

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• Components required

• Production resource tool (PRT)

• Service packages

• Maintenance packages

Profile for Managing Task List

Specific fields in different maintenance task lists such as operation
number and unit of duration typically contain the same data or
information. To facilitate the user, this data can be defaulted during
the creation of maintenance task lists using profile functionality. A
profile holds standardized information needed in identical or similar
combinations while processing maintenance task lists. Profile is defined in
customization.
At the time of maintenance task list creation, you can select the
previously defined profile, which contains the required data, on the initial
screen. This data is automatically populated in the new maintenance task
list. Users can overwrite the populated data at any time. Users can even
default a particular profile ID (in case there are more than one profiles
created) by using the User Parameter ID–PIN and the specific profile ID in
the SAP user master data.

Operation Control Key

The control key functionality defines if an operation is processed internally
(using a maintenance work center) or externally (using an external vendor)
(see Figure 5-4). The control key also defines a few other processing
behaviors of an operation, such as if the operation should be scheduled,
relevant for costing, operation required to be confirmed, and printing
allowed. Control keys are defined in customization.

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Figure 5-4. Task list operation’s control keys

Adding Component in Maintenance Task List

In maintenance task lists, you can allocate material components to
operations. These materials can be located and obtained from the bill
of materials (BOM) associated with the technical object (equipment,
functional location, or assembly) assigned to the task list. In this scenario,
the BOM directly matches the content of the structure list.
Additionally, you can allocate stock materials, even if they aren’t
included in the technical object’s BOM, directly to the operations
within the maintenance task list. This is referred to as a “free material
assignment.” To accomplish this, you use the material number for the
assignment. To perform a free material assignment, you need to define
a BOM usage (typically in Asset Management) within the Customizing
settings. When you opt for a free assignment, the system generates an
internal BOM, which cannot be manipulated through the application. The

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material components that are assigned to the operations of the task list
are copied into the maintenance order when the maintenance task list is
transferred into the maintenance order.

Adding Component in General Maintenance Task List

To include material components in a general maintenance task list, you
must begin by assigning an assembly (material master number of the
assembly) in the header section of the general maintenance task list.
It is possible to append components from the assembly’s BOM to the
operations within the general maintenance task list (see Figure 5-5).
Additionally, you can incorporate material components from the common
list of materials.
If you intend to modify or remove the assembly from the header
section of the general maintenance task list, you can only do so after you
have deleted component assignment from the operations.

Figure 5-5. Adding components in general maintenance task list

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 dding Component in Equipment Task List

A
and Functional Location Task List
You can add material components in the equipment task list from the
BOM for the equipment master and in the functional location task list
from the BOM for the functional location. The material components
you wish to allocate to a task list for equipment or functional location
do not necessarily need to be present in the relevant BOM at the time
of assignment. It is also possible to assign stock materials without
restrictions. The system does not automatically include the freely assigned
material in the BOM. The original form of the initial BOM is maintained,
allowing you to access it whenever needed.
For the unrestricted allocation of materials in maintenance task lists,
the system administrator needs to define a BOM usage for maintenance
related BOMs (e.g., usage 4 in the SAP standard system) in the customizing
configuration for maintenance task lists. After material has been freely
assigned, avoid altering the designated usage, as modifying it could result
in the potential loss of existing free material assignments.

 dding External Service Package to Maintenance

A
Task List
For externally processed operations in task list, service packages (service
master) can be assigned to the operation in the maintenance task list. A
service package can be assigned to those operations as well which need
to be processed internally in intercompany process. Service masters are
created and maintained in Materials Management application. You have
the option to assign service packages to the operation by either inputting
a specific service number or choosing one or multiple services from the
standard or model service specifications.

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Apart from employing service packages, services can also be manually

added within the service specifications for the operation. Nonetheless,
all particulars, including price, unit of measure, and description, must be
input manually.

5.2.2. Creating Maintenance Order

with a Task List
General maintenance task lists are utilized in maintenance plans to facilitate
the automatic copying of task lists into preventive maintenance orders and
regular inspection orders. This copying occurs when orders are generated
from these maintenance plans. Nevertheless, task lists can also be manually
chosen during the manual creation of a maintenance order. For instance,
if a user intends to execute ad hoc preventive maintenance for equipment
lacking a maintenance plan, and a general maintenance task list applicable
to comparable equipment types exists, it can be selected (see Figure 5-6).

Figure 5-6. Selecting the maintenance task list manually during the
creation of a maintenance order

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5.2.3. Task List for Inspection Rounds

Inspection planning comprises similar repetitive inspections and tasks
for many different technical objects. Users refer to their shop papers
to perform inspection activities for specific technical objects. After
completing the inspection activity, the maintenance technician confirms
the manhours utilized and creates measurement documents in the system
(see Figure 5-7). To set up inspection rounds, PRTs are required to be
assigned as measuring points in the task list.

Figure 5-7. Inspection round process flow

The enhancement has been applied to the procedure for confirming

overall completion. When conducting an overall completion confirmation
at the conclusion of an inspection round, it is now possible to directly
generate a notification from a technical object linked to an operation.
Additionally, modifications can be made to an existing notification
associated with a technical object.
You must activate the LOG_EAM_CI_3 and LOG_EAM_CI_4 business
functions to have the full functionality of inspection rounds.

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5.2.4. SAP GUI-Based (User Interface) Functions

This section details few of the important functionalities available from SAP
GUI user interface.

Where-Used Lists
For the efficient planning of resources such as work centers, materials,
and PRTs, for maintenance and repair work, the maintenance planner
can utilize the “Where-Used Lists” report. This report allows the viewing
of all maintenance task lists containing specific resources. For instance,
if a material component becomes unavailable from a supplier and a
replacement with an alternative component from task list operations
where the discontinued material was assigned is needed, this report
facilitates the process. Through this report, it becomes possible to
substitute existing work centers and PRTs with alternative ones that are
assigned to task lists.

Object Overview
Using the object overview report, you can display different objects that can
be assigned to a maintenance task list. You can customize the list of objects
to be displayed in the report. The report displays the following objects.

• Material

• Service package

• Object dependency

• Maintenance package

• Inspection characteristics

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Action Log for Task Lists

Action log functionality records changes to maintenance task lists. The
change log captures information such as who has made change, which
field, old and new data and when the change happened.

5.2.5. Customizing Maintenance Task Lists

The following lists important objects that can be customized.

• Maintenance planner group

• Number ranges

• Profile for defaulting values in a task list

• Control key for operation

• Presetting for free assignment of material

• Presetting for multi-level list display

• Order type presetting for task lists

From the SAP Easy Access menu, navigate to Tools → Customizing.

Double-click IMG → SPRO–Execute Project. Click the SAP Reference
IMG button.
Table 5-3 lists important configuration paths related to plant.

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Table 5-3. Customizing Maintenance Task Lists

Configuration Step Configuration Path

Configure Planner Plant Maintenance and Customer Service → Maintenance

Group Plans, Work Centers, Task Lists and PRTs → Task Lists →
General Data → Configure Planner Group
Define Number Ranges Plant Maintenance and Customer Service → Maintenance
Plans, Work Centers, Task Lists and PRTs → Task Lists
→ Control Data → Define Number Ranges for General
Maintenance Task Lists
Define Profile with Plant Maintenance and Customer Service → Maintenance
Default Values Plans, Work Centers, Task Lists and PRTs → Task Lists →
Control Data → Define Profiles with Default Values
Maintain Control Keys Plant Maintenance and Customer Service → Maintenance
Plans, Work Centers, Task Lists and PRTs → Task Lists →
Operation Data → Maintain Control Keys
Presetting for free Plant Maintenance and Customer Service → Maintenance
assignment of Material Plans, Work Centers, Task Lists and PRTs → Task Lists →
Control Data → Define Presetting for Free Assignment of
Material
Presetting for multi- Plant Maintenance and Customer Service → Maintenance
level list display (object Plans, Work Centers, Task Lists and PRTs → Task Lists →
overview) Presetting for List Display of Multi-Level Task Lists
Order Type Presettings Plant Maintenance and Customer Service → Maintenance
for Task Lists and Service Processing → Maintenance and Service Orders
→ Functions and Settings for Order Types → Default Values
for Task List Data and Profile Assignments

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5.3. Single-Cycle Maintenance Plan

S/4HANA Asset Management comes with detailed preventive maintenance
functionalities, which help companies take care of their machines,
equipment, and facilities. It helps them schedule regular inspections,
servicing, cleanings, and minor repairs.

5.3.1. Maintenance Plan
The maintenance plan serves the purpose of planning, scheduling,
and creating call objects for technical objects, such as equipment and
functional locations, for designated dates. These call objects encompass
maintenance notifications, orders, and service entry sheets (see
Figure 5-8). Additionally, the option exists to generate maintenance
notifications and orders simultaneously from the maintenance plan.
For example, for a three-month general servicing of air-conditioning, a
job order must be created automatically regularly.

Figure 5-8. Maintenance plan and types of call objects

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A maintenance plan can be scheduled according to duration or

performance value. For instance, an air conditioner might require
servicing every three months, while a car may need maintenance
every 5000 kilometers. To meet these needs, users must generate
two maintenance plans: one based on time and another based on
performance.
Further, a maintenance plan can be scheduled based on a single cycle,
multiple cycles (strategy based) or cycles of different dimensions (the
multiple counter plan).

Single-Cycle Plan
In a single cycle maintenance plan, one schedule (one frequency) is
adhered to for producing call objects like maintenance orders. Each
time, identical operations and components are entered within the
maintenance order.

Strategy Based
A strategy-based maintenance plan follows more than one schedule
(multiple frequencies) to generate call objects such as maintenance orders.
Maintenance orders generated for different schedules may contain varying
operations and components. For example, servicing an air conditioner
every three months requires inspection and cleaning, whereas servicing
it every twelve months may necessitate the replacement of filters or gas
refilling.

Multiple Counter Plan

A plan with multiple counters is scheduled using cycles of various
dimensions (see Figure 5-9). This plan generates call objects, such as
maintenance orders, when any single cycle reaches the designated limit or
all cycles simultaneously hit the limit. For instance, a car needs servicing

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every six months or after covering 9000 kilometers, whichever occurs

first. Conversely, a bus requires servicing when it accumulates 15,000
kilometers, and has been six months since its last maintenance.

Figure 5-9. Time-based and performance-based scheduling options

for maintenance plan

Structure of a Maintenance Plan

A maintenance plan consists of mainly two sections of data: maintenance
plan header data and item data.
Information in the header data area applies to the entire maintenance
plan. The following lists various data maintained at the header level.

• Maintenance plan number

• Maintenance plan text

• Cycle data: cycles, measurement units

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• Scheduling parameters: call horizons, scheduling

periods, tolerance

• Additional data: category, key date

Information in the item data area applies to a specific item (such

as particular equipment or functional location) (see Figure 5-10). The
following are various data maintained at the item level.

• Maintenance item number

• Technical object: equipment or functional location

• Planning data: Planning plant, call object type, planner

group, task list

A maintenance plan can consist of several items (such as multiple

equipment or functional locations). A separate call object (order,
notification, or service entry sheet) is created for each item.
As an example, within a maintenance plan, diverse components of a
water pump need to be managed. You can establish a maintenance item
for the pump unit, a separate item for the electric motor, and a third one
for the pump gears. Each maintenance item is linked to its individual task
list. All these items fall under the umbrella of a single maintenance plan
and share identical timings (scheduling data).

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Figure 5-10. Structure of a maintenance plan

5.3.2. Maintenance Plan Setup for Generating

a Maintenance Order
For internal planned maintenance (including preventive maintenance
and routine inspections) of a technical object, maintenance orders
are produced from the maintenance plan based on the frequency
recommended by the manufacturer or the organization’s maintenance
procedure. The maintenance plan automatically generates these orders
(see Figure 5-11).
Within the item data section of the maintenance plan, users can
input the technical object (equipment or functional location) and the
maintenance order type under which the order is generated. By selecting
the Do Not Release Immediately checkbox, the maintenance order is
not immediately released upon creation from the maintenance plan,
even if the Release Immediately checkbox is set in customization for the
order type.

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Within the item data section of the maintenance plan, the task list
is allocated. This task list encompasses the operations to be carried out
and components to be replaced for the technical object. If there is no
appropriate task list accessible for the technical objects, users have the
option to directly create a new task list (general maintenance/equipment/
functional location task list) from the maintenance plan. When no task list
has been assigned in the maintenance item section of the maintenance
plan, the system duplicates the maintenance plan text and uses it as the
description for the first operation in the generated maintenance order.

Figure 5-11. Maintenance plan and autogenerated

maintenance order

5.3.3. Scheduling a Single-Cycle Plan

Once a maintenance plan is created, it is activated through the scheduling
features of preventive maintenance. Maintenance plan scheduling is
employed to produce call objects (maintenance orders/notifications)
punctually.

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The existing transaction code, IP30, has been employed to manage the
scheduling of maintenance plans. Since processing all maintenance plans
in IP30 can be time-consuming, different selection parameters are utilized
to reduce the volume of maintenance plans during the scheduling process.
However, as time progresses, new safety and legal regulations recommend
timely creation of all call objects. Introducing the new transaction code,
IP30H, now enables scheduling of all maintenance plans within a specified
timeframe at once. When using transaction code IP30H, there is no need
to input selection parameter values, as the system internally carries out
preselection based on factors like maintenance strategies, dates, and
counter readings. This ensures that the system incorporates only the
due maintenance plans, eliminating the possibility of missing any call
objects. With IP30H, the system selects a significantly smaller number of
maintenance plans, leading to improved response times.

Scheduling Options
The following describes the scheduling options.

• Start: The Start option is for the first-time scheduling of

a maintenance plan (see Figure 5-12). If during creation
of the maintenance plan, start date was entered in the
scheduling parameters section of the maintenance
plan then the date is proposed during starting the
scheduling else, user is required to enter start date.

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Figure 5-12. Scheduling options in single-cycle plan

• Restart: If the incorrect start date is mistakenly chosen

or there have been alterations to the framework
conditions, it’s possible to schedule the maintenance
plan anew. Any existing scheduled plan dates that are
pending can be deleted. Deleting these pending plan
dates does not impact calls that have already been
executed.

• Schedule: It computes fresh planned dates and call

dates, and (when relevant) triggers the subsequent
maintenance order. Scheduling can be carried out
on an individual plan basis manually, or collectively
through online deadline monitoring or a system
job. The method of collective scheduling is the most
frequently employed.

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• Manual Call: If you wish to schedule a maintenance

plan, call for a specific date, you have the option to do
so manually. You can use a manual call to include extra
dates without disrupting the regular scheduling. To
achieve this, indicate a new call date. For example, you
want to perform ad hoc servicing on your car during
the rainy season.

• Deactivate: This feature allows you to temporarily

restrict maintenance plans for a specific duration.
Subsequently, the system assigns the status INAK to
the maintenance plan. This status prevents scheduling,
and any pending planned scheduled dates are marked
as blocked. Initiating maintenance calls is not feasible
in this state. You can deactivate a maintenance plan
in both the Change and Scheduling modes. The
reactivation of blocked maintenance plans is possible
whenever needed. For example, equipment has been
sent to an external vendor for a major overhaul. During
the period when the equipment is unavailable, the
maintenance plan needs to be deactivated to cease the
generation of maintenance orders.

Planned Date and Cycle Start Date

In the single-cycle plan, a value for the cycle (such as three months or one
year) is assigned. The cycle value is intended for defining the frequency
(interval period) for the planned dates. Call objects (orders/notifications)
are generated based on the planned dates and the call horizon maintained
in the scheduling parameters area of the maintenance plan. The call date
(the order creation date) is typically set before the planned date, allowing
enough buffer time for maintenance work planning, such as arranging
external services or procuring non-stock materials.

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The cycle start specifies the date at which the calculation of the
planned dates should commence (see Figure 5-13).

Figure 5-13. Cycle start date, call date, and planned date

Call Horizon
The call horizon is an important scheduling parameter used to calculate
the call date, which is when a maintenance order, notification, or service
entry sheet is created before the planned or actual execution date. The
precise management of order generation allows you to plan the order
ahead of the order execution date. Consequently, tasks that must be
executed and finished on time can be achieved on the intended date. In a
performance-based maintenance plan, it is recommended to always use
the call horizon.

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Call horizon is maintained as a percentage of the total cycle value. A

100% call horizon means that the call object is created on the planned
date. 0% call horizon means that the call object is created on the date when
the maintenance plan is started (see Table 5-4).

Table 5-4. Call Horizon Calculation Example

Cycle Length Call Call Date (order generation Planned Date
Horizon date) (execution date)

6 months (180 days) Blank Immediate (0% of 180 days) after 180 days
6 months (180 days) 90% after 162 days (90% of after 180 days
180 days)
6 months (180 days) 100% after 180 days (100% of after 180 days
180 days)

You can maintain the call horizon in various objects of the preventive
maintenance application, such as in a single-cycle plan, maintenance
strategy, and strategy plan. Changes in the call horizon maintained within
the maintenance strategy does not have a retrospective impact on existing
maintenance plans using the maintenance strategy. The changed value is
proposed in all maintenance plans created after the call horizon change.
When the LOG_EAM_CI_6 business function is activated, the call
horizon value can be entered as days. You can maintain call horizon in
percentage, number of calendar days or number of working days. The call
horizon determines the timing for generating a maintenance call object,
such as a maintenance order. It indicates the duration required between
the order creation date and the upcoming planned maintenance date
Should you indicate a percentage, the system compute the timing for the
maintenance call using this specified percentage of the maintenance cycle.

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If you opt for days (DAY), the system produces the maintenance
call objects a specific count of days prior to the planned date. During
the scheduling of the maintenance call, the system does not consider
weekends, holidays, or any vacation shutdowns your company might have.
If a factory calendar is entered in the header section of the
maintenance plan, the system uses the calendar for calculating dates
during scheduling. In the case where a factory calendar is not maintained
at the header level, the system retrieve the factory calendar of the planning
plant that is maintained at the item level of the maintenance plan. For each
item in the plan, the system calculates the earliest available working day as
the planned maintenance day.
The call horizon functionality is not applicable for a multiple counter
plan. In the scheduling parameters section of a multiple counter plan,
you can enter a preliminary buffer in the number of days, which indicates
how many days before the planned maintenance date the order should be
created.

Scheduling Period
The scheduling period is one of the control values for the scheduling
process maintained in the maintenance plan. It indicates the future time
period (such as one year or 18 months) for which planned dates should be
calculated in advance during the scheduling of a maintenance plan. It can
be used for both time-based and performance-based maintenance plans.

Shift Factors and Completion Requirement

The shift factor provides the option to advance or delay the next planned
maintenance date. If the last planned maintenance work has been
completed earlier or with some delay compared to the actual planned
date, you can use a shift factor value of 100% to move the next planned
date by an equal number of days based on the early or late completion.

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If the checkbox for completion requirement is marked in the

scheduling parameters section of the maintenance plan, then the next call
object (notification or maintenance order or service entry sheet) is only
generated after the last call object has been completed.
With the activation of the completion requirement, the subsequent
order is generated only after the technical completion of the preceding
order (see Figure 5-14). The creation of the next notification is dependent
on the completion of the preceding one, in the case of a call object being a
notification. The subsequent service entry sheet is generated only after the
acceptance of the preceding service entry sheet, in the scenario where the
call object is a service entry sheet.

Figure 5-14. effect of shift factor and completion requirement

5.3.4. Creating and Scheduling a Single-Cycle

Plan with Notification
Similar to generating maintenance orders, a maintenance plan can be
set up to create maintenance notifications on a regular basis, based on
the frequency recommended by the manufacturer or the organization’s

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maintenance procedure (see Figure 5-15). These notifications are

automatically generated from the maintenance plan. For example,
sometimes regular maintenance involves only routine inspection of
equipment and doesn’t require considerable manpower or component
changes. Therefore, for such routine inspections, maintenance
notifications can be used instead of maintenance orders. If any damage
or malfunction is noticed during inspection, the user can create a
maintenance order with reference to the notification.
When a maintenance plan is created, the user needs to select the call
object as a Notification for the Maintenance Plan category.

