SAP PPM supports you in every processes of the project and portfolio management.
Project planning and budgeting
In every company a multitude of projects run at the same time. Furthermore, new project ideas or requirements need to be continually verified for feasibility. The questions are:
- When can the project be implemented, what are the key dates?
- Can the project be funded by existing budget funds?
- Are enough resources available to implement the project?
- Which effects may emerge to other projects?
The answers to these questions is significantly simplified with an integrated solution. Current and valid data are available at any time. Cost, time and resource planning are possible in one unified interface. All employees that are concerned with planning work with the same database. Laborious copying and manual consolidation of information accounts. The collaboration between various divisions like project office, controlling, human resources, purchasing and more is eased, which positively affects the results of the joint work.
Operative project management and controlling
In the field of project management it is common to use a multitude of tools. Project manager plan with MS Project or MS Excel, controlling uses an ERP system or a data warehouse to get information on costs, documents are located on various drives, and additional project data are collected in extra databases.
No wonder that it is nearly impossible to see the big picture of a project or a group of projects on a certain date quickly and easily. It is similarly difficult for project members who receive the information from various sources to know the current status. Time, know-how and money are lost.
SAP PPM is an overall solution for all fields and phases of project management, with which all involved teams and persons collaborate. Thereby, all of these processes are significantly improved. The integrated project management system is the platform for well-planned and successfully implemented projects, without laborious search for information in various applications, folders and lists.
When implementing projects, scarce resources are the main problems in many enterprises. Even more astonishing is the fact that there often is no overview to answer the simple questions:
Who works on which project?
Everyone benefits from a department or enterprise wide solution for resource management. Project leaders can announce their resource needs and compare planned with actual data. Team leaders can overview and manage the utilization of their team members. Project members know when to do what.
It is important to take the various planning horizons into account. For the short term it is possible to plan very accurately and up to one person. For the medium and long term only a rough indication at departmental or qualification level is possible. An integrated system must support the ongoing and rolling planning in various granularities.
As the number of projects increases, it is easy to lose sight of details.
- Which projects are already started or are planned?
- Which projects are getting out of control?
- Are we implementing the right projects at all?
The management of an entire project portfolio includes a comprehensive and ongoing monitoring of the current projects on the one hand. On the other hand, the medium and long term planning has to be taken in consideration – in addition to the base load of the currently running projects.
SAP PPM supports the portfolio management in implementing the optimal mix of projects with the funds available (finance and resources). So you can react quickly on postponements, budget cuts or short-term urgent requests.
In practice, project reports are omnipresent. A multitude of Excel or Powerpoint files often need to be created manually. The files then exist, but in different applications, or are only available with great delay. Valuable time passes until time or cost deviations are recognized.
With SAP PPM all project information is available at any time by the push of a button. Data is brought together from the various sources and prepared clearly. There are various standardized reports available. Additionally it is possible to create reports exactly to your needs.
The format of reports is flexible, too. You can view lists or graphics online, export to Excel or create and send PDFs.
Calculation and tenders
As soon as there is a project idea or requirement in discussion, the first question is: What will it cost?
Now the calculation has to be done. The challenge is that there is little information at the beginning. Only rough estimates can be made or be based on comparable projects. The better the project planning, the more you know which costs in which period will be required, and the more precisely you can calculate.
It is common that rough planning, resource planning and detailed planning are executed in different applications, whereby information is lost and the traceability suffers.
SAP PPM is an integrated solution which enables a calculation in various detail levels and the derivation of planned costs from other data, e.g. project resource planning. Rough and detail planning are comparable and deviations become noticeable.
After all the actual costs can be compared with the versions of planning. All planning processes are documented in the system and the development of the cost planning can be retraced.
If it is about a customer project the calculation is the base for the tender. An integrated solution supports you by automatically using the data of the calculation for the tender. Changes in the calculation, e.g. because of changing customer requirements, lead to an actual tender version.
Strategic project planning
If the single project management is well established in a company, you can think of optimizing the whole project portfolio. The essential question is:
Which projects should and can be carried out?
The whole pool of running projects and new ideas is holistically considered to support the decision which projects will and will not be carried out based on quantitative and qualitative analysis.
Often there are strategic goals which are defined on a company level or even on a department or segment level. But:
Which projects help reach the strategic goals and should be handled with high priority?
To answer this question, the reference between goals and projects needs to be established. The reference (e.g. the contribution of a project to the various goals) needs to be objectively ascertainable and assessable to help you analyse the project portfolio not only with the numerous quantitative data (costs, dates, characteristics) but also with the strategic goals.
The final decision regarding which projects will be started and which eventually need to be stopped, cannot be made by the system automatically. However it can deliver a valuable, comprehensible and documented basis for the decision allowing you to choose the best scenario out of a multitude of possibilities.