Project Cash Management

[Former Member]

Dear All,

I need to configure Project Cash Management.

Could anyone please explain me the procedure and configuration steps needed to do PS cash management. Pls also tell me the end user transaction codes and reports on this topic.

Anyone having any material or documentation on Project Cash management, I request you to please send the material to my id mentioned in the business card.

Thank you very much in advance.

Regards,

Vishnu

VST-IT.

[Former Member · Accepted solution]

I hope you find this additional information useful.

link:[https://www.sdn.sap.com/irj/scn/wiki?path=/display/plm/project%252bcash%252bmanagement]

Regards,

Pradyumna

[Former Member]

Thank You

[Former Member]

Dear Vishnu,

In addition to config steps please note following important points about Project cash management.

1.Project Cash Management considers business transactions posted from feeder systems to projects, from a payment point of view.

2.Project Cash Management aims to provide the most accurate information possible on incoming and outgoing payments and to optimize cash flows with a view to maximizing project profits.

The project manager is responsible for Project Cash Management.

3.Project Cash Management uses a different revenue/expenditure split from that used in the Treasury function:

a. In Treasury, the revenues and expenditures are split by customer and vendor group.

Treasury monitors the funds in the business with the aim of safeguarding its liquidity.

b. In Project Cash Management, the revenues and expenditures are split by project element.

Project Cash Management monitors the project funds with a view to safeguarding liquidity and

limiting funds commitments (that is, calling in revenues as early as possible so that payments can

be met).

The item category and financial transaction are attributes of the commitment item. The item category is used to classify commitment items into revenue, expenditure, and balance items. The balance items correspond here to the "bank accounts". The financial transaction indicates the type of business transaction involved (such as revenue/expenditure postings or cash holdings posting).

Only commitment items with financial transaction "30" are copied to Project Cash Management.

Project Cash Management gives you another view of the project, in addition to that provided by Controlling.It monitors other areas of the chart of accounts which are important from the point of view of payments:

Example: payment obligations arising from vendor invoices,customer invoices,customer payments and down payments,payments and down payments to vendors,no costs within the business

Regards

Tushar

[Former Member]

Dear Venket,

One question here,

When FM activated in the system its activated at client level and it start asking the FM area in all the transactions..................Please correct me if my understanding is wrong?

Regards,

Syed

[Former Member]

Refer SAP Note 417511.

Regards

[Former Member]

The configuration steps for Cash Management are as follows:

1 Maintain FM Area

2 Assign company code to FM Area:

3 Activate Project Cash Management in company code:

4 Create and Assign Commitment Items

5 Check Assignment of G/L Account / Commitment Item

http://help.sap.com/saphelp_erp60_sp/helpdata/en/c9/9c853478616434e10000009b38f83b/frameset.htm