Figure 5-15. Maintenance planning for notification generation

5.3.5. SAP GUI-Based (User Interface) Functions

for Single-cycle Plans
This section details a few of the important functionalities available in the
SAP GUI user interface for a single-cycle plan.

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Various transaction codes are available to create maintenance plan in

SAP GUI user interface.

• IP41: Create a single-cycle plan

• IP42: Create a strategy plan

• IP43: Create a multiple counter plan

Transaction code IP30 (deadline monitoring) schedules maintenance

plans (see Figure 5-16). Multiple maintenance plans can be scheduled
together by creating a selection variant and assigning it to each of the
maintenance plans. You can define a time period in the Interval for Call
Objects field to control the planned waiting dates converted to call objects
during execution. Normally, IP30 is executed in the background using
a scheduled job that utilizes the IP30 (RISTRA20) ABAP program. The
following are scheduling functionalities available in IP30.

• Immediate start for all

• Rescheduling

• Creating call objects

Transaction code IP30H, successor of IP30, is HANA-based. The new

transaction code now enables scheduling of all maintenance plans within
a specified timeframe at once. When using transaction code IP30H, there
is no need to input selection parameter values, as the system internally
carries out preselection based on factors like maintenance strategies,
dates, and counter readings. This ensures that the system incorporates
only the due maintenance plans, eliminating the possibility of missing any
call objects. With IP30H, the system selects a significantly smaller number
of maintenance plans, leading to improved response times.
The prerequisite to using IP30H is to activate the LOG_EAM_MPSI
business function, maintenance plan scheduling, using preselection 1.
Reversal of the business function is also possible.

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Figure 5-16. Maintenance plan scheduling overview report

• Maintenance plan costing: You can utilize the cost

estimate to calculate the maintenance expenses within
a designated timeframe.

• General costing: With general costing, you can

compute the maintenance expenses for either a single
maintenance plan or multiple plans.

• Object-related cost estimate: You have the option to

derive the maintenance expenses for a technical object
over a defined duration. In both maintenance plan
general costing scenarios, the cost estimation takes into
account active maintenance dates within the specified
period, excluding waiting planned dates and skipped
call dates. If the specified period extends beyond the
last active date, the system simulates the relevant dates.

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Work time and material are allocated values based on

the rates and prices that are applicable at the time of
creating the cost estimate. Varied rates, such as those
for future posting periods (e.g., internal service rates),
are not taken into account.

• Change document for maintenance plan scheduling:

Change records can be generated when alterations
are made to fields within the maintenance plan or its
items, or when adjustments are made to maintenance
calls. To enable the creation of change documents, you
must activate this feature within the maintenance plan
category’s customization settings.

• Work list for notification call object: When

maintenance activities for a technical system are
carried out through an order, encompassing system
components with varying maintenance cycles, a
work list of requests (notifications) can be employed.
The distinct maintenance plans generate requests
for each corresponding part of the system. At a
specified time, all requests pertaining to the technical
system are consolidated and transformed into an
order. Subsequently, the task lists from the relevant
maintenance item are duplicated into the order.

The task’s target entity is evident for each operation

outlined in the order. Typically, the order’s reference
object is the higher-level technical system (e.g., the
functional location), against which the order expenses
are allocated.

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5.3.6. Customizing Maintenance Plan

The following describes important customizable objects in a
maintenance plan.

• Maintenance plan category: This category is

used to determine the type of call objects for the
maintenance plan.

• Set pop-up with completion date: To provide

an option to enter two dates while completing a
maintenance order: one for entering the completion
date and another for entering the reference date.

• Number ranges: Number ranges for maintenance

items and plans.

• Sort field: The sort field is used for grouping multiple

maintenance plans so that all plans can be scheduled
in one attempt.

• Default order type for maintenance item: This allows

you to get a default order type during maintenance
plan creation.
• Adjust order type for immediate release: Provide the
option to release the maintenance order immediately
at the time of creation from the maintenance plan.

From the SAP Easy Access menu, navigate to Tools → Customizing.

Double-click IMG → SPRO–Execute Project. Click the SAP Reference
IMG button.

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Table 5-5 lists important configuration paths related to plant.

Table 5-5. Customizing Maintenance Plan

Configuration Step Configuration Path

Maintenance plan Plant Maintenance and Customer Service → Maintenance

category. Plans, Work Centers, Task Lists, and PRTs → Maintenance
Plans → Set Maintenance Plan Categories
Set the completion date Plant Maintenance and Customer Service → Maintenance
in the pop-up. Plans, Work Centers, Task Lists and PRTs → Maintenance
Plans → Set Maintenance Plan Categories.Mark
Completion Date checkbox
Assign number ranges Plant Maintenance and Customer Service → Maintenance
for maintenance plans Plans, Work Centers, Task Lists and PRTs → Maintenance
and maintenance items. Plans →1. Define Number Ranges for Maintenance
Plans2. Define Number Ranges for Maintenance Items
Define the Sort field. Plant Maintenance and Customer Service → Maintenance
Plans, Work Centers, Task Lists and PRTs → Maintenance
Plans → Define Sort Fields for Maintenance Plan
Assign a default Plant Maintenance and Customer Service → Maintenance
order type for the and Service Processing → Maintenance and Service
maintenance item. Orders → Functions and Settings for Order Types →
Define Default Order Types for Maintenance Items
Adjust the order type Plant Maintenance and Customer Service → Maintenance
(Release Immediately). and Service Processing → Maintenance and
Service Orders → Functions and Settings for Order
Types → Configure Order Types.

In the order type definition screen, mark the Release

Immediately checkbox.

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5.4. Planning Regular External

Service Procurement
For the routine maintenance of a technical object carried out by an
external vendor, the preventive maintenance aspect of S/4HANA Asset
Management provides the ability to create a service entry sheet according
to the necessary frequency. These service entry sheets act as notifications
to remind about the upcoming regular servicing of a technical object. After
the technical object’s servicing is completed, the user needs to process
the service entry sheet so that the service cost is allocated to the linked
maintenance order.
For example, a two-year service package has been procured from the
car manufacturer for a car. According to this service contract, the car needs
to be sent for servicing every three months. A maintenance plan has been
setup and scheduled to generate a service entry sheet every three months
throughout the two-year duration.
The following is the process flow for maintenance plan–based service
procurement (also see Figure 5-17).

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Figure 5-17. Process flow for maintenance plan-based service

procurement

1. Create a framework order. Like any other

procurement process, a framework purchase order
(category–FO) needs to be created for service
procurement in The Materials Management
application of S/4HANA. Vendor and value limits
need to be maintained. Service specifications are
not required.

2. Create a maintenance order for settlement. For

absorbing the cost of regular service from external
vendor, a maintenance order needs to be created
which is used for cost collection and cost settlement.

3. Create a maintenance plan. Setting up a

maintenance plan to have service entry sheets
generated regularly based on the necessary
frequency. The maintenance plan with category

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MM is created with a reference to the framework

purchase order and maintenance order for
settlement (see Figure 5-18).

A G/L account must be maintained in the plan,

which is used for posting the cost of services for
financial accounting. In controlling, the cost is
updated using the settlement order. Entering service
specifications is optional for the performed service.
Services from various purchasing documents
(such as quotations, purchase requisitions, normal
purchase orders, and contracts) can also be entered
manually, or a service master record can be
maintained.

Pricing is calculated using condition records

maintained at various levels: service master record,
vendor and service master record, or plant, as well
as vendor and service master record.

4. Scheduling the maintenance plan for service

entry sheet generation. The maintenance plan is
scheduled to calculate a planned date when the
service is due. When the planned date is reached, a
service entry sheet is automatically created for the
framework purchase order.

5. Enter services. Process the service entry sheet

after the completion of regular service. The service
entry sheet is updated for the framework order in
the event of any discrepancies between the planned
and actual services provided, as well as the pricing.
The actual values is compared with the value limit
specified in the framework order.

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6. Accept the service entry sheet. After updating

the service entry sheet, it is accepted. The cost of
the service is updated in both the maintenance
settlement order and the G/L account maintained in
the maintenance plan.

Figure 5-18. Maintenance plan for service entry sheet generation

5.5. Maintenance Planning
with Time-Based Strategy
Maintenance planning with a time-based strategy deals with planning and
generating regular call objects (notifications, maintenance orders) for a
technical object consisting of multiple subassemblies and components
that require maintenance at different intervals (e.g., monthly or yearly).

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A time-based strategy is employed to create and schedule a

maintenance plan to generate regular maintenance orders for a technical
object with varying frequencies for its different components.
For example, a preventive maintenance plan for an air conditioner may
encompass routine cleaning and visual inspections every three months,
while tasks such as filter replacement and chemical cleaning occur every
six months, with a gas top-up scheduled annually (see Figure 5-19).

Figure 5-19. Maintenance planning with time-based strategy

5.5.1. Maintenance Strategy
A maintenance strategy groups multiple maintenance packages and
scheduling parameters for maintenance planning. A maintenance strategy
can comprise any number of maintenance packages. All the packages
assigned to a maintenance strategy must share the same cycle duration
unit (such as months for all packages). For instance, a maintenance
strategy consisting of two packages—one with a cycle duration of one

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month and another with a cycle duration of one year—must be defined as

one month and twelve months, respectively.
The following maintenance strategies are assigned to maintenance
task lists. The important elements of a time-based maintenance strategy
(see Figure 5-20).

• Scheduling indicator

• Call horizon

• Shift factor and tolerances

• Time: factory calendar

• Package sequence and where-used list

Figure 5-20. Maintenance strategy and scheduling parameters

Maintenance Package
Maintenance packages are elements of a maintenance strategy, and
they are assigned to the operations of a maintenance task list. Each
maintenance package defines a duration frequency at which the operation

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is to be performed. For example, consider a maintenance task list with two

operations: the first operation involves cleaning and visual inspections and
is assigned maintenance package-1 (every three months), while the second
operation, which includes filter replacement and chemical cleaning, is
assigned maintenance package-2 (every six months).
The following lists important parameters for a maintenance package.

• Maintenance package number

• Description

• Cycle length

• Unit of measurement

• Hierarchy

• Offset

• Initial and subsequent buffers

The offset of a maintenance package determines the timing for the

initial due date of a maintenance package. You must set an offset if the first
maintenance should occur at a different time than the regular cycle.
Specified in days relative to the planned date, the initial
and subsequent buffers establish the start and end dates for a
maintenance order.
The hierarchy of the maintenance package determines which package
to call if multiple packages are due simultaneously. It is assigned to a
maintenance package. Depending on the hierarchy, all packages can be
called, or some packages can be ignored.
A maintenance package with a higher hierarchy level is selected when
multiple packages are due simultaneously. Maintenance packages with the
same hierarchy level are called together if all packages are due at the same
time (see Figure 5-21).

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For example, preventive maintenance for an air conditioner may

involve two operations: the first operation involves cleaning the filter,
while the second operation includes filter replacement. At six months,
both operations are due. To ensure that filter cleaning is not performed
before replacement, the second operation is assigned a higher hierarchy
level compared to the first operation. As a result, the first operation is not
executed when both operations are due.

Figure 5-21. Maintenance packages and the effect of hierarchy levels

5.5.2. Assigning a Maintenance Strategy

to a Task List
In a strategy-based maintenance plan, the user needs to assign the
maintenance strategy to a task list that is used to create the strategy-
based maintenance plan. The following explains the steps to assign a
maintenance strategy to a task list.

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During the creation of a task list, the user needs to assign a

maintenance strategy to the header section of the task list.
In the next step, the packages in the maintenance strategy are assigned
to each operation of the task list (see Figure 5-22). These packages define
the frequency of the operations.

Figure 5-22. Maintenance package assignment to operations of a

task list

5.5.3. Creating a Time-Based Strategy Plan

A time-based strategy plan follows more than one schedule to generate
call objects such as maintenance orders. Maintenance orders generated
for different schedules may contain varying operations and components.
For example, servicing an air conditioner every three months requires
inspection and cleaning, whereas servicing it every twelve months may
necessitate the replacement of filters or gas refilling.

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A time-based strategy plan is created with a specific maintenance

strategy assigned to it. Users can input the task list group and counter
directly into the respective fields, or these can be chosen using the search
help functionality. In the search help input screen, the maintenance
strategy of the plan gets copied automatically as a selection criterion,
ensuring that only task lists with the same strategy are selected. The
maintenance packages used in the assigned task list are checked and
displayed in the cycles for the maintenance plan. The packages of the
maintenance strategy that are not used in the task list are not displayed.

5.5.4. Scheduling a Time-Based Strategy Plan

Once a maintenance plan is created, it is activated through the scheduling
features of preventive maintenance. Maintenance plan scheduling
produces call objects (maintenance orders/notifications) punctually.
The scheduling options for the strategy plan is same as the one for
single-cycle plan except one option. In strategy plan, the Start in Cycle
scheduling option allows you to start scheduling the strategy plan from the
middle of the cycle (see Figure 5-23).

Figure 5-23. Scheduling options in a time-based strategy plan

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For example, a maintenance strategy comprises two-month, six-

month, and 24-month packages. At the time of maintenance plan creation,
preventive maintenance was already in progress in the organization. Four
weeks ago, the eighth two-month package was executed. The scheduling
option “start in the cycle” enables the maintenance plan to begin not with
the first two-month package but with the ninth two-month package due
and the third six-month package.
The following describes the scheduling parameters.

• Factory calendar: The factory calendar from the

maintenance strategy gets copied to the strategy plan as
a default. The default factory calendar can be changed
in the strategy plan, if required.

• Cycle start: Planned and call dates calculation

start date.

• Call horizon: Call horizon is used to calculate call

date, the date when maintenance order, notification
or service entry sheet is created before the planned
date (actual execution date of the maintenance order,
notification or service entry sheet).
• Scheduling period: Scheduling period indicates the
future time period (such as 1 year or 18 months) for
which planned dates should be calculated in advance
during the scheduling of a maintenance plan.

• Completion requirement: With the activation of the

completion requirement, the subsequent order is
generated only after the technical completion of the
preceding order.

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• Shift factors: The shift factor provides the option to

either advance or delay the next planned maintenance
date. If the last planned maintenance work has been
completed earlier or with some delay compared to the
actual planned date, you can use a shift factor value
of 100% to move the next planned date by an equal
number of days based on the early or late completion.

• Tolerance for shift factors: The tolerance for the shift

factor function defines the time duration for which
early or delayed completion of a call object compared
to the planned date does not affect future plan dates.

• Cycle modification factor: One of the scheduling

parameters for the maintenance plan is the cycle
modification factor. The cycle modification factor
allows you to adjust the cycle times for a maintenance
strategy on a per-plan basis. If the factor is greater than
1, it extends the strategy’s cycle times (see Figure 5-24),
while a factor less than 1 reduces them. This factor
allows you to lengthen or shorten the maintenance
cycle, such as adapting to temporary extra needs
while keeping the maintenance strategy unchanged.
Importantly, the cycle modification factor is applicable
solely to the specific maintenance plan where it has
been set.

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Figure 5-24. Cycle modification factor

• Scheduling indicator: The scheduling indicator

defines the type of time-based scheduling assigned.
The following are three types of time-based scheduling.

• Time (based on calendar): Calendar days are

considered for calculation of dates.

• Time-Key-Date based: From the cycle start, the

dates are always calculated for the specific key date.

• Time (using factory calendar): Working days are

considered for calculation of dates.

5.5.5. SAP GUI-Based (User Interface) Functions

for Strategy Plans
Engineering change management functionality can be used for
maintenance and service task lists. Different task list versions can be saved
with various change masters. Change masters prove to be particularly
advantageous when specific combinations of maintenance packages
remain valid for only a limited duration. In such instances, the change
master maintains a task list version with a specific validity date. When a
task list associated with a change master is utilized in a maintenance plan,

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the validity date of the change master is cross-referenced during plan

scheduling. If a maintenance package no longer holds validity (or is not
yet valid) concerning a given plan date, it is deactivated for that specific
plan date.

5.6. Maintenance Planning
with Performance-Based Strategy
Maintenance planning with a performance-based strategy deals with
the planning and generation of regular call objects (notifications,
maintenance orders) for a technical object consisting of multiple
subassemblies and components that require maintenance at their different
running performance (such as 1000 hours, 25000 hours). For example, a
preventive maintenance plan for diesel generator may encompass routine
cleaning and visual inspections every 1000 hours and tasks such as filter
replacement and oil replacement occur after every 25000 hours (see
Figure 5-25).

Figure 5-25. Maintenance planning with a performance-based

strategy

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Preventive maintenance can be scheduled and executed through a

performance-based approach, utilizing regularly input counter readings.
The calculated maintenance dates are automatically adapted according to
the entered counter readings. Master data element measurement counter
is required to create for the technical object (equipment, functional
location master).

5.6.1. Counters and Measurement Documents

Master data counters are used to consistently record incremental values
associated with the operation of a technical object. They are always
established with reference to a technical object. For instance, a counter is
utilized to log the total operating hours of equipment on a daily basis.
A counter is linked to a characteristic (such as operating hours, flow,
or volume) from the classification system. This characteristic is always
associated with the corresponding characteristic unit (e.g., hours or
liters). To create a counter, you must maintain a fixed estimated annual
aggregated reading value. This value serves as a reference for calculating
intervals for maintenance plan dates.
The first measurement document entered for a newly added counter
is known as the initial measurement document. It indicates the current
counter reading at that particular moment. In the absence of an initial
measurement document for the new counter, a maintenance plan that
relies on this counter cannot be started. Performance-based maintenance
planning relies on measurement documents. To reflect the maintenance
scheduling process with maximum accuracy, input the measurement
documents consistently (see Figure 5-26) and as frequently as feasible.

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Figure 5-26. Measuring counter and creating initial measurement

document

A performance-based maintenance strategy is created using the

Performance Scheduling Indicator (activity). The performance value
unit is assigned in the strategy. A maintenance strategy can comprise any
number of maintenance packages. The packages are comprising of same
parameters as in time-based strategy and packages such as maintenance
package number, cycle length, unit of measurement and others.

5.6.2. Creating a Performance-Based
Maintenance Strategy Plan
A performance-based strategy plan follows more than one schedule to
generate call objects such as maintenance orders. Maintenance orders
generated for different schedules may contain varying operations and
components. For example, servicing a diesel generator every 1000 hours of
running requires inspection and cleaning, whereas servicing it every 25000
hours of running may necessitate the replacement of filters and oil.

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Performance-based strategy plans are of two types: the single-cycle

plan and the strategy plan.
A measuring counter is required in the technical object for
maintenance planning using a performance-based maintenance plan.
Like a time-based maintenance plan, the maintenance plan category
and maintenance strategy need to be assigned in a performance-based
maintenance plan. Upon entering the reference object, the counter
is automatically suggested, determined by the unit aligned with the
maintenance strategy (e.g., hours). In the case of a performance-based
single-cycle plan, the counter is automatically suggested once the
maintenance cycle and reference object are provided.
Users can input the task list group and counter directly into
the respective fields, or these can be chosen using the search help
functionality. In the search help input screen, the maintenance strategy
of the plan gets copied automatically as a selection criterion, ensuring
that only task lists with the same strategy are selected. The maintenance
packages used in the assigned task list are checked and displayed in the
cycles for the maintenance plan (see Figure 5-27). The packages of the
maintenance strategy that are not used in the task list are not displayed.

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Figure 5-27. Creating a performance-based maintenance

strategy plan

5.6.3. Scheduling a Performance-Based
Maintenance Strategy Plan
The scheduling options for the performance-based strategy plan are the
same as the ones for the single-cycle plan except for one option. In the
performance-based strategy plan, the Start in Cycle scheduling option
allows you to start scheduling the strategy plan from the middle of the
cycle (see Figure 5-28).
Entering a counter reading greater than the one in the latest
measurement document is not permissible, as maintenance planning
relies on the current data recorded in the system through measurement
documents.

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Figure 5-28. Scheduling options in a performance-based

strategy plan

The following describes the scheduling parameters.

