Profitability Analysis for Project and Project Team

[former_member513364]

Hello Experts,

Need your ideas and expertise to the below business case, could be simple or complicated, please provide some insight.

the business case is like this. 2 specific project teams are available. there can be around 10 projects executed in a year. So in our PS we can have project team allocated to a project. workforce planning is done for the project for effective utilization, it is like 2 projects with 2 teams assigned. till now it is fine. the business calls for that 1 st team is assigned to another project only after closure of the assigned project.

Let us assume P1, P2,...P10 are the projects in a year. Assume T1, T2 are the teams available. Initially T1 is assigned to P1, T2 is assigned to P2.

Business confirms that T1 will be assigned to P3 only after completion of P1. This requirement is also straight. Assume that team T1 has executed 6 projects and team T2 has executed 4 projects.

The requirement is profitability analysis at project level i.e at P1, P2, ...P10 which is also pretty straight. Business requirement is also to have profitability analysis against each team i.e for T1 and T2. it is like each team has a project lead and team assigned under him. based on the expenses and revenue booked against the team, there will be performance evaluation of the team.( assume that P1, P3, P5, P6, P8,P9 are the projects executed by team T1, we need to have revenue and expenses of the said projects to be mapped to team T1 as well), so we have profitability analysis at team level.

Experts, require your advice on how to map the requirement. Is there any possibility to map projects to team rather assigning team to a project. please advice. provide some insight on how do we map the scenario.

Regards,

Murthy

[former_member513364]

Hi Team,

Let me frame the requirement in simple terms.

SAP allows to assign a team to a project or WBS. My requirement is how to assign different WBS to one team. This requirement is because same team will be working on different projects in a year.

I need to have a report for expenses and revenue of the team, i.e profitability of the team.

can you please provide some insight on how to map this requirement. Thanks.

[virendra_pal]

Hi

Please talk to your FICO and PS consultant.

Also do some search in SAP help and this forum before posting.

The thread is now locked.

Regards

Virendra

[virendra_pal]

Hi

I am not sure what you mean by profitability of teams - I think you need to check with your FI guys about this

From an SAP perspective for projects profitability is fine as there is both cost and revenue, but for the teams you can only have a cost centre and you can use the cost centre reports to see if you have a credit of debit after settlement to sewe the "earnings" of he cost centre - this will be mapped as activity types in SAP.

As regards to the process flow SAP does not set the rules up for you to use the projects in a perticular sequence - however you can release the projects as you like it

regards

virendra

[former_member513364]

Hi Virendra,

Thanks for your reply.

A team of people will be working on multiple projects in a year. All expenses for the projects worked by the team and also the revenue from those projects has to be booked against that team, so that we can have profitability. It is something like treating the team as Profit Centers in FI terms.

Hope now you can get the requirement much precise.

Awaiting advice from experts for the same.

Regards,

Murthy

[Former Member]

Hello Murthy,

In SAP you carry out Month end closing activities. In order to carry out this activity, you post all period based data on the project. Subsequently data relevant for Profitability analysis can be determined for the given period and then this data can be settled to COPA.

This data can be evaluated in the project information system or in Profitability analysis.

You can check report KE30 for Profitability Analysis.

Refer SAP help for more details

http://help.sap.com/saphelp_erp2004/helpdata/en/7a/4c3aad4a0111d1894c0000e829fbbd/content.htm

Regards

Tushar