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AFE process for Customer and Investment Project

atul_rajmane
Participant
0 Kudos

Hi All,

My client want to have AFE process for Customer as well as Investment Project Creation.

Once, AFE is approved a project should be created along with project plan valueswith approved values in AFE request. Also, in case any supplement need to project also should have a similar AFE approval process. For this client, there is No IM module implemented as such.

Want to know how we can map this scenario in SAP.

Thanks in advance.

Regards,

Atul R. Rajmane

Accepted Solutions (0)

Answers (2)

Answers (2)

atul_rajmane
Participant
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We can Use AR for this business process.

nitin_patoliya
Active Contributor
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It is not recomended to use AR for customer project. For sure for IM proejct you can user AR. As Ahmed pointed out you can use simulation functionality. There is not much business sence to use budget in Customer project, as any way you are going to bill client for all the expense you incurred. But If required you can budget customer project as well for tight expense control. ( This could be another option )

With Regards

Nitin P.

former_member203108
Active Contributor
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What is AFE?

atul_rajmane
Participant
0 Kudos

Hi,

AFE is Approval for Expenditure. We generally used appropriation request for this.

regards,

Atul R Rajmane

former_member203108
Active Contributor
0 Kudos

IYou can make use of simulations...create simulation version before creating operative project...you may create more than one simulation for various cost plan scenarios..you can plan revenue in simulation also for customer project...whoever gives approval for project expenditure.... they may compare the cost of the simualtion version and approval can be transfer of simulation version to operative version....Also, you can use this for supplements...create simualtion during course of project...then add actvitiy, material..etc., do the cost analysis...and provide the supplement budget accordingly to the new planned cost.