Statistical WBS elements-Budgeting and Use

[Former Member]

Hi Guys,

Need some KT from you all regarding Statistical WBS Elements.My queries are

1.Can a statistical WBS element be budgeted? If yes how are the Budget distributed to those below.

2..If a level 2 WBS is marked statistical and it has 3 WBS under it which are Acc asignment element then how is the budget distributed.

3.can you provide some good example of the use of Statistical WBS element?

Thanks in Advance

ssk

[Former Member]

Hi Shourya,

1. As mentioned above Statistical WBS can be budgeted like any operative project and the budget can further be divided into lower level WBS elements and Availaility Control can be activated on these.

2. Again as stated above the budget distribution is normal. For ex- If a level 2 WBS is statistical and level 2's underneath that are real WBS.

3. We can use the Statistical WBS for capital projects. For ex- We can assign a Statistical WBS in Master record of AUC for Availability control of budget for Capital spending. And then when we create a PO with Account Assignment category A with same AUC, budget control (Availability control) is activated through the statistical WBS.

Someone might ask but why we want to use WBS for budget control why not I/O? It's because it provides more visibility over different departments (divided by structure). And via this process we can see all our PO's on AUC directly from Asset Explorer (AW01N).

Hope it helps.

Thanks,

BS

[former_member630135]

Hi,

Can I enter a Cost Center in a PO account assignment and also simultaneously attach a statistical WBS Element too in the same PO line item ?

The idea is to do the expense postings to a cost center and to use availability control warning/error feature of PS.

Can I also achieve this functionality by maintaining a cost center in the statistical WBS Element (CJ02) and then post costs to that cost center, hereby linking the cost center and the wbs element both ?

[Former Member]

Here is the point wise reply

1)Yes they can be budgeted. It is as normal as any other operative WBS Element.u can distribute the budgets from a statistical WBS to non-statistical WBS Elements also.

2)normal budget distribution. The budgeting functionality does not depend on the "Statistical" characteristic of a WBS element

3) Let me illustrate, there two types of scenarios

a) procurement of material, which needs to be capitalized. - Normally In this case(which are direct procurement type, ex: purchase of computer, chair, etc.), use statistical WBS and do the budgeting. otherwise u have purchase the material under a project do CJ88 and then settle it to the final asset. This is unnecessary complication of the project. This wholly depends on the client requirement (i.e. Capitalization process)

b) procurement of material or services/material with long lead times (generally more than 6 months) with part deliveries, part payments, etc which needs to be capitalized.(ex: construction of new plant, office building) - use non-statistical.

regards

Murali