• Call horizon

• Scheduling period

• Initial counter reading

• Completion requirement

• Shift factors

• Tolerance for shift factors

• Cycle modification factor

Basic Scheduling Functions

Performance-based maintenance plans are scheduled according to the
projected yearly performance input in the reference technical object
counter (see Figure 5-29). Based on the projected annual performance, the
daily performance is calculated. Using the calculated daily performance

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and maintenance cycle, the time period is calculated and then added to
the maintenance plan’s start date to obtain the estimated plan date based
on the current daily performance.
For example, as shown in Table 5-6, by adding the cycle value to the
current counter reading, beginning from the cycle start, the first planned
date is set after 50 days.

Table 5-6. Counter Reading and Cycle Value

Projected annual performance 7300 hours
Daily performance based on annual 7300 hours/365 days = 20 hours per day
performance
Planned date for a cycle of 1000 hours 1000/20 = 50 days

Figure 5-29. Projected planned date based on estimated annual

performance

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A plan date is calculated depending on the cycle and projected

annual performance. If a measurement document is created, it leads
to the recalculation of the planned date. In simpler terms, the planned
dates are influenced directly by the entered measurement documents
(see Figure 5-30). This implies that the regular input of measurement
documents is necessary to achieve a planned date that accurately mirrors
the performance value.

Figure 5-30. Planned date adjustment based on regular entry of

counter reading

Call Horizon
A call horizon calculates call date, the date when maintenance order,
notification or service entry sheet is created before the planned date
(actual execution date of the maintenance order, notification or service
entry sheet). It is specified in percentage and refers to the duration of the
maintenance cycle.

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Let’s look at the following data as an example.

• The estimated annual performance of a diesel

generator is 7300 hours.

• The daily performance based on annual performance is

20 hours (7300 hours/365 days = 20 hours).

• The preventive maintenance is 1000 hours of running.

• The planned date for a cycle of 1000 hours is 50 days

(1000/20 = 50)

• The maintenance plan’s cycle starts at a counter

reading of 0 hours on 05.03.XXXX.

• The project’s planned date for maintenance is

24.04.XXXX

• The call horizon entered is 90%

• The call date for creating the call object (maintenance

order) is 19.04.XXXX (90% of 50 days = 45 days;
therefore, 50 – 45 days = 5 days before the plan date).

For illustrative purposes, let’s assume that regularly created

measurement documents contain an average of 20 hours per day.
When running hours vary daily, the planned date and the call date are
recalculated accordingly.
If the call horizon is left unspecified during the scheduling of the
maintenance plan, the system takes it to be 0%. Consequently, a call
is initiated right away (meaning an order is generated) as soon as the
maintenance plan kicks off, regardless of the counter reading. If you
intend to maintain the cycle duration, it’s recommended to establish a call
horizon of 100%.

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5.7. Maintenance Planning with Cycles

of Different Dimensions
A multiple counter maintenance plan consists of functionalities to plan
and schedule regular maintenance for a technical object that needs to be
maintained based on cycles of different dimensions, such as total running
hours and output generated in liters (see Figure 5-31). For example, in a
filtration plant, the water pump’s regular maintenance is scheduled for
every 2160 hours of running or 500,000 liters of suction.
To plan and schedule regular maintenance for water pumps in
a clarification plant, a multiple counter plan can be used, where
maintenance orders is generated based on cycles of different dimensions,
such as after 2160 hours of running or 500,000 liters of suction.

Figure 5-31. Multiple counter plans

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5.7.1. Creating and Scheduling a Multiple

Counter Plan
In a multiple counter plan, cycles are used to maintain the required
performance value. The maintenance strategy is not employed in this
plan. Cycles can be assigned freely to a multiple counter plan. If a strategy
is assigned to the entered task list in a multiple counter plan, the strategy
holds no relevance during the operation selection from the task list.
The starting of the multiple counter plan relies on the present counter
readings, with the date of the measurement document containing the
latest counter value being the determining factor. The scheduling is
consistently adjusted according to the current counter readings.
Restarting a multiple counter plan is possible. The “Start in current
cycle” function is appliable only in multiple counter plans featuring
sequences of cycle sets. The manual call option does not applies to the
multiple counter plan (see Figure 5-32).

Figure 5-32. Scheduling function in multiple counter plan

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The following describes the scheduling parameters of a multiple

counter plan.

• Cycle modification factors: The cycle modification

factor allows you to adjust the cycle times for a
maintenance plan. If the cycle modification factor is
greater than 1, it extends the cycle times. If it’s less than
1, it reduces them. This factor enables you to either
lengthen or shorten the maintenance cycle.

• Preliminary buffer: In a multiple counter plan, you

can input a preliminary buffer in terms of the number
of days. This buffer indicates the lead time before the
planned maintenance date when the order should be
generated.

• Operation type: Operation type defines the link type

for maintenance cycles. Choosing an AND link results
in the order being generated only when all cycles reach
the required performance value. On the other hand,
with an OR link, the order is generated as soon as any of
the cycles reach the required performance value.
• Start date and time: Through deadline monitoring, a
maintenance plan started based on the designated start
date and time.

• Scheduling period: The scheduling period indicates

the future time period (such as 1 year or 18 months) for
which planned dates should be calculated in advance
during the scheduling of a maintenance plan.

• Completion requirement: By activating the

completion requirement, the subsequent order is
generated only after the technical completion of the
preceding order.

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• Shift factors: The shift factor offers the choice to either

advance or postpone the next planned maintenance
date. If the last scheduled maintenance task has been
carried out before or after the actual planned date,
you can employ a shift factor value of 100% to adjust
the next planned date by the same number of days,
contingent on the early or delayed completion.

• Tolerance for shift factors: The shift factor tolerance

function establishes the time duration during which
the early or delayed completion of a call object
compared to the planned date does not impact the
future planned dates.

The multiple counter plan is triggered based on the current counter

reading. The initial projected plan date is determined using the reading
from the relevant measurement document (see Figure 5-33). In the case of
an AND link type, the projected plan date is calculated based on the largest
interval originating from the cycle and performance per day.
In a multiple counter plan, to achieve precise scheduling in
accordance with the cycle sets, the following list of process flow steps
should be followed.
1. Create the maintenance order.

2. Complete the maintenance order.

3. Record the measurement document upon order

completion or consistently enter measurement
documents at regular intervals.

4. Reschedule the multiple counter plan.

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Figure 5-33. Posting measurement document

Unlike the performance-based strategic plan, the scheduling of the

multiple counter plan doesn’t involve high numbers of cycle counts for
establishing the new planned date. Instead, scheduling is consistently
computed based on the current counter readings.
The actual call date is ascertained from the entered measurement
documents, which increase in the counter reading. If the maintenance
cycle becomes due as a result of these measurement documents, the call
is promptly initiated. When the cycle isn’t due as per the measurement
document, the call is initiated on the calculated planned date.

5.7.2. Using Cycle Set Sequence

The cycle set is used as a template to generate a multi-counter plan.
Cycle set comprises of successive maintenance cycles (see Figure 5-34).
Unlike the maintenance strategy, the cycle set lacks a reference function.
Consequently, once the maintenance plan is created, there is no longer
a connection with the cycle set. When the cycle set becomes part of the
maintenance plan, changes or removals can be made to individual cycles.

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Also, multiple cycle sets can be used in a multi-counter plan. Each cycle
set is then allocated a sequence number (cycle set sequence), which
aids in associating the cycle set with a maintenance item. This allows the
inclusion of various maintenance items with distinct cycles. It’s important
to note that only one time-based cycle can be utilized within a multi-
counter plan.

Figure 5-34. Cycle sets and cycles

For example, a diesel generator set is scheduled for regular

maintenance after 1800 hours of running and/or three months. Regular
maintenance includes tasks such as cleaning and visual inspection.
After another 1800 hours of running and/or three months, a detailed
maintenance will be carried out. The detailed maintenance includes tasks
such as replacing the air filter and oil.
In a multiple counter plan, using two cycle sets with two cycles in each
cycle set, you can plan regular maintenance for the diesel generator in the
example. Each of the cycle sets needs to be assigned to an item in the plan,
one for regular maintenance and the other for detailed maintenance.

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Common multiple counter plans typically operate with individual

cycles connected by an operation type (OR or AND). These cycles usually
involve the same maintenance item, which means the set of operations
is always the same. However, multiple counter plans are not designed
to accommodate different maintenance strategies. Thus, unlike the
functionality of maintenance packages within a maintenance strategy, they
cannot execute a different set of operations.
To address this constraint, cycle set sequences were developed. These
sequences combine multiple cycles into a set that can be allocated to a
maintenance item. The concept revolves around integrating multiple cycle
set sequences within a single multiple counter plan, enabling a scheduling
pattern akin to 1–2–1–2. By assigning specific maintenance items to either
“1” or “2,” it becomes possible to generate varying tasks.
The following describes the scheduling process.
1. When calculating the first plan date, scheduling
takes into account cycle set 1 and generates a
maintenance order (call object) only for this date,
corresponding to the maintenance item linked with
cycle set 1.
2. Using this date as a reference, scheduling evaluates
the cycles within cycle set 2 to calculate the
subsequent plan date. Once again, it generates a call
object only for the pertinent maintenance item.
3. The scheduling process revisits the first cycle set
after scheduling the second and, consequently, the
highest cycle set.

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5.8. User Interface
S/4HANA Asset Management comes with several Fiori apps to help user
perform preventive maintenance planning and execution. The following
are important Fiori apps.
• Fiori Apps–Process Task List (Planner), Fiori App ID–
W0021: Three apps are available for Create Task List,
Change Task List, and Display Task List.
• Fiori Apps–Find Maintenance Task List, Fiori App
ID–F2660: This app lets you find and display the
Equipment task list, Functional location task list, and
General maintenance task list.
• Fiori Apps–Manage Maintenance Items, Fiori App ID–
F5356: This app helps a maintenance planner manage
maintenance items, including create maintenance
items, assign maintenance item to a maintenance plan,
view details of a maintenance item.
• Fiori Apps–Find Maintenance Items, Fiori App
ID–F3621: This app lets you find and display
maintenance items.
• Fiori Apps–Find Maintenance Plans, Fiori App ID–
F3622: This app lets you find and view maintenance
plans, its assigned maintenance items, its properties,
and its scheduled and manual maintenance calls.
• Fiori Apps–Manage Maintenance Plans, Fiori
App ID–F5325: With this app, you can manage
maintenance plans.

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• Fiori Apps–Mass Schedule Maintenance Plans, Fiori

App ID–F2774: As a maintenance planner, you can use
this app to schedule all maintenance plans due within
a specific time frame.

5.9. Summary
This chapter explored various aspects of maintenance planning and
execution.
Master data includes maintenance task lists and their applications,
user interfaces, and essential customizations. The single-cycle
maintenance plan, creation, and scheduling of single-cycle maintenance
plans, along with insights into customizing these plans to suit specific
needs. The planning of regular external service procurement focuses on
generating a service entry sheet through a maintenance plan, streamlining
the process of external service procurement.
Maintenance planning with a time-based strategy explains the concept
of a maintenance strategy and guides crafting and scheduling time-based
strategy plans. Furthermore, maintenance planning with a performance-
based strategy and the creation and scheduling of performance-
based maintenance strategy plans were outlined, offering insights into
optimizing maintenance activities.
The chapter delved into maintenance planning with cycles of different
dimensions, detailing the intricacies of developing and scheduling
multiple counter plans accommodating various maintenance cycle
dimensions. Finally, the user interface was explored, highlighting SAP Fiori
apps designed for working with task lists and maintenance plans.

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CHAPTER 6

Costing and
Budgeting
This chapter is about money and how it functions when attending to assets
like equipment, machines, and manufacturing assembly lines. Imagine
you have an instrument that’s broken and requires repair. Fixing things
incurs costs, and this chapter helps you understand where the money goes
when technical assets are being fixed.
The following are some of the key topics covered.

• Costing in asset maintenance and repair

• Maintenance order cost settlement and closure

• Budgeting in asset maintenance and repair

6.1. Costing in Asset Maintenance

and Repair Process
In S/4HANA Asset Management, financial costing in maintenance
orders is a way to track and manage the expenses related to maintenance
activities in a business. It helps organizations keep a close eye on the costs
incurred during maintenance, such as servicing equipment, repairing
machinery, or any other maintenance-related activities.

© Rajesh Ojha and Chandan Mohan Jaiswal 2023 271

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Chapter 6 Costing and Budgeting

6.1.1. Integration with Finance and Controlling

As part of logistics, asset management is closely integrated with other
business areas, such as finance (accounting). This implies that the
organizational units defined for finance and controlling in S/4HANA also
cover aspects of costing in asset management. For example, the creation of
asset management–specific cost centers with annual plans.
The following lists the most common organizational objects and their
structure in S/4HANA Finance and Controlling (also see Figure 6-1).

Figure 6-1. Organizational objects and their structure in Finance

and Controlling

• Client: The client stands as the top-level entity among

all organizational units. For example, it may represent
a conglomerate of corporations comprising multiple
companies. All the business applications within a client
share a common database for data.

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• Controlling area: a controlling area in S/4HANA is a

way of grouping and organizing one or more company
codes to enable centralized control and management
accounting functions across multiple subsidiaries or
business units within an organization.

• Chart of accounts: In the SAP S/4HANA system, each

company is associated with a specific chart of accounts,
and all G/L (General Ledger) accounts used by that
company are mapped to this chart of accounts. The
G/L accounts within a chart of accounts are distinct
and not repeated.

• Company codes: A company represents an

independent legal entity or a business unit within a
corporate group. For instance, if you have a parent
company with multiple subsidiaries, each subsidiary
may be represented as a separate company code in
S/4HANA.

• Cost centers: A cost center is like an account/bucket

where all the expenses related to a specific function,
department, and project are collected and monitored
(see Figure 6-2). It helps organizations understand how
much money is being spent in different parts of the
business.

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Figure 6-2. Cost centers in S/4HANA Asset Management

Cost centers are created within a controlling area.

For asset management, a minimum of two cost
centers are relevant to capture and monitor internal
costs (see Figure 6-3).

• A responsible cost center is assigned to the

maintenance work center, which performs
maintenance and repair activities for an asset. It is
assigned in the Costing view of the maintenance
work center.

• A requesting cost center is created to collect and

monitor the costs incurred on the asset. This cost
center is entered in the Organizational view of the
equipment master or functional location of an asset.

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Figure 6-3. Responsible and requesting cost centers

6.1.2. Various Accounting Terms (Order Values)

in Maintenance Order
Maintenance and repair work in a maintenance order generates and
incurs various financial and cost values, which can be classified according
to costs incurred, output (activities) generated, and settlements.
These financial and costing values (see Figure 6-4) also depend on the
maintenance order type and processing phase.

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Figure 6-4. Various account terms (order values) in

maintenance order

• Costs are incurred when spare parts consumed, third-

party services rendered, and internal man-hours
utilized during the maintenance and repair work of an
asset, and these get posted to the maintenance order.
As a result, the maintenance order gets debited with the
value of the cost posted.

• Activities are the output generated during an

asset’s maintenance and repair work. For example,
refurbishment of an assembly of a technical system
adds value to the assembly by improving its working
condition, which, in turn, results in credits being
posted to the refurbishment maintenance order, and
the order gets credited.

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• Settlement is a process of cost allocation, fully or

partially, from one cost object to another. By settling
the maintenance and repair orders, you transfer
the costs from the order to the relevant cost centers
or other cost objects where these expenses belong.
This way, the financial reports become accurate, and
you can understand the true financial impact of the
maintenance activities related to asset management.

• Expenses are the costs incurred in a maintenance and

repair order and generally represent expenses in the
books of accounts. On the other hand, the activities or
output generated during maintenance and repair work
generally do not represent revenue because they are
not sold to customers.

6.1.3. Costing Value Flow in Maintenance Order:

Estimated, Planned and Actual Cost
In repair and maintenance orders, there are three types of costs available.

• Estimated cost: The value for the estimated cost is

entered manually in the repair and maintenance
order. Users can enter this value based on their own
estimation of spares and man-hours required during
the maintenance activity. The estimated cost must be
entered before releasing the order. Estimated costs
are also saved in the Plant Maintenance Information
System (PMIS) for use in reporting and analytics.

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• Planned cost: The maintenance order-related

resources, such as operations with internal man-hours
and materials, generate planned costs for the order
when these resources are entered in the order and the
order is released (dispatched). The planned cost is
derived automatically based on the cost estimate, and it
is not possible to manually maintain the planned costs.

• Actual cost: The maintenance order is automatically

debited with actual costs due to resource consumption,
such as man-hour utilization confirmation, materials
issue posting, and so on (see Figure 6-5). It is not
possible to enter actual costs manually.

Figure 6-5. Costing value flow in maintenance and repair order

The maintenance order types also determine the types of accounting

value flow.

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During maintenance, inspection, and repair of a technical object

using related order types, the order gets debited with planned costs
when the required resources, such as spare parts and man-hours, have
been planned and the order has been released (dispatched). The order is
debited again with the actual cost when the planned spare part has been
consumed, or the utilized man-hours have been confirmed. Finally, at the
time of order settlement during the completion phase, the debited cost of
the order is transferred to the received cost object, such as the cost center.
In refurbishing any assembly or technical object using a refurbishment
order type, the order gets debited with planned costs when the required
resources, such as spare parts and man-hours, have been planned, and the
order has been released (dispatched). The order is debited again with the
actual cost when the planned spare part has been consumed, or the utilized
man-hours have been confirmed. At the time of delivery (transferring the
refurbished technical object to inventory), the order is credited with the
equivalent value of the newly refurbished material (technical object). Finally,
at the time of order settlement during the completion phase, the difference
between the order’s debited cost and the output generated (value of the
newly refurbished material) is transferred either to the material (settlement
receiver for the refurbishment order type) or the price different account.

6.1.4. Option of Costing at Operation Level

of Maintenance Order
In general, all the costing values (such as planned and actual costs of spare
parts and man-hours) within a maintenance order are derived and stored
at the maintenance order level (header level) and not at the individual
operation (task) level. However, with the functionality of an operation
account assignment (OAA), it is possible to derive all the costing values
at each operation level of a maintenance order, enabling the option and

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flexibility to plan and control costs at the operation level. To use the
OAA functionality, the business function, LOG_EAM_OLC, needs to be
activated.
Regulators and legal requirement bodies prefer to capture asset
management costs at a detailed level so that they can be reported in
categories other than the company’s overall business strategy. Various
industries using asset management software also prefer to perform
costing at the individual operation level and derive the aggregated value
at the entire job (order) level. With OAA functionality, these needs can
be fulfilled. It allows planning and capturing all costing values at each
maintenance order operation.
Note that an order can be either header or operation-level, but not both.
To distinguish a maintenance order with OAA, the system status activity
account assignment (ACAS) is set, which can be viewed in the order or any
order-related report. The costing data (such as planned and actual costs of
spare parts and man-hours) can be viewed for an operation in a separate
view (see Figure 6-6). All costs are only recorded at the operation level and
dynamically aggregated at the maintenance order level.

Figure 6-6. Costing at the operation level of maintenance order

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OAA has various functionalities in the asset management process.

• Estimated cost: The user can manually enter the

estimated cost only at the operation level, and it is
aggregated at the maintenance order level. To facilitate
the user, the functionality to copy planned cost to
estimated cost can be used by pressing the Copy
Estimated Cost button before the maintenance order
release.

• Spare parts issues: Planning and issuing stocked

spare parts make the operation an account assignment
for debiting the cost of the spare part. For non-­
stocked spare parts, the operations are entered as
account assignments during goods receipt for the
purchase order.

• Procurement: When a purchase requisition is

generated for a non-stocked spare part required for an
operation, the operation gets assigned as the account
assignment object in the purchase requisition for the
spare part. Subsequently, the OAA is transferred to the
purchase order created for the purchase requisition.
• Settlement: The settlement rule is maintained at
the operation level and not at the order level, and
settlement happens for each operation individually.

6.1.5. Overhead Rates
Overhead is a lump sum calculated based on the incurred direct cost.
Typically, the calculation involves a percentage of the base cost or an
amount-based markup. It is added to the planned and actual cost of
a maintenance order to factor in overhead costs consisting of other

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resources used in maintenance and repair, such as consumable items

(lubricant and fasteners), disposable gloves used by technicians, or
any other items consumed that are difficult to quantify and plan (see
Figure 6-7).
In addition to allocating overhead rates, they distribute sales and
administration overhead costs. Furthermore, these overheads can be applied
to account for the expenses of resources consumed in the order that are not
itemized separately, including administration, transportation, and more.

