PS & Estimation

[Former Member]

Dear Expert,

This is urgent requirement.

Is Estimation part of Project Systems?

If yes how can we do it?

In CJ20n, we can enter activities & have cost planning but not estimation.

Please help.

SSanjay

[Former Member]

Please explain...What do you mean by Estimation?

Estimating Costs?

Estimating Hours?

Estimating Materials?

Or do you mean Estimating the % complete for Eanred Value

Steve

[Former Member]

I want to know about Estimation of Cost.

SSanjay

[Former Member]

At a high level

If you use WBS elements but not Networks

You can use transaction CJ40 to plan Overall and Annual Plan Costs at a WBS element level

You can also plan detailed costs (by cost element) within CJ40 per WBS element

You can use transaction CJ42 to do the same but to Plan for Revenues instead of Costs.

If you use Networks...then CJ20N can be used to Plan all Costs for Labour / Materials and other Expense Activities.

This is done using Network Activities and Activity Elements

e.g. Using Internal Activites you can Plan for Internal Labour Resources - you will need to specify a Work Centre a number of hours on the Activity

The number of hours you Plan will be costed by using the an Activity type specified in the Work Centre

Using Cost Activities to plan for Non Labour and Non External procurement activities e.g Travel Expenses

You just need to enter a Cost Element and an Amount

Material Components can be used to plan the costs for Materials

Steve

[Former Member]

Dear Steve,

Thanks for this information.

I do not want to plan project.

Planning will be done after things are finalised & we are starting project.

My requirement is different.

When a we have not yet received project.

It is in quotation phase.

We have to find our project cost, then we do estimation.

Do we have something for it?

SSanjay

[Former Member]

Again what do mean by estimation?

Give examples of the Estimation data you expect SAP to hold for you

Would you not have a Bid Project underway to capture the costs of providing the Quotation?

i.e. I assume a decision has been made to provide the Quote...where do book your Bid Costs go? a Project?

Can you create a separate WBS element structure within that Project or another Project to capture these Estimated Costs (Perhaps at WBS element level) this could provide the basis for your accepted Customer Project

Think about Resources... if the Project is not accepted by the Customer how do you expect to cancel the Estimated Resources or how do prevent double up of estimated Resources.

I assume the Estimation needs to include which types of Resource may be required if the Project was won??

Steve