[

Developing a Work Order

Financial Approval Process
Tony Buffington, Sr. Consultant, Vesta Partners, LLC

[ Learning Points
The business need for developing this solution in SAP
Configuration and Master Data components necessary for
developing the Approval process
Reporting required to support the internal controls and
enforce the business process

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[ Business Requirements
If people knew what a maintenance activity cost, would they
think twice about making the request?
If management were involved in reviewing and approving
certain requests, would the priorities change?
Requirement:
Formalize authorization for maintenance work
Build cost awareness

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[ Work Processes
Where does this fit in the Maintenance Work Processes?

Why?
1) Planned Costs
2) Permits

Should there be a notification approval to cull out certain requests???

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[ Works Order Approval Process

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[ Master Data related setup

Characteristics
PM_MAINT_PLANT
PM_PLAN_COST
PM_ORDER_TYPE*

Classification
PM_PERMIT
Class type 049

Permits
Creation of permits for approval
Assignment of values to characteristics

*Note: If not all order types are subject to

the approval process, this characteristic will
need to be added.
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[ Configuration related setup

Define Permit Categories

Define Permit Groups

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[ Four steps prior to Permit Master Record setup

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[ Create Permit Characteristics

PM_MAINT_PLANT

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[ Create Permit Characteristics

PM_PLAN_COST

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[ Create Permit Characteristics

PM_ORDER_TYPE

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[ Four steps prior to Permit Master Record setup

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[ Create a Permit Class

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[ Four steps prior to Permit Master Record setup

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[ Assign Permit Characteristics to Permit Class

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[ Four steps prior to Permit Master Record setup

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[ Configure the Permit Group

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[ Define the Permits used for Approval

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[ Define the Permits

Approval Levels
Level 1 greater than $10,000 but less than $25,000
Level 2 greater than / equal to $25,000 but less than $75,000
Level 3 greater than / equal to $75,000

Single Permit Approval required (no overlapping approvals

necessary)
Multiple Plants can be assigned
Multiple Orders Types can be included
Note: Permits can be created that are specific to maintenance
plant and to work order type utilizing these characteristics.

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[ Define the Permits

Level 1 Permit Approval required:

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[ Define the Permits

Level 2 Permit Approval required:

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[ Define the Permits

Level 3 Permit Approval required:

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[ Plan the Work Order

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[ Work Order Planning - Labor

Labor is planned on the Operation tab:

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[ Work Order Planning - Materials

Spare part is added on the Component tab:

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[ Work Order Planning Determine Costs

Planned Costs are calculated once the Determine Cost button
is selected:

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[ Work Order Planning - Permit Assigned

Once costs are determined the permit is automatically assigned
to the order:

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[ Work Order Planning - Permit Assigned

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[ Issuing the Work Order Approval Permit

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[ Permit Issue Individual Work Order

Select Permit Issue button:

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[ Permit Issue Individual Work Order (continued)

Select (highlight) Permit to Issue and click on the
Permit Issue button:

User ID of the
approver appears to
confirm permit issued:

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Permit Issue List Edit Selection Criteria

List Edit Selection criteria emphasis on highlighted fields:

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[ Permit Issue List Edit

Resulting List of Orders needing Permits Issued:

Review Order detail by highlighting line item and selecting the

Display Order button:

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[ Permit Issue List Edit

Issue Permit by selecting the line item and clicking the Permit
Issue button:

The Approved by field has been populated by the approver:

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[ Permit Issue List Edit

Reset Approval by selecting the line item and clicking the
Reset Approval button:

Message about the permit being reset:

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[ Permit Issue List Edit

List edit report may still show the approvers name in
the list, but the traffic light shows that the permit
has been reset:

And the work order detail shows where the permit

needs approval once again:

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[ Enforcing Approval Process

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37

[ Security Authorization Object

I_SOGEN

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38

[ Restricting access
Adding the Maintenance Plant and Permit Key restrictions to a
users role provide a way to enforce the approval process so
that only the authorized approvers can move the maintenance
activity forward:

List plants and permits individually or have a naming

convention for the permit key which allows the use of the
wildcard (*) i.e. APV* as opposed to APV1, APV2, APV3.

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39

[ Key Learnings
Established that Work Orders have to be planned for costs to
be available.
Set up automated permit assignments using classification and
characteristics.
There can be many variations of permits to be used for
approvals (i.e. maintenance plant, planned costs, and work
order types).
Security Access can play a major role in enforcing the Work
Order Approval Process
Need to make sure the Business Processes are in place to
support an approval process.

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40

[ Questions?

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[ References
Vesta White Paper, SAP Permit Functionality, Using Standard
Permit Functionality in SAP Plant Maintenance, version 1.0,
December 31, 2008, prepared by Phil Vallie. Contact
info@vestapartners.com for more information.

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Thank you for participating.

Please remember to complete and return your
evaluation form following this session.
For ongoing education on this area of focus, visit the
Year-Round Community page at www.asug.com/yrc
Presenter Contact Info: tbuffington@vestapartners.com

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