Figure 6-7. Overheads based on planned cost

For the total planned cost of maintenance and repair orders, overhead
is calculated as part of the standard cost estimate. In other words, it is
automatically calculated when the order is saved after planning resources.
Additionally, it can be recalculated as and when required, such as when
there is a change in the planned quantity of resources. The prerequisite
configuration of assigning the costing sheet to the respective planned
costing variant for the maintenance order type must be set up in the
finance and controlling area to get overhead on planned costs.

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Costing Sheet and Costing Variant

The costing sheet and variant are configurable data in finance and
controlling applications. The costing sheet links all the parts of the
overhead calculation. It comprises baselines, overhead lines, and total
lines processed during overhead calculation. The costing variant contains
control parameters for costing, determining how costing is carried out.
It forms the link between the application and customizing, as all cost
estimates are created and saved with reference to a costing variant.
Unlike overheads for planned cost, the overheads for maintenance
order actual cost are not calculated automatically. For each consumption
of resources (such as spare parts and man-hours), you must run overhead
calculations manually. Then the order gets debited with overheads
on actual cost (see Figure 6-8). Similar to overheads for planned cost,
to obtain overheads on actual cost, the prerequisite configuration of
assigning the costing sheet to the respective actual costing variant for the
maintenance order type must be set up in the finance and controlling area.

Figure 6-8. Overheads based on actual cost

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6.1.6. Commitment Management
Commitments in SAP maintenance orders are obligations for external
purchases or material requirements planning. These commitment values
are not directly recorded in accounting objects, but they can result in
actual costs in the maintenance order due to various business transactions.
Commitment management is employed to input these obligations
during a maintenance order’s early planning stage and examine how they
impact costing and finance, particularly concerning purchase orders.
Maintenance order commitments separately update and track
specific resources, especially those needed for external procurement.
These commitment values are updated in parallel with maintenance
order planning and execution. In simpler terms, both the planned and
actual costs influence the commitment value, allowing better control and
visibility over the resources involved in the maintenance process.
You must activate open items management for the required order type
to set up commitment functionality for maintenance orders.
The commitment value gets calculated when the planned cost for the
maintenance order is determined. As the commitment value is derived
for external resources, such as external services or non-stocked materials,
it is typically smaller than the maintenance order’s planned cost (see
Figure 6-9).

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Figure 6-9. Generating commitment

However, the commitment value can increase due to certain business

transactions after the maintenance order has been planned. These
transactions may include generating a purchase order for a purchase
requisition linked to an operation in the maintenance order, increasing
the price in the purchase order, manually creating a purchase order, and
using the maintenance order as a cost object (account assignment) in the
purchase order. These business transactions increase the commitment
value, which may exceed the planned cost (see Figure 6-10).

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Figure 6-10. Update in commitment value

During the processing of the maintenance order, as external resources

are consumed—for example, posting goods receipts against a purchase
order for non-stock material—the order’s commitment value is reduced.
The actual costing values determine the reduction in commitment value.
Logically, the commitment value should reach zero when all the planned
external resources have been fully consumed.

6.1.7. Costing in Refurbishment
of Subassemblies
In refurbishing subassemblies/technical objects using refurbishment
order type, the costing values flow is different from the maintenance and
repair work using maintenance order types.
In the refurbishment order type, along with estimated, planned,
and actual cost values, the value for output also gets updated and
displayed separately. Here, output refers to the refurbished/overhauled

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subassembly. The value for output generated is displayed as a negative

figure in the refurbishment order and delivery costing reports.
At the time of delivery (transferring the refurbished technical object
to inventory), the order is credited with the equivalent value of the newly
refurbished material (technical object).
Also, at the time of order settlement during the completion phase,
the difference between the order’s debited cost and the output generated
(value of the newly refurbished material) is transferred to the material
(settlement receiver for the refurbishment order type).

6.1.8. Required Configuration Activities

for Costing in Maintenance
and Repair Orders
Configuration is the process of customizing and setting up various
functionalities and features of the SAP S/4HANA software according to the
specific needs and requirements of an organization’s business processes.
Customizations (configurations) related to costs in maintenance and
repair activities in asset management are grouped within many application
areas. Such as Organizational structure customization is within the finance
and controlling area. The following are important customizations for
maintenance order costing.

• Value categories

• Assign cost elements to value categories

• Version for cost estimates

• Default values for value categories

• Costing sheet

• Valuation variant

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• Costing variant

• Commitment management

• Settings for costs at an operational level

From the SAP Easy Access menu, navigate to Tools → Customizing.

Double-click IMG → SPRO–Execute Project. Click the SAP Reference IMG
button (see Figure 6-11).

Figure 6-11. Customization (configuration) nodes for maintenance

order costing

Table 6-1 lists important configuration paths related to maintenance

order costing.

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Table 6-1. Configuration Path for Important Configuration Related

to Maintenance Order Costing
Configuration Step Configuration Path

Maintain value Plant Maintenance and Customer Service → Maintenance

categories. and Service Processing → Basic Settings → Settings for
Display of Costs → Maintain Value Categories
Assign cost elements Plant Maintenance and Customer Service → Maintenance
to value categories. and Service Processing → Basic Settings → Settings
for Display of Costs → Assign Cost Elements to Value
Categories
Assign version for Plant Maintenance and Customer Service → Maintenance
cost estimates. and Service Processing → Basic Settings → Settings for
Display of Costs → Define Version for Cost Estimates for
Orders
Assign default values Plant Maintenance and Customer Service → Maintenance
for value categories. and Service Processing → Basic Settings → Settings
for Display of Costs → Define Default Values for Value
Categories
Define the costing Plant Maintenance and Customer Service → Maintenance
sheet. and Service Processing → Maintenance and Service Orders
→ Functions and Settings for Order Types → Costing Data
for Maintenance and Service Orders → Maintain Costing
Sheet
Define/assign costing Plant Maintenance and Customer Service → Maintenance
variants. and Service Processing → Maintenance and Service Orders
→ Functions and Settings for Order Types → Costing Data
for Maintenance and Service Orders → Maintain Costing
Variants
(continued)

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Table 6-1. (continued)

Configuration Step Configuration Path

Define the valuation Plant Maintenance and Customer Service → Maintenance

variant. and Service Processing → Maintenance and Service Orders
→ Functions and Settings for Order Types → Costing Data
for Maintenance and Service Orders → Define Valuation
Variants
Activate commitment Plant Maintenance and Customer Service → Maintenance
management and Service Processing → Maintenance and Service Orders
(OpenItem M.). → Functions and Settings for Order Types → Configure
Order Types
Define the settings Plant Maintenance and Customer Service → Maintenance
for costs at the and Service Processing → Maintenance and Service Orders
operational level. → Functions and Settings for Order Types → Costs at
Operation Level

6.2. Maintenance Order Cost Settlement

and Closure
In asset management, the maintenance and repair order is an object for
planning, controlling, and executing maintenance activities. All costs
incurred from planning and consuming resources (such as materials, man-­
hours, and external services) are posted to the maintenance order. The
order gets debited with the actual costs of the resources consumed.
During the completion phase of the maintenance order, the order is
settled to an actual cost receiver, which means the order is credited by
allocating its debit to the receiving cost object (see Figure 6-12).

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For example, in a manufacturing industry, the settlement receiver

can be the cost center of the technical object which was repaired or
the cost center of the organizational unit (such as the cost center of
the maintenance plant), which requested for a maintenance job. This
means the maintenance order collects all the resource costs for reporting
and analysis at the maintenance order level. Subsequently, the cost is
transferred to receiving cost objects where these expenses belong. This
way, the financial reports become accurate, and you can understand
the true financial impact of the maintenance activities related to asset
management.

Figure 6-12. Settlement process

6.2.1. Maintenance Order Settlement

and Business Completion
Figure 6-13 illustrates settlement for continuous tasks (in-progress orders).

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Figure 6-13. Settlement for continuous tasks (in-progress orders)

T ypes of Settlement Receiver (Account Assignment

Objects) in Order Settlement
Apart from the cost center, other cost objects such as the work breakdown
structure (WBS), assets, orders, and others can also be used as settlement
receivers in the settlement rule of maintenance and repair orders. The
nature of the maintenance and repair activity typically determines the type
of settlement receiver (see Figure 6-14).
For example, maintenance and repair activities for shutdown
maintenance can be settled to WBS or network. Maintenance activities
related to improvement/investment projects for an asset, which increases
the asset’s value, should be settled to the asset. On the other hand, repair
activity costs that need to be claimed from any vendor/supplier of the asset
can be settled in an internal order. In customer service, where you repair
customers’ assets and later raise an invoice to receive the price of the repair,
such maintenance and repair orders should be settled to the sales order.

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Based on the configuration for the settlement rule in a maintenance

order type, the appropriate settlement receiver type is entered
automatically in the maintenance and repair order.

Figure 6-14. Various types of settlement receivers (account

assignment objects) in an order settlement

 ptions to Derive Settlement Rule

O
in Maintenance Order
The settlement rule in a maintenance order can be entered in various
ways, such as the following (also see Figure 6-15).

• Manually, by calling the settlement rule maintenance

screen in the maintenance order

• Automatically, when the maintenance order is released

or technically completed

• Manually with or without system default (In a system

default, the settlement receiver is copied automatically
from the technical asset’s equipment master data.)

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The time the settlement rule is entered depends on the configuration

setting for settlement rule timing. But at the latest, the settlement rule must
be entered by maintenance order technical completion time. In general,
one settlement rule is entered in a maintenance order, but if required,
multiple settlement rules can also be entered in a maintenance order. For
example, if there is a business need to settle the cost of a specific spare
part to a different settlement receiver (such as in an internal order created
specifically for a vendor), then in such cases, the maintenance order is set
up with two settlement receivers, as follows.

• Settlement receiver 1: A cost center to receive all the

debited costs from the order, except the cost of spare
parts covered under warranty.

• Settlement receiver 2: An internal order to receive the

cost of the spare parts covered under warranty.

Figure 6-15. Options to derive settlement rule in maintenance order

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An order can be settled multiple times if required during maintenance

and repair. For example, for a large maintenance activity spanning
over multiple months, the maintenance order is settled at the end of
every month if it has a value of debited cost more than zero during each
settlement. The settlement is part of the period-end activity performed by
finance and controlling. Therefore, during each period-end settlement,
if a maintenance order is available with cost, then the order is settled to
transfer the total cost to a receiver cost object and reduce the cost to zero
in the maintenance order (see Figure 6-16).

Figure 6-16. Order settlement

Order Completion Phase

The maintenance and repair order completion phase consists of several
steps. First, the order is completed from a technical point of view
(technically completed) in the asset management application area after
all the maintenance operations have been finished. If a settlement rule is
not defined in the order by that time, then during technical completion,

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the settlement rule is entered in the maintenance order. Once the

maintenance order is technically completed, no further changes are
possible.
An order technically completed means no further maintenance and
repair is expected. As part of period-end activities, settlement can be
performed for the order to transfer the actual debited cost to the receiving
cost object. Still, the already settled maintenance order can accept costs,
such as for the external vendor’s incoming invoice posting for the external
service purchased during the repair work in the order. In this case, the
maintenance order needs to settle again during the future period-end
settlement process.
After the maintenance order has been settled and there is zero actual
cost debit, business completion is performed for the order. After business
completion, a maintenance order is closed from all aspects, such as repair
and maintenance work, settlement work, and actual cost posting (see
Figure 6-17).

Figure 6-17. Allowed business function after completion of a

maintenance order

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The Document Flow functionality in the maintenance order displays

a hierarchical structure, listing the documents created and their status
during maintenance order execution. These documents can be opened
from the document flow, and preceding and succeeding documents
related to the opened documents can also be accessed. For maintenance
and repair orders, the following is the list of documents that appear in the
document flow.

• Maintenance notification

• Maintenance plan

• Maintenance and repair order

• Goods movement document for material issue, receipt

• Man-hour confirmation

• Service entry sheet

• Billing document

6.2.2. Refurbishment Order Settlement

The settlement of a refurbishment order differs from that of a maintenance
and repair order. A refurbishment order is settled against the material
inventory (stock) of the subassembly material that has been refurbished.
During the refurbishment process, the order gets debited with
the actual cost when the planned spare part and subassembly to be
refurbished have been issued or the utilized man-hours have been
confirmed. At the time of delivery (transferring the refurbished material
to inventory), the order is credited with the equivalent value of the newly
refurbished material (technical object). The credit value for the generated
output is updated and displayed separately as a negative debit in the order.

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At the time of settlement (see Figure 6-18), the balance credit transfer
(difference between the order’s debited cost and the generated output)
from the order to the material inventory (stock) can be of two types.

• With the standard price control setting in the material

master, the balance credit for the batch of the
refurbished material is posted with the value of the
standard price. The difference is posted as a credit
memo to a general ledger account used for price
differences in finance.

• With the moving average price control setting in the

material master, the balance credit for the batch of the
refurbished material is posted with the value of the
actual increase in value, in other words, the value of the
costs in man-hours and materials. This increases the
moving average price at the material level.

The prerequisite customization for settling a refurbishment order to

material inventory is that you have marked the material as the default
account assignment in the settlement profile for the order type. This
settlement profile is assigned to the refurbishment order type. At the time
of refurbishment order processing, the settlement rule is automatically
entered with the material as the settlement receiver (account assignment).

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Figure 6-18. Refurbishment order settlement

6.2.3. Required Configuration Activities

for Cost Settlement
Customization (configurations) related to an order’s cost settlement
involves the following.

• Settlement profile

• Allocation structure

• Time and creation of settlement/distribution rule

From the SAP Easy Access menu, navigate to Tools → Customizing.

Double-click IMG → SPRO–Execute Project. Click the SAP Reference IMG
button (see Figure 6-19).

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Classified - Confidenal

Figure 6-19. Customization (configuration) nodes for maintenance

order settlement

Table 6-2 lists important configuration paths related to maintenance

order settlement.

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Table 6-2. Configuration Path for Important Configuration Related

to Maintenance Settlement
Configuration Step Configuration Path

Maintain settlement Plant Maintenance and Customer Service → Maintenance

profile. and Service Processing → Basic Settings → General Order
Settlement → Maintain Settlement Profiles
Maintain allocation Plant Maintenance and Customer Service → Maintenance
structure. and Service Processing → Basic Settings → General Order
Settlement → Maintain Allocation Structures
Configure order types Plant Maintenance and Customer Service → Maintenance
(to assign settlement and Service Processing → Maintenance and Service Orders
profile to order type). → Functions and Settings for Order Types → Configure
Order Types
Assign time and Plant Maintenance and Customer Service → Maintenance
creation of settlement and Service Processing → Maintenance and Service Orders
rule/distribution rule. → Functions and Settings for Order Types → Settlement
Rule: Define Time and Creation of Distribution Rule

6.3. Budgeting in Asset Maintenance

and Repair
Budgeting the maintenance and repair of assets refers to setting,
monitoring, and controlling the costs associated with performing large
and high-cost maintenance activities on assets (equipment, machines,
and assembly lines). Budgeting in maintenance orders helps organizations
control maintenance expenses and make informed financial decisions (see
Figure 6-20).

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Figure 6-20. Asset maintenance and repair budgeting

Budgeting in asset maintenance and repair allows you to do the

following.

• Plan and allocate budget as per the business

requirement

• Monitor and control the consumption of spare parts,

man-hours, and external services when the expense
reaches the specified limit of the budget

• Analyze and make decisions based on available reports

and analytics

Since asset management is seamlessly integrated with other S/4HANA

business applications, budgeting in asset maintenance and repair
processes can be set up in conjunction with the budgeting functionalities
available in other business applications such as finance, project systems,
and controlling. Budgeting in asset maintenance can be implemented in
various ways, such as the following.

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• Using funds management in the Finance module

• Using WBS in the Project System module

• Using the budget profile in the Controlling module

6.3.1. Budgeting Using Funds Management

from the Finance Module
The Funds Management functionality serves to budget for all revenues
and expenditures in individual functional areas of an enterprise, such
as asset management. It controls future fund transactions according to
the allocated budget and prevents exceeding it. The fund management
functionality is integrated with the General Ledger Accounting component
of the finance business application.
Integrating asset management and funds management applications
allows you to oversee asset management processes that involve costs
and require budgeting. As a prerequisite, integration between materials
management and fund management is necessary for budget control
during component issues for maintenance orders and the creation of
external service and non-stock material purchase requisitions from
maintenance orders. Additionally, integration with controlling and fund
management (where FM-CO posting integration is active) is necessary
for budget control during man-hour confirmation (confirmation of
maintenance order operation with costing activity type).
The integration between asset management and funds management
applications is established by maintaining an account assignment from
funds management, such as commitment items, funds center, and funds,
in the header section of a maintenance order.
During maintenance order processing and cost determination
for planned resources, the system automatically selects the account
assignment from the maintenance order.

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The automatic determination of FM account assignment in a

maintenance order occurs if you have entered the required assignments of
FM account elements to CO objects in one of the steps of your derivation
strategy. The system can extract the FM account elements from these
assignments in this case. For instance, it can derive the FM account
assignment from the requesting cost center entered in the technical asset
(functional location, equipment master) of the maintenance order. The FM
account assignment element determined through the account assignment
derivation strategy appears as the default value and cannot be changed.
Alternatively, the FM account assignment can be entered manually.
The following describes the process flow.

1. Maintenance order creation: When a maintenance

order is created, the system determines and
automatically populates an account assignment for
funds management based on the defined derivation
strategy. For manually managing the FM account
assignment, navigate to Extras → Assignments →
Funds Management in the maintenance order.

2. Resource planning: During the planning

of resources for maintenance work, such as
component reservation, purchase requisition for
non-­stock components, and external services, the
system checks the available budget against the
fund center linked to the cost center (such as the
requesting cost center maintained in the technical
asset) entered in the maintenance order’s Account
Assignment tab. If the cost of the required resources
for the order reaches or exceeds the budget limit,
the system prevents the release of the order and the
generation of a purchase requisition.

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3. Operation confirmation: During man-hour

confirmation (confirmation of maintenance order
operation with a costing activity type), the system
checks the available budget. If the cost of the man-­
hours reaches or exceeds the budget limit, the
system does not permit the saving of the completion
confirmation.

Fund management is an application component within the finance

and controlling module, integrating with various modules in S/4HANA,
such as material management, project systems, asset management, and
controlling. Users from the finance and controlling modules carry out
all the necessary customizations. Therefore, customization activities are
outside the scope of S/4HANA Asset Management and are not covered in
this book.

6.3.2. Budgeting Using WBS in the Project

System Module
Managing long-duration and high-cost maintenance work, such as
shutdown maintenance, as a project enables you to allocate a specific
budget to the project. This budget can be monitored and controlled,
assisting you in keeping the costs in check and ensuring that the shutdown
maintenance activities are completed within the allocated financial limits.
Integrating S/4HANA project system and asset management enables
you to link maintenance orders with the WBS project. This integration
facilitates budgeting in maintenance orders, as maintenance costs
incurred during the order processing can be directly allocated to specific
project WBS, aiding in better monitoring and controlling costs.

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The user needs to calculate and allocate the budget to the respective
WBS element to initiate budgeting in maintenance order processing.
The WBS element with the allocated budget must then be entered in the
maintenance order’s WBS element field under the Additional Data tab.
During maintenance and repair planning for the maintenance order,
the system compares the total planned cost for the required resources
in the order with the remaining balance of the allocated budget for the
WBS. The user can save the order if the budget limit is not reached.
However, if the cost of the required resources for the order reaches or
exceeds the budget limit (see Figure 6-21), the system prevents saving the
maintenance order.

Figure 6-21. Maintenance order not allowed to save when budget

limit reached

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Budgeting using WBS does not require any specific customization,

and typically, the existing setup of the project system module is equipped
to start creating relevant master data, such as WBS elements, assigning
budgets for the WBS elements, and defining tolerance limits for the
budgeted value. After setting up the WBS element with a budget and
tolerance limit, the WBS can be used in the maintenance order for budget
control.

