WBS only or WBS with network

[Former Member]

Hi All,

What should i use if user would like capture following requirements :

1. Can capture planning cost for labour.

2. Can capture planning cost for material

3. Can capture planning cost for services (third party)

4. Control budget per activity.

5. CAn do actual for the labour, material and services.

What tcode should be used ?

Cheers,

Nies

[Former Member · Accepted solution]

Hi Nies,

Just create WBS structure as Labor, Material and services. Use activity based costing.

Assign internal activity to labor WBS with labor workcenter (which will have desired rate), enter work.

Assign internal activity to material WBS and assign material to internal act.

Assign service activity to service WBS.

You cant budget activity in SAP as it is not cost object.

Confirming labor act, material issue, service acceptance will lead to actual costs.

Regards

[Former Member · Accepted solution]

Hi,

Just create WBS structure as Labor, Material and services. Use activity based costing.

*. Could you explain in detail? is it possible if i use only WBS for activity based costing.?

Assign internal activity to labor WBS with labor workcenter (which will have desired rate), enter work.

Assign internal activity to material WBS and assign material to internal act.

Assign service activity to service WBS.

*. Could you please explain assign internal activity /service activity? do you mean network internal activity? As far as i know, work center can be used only in network.

You cant budget activity in SAP as it is not cost object.

(no issue for me budget activity)

Confirming labor act, material issue, service acceptance will lead to actual costs.

*. could you please explain in detail? what tcode should i use for confirming labor act ( using CJr2) ; material issue (u mean Good issue) ; how about service acceptance ?

Cheers,

Nies..

[Former Member]

Hi,

By what you posted i assume following

1) Requirement is to have separate budget for labor, Material and Services.

2) Track actual costs for all three separetely.

3) Plan cost for all three separately.

If it that is true you can try following

1) As adviced by shri..create three separate WBSEs Labor WBS, Material WBS, Services WBS.

2) Create one network under TOP WBSE.

3) Have three activities created under that network and assign Labor activity to Labor WBS and similarly do it for other two.

4) Labor activity, Material Activity will be Internal activity and Service activity will be service activity.

5) You mention Work center, Work, Duration in labor activity.

6) Assign material components to the material activity.

7) When you create service activity, it willl ask foer service items, mention service text, qnty, cost element, rate per unit qnty and save. When you release it will create a service PR.

😎 Schedule at Project definition level, planned costs will be calculated.

9) You can see planned cost in CN41 or S-ALR_87013532.

10) When you confirm labor activity actual costs will be posted. T-code CN25

11) When you do Goods Issue against the reservation created under activity, actual costs will be posted. T-code MIGO or MB1A.

12) When post service entry sheet actual costs will then be posted. T-code ML81N.

13) As per planned cost, you can distrubute budget in T-code CJ30.

14) Can activate availability control for project at T-code CJBV.

15) Pre-requisite is to have suitable Budget profile (T-code OPS9) and tolerance limits defined in customizing.

The requirement stated by you is very generic...so there are more than one way to go abt it. However, you can verify the above.

Thanks

Saikishore Ganga.

[Former Member]

Hi All,

really appreciate for your advice.

My concern is :

The requirement is to control budget per activity. Therefore, i have to use WBS. If i also use network for those activities, my project structure will look complicated.

Structure with WBS only : (can i use only WBS to capture all requirements ? )

Project A

WBS activity A

WBS activity B

WBS activity C

WBS activity D

WBS activity E

ex. wbs activity A (require labor, material to support their activites and transportation)

Wbs activitity B ( require only labor and material)

etc...

Structure with WBS + network : (does it looks complicated ? one WBS for activity, in order to control budget and create another activity to do plan/actual cost for labour,material, transportation) . Plz advice.

Project A

WBS activity A

network header

activity A

WBS activity B

activity B

WBS activity C

activity C

WBS activity D

activity D

-

---

Can i use only WBS ? for my project to capture all requirements ? plan/actual/budget

Cheers,

Nies

[Former Member]

Hi,

You can have one WBSE but you can then disrtrubute budget at lumsump. Budget can not be distributed separately. So it is better to have seperate WBSE for each.

Can have one network and activities spanning under various WBSE or one each network for one WBSE. It wil increase number of networks. Not a problem if that is Okay for you.

No separate activity required for planning cost. Every activity have plan and actual. For eg

For labor activity whatever work u enter that will multiplied as per activity type price in work center and calculated as planned cost. When u confirm and mention actual hrs accordingly actual cost will be calculated.

Thanks

Saikishore Ganga.

[Former Member]

For # 1 - WBS element is enough to plan cost of labor (You need Activity types for this- KL01) -CJ20N

For # 2, 3 - WBS (CJR2 for cost planning)

For # 4 - CJ30 (You just need WBS for this)

For # 5 - You need WBS with Networks.

You can use Tocde CJ20N for # 5 but additional work needs to be done if you are calculating labor hours through CATS, work centers etc.

Hope it helps.

Arya

Edited by: Arya Singh on Aug 28, 2008 3:06 PM

[Former Member]

You will have to use WBS with networks. T Code CJ20N(project builder)