Milestone Billing Structure

[Former Member]

Dear PS Experts,

We have real estate projects (Customer projects), and one typical structure is we have a housing complex project of 100 villas. (We are in process of implementing PS but all other SAP modules like FI/CO, MM, SD, PM, PP, QM etc are existing.)

Now after construction or during construction phase itself, these villas need to be sold through SD sales where following selling scenarios exists.

1. Each villa separately sold to individual customer. 1 S/O per Villa.

2. One S/O with multiple villas (Each villa is line item in S/O)

Here while I structure the project, I considered, two structures as follows,

1. 100 Villa project with project definition ABC/20014/PJ01. One main WBS with 100 WBS under that. Each of this WBS represent one villa and S/O will be assigned with this WBS.

2. 100 Villa project with project definition ABC/20014/PJ01. One main WBS with 4-5 WBS under that (1. Engineering & design 2. Land preperation 3. Construction etc..) and each villa is represented as a network & S/O will be assigned to main WBS and each S/O item will be assigned to these corresponding network of 100.

I would like to hear from you the best possible solutions.

Please share your ideas.

Regards,

VINOD.V

[former_member186385 · Accepted solution]

Hi Vinod,

I would suggest you to go with one sales order and One Project for each villa

because sales order is specific to one customer ( one sold to and one ship to)

in the Project you can structure one WBS at Header as Billing element and assign below to it subsequent WBS such as (land acquisition, Engineering, design, construction and miscellaneously) and this individual WBS will in turn have networks and activities based on the phase.

Finally post the actual cost to Each of the WBS and settle to Main WBS

Assign this main WBS to each sales order at line item level to populate actual cost to sales order line using DP91

if you have Milestone billing , you can configure Sales order line item with Billing plan and get 20% as down payment from customer, before you release Project and bill respectively

hope this is useful

thanks

santosh              

[Former Member · Accepted solution]

Hi Santosh,

Thanks for the suggestion

How about one project with 100 WBS (Relevant for .billing) and each WBS represent a villa and each of this WBS assigned to 100 sales orders. Because client  want to manage this as a single project.

Please let me know your suggestion.

Regards,

VINOD.V

[sanjeevc · Accepted solution]

Hi Vinod,

Create a single project then create 100 separated sales order with account assignment as wbs.

So here every wbs having milestones

Those milestone dates would be consider in sales order item level as billing date.

& you can fetch sales order underneath one project only in sap's standard report as CN55n.

Regards,

Sanjeev

[Former Member]

Hi,

Another Suggestion is:

1) Create a Project with 100 WBS & each WBS will be treated as a Villa.

2) Create NWA for (Engineering & design, Land preparation and Construction etc.)

3) Assign materials to these NWA.

4) Assign Sales order to Each WBS for each villa order/cost.

5) Settle your actual cost of Project either to cost center or Final Asset.

Also lets wait for other expert's suggestions.

Regards

Shishir

[Former Member]

Thanks Sanjeev & Shishir,

That's satisfy my query.

Regards,

VINOD.V