6.3.3. Budgeting Using Budget Profile

from the Controlling Module
Another way of managing the budget for maintenance and repair orders
is by using a budget profile from the controlling application. However, in
this approach, the limitation is that you must allocate a budget to a specific
maintenance order or a group of existing orders. This limitation restricts
the usefulness of this approach.

Plan and Assign Budget

To initiate budgeting in maintenance order processing, the user must
appropriately calculate and allocate the budget. In this approach to budget
management, the budget can be allocated for a specific order or a group of
existing orders (see Figure 6-22).

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Figure 6-22. Allocation of budget for maintenance orders or groups

of orders for a year

For example, a company wants to plan for a two-week-long shutdown

maintenance work. The budget for annual shutdown maintenance has
already been planned and released to the department.
For this work, the maintenance planner has created multiple orders.
The planner has grouped all these orders and created an order group. The
planned annual budget assigned for the order group. This budget applies
to each order within the order group for the full year.

Maintenance and Repair Order Processing

During maintenance and repair planning for the orders from the group of
orders, the system compares the total cost for the required resources with
the remaining balance of the allocated budget for the group of orders. The
user can process the order if the budget limit is not reached. However,

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if the cost of the required resources for the order reaches or exceeds
the budget limit, the system does not allow the planned resources to be
utilized (see Figure 6-23).

Figure 6-23. Material issue for maintenance order not allowed when
budget limit reached

When the system does not allow the utilization of resources, the
maintenance planner needs to review and replan the maintenance order
(see Figure 6-24), aiming to reduce the required resources. This ensures
that the maintenance cost does not exceed the allocated budget.

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Figure 6-24. Maintenance orders list with planned costs

Setting up budgeting for maintenance orders involves the following

customization steps.

1. Create a budget profile. To allocate a budget to

maintenance order(s), you must define a budget
profile. This profile includes information such as
the time period for the validity of the budget and
the activation settings for the budget profile, among
other details.

2. Define a tolerance limit. In this customization

step, you set up the tolerance limit for the budgeted
value, such as 80%. This means the system triggers
control measures when the order cost exceeds the
allocated budget of 80% or more.
3. Assign the budget profile to a maintenance order
type. In this customization step, you assign the
budget profile to the maintenance order type for
which budgeting is required.
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Table 6-3 lists important configuration paths related to budgeting in

maintenance order.

Table 6-3. Configuration Path for Important Customization Related

to Budgeting in Maintenance Order
Configuration Step Configuration Path

Maintain budget SAP Customizing Implementation Guide → Controlling →

profile. Internal Orders → Budgeting and Availability Control →
Maintain Budget Profile
Define tolerance limits. SAP Customizing Implementation Guide → Controlling →
Internal Orders → Budgeting and Availability Control →
Define Tolerance Limits for Availability Control
Assign a budget profile SAP Customizing Implementation Guide → Plant
to the maintenance Maintenance and Customer Service → Maintenance and
order type. Service Processing → Maintenance and Service Orders →
Functions and Settings for Order Types → Configure Order
Types

6.4. Summary
The chapter delved into key aspects of managing costs and budgets
in asset maintenance and repair processes. It covered costing in asset
maintenance and repair, where integration with finance and controlling,
account terms in maintenance orders, operation level costing, and
costing value flow were explored. Additionally, topics such as overhead
rates, commitments management, and costing in refurbishment of
subassemblies were discussed with necessary configuration activities.
The chapter examined processes like maintenance order settlement,
business completion, refurbishment order settlement, and the required
configuration activities for cost settlement.

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The chapter concluded with insights into budgeting in asset

maintenance and repair, presenting various approaches to implementing
budgeting in asset management.
This comprehensive chapter equips readers with valuable knowledge
on effectively managing costs and budgets within asset maintenance and
repair processes.

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Asset Management
Integration with Other
S/4HANA Business
Applications
In the dynamic landscape of modern business applications, seamless
integration between various applications is essential for optimizing
processes and achieving operational excellence. This chapter delves into
asset management integration within SAP S/4HANA and its interactions
with other key business applications. By fostering a deep understanding
of integration possibilities, benefits, and practical implementations,
organizations can harness the full potential of their assets and drive
efficiency across their operations. This chapter explores essential
integration points and sheds light on their significance.
The following are some of the key topics covered in this chapter.

• Integration with S/4HANA supply chain applications

• Materials Management

• Production Planning

• Quality Management

© Rajesh Ojha and Chandan Mohan Jaiswal 2023 313

R. Ojha and C. M. Jaiswal, SAP S/4HANA Asset Management,
https://doi.org/10.1007/978-1-4842-9870-1_7
Chapter 7 ASSET MANAGEMENT INTEGRATION WITH OTHER S/4HANA BUSINESS
APPLICATIONS
• Integration with S/4HANA Financial Accounting and
Controlling

• Integration with S/4HANA Project System

• Integration with S/4HANA Environment, Health,

and Safety

Integrating modules in SAP S/4HANA means ensuring that different

software parts work together smoothly. In S/4HANA, there are various
modules (individual business applications), such as asset management,
finance, inventory, sales, and human resources, and each module handles
specific tasks. When you integrate these modules, it implies that they can
share information and communicate with each other.
For example, there’s a machine breakdown reported in the asset
management module. When integrated with other modules (see
Figure 7-1), like inventory management and purchasing, the system
can automatically check if there are enough spare parts in stock for
the maintenance job. If not, it can trigger a purchase requisition in the
purchasing module to order the required parts.

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Figure 7-1. Integration among different S/4HAAN business

applications

The following explains some of the benefits of application integration.

• Streamlined processes: Integrating asset management

with other modules in S/4HANA eliminates redundant
data entry and manual handoffs between departments.
This streamlines workflows, reducing errors and
improving overall efficiency.

• Real-time visibility: Integration provides real-time

data exchange between modules, allowing better
visibility into material availability, quality inspection
results, production schedules, and financial and
costing reports. This enables quicker decision-making
and better resource planning.

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• Reduced downtime: Integration with quality
management allows immediate inspection of materials
and products. This helps identify defects early,
preventing production issues and reducing downtime
caused by faulty equipment or materials.

• Optimal spare parts management: Integration

with Materials Management ensures that the right
spare parts are available when needed, minimizing
downtime due to equipment breakdowns.

7.1. Integration with S/4HANA Supply

Chain Applications
S/4HANA Asset Management helps businesses manage their
asset maintenance process efficiently. When integrated with other
S/4HANA Supply Chain modules, like Materials Management (MM),
Quality Management (QM), and Production Planning (PP), it forms a
comprehensive solution that optimizes the entire maintenance process by
sharing data among these modules.

7.1.1. Materials Management
S/4 HANA Asset Management and Materials Management (procurement
and inventory) are two essential modules in the S/4HANA Business Suite
that help businesses maintain their assets and manage their material
effectively. Next, let’s discuss a few important integrations between these
two modules.

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Initiating a Materials Purchase Requisition from a
Maintenance Order
For the maintenance and repair of an asset, sometimes you need materials
that are not part of the regular inventory (non-stock materials). For example,
it could be a specialized high-cost spare part or a one-time purchase item.
If you realize that these non-stock materials are required when planning a
maintenance order, you can automatically create a purchase requisition by
entering the non-stock material details, such as the material master number,
required quantity, and issuing plant and releasing the maintenance order.
Releasing the order automatically creates a purchase requisition for the
required material and quantity. The purchasing department then takes your
purchase requisition and proceeds with the purchase of the material by
converting the purchase requisition to a purchase order. When the vendor
supplies the material, the maintenance order is debited with the cost of the
material upon goods receipt in the Materials Management module.

Initiating an External Service Purchase Requisition

from a Maintenance Order
Similar to the purchase requisition for non-stock materials, if you need any
specialized workmanship (such as the calibration of an electronic system
or specialized welding) from an external supplier, you can automatically
create a service purchase requisition.
The maintenance order provides two types of procurement processes
for the processing of an operation externally by an external vendor.

Procurement of Service
For a maintenance order operation that needs to be processed by an
external vendor, and where the vendor delivers the required service at the
customer’s location where the technical asset is maintained (meaning
the technical asset is not required to be sent to the vendor’s location,

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and therefore, goods movement of the technical asset is not required),
you need to select control key PM03 for the operation. For example, the
calibration of a large weighing scale needs to be done by an external
vendor, and the vendor performs the calibration at the location where the
weighing scale has been commissioned.
An operation with a PM03 control key is not required to be scheduled,
and capacity requirements are not generated for the maintenance work
center. After entering the control key PM03 and other purchasing-related
details (e.g., the service master number, required quantity, and releasing
the maintenance order), a purchase requisition is automatically created.
The purchasing department then takes your purchase requisition and
proceeds with the procurement of external services. A service entry must
be performed in the Materials Management application to confirm the
operation’s completion.

Subcontracting for an Operation

If a maintenance order operation needs to be processed by an external
vendor through subcontracting, wherein the technical object may need to
be sent to the external vendor’s location, then you must select control key
PM02. For example, a large electrical motor requires rewinding, and for
this, the technical asset housing the motor needs to be sent to the vendor’s
location since the machines and tools used for rewinding are installed at
the vendor’s location. Goods movement of the technical asset is required
so that the technical asset can be issued to the vendor.
An operation with a PM02 control key can be scheduled; capacity
requirements are generated. A purchase requisition is automatically
created after entering the PM02 control key and releasing the maintenance
order. The purchasing department then takes your purchase requisition
and proceeds with the procurement process. After the completion of the
required activity by the external vendor, a goods receipt needs to be posted
in Materials Management to finalize the delivery of the purchase order.

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 eserving, Issuing, and Costing of Inventory Material
R
from a Maintenance Order
For the maintenance of an asset, while planning a maintenance order,
you can reserve all the required materials (spare parts) to carry out
maintenance operations (tasks). Upon releasing the order after planning,
the system automatically creates reservations for the planned materials
in the Materials Management module. On the Materials Management
module’s inventory side, the planned materials’ required quantity is
reserved for the maintenance order (see Figure 7-2). This implies that a
requirement for the necessary material and quantity is generated, and
both the warehouse clerk and any other requester can view the total
available quantity and total reserved quantity for the material. Upon
issuing the planned materials to the maintenance order, the order is
debited with the cost of the material. Additionally, as part of the financial
accounting, the corresponding G/L account entries (debit and credit)
happen automatically.

Figure 7-2. Asset Management and Materials Management

integration

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7.1.2. Production Planning
Generally, assets (such as machines, equipment, and assembly lines) are
employed in the manufacturing process by using them as production work
centers. Consequently, if a maintenance order is created and released
for carrying out maintenance work for an asset, the production planner
should have the ability to view all released maintenance orders in their
planning report (e.g., planning board) for those production orders where
the production work center consists of the under-maintenance asset.
To accomplish this, the production work center code must be entered
in the master data of the technical asset (equipment master’s location data
section).
In the header section of the open maintenance and repair order, the
“0 – Not in operation” value in the System Condition field must be selected
(see Figure 7-3). The maintenance order must be released for execution.

Figure 7-3. Integration between asset (equipment master) and

production capacity planning

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The capacity planning report shows the maintenance order (see
Figure 7-4). When the production planner tries to dispatch the production
order per the planned schedule, it is moved to the next/previously
available capacity based on the scheduling strategy. If the production
department needs to use this planned schedule for production, the
maintenance order must be moved out of this planned timeline. This can
be done by rescheduling the maintenance order.

Figure 7-4. Production work center capacity is not available due to

scheduled maintenance order

7.1.3. Quality Management
Inspecting an asset based on the recommended schedule is required to
ensure that the asset meets the quality standard mandated by quality
control, which is legally binding. Asset management is integrated with
quality management and supports the inspection checklist process, from
creating the inspection plan to the resulting recording and follow-up
actions in asset management.

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To plan the inspection of assets, maintenance planning, and
scheduling functionalities are being used to generate maintenance
orders regularly as per the required schedule. The inspection checklist
(inspection lot) in quality management is generated and assigned to the
maintenance order based on

1. The classification data is maintained for the

technical asset and inspection plan.

2. The checklist type is assigned to the operation of a

maintenance order

The following lists important master data (see Figure 7-5) for the
inspection checklist process.

• Equipment master, functional location (technical asset)

• Task list

• Maintenance plan

• Quality management inspection plan

Figure 7-5. Inspection checklist master data

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Process Flow
Each inspection job is initiated with a maintenance order created using a
maintenance plan. The characteristics data of classification maintained in
each inspection plan is compared with the classification of the technical
asset and the checklist type of an operation in the maintenance order. The
complete inspection checklist process comprises the following.

1. Create a maintenance order from the maintenance

plan (or manually for ad hoc inspection).

2. Generate object list (automatically or manually).

3. Create an inspection checklist based on the

object list.

4. Record results for inspection lot (checklist items)

based on inspection lot characteristics.

5. Select a usage decision for the inspection list.

6. Confirm resources and complete

maintenance order.

7. Continue with follow-up actions after the usage

decision for the inspection lot.

Object Lists
At the time of maintenance order generation or after the order is created,
an object list is generated from the header section of the maintenance
order or objects from the maintenance plan item. Subsequently, during
inspection checklist generation, each technical object (equipment,
functional location) in the object list is checked to find a matching
inspection plan.

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Inspection Checklist and Inspection Lot

After the object list is generated and inspection plans for each technical
object have been found, a new inspection lot is created, which can be
viewed in the Checklists tab.

 esult Recording and Usage Decision

R
for Inspection Checklist
The user needs to record the inspection result based on the inspection
lot’s characteristics. You can set a usage decision based on the inspected
results. When you set a usage decision, all follow-up actions defined are
executed for the selected inspection lot and maintenance order.

7.2. Integration with S/4HANA Financial

Accounting and Controlling
Integration between S/4HANA Finance, Controlling, and Asset
Management ensures a smooth data flow and coordination between
financial accounting and maintenance management. It helps maintain
accurate asset and equipment information, enables activity-based costing
for maintenance operations, and allows proper settlement of incurred
costs to relevant financial destinations. This integration ultimately
enhances an organization’s overall efficiency of financial and maintenance
processes. The following are important integrations among these modules.

• Asset master and equipment master synchronization

• Costing value flow in maintenance order

• Maintenance order cost settlement to cost object

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7.2.1. Asset Master and Equipment
Master Synchronization
In the S/4HANA Finance application, the asset master is created in relation
to specific equipment or functional locations in the asset management
module. Depending on the organization’s process regarding the price value
of a technical object (equipment/machines/assembly lines), the object is
created as an asset master in finance alongside the creation of the equipment
master or functional location in the plant maintenance (asset management)
module. Since both the equipment master and asset master represent a
single technical object, it is crucial to maintain accurate and consistent
master data for reliable business transactions and reports on these data.
The main difference between asset master and equipment master is
that the asset master is a central record that contains detailed information
about important assets owned by a company, such as machinery, vehicles,
or buildings. It serves as a single source of truth for all asset-related data,
including purchase information, depreciation values, and useful life.
On the other hand, the equipment master in plant maintenance (asset
management) stores essential information about specific equipment or
machinery that needs maintenance and monitoring. It includes details like
equipment type, technical specifications, and maintenance history.
Synchronization between the asset master and equipment master
ensures that when you create or update information about an asset in
the asset master, it automatically synchronizes with the corresponding
equipment master in asset management. The synchronization can
also be set up in reverse order so that whenever an equipment master
in asset management is created or changed, the corresponding asset
master is created or changed respectively in finance’s asset accounting.
This synchronization helps maintain consistency and accuracy between
financial data (asset details) and maintenance data (equipment details)
throughout the system.

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Information synchronized in the master data includes company
code, plant, manufacturer, and cost center. To link the asset master and
equipment master for synchronization (see Figure 7-6), the asset master
number is maintained in the Asset field in the Organization tab of the
equipment master.

Figure 7-6. Asset master and equipment master synchronization

7.2.2. Costing Value Flow in Maintenance Order

Costing in maintenance orders is a way to track and manage the expenses
related to maintenance activities in a business. It helps organizations keep
a close eye on the costs incurred during the maintenance process (see
Figure 7-7), such as servicing equipment, repairing machinery, or any
other maintenance-related activities.

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Figure 7-7. Costing value flow between maintenance order and

cost objects

During maintenance, inspection, and repair of a technical object using

a maintenance order in asset management, the order gets debited with
planned costs when the required resources, such as spare parts and man-
hours, have been planned, and the order has been released (dispatched).
The order is debited again with the actual cost when the planned spare
part has been consumed, or the utilized man-hours have been confirmed
(see Figure 7-8).

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Figure 7-8. Costing value flow between maintenance order and

cost objects

7.2.3. Maintenance Order Cost Settlement

to Cost Object
Settlement is a cost allocation process, fully or partially, from one cost
object to another. Settling the maintenance and repair order transfers the
costs from the order to the relevant cost centers or other cost objects (see
Figure 7-9) where these expenses belong. This way, the financial reports
become accurate, and you can better understand the true financial impact
of the maintenance activities related to asset management.
During the completion phase of the maintenance order, the order is
settled to an actual cost receiver, which means the order is credited by
allocating its debit to the receiving cost object.

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For example, in a manufacturing industry, the settlement receiver
can be a cost center of the repaired technical object. This means the
maintenance order collects all the resource costs for reporting and analysis
at the maintenance order level. Subsequently, the cost is transferred to
receiving cost objects where these expenses belong.

Figure 7-9. Various types of cost settlement receivers in maintenance

order settlement

7.3. Integration with S/4HANA

Project System
Project System (PS) is like a smart organizer for big tasks. It helps
companies plan, manage, and track projects, like building a new factory
or launching a product. It keeps all the details in one place, so everyone
knows what’s going on, what needs to be done, and how much it’s costing.

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Integrating the Project System and Asset Management applications
allow you to link maintenance orders with the work breakdown structure
(WBS) project. This integration enables accurate cost tracking, as
maintenance costs incurred during the shutdown can be directly allocated
to specific WBS projects, helping in better cost analysis and reporting.
Organizations treat large and long-duration maintenance jobs, such
as shutdown maintenance, as a project in Project System because it offers
several benefits that can help streamline and improve the management of
maintenance activities during planned shutdowns. The following are some
of the key advantages.

• Structured planning: Treating shutdown maintenance

as a project allows you to create a well-structured plan
that outlines all the tasks, resources, and timelines
required for the maintenance activities.

• Budget management: Managing shutdown

maintenance as a project enables you to allocate a
specific budget to the project. This budget can be
monitored and controlled, helping you keep the costs
in check and ensuring that the maintenance activities
are completed within the allocated financial limits.

7.3.1. Settlement of Maintenance Order to WBS

in Project System
You need to maintain the WBS as an account assignment in the Location
tab of the maintenance order and as a settlement receiver in the settlement
rule of the order. Once the order execution is complete, the order is settled
to the WBS. All the costs in the maintenance order are transferred to the
WBS (see Figure 7-10). This enables tracking and managing maintenance
costs within your larger project, using the WBS as a connecting point.

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Figure 7-10. Settlement of maintenance order to WBS in

Project System

The prerequisite customization to allow WBS as a settlement receiver

in a maintenance order is to set the settlement receiver category as WBS
optional (see Figure 7-11) in the settlement profile used for the order type.

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Figure 7-11. Settlement receiver is WBS optional in settlement profile

7.3.2. Budgeting for Maintenance Order Using

the WBS in Project System
Another integration possibility between the Asset Management and
Project System applications is budgeting for maintenance orders using
the WBS.
Budgeting in the maintenance and repair of assets refers to the
process of setting, monitoring, and controlling the costs associated
with performing large and high-cost maintenance activities on assets
(equipment/machines/assembly lines). It helps plan and control

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expenses related to maintenance activities. At the start of maintenance
order processing, the user must calculate and allocate the budget to the
respective WBS element. The WBS with the allocated budget must be
maintained in the “WBS element” field under the Additional Data tab of
the maintenance order.
During maintenance and repair planning for the maintenance order,
the system compares the total planned cost for the required resources
in the order with the remaining balance of the allocated budget for the
WBS. The user can save the order if the budget limit is not reached.
However, if the cost of the required resources for the order reaches or
exceeds the budget limit (see Figure 7-12), the system does not allow you
to save the maintenance order.

Figure 7-12. Maintenance order not allowed to save when budget

limit reached

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7.4. Integration with S/4HANA Environment,

Health, and Safety (EHS)
S/4HANA EHS deals with environment, health, and safety. It’s an
application module that helps companies take care of essential business
processes, such as ensuring a safe environment, maintaining employee
health, and adhering to regulations to protect everyone. This module aids
businesses in managing aspects like safety procedures, health regulations,
and environmental responsibilities, ensuring they take appropriate
measures to keep everyone safe and well.
EHS and Asset Management can be integrated if required. Next, let’s
discuss the two key integrations between these two modules.

7.4.1. Importing Technical Objects as Locations

in EHS from Asset Management
In S/4HANA EHS, a location refers to a designated area, facility, or
geographical site within an organization’s operations where specific EHS-
related activities, processes, or incidents occur. It serves as a categorization
and organizational tool, enabling the linkage of EHS data and processes
to particular physical or virtual spaces. This aids in effective tracking,
reporting, and compliance management.
Technical objects such as equipment masters and functional locations
from asset management (plant maintenance) can be imported and used
as locations in EHS. The advantage of this is that you do not have to
enter duplicate data; the foundational data for these locations originates
from asset management. Alternatively, you can link existing locations
in EHS Management with technical objects from asset management.
Consequently, the system inserts the location into the location structure,
making it available for various business processes within the application,
such as reporting incidents (see Figure 7-13).

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The following are prerequisites.

• Enable Asset Management integration in Customizing

for Incident Management or Risk Assessment in
S/4HANA EHS Management.

• Specify location types in Customizing for Incident

Management or Risk Assessment in S/4HANA EHS
Management.

Figure 7-13. Importing EHS locations from Asset Management

7.4.2. Triggering Maintenance Notification

from S/4HANA EHS Incident Management
The incident functionality in EHS supports you in capturing, processing,
and completing events related to work. Here, an event represents
everything you must capture or wish to record, such as personal injuries,
accidents, damage to facilities, and any abnormalities-related findings.

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During incident creation, you can initiate maintenance notifications
within the incident management to request the maintenance and repair
work required to prevent and rectify an unsafe condition. The user needs
to select a notification type. The system assigns a notification ID and adds
the maintenance notification as a new process in the Tasks table, and the
process appears in the Task Processes table.
For example, a maintenance notification (see Figure 7-14) is created to
investigate the root cause of excessive noise from an air handling unit and
resolve the problem to stop noise pollution and other risks.
As a prerequisite, if you wish to add notifications, ensure that
integration is set up for the corresponding systems.

Figure 7-14. Maintenance notification generation from EHS incident

management

7.5. Summary
This chapter delved into the crucial integration of Asset Management
with various other S/4HANA business applications. It underscored the
paramount importance of seamless integration, showcasing how these
connections enhance operational efficiency, cost management, and
overall business performance.

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Innovation with
Asset Management
This chapter discusses master data—the foundational elements crucial for
managing assets effectively—in SAP Enterprise Asset Management.

8.1. SAP Intelligent Asset

Management Suite
SAP Intelligent Asset Management (IAM) is a comprehensive solution
that leverages digital technologies to optimize the management of
physical assets within an organization. It encompasses a set of tools,
applications, and capabilities designed to enhance asset performance,
reduce downtime, improve maintenance practices, and drive operational
efficiency.
SAP IAM constitutes an essential element of the SAP Intelligent
Enterprise framework. Within the realm of SAP IAM, SAP’s interconnected
digital twin ecosystem synchronizes the virtual, physical, condition-
related, and commercial definitions of assets and products in real time.
This synchronization expedites innovation, optimizes operational
performance, anticipates service needs, enhances diagnostic capabilities,
and elevates decision-making quality.

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Chapter 8 Innovation with Asset Management

This network of digital twins facilitates a cooperative end-to-end

digital transformation spanning the stages: design and manufacturing,
operations and maintenance, and service and end-of-life management.
This, in turn, supports the following.

• The seamless exchange of digital twin data across all

organizational departments

• Collaborative interaction with suppliers, customers,

and service providers throughout the entire lifecycle

• Pioneering innovative business models for products

and services

You see the following advantages on the enterprise level.

• Leverages data assets for expedited achievement of

desired outcomes with reduced risk

• Enables employees through the automation of

processes

• Foresees and takes initiative-taking actions to address

customer requirements

• Innovates novel business models and sources

of revenue

The SAP IAM portfolio (see Figure 8-1) encompasses a range of

deployment options, including cloud-based, on-premise, and mobile
solutions. This variety of deployment models caters to diverse customer
preferences.

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Figure 8-1. SAP IAM portfolio

The following is included in the portfolio.

• SAP Cloud Solutions for Intelligent Asset Management

• SAP S/4HANA Cloud Asset Management

• SAP S/4HANA On-Premise Asset Management

• SAP ERP Asset Management

• SAP Asset Manager

• SAP Work Manager

• SAP Multiresource Scheduling

• SAP S/4HANA Asset Management for Resource

Scheduling

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8.2. SAP IAM Cloud Solutions

SAP IAM portfolio includes cloud-based solutions that aim to enhance
asset management practices using intelligent technologies. Figure 8-2
illustrates some SAP IAM Cloud Solutions.
• SAP Asset Intelligence Network: This cloud-
based solution provides a collaborative platform
for connecting manufacturers, operators,
and maintenance personnel. It offers a digital
representation of assets, enabling stakeholders to share
and access information about asset specifications,
documentation, and maintenance requirements.

• SAP Predictive Asset Insights: This solution utilizes

predictive analytics and machine learning to forecast
equipment failures and suggest maintenance actions
before issues arise. It helps organizations optimize
maintenance schedules and reduce unplanned downtime.

• SAP Asset Performance Management: This solution

assists in developing asset management strategies
based on historical data, performance goals, and
industry best practices. It helps align maintenance
strategies with business objectives and optimize asset
performance.

• SAP Asset Central: This solution provides a

centralized platform for managing asset information,
maintenance records, and documentation. It aims to
improve collaboration among maintenance teams and
streamline maintenance processes.

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• SAP Mobile Asset Management: While not exclusively

part of the IAM portfolio, this cloud-based solution
integrates with SAP Intelligent Asset Management to
manage field service operations efficiently. Features
include scheduling, resource allocation, and mobile
access for field technicians.

Figure 8-2. SAP IAM overview

8.3. SAP Business Network

Asset Collaboration
SAP Business Network Asset Collaboration focuses on leveraging digital
platforms and networks to facilitate collaboration and information
exchange among various stakeholders involved in the lifecycle of assets.
This collaborative approach connects manufacturers, suppliers, operators,
maintenance teams, service providers, and other relevant parties through a
shared digital ecosystem. The goal is to enhance visibility, communication,
and coordination throughout the asset’s lifecycle, from design and
manufacturing to operation, maintenance, and even end-of-life stages.

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The following are key features of SAP Business Network Asset

Collaboration.

• Digital twin sharing: A digital twin is a virtual

representation of a physical asset or product. In asset
collaboration, stakeholders can share and access digital
twin data, specifications, documentation, and performance
information. This fosters a collective understanding of the
asset’s characteristics and requirements.

• Real-time data exchange: Through connected sensors

and IoT devices, real-time data about asset conditions,
performance, and usage can be collected and shared
among relevant parties. This enables initiative-
taking decision-making and timely responses to
maintenance needs.

• Supplier collaboration: Manufacturers and suppliers

can collaborate to ensure that asset components and
parts are high quality and meet specifications. Supplier
collaboration can also involve sharing maintenance
and service information for the assets they provide.
• Maintenance and service coordination: Maintenance teams,
both in-house and external service providers, can collaborate
to optimize maintenance schedules, share diagnostic data,
and execute maintenance tasks more efficiently.

• Lifecycle transparency: All stakeholders gain

transparency into the asset’s lifecycle stages,
including design, production, installation, operation,
maintenance, and eventual retirement or replacement.
This transparency aids in making informed decisions at
every stage.

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• Risk mitigation and compliance: Collaborative

asset management can help organizations ensure
compliance with regulatory requirements and safety
standards. It also enables identifying and mitigating
potential risks associated with asset operation.

• Innovation and continuous improvement:

Collaboration can lead to innovative solutions
and continuous improvement efforts as different
stakeholders bring their expertise to the table. This can
result in enhanced asset performance and extended
asset lifecycles.

Business Network Asset Collaboration often involves using digital

platforms, cloud-based solutions, and emerging technologies such as the
IoT, artificial intelligence (AI), and data analytics. By bringing together
various stakeholders and data sources, organizations can optimize asset
management strategies, reduce downtime, and achieve better operational
outcomes.
SAP Asset Intelligence Network, an Internet of Things (IoT)
application, is seamlessly integrated into SAP BTP. It is a global
equipment registry employing standardized definitions shared
among various business partners, including manufacturers, original
equipment manufacturers (OEMs), operators, and service providers. This
collaborative sharing leads to the development of innovative business
models that drive real operational excellence.
SAP Asset Intelligence Network offers a virtual platform for fostering
collaboration on products and assets. The interconnected network of
digital twins facilitates secure access, sharing, and governance of data on a
global scale.

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The following are some notable features.

• Facilitating secure collaboration within your

business network

• Enabling collaboration among manufacturers,

operators, and service providers across the network
regarding asset information

• Streamlining collaborative efforts through a

unified view

• Establishing a single network channel for the electronic

transfer of technical assets and maintenance data

• Enhancing the reliability of data

• Reducing the need for frequent master data updates

Manufacturers contribute by releasing models with the desired

content, encompassing manuals, drawings, installation instructions, repair
guides, spare parts information, attributes, and counters. Suppliers play a
role by providing spare parts data and other relevant content.
Asset data and associated information can be collaboratively
exchanged through the SAP Asset Intelligence Network, referred to as
“shared data,” and synchronized with interconnected SAP ERP systems.
Shared data updates are seamlessly integrated into the SAP ERP
system upon equipment sharing or the publication of revised shared
equipment models.

• Designing and generating equipment models

• Ensuring equipment synchronization between the

cloud and back end

• Utilizing the Lookup feature

• Employing Smart Matcher for maintenance processes

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• Initiating model requests

• Creating equipment requests

SAP Asset Intelligence Network offers a virtual platform for fostering

collaboration on products and assets. The interconnected network of
digital twins facilitates secure access, sharing, and governance of data on a
global scale. Notable features include the following.

• Facilitating secure collaboration within your

business network

• Enabling collaboration among manufacturers,

operators, and service providers across the network
regarding asset information

• Streamlining collaborative efforts through a

unified view

• Establishing a single network channel for the electronic

transfer of technical assets and maintenance data

• Enhancing the reliability of data

• Reducing the need for frequent master data updates

Manufacturers contribute by releasing models with the desired
content, encompassing manuals, drawings, installation instructions, repair
guides, spare parts information, attributes, and counters. Suppliers play a
role by providing spare parts data and other relevant content.
Asset data and associated information can be collaboratively
exchanged through the SAP Asset Intelligence Network and synchronized
with interconnected SAP ERP systems. Shared data updates are seamlessly
integrated into the SAP ERP system upon equipment sharing or the
publication of revised shared equipment models.

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The following object data can be shared.

• Equipment

• Functional Location

• Model

• Spare Part

• System

• Announcement

• Document

• Improvement Request

• Instruction

• Failure Mode (with Cause and Effect)

• Indicator

• Group

• Template

• Function
• Alert Type and Alert Type Group

• Maps and Geospatial data

• Notification

• Work order

8.3.1. Business Benefits
SAP Asset Intelligence Network provides several business benefits (see
Figure 8-3) for manufacturers, asset owners, and service providers.

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The following are some of the advantages to manufacturers.

• Enhanced collaboration: Manufacturers can

collaborate more effectively with various stakeholders,
such as asset owners and service providers, which
improves communication and alignment.

• Product visibility: They can showcase their products

more comprehensively by sharing detailed information
like manuals, drawings, installation instructions, and
repair guides, enhancing customers’ understanding
and confidence in their products.

• Faster time-to-market: Manufacturers can expedite

the introduction of new products by streamlining the
distribution of technical data, which accelerates the
equipment’s integration and deployment.

• Market expansion: By participating in a collaborative

network, manufacturers can access new markets
and customers, expanding their reach and potential
revenue streams.

• Data-driven insights: The network enables

manufacturers to gather insights from shared data to
inform product improvements and innovation based
on real-world usage and performance.

The following are some of the advantages to asset owners.

• Centralized information: Asset owners benefit from

having a single, unified platform for managing and
accessing information related to their assets, reducing
the complexity of maintaining multiple data sources.

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• Optimized maintenance: Access to up-to-date

technical information, maintenance instructions,
and spare parts details helps asset owners optimize
their maintenance processes, reducing downtime and
operational disruptions.

• Improved decision-making: Real-time access to

asset data enables more informed decision-making,
supporting strategies like predictive maintenance and
lifecycle management.

• Collaborative network: Asset owners can interact

directly with manufacturers and service providers on
the platform, fostering collaboration and enhancing
overall operational efficiency.

• Data accuracy: By utilizing standardized data shared

on the network, asset owners can improve the accuracy
and reliability of their asset information, reducing
errors and minimizing risks.

The following are some of the advantages to service providers.

• Efficient service delivery: Service providers can

access accurate and detailed information about assets,
enabling them to offer better and more targeted
maintenance and repair services.

• Proactive maintenance: With access to real-time

data, service providers can transition from reactive to
proactive maintenance strategies, addressing potential
issues before they lead to costly breakdowns.

• Collaboration: Collaboration with manufacturers

and asset owners allows service providers to better
understand clients’ needs and offer tailored solutions,
fostering stronger customer relationships.
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• Reduced downtime: Quick access to relevant technical

information and spare parts details contributes to
faster service delivery, minimizing asset downtime and
improving overall operational continuity.

• Business growth: By participating in a collaborative

ecosystem, service providers can expand their
customer base, improve service quality, and ultimately
grow their business.

Figure 8-3. SAP Business Network Asset Collaboration benefits

In summary, the SAP Asset Intelligence Network facilitates enhanced

collaboration, streamlined information sharing, improved maintenance
practices, and greater business opportunities for manufacturers, asset
owners, and service providers, leading to operational excellence and
mutual growth.

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8.4. SAP Predictive Asset Insights

SAP Predictive Asset Insights is a predictive maintenance and asset
management solution. It is designed to help businesses proactively
manage their assets and equipment by utilizing advanced analytics and
predictive modeling techniques (see Figure 8-4).
SAP Predictive Asset Insights is built to address the following key
aspects.

• Predictive maintenance: The solution uses data

collected from various sources, such as sensors and
operational systems, to analyze the performance and
condition of assets in real time. Predictive analytics
aims to forecast when maintenance is needed, allowing
organizations to perform maintenance activities before
equipment failures occur. This approach helps prevent
unexpected downtime, reduces maintenance costs,
and enhances operational efficiency.

• Anomaly detection: Using machine learning

algorithms, the solution identifies anomalies or
deviations from normal asset behavior. It can detect
patterns that indicate potential issues or irregularities
in asset performance, alerting maintenance teams to
investigate and take necessary actions.

• Data visualization and insights: SAP Predictive Asset

Insights provides visualizations and insights based on
the analyzed data. These insights help maintenance
teams and decision-makers understand asset health,
usage trends, and potential risks more easily, enabling
them to make informed decisions.

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• Integration: The solution is typically integrated with

various data sources, such as the IoT sensors, historical
maintenance data, and other operational systems. This
integration ensures that it has access to relevant and up-
to-date information for accurate predictive modeling.

• Cloud-based solutions: SAP Predictive Asset Insights

is a cloud-based solution that allows organizations to
deploy and manage it more easily without significant
on-premises infrastructure requirements.

SAP Predictive Asset Insights is an IoT application with an array of

functions accessible via the SAP Fiori launchpad. The associated business
advantages encompass the following.

• Mitigating costly disruptions through anticipating

equipment malfunctions is achieved by processing
extensive volumes of information technology (IT) and
operational technology (OT) data using advanced
machine learning algorithms

• Harnessing insights from sensor data enhances product

quality, reliability, and overall customer satisfaction
• Effective management of intricate asset (equipment)
structures

• Establishment of an asset network collaboration,

promoting enhanced service and maintenance
processes

SAP PAI offers the following functionalities.

• Sensor integration and alert management

• Utilization of machine learning techniques

• Analytical capabilities

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Figure 8-4. SAP PAI capabilities

8.5. SAP Asset Performance Management

SAP Asset Performance Management is a software solution provided
by SAP that aims to help organizations effectively manage their asset
strategies, optimize maintenance processes, and enhance overall asset
performance. The following are key components and features typically
associated with SAP Asset Performance Management.

• Strategy formulation: The solution assists in

creating asset management strategies by considering
factors such as asset criticality, risk assessment, and
regulatory compliance. It helps organizations develop
maintenance plans and strategies that align with
business goals.

• Performance monitoring: It enables real-time

monitoring of asset performance and health. The
solution offers insights into asset conditions and
performance metrics by integrating data from various
sources, including sensors and operational systems.

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• Predictive analytics: The solution incorporate

spredictive analytics to anticipate potential asset
failures and issues. Analyzing historical data
and utilizing machine learning algorithms can
forecast when assets might require maintenance or
replacement.

• Condition-based maintenance: Based on real-

time data and predictive insights, organizations can
shift from traditional time-based maintenance to
condition-based maintenance. This approach ensures
maintenance is performed when necessary, reducing
downtime and unnecessary maintenance activities.

• Risk management: The solution helps identify and

assess risks associated with assets. By understanding
potential risks, organizations can make informed
decisions about maintenance priorities and resource
allocation.

• KPI tracking: Key Performance Indicators (KPIs)

are tracked to evaluate the effectiveness of asset
management strategies and processes. This assists
in measuring the impact of decisions on asset
performance and overall business outcomes.

• Integration: SAP Asset Performance Management

can be integrated with other enterprise systems, such
as Enterprise Asset Management (EAM) or Enterprise
Resource Planning (ERP) systems, to ensure seamless
data flow and synchronization of asset-related
information.

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• Data visualization: The solution offers dashboards

and visualizations that enable users to monitor asset
performance, view historical trends, and make data-
driven decisions.

Overall, SAP Asset Performance Management aims to empower

organizations to make proactive and informed decisions regarding their
asset management strategies, leading to improved reliability, reduced
operational costs, and enhanced operational efficiency. It is designed
to optimize asset performance, extend asset lifecycles, and align asset
management with broader business objectives.
SAP Asset Performance Management (see Figure 8-5) empowers
reliability engineers to evaluate asset health indicators and ongoing
performance, aiding in assessing maintenance strategy efficacy.

Figure 8-5. SAP Asset Performance Management

SAP APM encompasses the following functionalities.

• Identification of vital assets

• Generation of risk scores

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• Development of assessments

• Selection of the optimal analytical approach (RCM,

FMEA, PM Review)

• Provision of maintenance recommendations rooted in

RCM and FMEA insights

Criticality is contingent upon the level of risk. Risk is conventionally

computed by multiplying the probability of failure by the consequence
of said failure. Consequently, heightened risk corresponds to heightened
equipment criticality. The assessment of criticality relies on the definition
of predetermined thresholds. This process accommodates the definition of
technical and financial risks, which can be specified at the dimension level
within an assessment template.
Normalized risk is a percentage figure that represents risk. Its purpose
is to enable reliability engineers to compare the risk associated with an
“air compressor” against that of an “electrical bulb.” The intention is to
equalize the evaluation for both objects.
The following describes risk type scores across the risk lifecycle.

• Current/existing/initial risk: This constitutes the risk

assumed during the installation of new equipment or
when conducting an initial risk assessment.

• Mitigated risk: This quantifies the amount of risk that

has been reduced after executing actions like work
orders, redesigns, replacements, or training.

• Unmitigated risk: This signifies the residual risk

between the other two stages.

Figure 8-6 illustrates the steps to implement SAP APM.

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Figure 8-6. Steps to implement SAP APM

1. Specify systems and assets for analysis. Asset

Central Foundation facilitates the structuring of
asset data using templates aligned with established
ISO standards such as ISO 14224. This encompasses
models, equipment, locations, systems, groups,
spare parts, documents, and failure modes, all
integrated within Asset Central Foundation.

2. Determine critical assets. Through risk and

criticality assessment, assets are arranged in order
of risk and criticality, serving as a foundation for
subsequent analysis. This entails constructing
a matrix that juxtaposes the consequence of
failure against the probability of failure. Following
the execution of assessments (e.g., for specific
equipment), the risk score and risk type score
difference can be accessed within the Assessment
tab’s Highlights screen.

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3. Conduct an analysis. Employ well-established

methodologies such as reliability-centered
maintenance (RCM), failure modes and effects
analysis (FMEA), risk-based inspection (RBI),
and root cause analysis (RCA) to discern the most
suitable maintenance approaches for your assets.

4. Formulate recommended actions. The outcome of

RCM/FMEA yields suggestions for preventive and/
or corrective tasks. The Preventive Maintenance
Review (PMR) application oversees these
recommendations, facilitating the creation of
published instructions.

5. Generate recommendations as the conclusive phase

of the RCM or FMEA assessment based on the
following options.

• Existing Instructions

• Imported Preventive Maintenance Tasks (Task Lists

“filtered” by Technical Object Maintenance Plans)

• Placeholder Instructions (utilize existing or

generate new ones)

• Imported Tasks (Task Lists)

6. Construct or associate instructions with the

recommendations.

7. Upload them to S/4HANA using a .csv file.

8. Execute maintenance strategies. Enact

the instructions within the maintenance
management system.

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9. Monitor and enhance. Continuously oversee the

performance and efficacy of the maintenance
strategies.

8.6. SAP Mobile Asset Manager

SAP Mobile Asset Manager or Asset Manager is a mobile application
developed by SAP. It is designed to enable organizations to effectively
manage and maintain their assets using mobile devices. This application is
typically integrated with SAP’s broader asset management solutions, such
as EAM or PM modules, to extend asset management capabilities to field
technicians and mobile users.
The following are key features and functions associated with SAP
Mobile Asset Manager.

• Mobile asset management: The application allows

field technicians and maintenance personnel to access
critical asset information and perform various asset
management tasks directly from their mobile devices.
This includes viewing equipment details, recording
maintenance activities, and updating asset status.
• Work management: Field technicians can receive and
manage work orders on mobile devices. This enables
them to view work order details, access relevant
documentation, update work order status, and report
the completion of tasks in real time.

• Asset inspections: The application supports asset

inspections, allowing users to perform routine
inspections, capture inspection data, and report any
issues or anomalies directly from the field.

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• Offline capabilities: SAP Mobile Asset Manager

offers offline functionality, enabling users to
continue working even in areas with limited or no
internet connectivity. Data captured offline can
be synchronized with the central system once a
connection is restored.

• Barcode and QR code integration: The application

could integrate with barcode or QR code scanning
capabilities, making it easier for users to quickly
identify and access asset details by scanning
asset labels.

• User-friendly interface: The user interface is intuitive

and user-friendly, accommodating field workers with
varying technical expertise.

Integration with SAP EAM/PM: SAP Mobile Asset Manager is designed

to seamlessly integrate with SAP’s EAM or PM modules, ensuring that data
captured through the mobile app is synchronized with the central asset
management system.
SAP Asset Manager emerges as our cutting-edge mobile application,
centered around assets, effectively leveraging the digital core. It seamlessly
integrates with SAP EAM, SAP S/4HANA Asset Management (On-Premise),
and SAP IAM solutions.
The architecture of SAP Asset Manager relies on the Mobile
Development Kit, coupled with SAP BTP SDK for iOS and Android. These
frameworks follow the Fiori for iOS and Fiori for Android guidelines,
culminating in a streamlined user experience.
SAP Asset Manager is a metadata-driven application that generates
code supporting deployment across various platforms. This deployment
is facilitated through middleware utilizing SAP BTP, managing data
interactions between the back end and mobile devices while offering
offline capabilities.

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Why might a customer opt for SAP Asset Manager over SAP Work
Manager? SAP Asset Manager facilitates digital transformation by
harnessing the advanced capabilities of SAP BTP, coupled with the user-
centric design language embodied by Fiori for iOS and Fiori for Android.
The SAP Asset Manager application efficiently oversees tasks
encompassing work orders, notifications, condition monitoring, material
consumption, time management, and failure analysis.
SAP Asset Manager provides the following benefits.

• Secure the capture and retrieval of precise, up-to-date

information, whether online or offline, to effectively
address rising market demands, globalization, and
pressures related to regulations, social aspects, and the
environment.

• Enhance the management of intricate assets and

dependencies on external parties.

• Safeguard and expand your organization’s

knowledge repository while mitigating employee
turnover’s impact.

8.6.1. SAP Mobile Add-On

The SAP Mobile Add-On is the back-end system responsible for processing
all data related to the SAP Asset Manager application.
This “mobile add-on” refers to supplementary components that
provide additional functionalities beyond the primary SAP product. These
components are incorporated later by external, independent entities or by
SAP itself, tailoring them to customers’ specific requirements.
Positioned above the core, this mobile add-on interfaces with the same
dictionary or repository objects while executing the necessary operations.

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From a user perspective, there is no noticeable distinction on your

mobile device when utilizing a system integrated with a mobile add-on
versus one that is not. Nonetheless, understanding the terminology is
valuable.
The fundamental capabilities of Standard Asset Management
encompass the following.

• Installation and dismantling of equipment

• Management of work order and notification lifecycles

• Clock In and Clock Out functionalities for multiple

users collaborating in the same order

• Documenting measurement points

• Adding and issuing components

• Support for object lists

• Recording Cross-Application Time Sheet (CATS)

time reports

• Confirmations for preventive maintenance (PM)

• Implementation of classifications
• Incorporation of business partner and warranty details
for equipment

8.6.2. SAP Mobile Development Kit (MDK)

A constituent of SAP BTP Mobile Services, the mobile development kit
empowers customers to create fresh native mobile applications and tailor
specific intricate mobile applications from SAP. This augmentation of our
mobile services introduces a metadata-driven approach to mobile app
development.

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SAP Asset Manager takes the lead as the inaugural app to leverage the
SAP Enterprise App Modeler tool. The initial release of the SEAM (SAP
Enterprise App Modeler) is primarily geared toward personalizing SAP
Asset Manager. At the same time, subsequent iterations are poised to
encompass support for novel complex mobile applications. Additionally,
they aim to enable the swift creation of customized applications.
In this development mode, developers operate at a significantly
higher level of abstraction than crafting applications using Java or Swift.
The intricacies of low-level system details are alleviated. This framework
facilitates a broader spectrum of resources for application development,
offering an abstraction layer conducive to cross-platform development.

8.7. SAP Asset Central Foundation

SAP Asset Central Foundation is a component of SAP’s suite of asset
management solutions that aims to provide a comprehensive and unified
platform for managing and maintaining a wide range of assets within an
organization (see Figure 8-7). It is designed to support various industries
and sectors, enabling organizations to effectively manage their assets
throughout their lifecycle.

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 Chapter 8 Innovation with Asset Management

Figure 8-7. SAP Asset Central master data

The following are key features and aspects typically associated with
SAP Asset Central Foundation.

• Unified asset management: SAP Asset Central

Foundation offers a centralized platform to manage
diverse types of assets, such as equipment, machinery,
vehicles, and infrastructure, regardless of industry or
location.
• Data modeling: The solution facilitates the structuring
of asset-related data using templates based on
standardized schemas and models. This ensures
consistency in asset data representation across the
organization.

• Metadata driven: Asset Central Foundation is often

driven by metadata, allowing organizations to define
attributes, relationships, and behaviors of assets.
This enables flexible adaptation to specific asset
management requirements.

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• ISO standards: The solution may support integration

with ISO standards such as ISO14224, which provides
guidelines for collecting and exchanging reliability and
maintenance data for equipment in various industries.

• Integration: Asset Central Foundation is designed to

integrate with other SAP solutions, such as Enterprise
Asset Management (EAM), PM, and other asset-related
modules. This integration ensures seamless data
flow between asset management processes and other
business functions.

• User-friendly interface: Asset Central Foundation

offers an intuitive user interface that allows users
to easily navigate and interact with asset data. This
contributes to improved user adoption and efficiency.

• Reporting and analytics: The solution may provide

tools for generating reports and performing analytics
on asset data. This helps organizations make informed
decisions and identify areas for improvement in asset
management.
• Lifecycle management: Asset Central Foundation
supports the management of assets throughout their
entire lifecycle, from acquisition and installation to
operation, maintenance, and eventual disposal.

8.8. SAP IAM Integration

SAP IAM Integration refers to integrating SAP’s IAM solutions with
other systems, applications, and data sources within an organization’s
technology landscape. SAP IAM solutions are designed to optimize asset
performance, maintenance processes, and operational efficiency through

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the use of advanced technologies such as the IoT, predictive analytics,

AI, and machine learning. The SAP system landscape is illustrated in
Figure 8-8.

Figure 8-8. SAP system landscape

The following are key aspects and benefits of SAP IAM integration.

• Data integration: Integration involves connecting SAP

IAM solutions with various data sources, including IoT
sensors, operational systems, historical maintenance
data, and more. This enables comprehensive and
real-time insights into asset health, usage patterns, and
performance metrics.

• Predictive maintenance: By integrating IoT data and

predictive analytics, SAP IAM solutions can anticipate
potential equipment failures and maintenance needs.
This proactive approach helps organizations perform
maintenance tasks optimally, reducing downtime and
operational disruptions.

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• Work order management: Integrating SAP IAM with

other systems, such as Enterprise Asset Management
(EAM), allows organizations to seamlessly manage
work orders, notifications, and maintenance tasks.
This integration streamlines communication between
field technicians, maintenance personnel, and asset
management systems.

• Data analytics: Integration enables the correlation of

asset performance data with business and operational
data from other systems. This holistic view supports
data-driven decision-making and helps organizations
identify trends, patterns, and areas for improvement.

• Resource allocation: Integrating SAP IAM with

resource planning systems can optimize the
allocation of personnel, equipment, and materials
for maintenance tasks, leading to better resource
utilization and cost savings.

• Collaboration: SAP IAM integration facilitates

collaboration across different departments, such as
maintenance, operations, finance, and procurement.
It ensures that all relevant stakeholders have access to
up-to-date asset information.

• Mobile access: Integration can extend SAP IAM

capabilities to mobile devices, allowing field technicians
to access asset information, perform inspections, and
update maintenance records in real time.

• Regulatory compliance: Integrating SAP IAM with

compliance and regulatory systems helps ensure
that asset management practices adhere to industry
standards and regulations.

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• Asset lifecycle management: Integration supports

seamless data flow throughout the asset lifecycle, from
acquisition and installation to operation, maintenance,
and eventual disposal.

8.9. Summary
This chapter offered a comprehensive overview of SAP’s advanced asset
management solutions, encompassing key chapters such as SAP IAM, SAP
Business Network with Asset Collaboration, SAP Asset Predictive Insights,
SAP Asset Performance Management, SAP Mobile Asset Management, and
SAP IAM integration. The chapter began by highlighting the significance
of SAP IAM, showcasing how it harnesses IoT and AI technologies to
optimize asset utilization and maintenance. It then delved into SAP
Business Network with Asset Collaboration, illustrating how collaborative
platforms facilitate streamlined stakeholder communication for improved
asset productivity. The discussion extends to SAP Asset Predictive
Insights, emphasizing its role in utilizing predictive analytics to forecast
maintenance needs and mitigate downtime.
Furthermore, the chapter explored SAP Asset Performance
Management, elucidating its importance in continuously monitoring,
analyzing, and optimizing asset performance throughout its lifecycle. The
inclusion of SAP Mobile Asset Management underscores the flexibility
and efficiency offered by mobile applications in asset management
processes. The chapter concluded with insights into SAP IAM Integration,
demonstrating how these solutions seamlessly integrate with existing
systems to create a holistic asset management framework. Overall, this
chapter provided a comprehensive look at SAP’s innovative approaches to
modern asset management.

367
Index
A scheduling, maintenance
plan, 197
Action log, 188, 218
Availability Check, 154, 160, 179,
Address management, 70, 71
181, 185
Alternative labeling, 54–56
Approval phase, 178
Asset (equipment master) and
production capacity B
planning, 28–29, 320 Barcode reader, 118
Asset lifecycle management, 367 Basic Data, 24, 38
Asset management, 29, 272, 321 Bill of materials (BOM), 212–214
Asset management integration, categories, 92, 93
SAP S/4HANA central information repository, 90
benefits, application checkings, 98
integration, 315, 316 components, 96
different modules, 314, 315 customizing settings, 100, 101
EHS, 334–336 definition, 90
financial accounting, direct assignment, 94
controlling (see S/4HANA essential data handling, 98
financial accounting, importance, 91
controlling) indirect assignment, 94
project system (PS), 329–333 information
supply chain applications header, 91
(see S/4HANA supply chain items, 91
applications) relationships, 91
Asset master, 73, 88, 89, 325, 326 routing, 91
Automatic generation item status, 95
maintenance order, 197 maintenance assemblies, 96

© Rajesh Ojha and Chandan Mohan Jaiswal 2023 369

R. Ojha and C. M. Jaiswal, SAP S/4HANA Asset Management,
https://doi.org/10.1007/978-1-4842-9870-1
INDEX

Bill of materials (BOM) (cont.) Business process execution, 6, 30

SAP Fiori apps, 99, 100 Business Suite–SAP R/3 ECC–the
structure, 94 S/4HANA business
structuring, 91 applications, 2
usage, 94, 95
BOM master data, 98
Breakdown maintenance process, C
143, 144 Call horizon
Budgeting, asset maintenance maintenance planning with
and repair performance-based
budget profile, strategy, 259, 260
controlling module single-cycle maintenance
allocation, 308 plan, 229–231
assign the budget profile, 310 Capacity planning, 185, 186, 321
create budget profile, 310 Catalogs, 136, 138–140
maintenance orders list, Centralized planning plant,
planned costs, 310 20–22, 41
material issue, 309 Characteristic inheritance, 75
plan and assign budget, Characteristics, 19, 76
307, 308 Check goods movement, 108, 109
tolerance limit, 310 Class hierarchy, 75
business applications, 302 Classification system, 74, 76, 116
configuration paths, 311 Client, 16, 272
funds management, 303–305 Cloud provisioning model
organizations control private cloud, 10, 11
maintenance expenses, 301 public cloud, 10
plan and allocation, 302 Commitment management,
reports and analytics, 302 284–286, 288
WBS, project system module, Commitment value, 284–286
305, 307 Company codes, 17, 273, 326
Business completion, Completion confirmations
168, 169, 291, 292, 296 customizing settings, 167
Business partner, 3, 18, 343 notifications and orders

370
 INDEX

business completion, 169 Costing, asset maintenance

maintenance, 170, 171 and repair
settlement and business commitment
completion, 168 management, 284–286
technical completion, 168 configuration, 287
technical completion and configuration path, 289
order, 168 cost centers, S/4HANA Asset
technical completion Management, 274
data, 170 costing value flow, 277–279
technical confirmation, 167, 168 customizations, 287, 288
Completion phase, 144, 179, 279, finance and
287, 295, 328 controlling, 272–274
Condition-based maintenance, maintenance activities, 271
205, 353 operation level, maintenance
Condition-based preventive order, 279–281
maintenance, 194, 205, 353 overhead rates, 281, 283
Configuration refurbishment,
definition, 30 subassemblies, 286
nodes, 37 requesting cost centers, 275
options, 30, 31 responsible cost centers, 275
organization’s business process various accounting terms (order
execution, 30 values), 275–277
plant (see Plant configuration) Costing BOM, 92
work centers Costing data, 25, 280
default, 39 Costing sheet, 282, 283, 287
field selection, 38 Costing value flow, maintenance
master data, 40 order, 277–279, 326–328
path, 39, 40 actual cost, 278, 279
standard value keys, 38 estimated cost, 277
types, 38 order settlement, 279
Control key functionality, 211 planned cost, 278, 279
Controlling area, 17, 273, 274, 287 Costing variant, 149, 283
Corrective maintenance process, Counter replacement, 119–121
142, 143, 159, 164 Counters, 43, 112, 114, 115, 123

371
INDEX

Creation of BOM, 93 D
Cross-application time sheet
Data origin, 51–54
(CATS), 165
Data source, 53, 351, 364
Customizations, 287, 288, 299
Data transfer
Customizing settings
data origin, 53
catalogs, 138–140
hierarchical
completion
starting from the
confirmations, 167–171
subordinate object, 51
maintenance order
starting from the superior
printing, 163–166
object, 51
maintenance orders, 148–151
hierarchy level and
controlling, 151, 152
field, 50, 51
cost tracking and
horizontal, 52, 53
settlement, 154
Decentralized planning
external materials, 153
plant, 22, 41
external services, 152
Default values, 24, 304
integration with
Default work center, 39, 40
procurement, 153
Delta printing, 162, 163
internal materials, 152
Digital twin, 337, 338, 342, 343
material availability
Document flow, 188, 297
check, 154
Document management system
scheduling and availability
(DMS), 161
checks, 154
service entry
sheets, 153 E
material planning, 155–158 Electric Motor reference functional
notifications, 134–138 location, 52
order scheduling, 158–163 Engineering/design BOM, 91
phase-based maintenance Enterprise Asset Management
process, 180–182 (EAM), 3, 44, 60, 82, 366
Cycle modification factor, 250, Environment, health, and safety
251, 263 (EHS), 334
Cycle sets, 264–267 Equipment, 62

372
 INDEX

Equipment and functional location F

relation, 64
Failure modes and effects analysis
autonomous object, 63
(FMEA), 357
equipment categories, 66–68
Fiori apps, 11, 41, 58, 268, 269
equipment hierarchy, 64, 65
FM account assignment, 304
equipment hierarchy with
Free material assignment, 212, 214
functional location, 65, 66
Functional location, 53
installation, 64
alternative labeling, 54–56
Equipment class, 61
asset management, SAP EAM, 44
Equipment/functional
associating assets, 44
location BOM, 92
customizing settings, 58, 59
Equipment master record, 61
data transfer (see Data transfer)
asset master record, 73
definition, 44
characteristic inheritance, 75
ERP system, 60
classification, 74, 75
hierarchical structure, 44
customizing settings, 78, 79
reference functional location, 49
data consistency, 73
standard Fiori apps, 56, 57
data management, 81
structure indicator, 46
defining steps, 61, 62
systems organization, 45
definition, 60
task list, 207, 214
integration, 73
technical objects
SAP, 63
structuring, 44, 45
standard Fiori apps, 76–78
transaction IL01, 48, 49
technical object
Funds management, 303–305
classification, 75, 76
Equipment task list, 206, 208, 214
Equipment type, 61, 66, 325
Estimated cost, 277, 281 G
Execution phase, 143, 179 General maintenance task list,
External refurbishment maintenance 207–209, 213, 215
process, 190–193 Geographic information systems
External services, 7, 152, 187, 188, (GIS), 90
284, 317 Group BOM, 98
External systems, 118, 119 Guarantor, 73

373
INDEX

H Inspection rounds, 216

Internal Transaction (IW3D), 163
HCM organizational structure, 18
Internet of Things (IoT), 343
Hierarchical BOM, 96
IP30 (RISTRA20) ABAP
Hierarchical data transfer, 51–52
program, 234
Horizontal data transfer, 52–53
Item status, 95
Human capital management
Item status indicators, 95
(HCM), 18, 186

K
I, J Key performance indicators (KPIs),
Indirect order reference, 192–193 124, 353
Initial measurement document,
253, 254
Initiation phase, 177 L
Inspection checklists Linear asset analytics, 83
automatic generation, Linear asset hierarchy, 82, 90
maintenance order, 197 Linear asset inspections, 83
automatic generation, Linear asset management
scheduling maintenance customizing settings, 89
plan, 197 data fields, maintenance
closing, 198, 199 processing, 86
generating, 197, 198 definition, 82
generating object lists, 196 key features and
inspection lots, 197, 198 functionalities, 82
and maintenance orders, linear data offset, 85, 86
198, 199 LRP, 84
manual generation in maintenance tasks benefits, 84
maintenance order object networks and individual
transactions, 196 object links, 87
master data components, 196 SAP EAM, 82
PM, 195 structuring, 83, 84
QM, 196 technical objects, 86
results recording, 198 Linear asset master data, 82, 88, 89

374
 INDEX

Linear asset networks, 82 refurbishment order

Linear asset planning, 83 settlement, 297–299
Linear asset work management, 83 settlement receiver, 291
Linear data offset, 85–86 Maintenance order printing
Linear reference pattern completion confirmation
(LRP), 84–85 slip, 162
Linear technical objects, 86 and confirming
Logistic plant, 29, 34, 42 notifications, 165
customizing settings, 163, 164
delta printing, 162, 163
M execute maintenance
Machine control, 194 orders, 164
Maintenance activities, 22, 44, 45, IW3D, 163
103, 130, 164, 292 job ticket, 161
Maintenance assemblies, 96–98 material issue slip, 162
Maintenance Assembly material pick list, 162
Indicator, 96 object list, 162
Maintenance BOM, 92 operation control ticket, 162
Maintenance order print log usage, 163
automatic generation, 197 time confirmation, 165, 166
checking and release, 159–161 time ticket, 162
release, 161 Maintenance order-related
Maintenance order cost settlement resources, 278
business completion Maintenance orders
order completion breakdown, 143, 144
phase, 295–297 corrective, 142, 143
settlement receiver types, cost, 147
292, 293 cost tracking, 141
settlement rule, 293–295 creation, 147, 148
completion phase, 290 customizing settings, 148–151
configuration activities, 299, 300 display, 142, 143
configuration paths, 300, 301 follow-up actions, 141
continuous tasks (in-progress integration with financial
orders), 292 processes, 141

375
INDEX

Maintenance orders (cont.) cycle sets and cycles, 265–267

integration with multiple counter plans, 261–265
notifications, 141 Maintenance planning with
and maintenance plan setup, performance-based
224, 225 strategy
materials list (components counters and measurement
list), 147 documents, 253, 254
measurement and creating, 254–256
documentation, 141 preventive maintenance, 253
with notification, 144–146 scheduling options
object list, 146 annual performance,
operations, 147 258, 259
order header, 146 basic functions, 257–259
performance evaluation, 142 call horizon, 259, 260
planning and scheduling, 140 counter reading and cycle
planning, executing, and value, 258
monitoring, 140 measurement
production resources and documents, 256
tools, 147 parameters, 257
resource allocation, 140 regular entry of counter
settlement rule, 147 reading, 259
status tracking, 141 single-cycle plan, 256
structure, 146–148 subassemblies and
work execution, 140 components, 252
Maintenance packages Maintenance planning with time-­
defines, 244 based strategy
hierarchy, 245, 246 components, 243
initial and subsequent creation, 247, 248
buffers, 245 filter replacement and chemical
offset, 245 cleaning, 243
parameters, 245 maintenance packages, 244–246
Maintenance planning plants, 29 packages and scheduling, 243
Maintenance planning with cycles SAP GUI-based (user interface)
of different dimensions functions, 251, 252

376
 INDEX

scheduling Maintenance processing, 67,

call horizon, 249 82, 86, 87
completion Maintenance task lists
requirement, 249 action log, 218
cycle modification factor, adding component
250, 251 BOM, 212
cycle start, 249 equipment task list, 214
factory calendar, 249 free material assignment, 212
of preventive functional location task
maintenance, 248 list, 214
scheduling indicator, 251 general maintenance task
scheduling period, 249 list, 213
shift factors, 250 customizing, 218–220
tolerance for shift factor, 250 equipment, 206, 208
scheduling options, 248 external service package,
and scheduling 214, 215
parameters, 244 functional location, 207
task list, 247, 248 general, 207, 209
Maintenance plans, 61 inspection rounds, 216
Maintenance plants, 29 maintenance order, 215
definition, 17 operation control key, 211, 212
locations, 19 planned maintenance, 207
organizational unit, 18 planned maintenance and
plant section, 19 repair activities, 206
relationship, planning profile, 211
plant, 35, 36 structure, 209–211
work center, 19 task list groups, 207, 208
Maintenance process unplanned maintenance, 207
phase-based, 176–182 Malfunction
preventive, 193–195 notification, 145
refurbishment, 189–193 reporting and repair, 171–175
SAP GUI (see SAP GUI Master data
maintenance process) maintenance task list, 206–216
simplified, 171–175 SAP GUI user interface, 217, 218

377
INDEX

Master data management, 5, 43 additional information, 117

Material Assembly, 96 point data, 117
Material BOM, 92–94, 99 result data, 117
Material pick list, 162 PCS, 118
Material planning, 183 processing status, 118
customizing settings, 155 SAP GUI, 118
RSH, 155–157 utilization, 119
Utilization Analysis app for Measurement reading entry list,
work centers, 157, 158 118, 119
Material provisioning, 174 Measurement transfer
Material Requirements Planning conditions, 120
(MRP), 102, 189, 192, counter readings, 120
193, 284 definition, 119
Materials management (MM), 90 object structure, 121
asset management, 319 scenarios, 120
external service purchase Measuring document Fiori
requisition apps, 122
procurement of service, Measuring point Fiori apps, 122
317, 318 Measuring points
subcontracting, characteristics, 116
operation, 318 classification system, 116
issuing the planned definition, 114
materials, 319 Measuring points and counters
materials purchase IMG settings, 123, 124
requisition, 317 standard Fiori apps, 122
reservations, planned Mobile add-on, 360, 361
materials, 319 Mobile maintenance
Materials purchase requisition, 317 functionalities, 199
Measurement document, 117 SAP Asset Manager, 199, 200
barcode reader, 118 SAP Asset Manager vs. Work
business process Manager, 201
automation, 118 SAP Work Manager, 200, 201
definition, 117 Multilevel BOM, 97
information Multiple counter plans, 221, 222

378
 INDEX

actual call date, 265 supplementary data, 132

completion requirement, 263 tasks, 133
cycle modification factors, 263 tracking and reporting, 131
maintenance strategy, 262 types, 131
operation type, 263 workflow and processing, 131
performance-based strategic Notification completed
plan, 265 (NOCO), 170
posting measurement
document, 264, 265
preliminary buffer, 263 O
process flow, 264 Object network, 87, 88
scheduling, 262 Object network maintenance, 87
scheduling period, 263 Operation account assignment
shift factors, 264 (OAA), 151, 279–281
shift factor tolerance, 264 Operation control key, 211, 212
start date and time, 263 Operation control ticket, 162, 163
Multiple equipment (functional Operation-level costing (OLC), 151
locations), 223 Order completion phase, 295–297
Order Scheduling
checking and release
N maintenance
Network attributes, 87, 88 order, 159–161
Notification customizing settings, 158
activities, 133 maintenance order
customizing settings, 134–140 printing, 161–163
information capture, 130 maintenance order release, 161
initiation of work, 130 Order settlement, 279, 291–293, 295
integration with other Organizational levels, 30
processes, 131 Organizational structure
maintenance, 134 application modules
maintenance activities, 130 application modules, 29
maintenance tasks, 132 asset management, 35
prioritization, 132 description, 15
structure, 133, 134 roles, 41

379
INDEX

Organizational structure (cont.) types, 69

S/4 HANA, 29, 41 Partner transfer, 70
S/4HANA, 18 Performance-based maintenance,
types, 30 205, 229, 231, 253–257
Organizational units Performance-based preventive
definition, 16 maintenance, 119, 194
location and planning, 20 Performance-based strategy
S/4HANA, 16 plan, 254–257
business partner, 18 Performance Scheduling
client, 16 Indicator, 254
company codes, 17 Permits, 166, 186, 187
controlling area, 17 Personal data, 25
maintenance plant, 17 Phase-based maintenance process
maintenance work center, 17 approval phase, 178
planning plant, 17 best practices, 176
plant, 17 completion phase, 179
OSTS, 170 customizing settings, 180–182
Overhead rates execution phase, 179
actual cost, 281, 283 initiation phase, 177
costing sheet, 283 phase control codes, 180
costing variant, 283 planning phase, 178
incurred direct cost, 281 post-execution phase, 179
planned cost, 281–283 preparation phase, 179
proactive maintenance, 176, 177
reactive maintenance, 176
P scheduling phase, 179
Particular equipment (functional screening phase, 178
location), 223 Phase control codes, 180
Partners Planned maintenance, 185, 204,
business transaction 207, 231
processing, 69 Planning phase, 154, 178
determination procedure, 69 Planning plants
internal/external organization activities, 19
units, 69 centralized, 20, 21

380
 INDEX

decentralized, 22 Predictive analytics, 340, 350,

definition, 17 353, 365
maintenance planner, 20 Predictive maintenance, 114, 120,
Planning regular external service 194, 205, 350
procurement Preventive maintenance, 253
accept the service entry condition-based
sheet, 242 maintenance, 205
enter services, 241 functionalities, 205
framework order, 240 performance-based
maintenance order for maintenance, 205
settlement, 240 planned maintenance, 204
maintenance plan, 240–242 predictive maintenance, 205
maintenance plan for service regular check-ups, 204
entry sheet generation, schedule, 204
241, 242 time-based maintenance, 205
process flow, 239, 240 Preventive maintenance process
routine maintenance, 239 condition-based, 194
service contract, 239 machine control, 194
Plan preventive maintenance maintenance order, 195
tasks, 60 performance-based, 194
Plant configuration plan, 194
logistic, 34 scheduling, 195
logistic-related business task list, 194
processes, 31 technical completion
maintenance, 34 marks, 195
navigation path, 32, 33 time-based, 194
path, 36 types, 193
steps, 31 Preventive Maintenance Review
Plant Maintenance Information (PMR) application, 357
System (PMIS), 64, 138, Private cloud, 10, 11
170, 277 Proactive maintenance, 127, 176,
Plant Maintenance (PM), 29, 60, 74, 177, 348
106, 195, 325, 334 Proactive maintenance
Post-execution phase, 179 planning, 124

381
INDEX

Process control system (PCS), Reference functional location,

118, 119 49–50, 52–54
Process-oriented permits, 187 Refurbishment
Procure-to-Pay module, 29 maintenance process
Production BOM, 92 components, 189
Production Planning (PP), 7, 90, external, 190–193
316, 320–321 external process, 189
Production resource/tool (PRT), merits, 190
63, 67, 147, 211 Refurbishment order
Production work center settlement, 297–299
code, 28, 320 Refurbishment order type, 279,
Profile functionality, 211 286, 287, 298
Project System (PS), 7, 305, 329–330 Reliability-centered maintenance
Public cloud, 9–11 (RCM), 357
Requesting cost center, 274,
275, 304
Q Resource Scheduling
Quality Management (QM), 196 (RSH), 155–157
asset management, 321 Responsible cost center, 274
checklist type, 322 RIMMSF00 program, 109
classification data, 322 RISERNR9 program, 109
inspection checklist, 322, 324 Rotable, 190
result record, 324
usage decision, 324
inspection checklist master S
data, 322 S/4HANA Asset Management
inspection lot, 324 provisioning
object lists, 323 cloud, 9
process flow, 323 hybrid, 9
on-premise, 8
user interface, 11, 12
R S/4HANA EHS
Reactive maintenance, 127, 176, 177 location, 334, 335
Real-time data exchange, 315, 342 maintenance notifications, 336

382
 INDEX

technical objects, 334 integration, 364

S/4HANA financial accounting, ISO standards, 364
controlling, 7 lifecycle management, 364
asset master, 325 master data, 363
asset master and equipment metadata, 363
master synchronization, reporting and analytics, 364
325, 326 unified asset management, 363
costing value flow, maintenance user-friendly interface, 364
order, 326–328 SAP Asset Intelligence Network, 4,
maintenance order cost 340, 343–345
settlement, cost object, SAP Asset Performance
328, 329 Management, 340, 354
S/4HANA Project System analysis, 357
advantages, 330 condition-based
budgeting, maintenance order, maintenance, 353
WBS, 332, 333 critical assets, 356
settlement, maintenance order, criticality, 355
WBS, 330–332 data visualization, 354
WBS projects, 330 functionalities, 354, 355
S/4HANA supply chain integration, 353
applications KPI tracking, 353
capacity planning report, maintenance strategies, 357
maintenance order, 321 monitor and enhance, 358
materials management (MM) normalized risk, 355
(see Materials organizations, 352, 354
management (MM)) performance monitoring, 352
production planning, 320, 321 predictive analytics, 353
quality management, 321–324 recommended actions, 357
S/4HANA user interfaces, 12 risk, 355
Sales and distribution (SD), risk management, 353
70, 90, 103 strategy formulation, 352
SAP Asset Central, 340, 362–364 systems and assets,
SAP Asset Central Foundation analysis, 356
data modeling, 363 SAP Business Client UI, 12

383
INDEX

SAP Business Network Asset single-cycle maintenance

Collaboration plan, 233–236
advantages, business benefits change document, 236
asset owners, 347, 348 general costing, 235
manufacturers, 347 maintenance plan
service providers, 348, 349 costing, 235
business benefits, 346, 349 object-related cost
cloud-based solutions, 343 estimate, 235
digital platforms, 341, 343 work list for notification call
emerging object, 236
technologies, 343 Where-Used Lists report, 217
features, 342–345 SAP GUI for Windows, 11, 12
manufacturers, 345 SAP GUI maintenance process
shared data, 344 action log, 188
shared data updates, 345 capacity planning, 185, 186
suppliers, 344, 345 document flow, 188
SAP Business Suite, 2 external services, 187, 188
SAP Business Technology Platform, material availability verification,
4, 199, 200 184, 185
SAP Enterprise App Modeler material planning, 183
(SEAM), 362 order hierarchies, 183
SAP Enterprise Resource Planning performing, 182
(ERP) system, 60, 67, 82, permits, 186, 187
344, 345, 353 technical confirmation, 188
SAP Fiori apps, 2, 11, 41 user interface, 182
SAP Fiori Launchpad (SAP FLP), visual task lists, 184
11, 143, 351 WCM, 187
SAP GUI-based (user interface) web-based interfaces, 182
functions worker safety, 186
action log, 218 SAP Intelligent Asset Management
maintenance planning with (SAP IAM), 4
time-based strategy, advantages, enterprise
251, 252 level, 338
object overview, 217 benefits, integration, 365, 367

384
 INDEX

cloud-based solutions, 340, 341 cloud-based solutions, 351

digital twins, 338 data visualization and
integration, 364 insights, 350
overview, 341 functionalities, 351
physical assets integration, 351
management, 337 IoT application, 351
portfolio, 338, 339 predictive maintenance, 350
SAP Intelligent Enterprise SAP S/4HANA Asset Management
framework, 337 aspects, 3
SAP system landscape, 365 comprehensive asset
SAP Mobile Add-On, 360–361 management
SAP mobile asset management, capabilities, 13
341, 367 design purpose, 3
SAP Mobile Asset Manager independent solutions, 3, 4
architecture, 359 integration, 7
asset inspections, 358 key functionalities
barcode and QR code access control, 6
integration, 359 business process
benefits, 360 execution, 6
MDK, 361 master data maintenance, 5
metadata-driven reports and analytics, 6
application, 359 master data (see Master data
mobile application, 358, 359 management)
mobile asset management, 358 RSH, 155
offline capabilities, 359 SAP S/4HANA Business Suite, 1, 2
SAP Mobile Add-On, 360, 361 SAP user interface (SAP GUI), 118
user-friendly interface, 359 SAP Work Manager, 200, 201,
work management, 358 339, 360
SAP Mobile Development Kit Scheduling data, 5, 25, 223
(MDK), 361 Scheduling indicator, 244, 251, 254
SAP modules, 60, 81, 90, 102, 112 Scheduling period, 231, 249,
SAP Predictive Asset Insights, 340 257, 263
anomaly detection, 350 Scheduling phase, 179
capabilities, 352 Screening phase, 178

385
INDEX

Serialization process, 106 one schedule (one

Serial number profile, 104–107, 112 frequency), 221
Serial numbers performance value, 221
check goods movement, SAP GUI-based (user interface)
108, 109 functions, 233–236
common uses, 102, 103 scheduling features
description, 102 call date, 228, 229
and equipment, 106, 107 call horizon, 229–231
IMG settings, 111 call objects, 228
material master views, 105 collective scheduling, 227
sales/customer service, 104 completion requirement,
in SAP EAM, 103, 104 231, 232
standard Fiori apps, 109, 110 cycle start date, 229
stock check, 108 deactivate, 228
Settlement, 154, 168, 277, 281 IP30H, 226
Settlement and business manual call, 228
completion, 168, 291 planned date, 228, 229
Settlement process, 291 planned dates and call
Settlement receivers, 279, dates, 227
291–294, 329–331 preventive maintenance, 225
Settlement rule, 147, 149, restart, 227
281, 293–295 scheduling period, 231
Shaft casing assembly, 97 shift factors, 231, 232
Shared data, 344, 345, 347 start option, 226
Simplified maintenance process strategy-based maintenance
malfunction, 171–175 plan, 221
Single-cycle maintenance plan structure, 222–224
creating and scheduling, time-based and performance-­
232, 233 based scheduling
customizing options, 222
customizing, 237, 238 and types of call objects, 220
maintenance orders, 224, 225 Single-cycle plan, 221, 225, 227,
multiple counter plan, 221, 222 230, 232, 255
notification generation, 232, 233 Standard available capacity, 24, 27

386
 INDEX

Standard Fiori apps, 56–58 Structure indicator, 46–48,

Standard maintenance process 55, 59, 64
analysis, 126 Subcontracting
check and release maintenance direct order, 190, 191
order, 129 external subcontractors, 190
complete maintenance MRP with indirect order
order, 130 reference, 192, 193
completion and reporting, 126 and rotables, 190
confirm maintenance order, 129 Supervisory Control and Data
create notification, 129 Acquisition (SCADA)
documentation, 126 system, 118, 119
execute maintenance order, 129 System condition, 28, 29, 135, 320
execution, 126 System status activity account
model, 127, 128 assignment (ACAS), 280
optimization, 127 System statuses, 68, 175–177, 280
phase-based process, 128
plan maintenance order, 129
planning, 125 T
routine inspections/ Task list general data, 209, 210
maintenance, 127 Task list groups, 207–209, 248
scheduling, 126 Task list operation data, 209–211
simplified process, 128 Technical completion, 168
standard process, 128 Technical completion data, 170
structured framework, 127 Technical confirmation, 188
tools and features, 127 Technical object classification, 75
Standard value keys, 24, 38, 40 Technical objects, 334
Status management, 68 Technical permits, 187
Stock check, 108, 109 TECO, 169, 170
Stock information monitoring Time-based maintenance, 205
programs, 109 Time-based preventive
Strategy-based maintenance plan, maintenance, 194
221, 246 Time-based strategy plan, 247–251
Strategy plan, 248, 249, 251, 255 Time confirmation, 165, 166

387
INDEX

U Work center capacity planning

intervals of available
Unplanned maintenance, 207
capacity, 27
User interface (UI), 11, 12, 40, 148,
standard available capacity, 27
203, 268–269, 359
value field, 26
User statuses, 68, 175
Work centers
Utilization Analysis app, work
components, 22
centers, 157, 158
definition, 17
elementary master data, 22
V linking objects, 26
Visual task lists, 184 management
SAP Fiori apps, 41
user interface, 40
W, X, Y, Z master data and transactions, 23
Warranty plant, 22
contractual commitment, 71 relationship, 26
records, 72 Work center sections
SAP, 72 basic data, 24
structure capacity data, 24
counters, 72 costing data, 25
external party, 73 default data, 24
header, 72 personal data, 25
items, 72 scheduling data, 25
object assignment, 72 Work clearance management
types, 71 (WCM), 186, 187
Where-Used Lists report, 217 Worker safety, 160, 186
Work breakdown structure (WBS), Work order management, 83, 200,
7, 292, 305, 307, 330 201, 366

388