Materials in Projects

Scenario Overview
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Creating
Planning Planning Allocating Consuming
Project Stock Invoicing
Project Material Inventory Inventory
Order

Scenario Scenario Description Open Legend

Explorer The Materials in Projects business scenario is relevant for project-based service providers who handle materials in addition to services (for
example, infrastructure service providers, IT, or energy infrastructure as gas pipeline or wind power). They need to plan and schedule
materials on projects, procure these materials from within the project, and sell these materials along with the project services within one
Scenario/Processes project invoice.

Business Value

Scenario Flow

Further Information
The following business roles are involved in this scenario:

Project Supply Warehouse Project Team Accountant

Warehouse
© © 2014 SAP AG. All rights reserved. Manager Planner Manager Member
Operator
 Materials in Projects
Scenario Overview
Click process
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Creating
Planning Planning Allocating Consuming
Project Stock Invoicing
Project Material Inventory Inventory
Order

Scenario Scenario Description Legend Open

CloseLegend
Legend
Explorer The Materials in Projects business scenario is relevant for project-based service providers who handle materials in addition to services (for
example, infrastructure service providers, IT, or energy infrastructure as gas pipeline or wind power). They need to
Process plandriven
mainly and schedule
by the user
materials on projects, procure these materials from within the project, and sell these materials along with the project services within one
Scenario/Processes project invoice. Process mainly driven by the system

Process running in an external system

Business Value
Manual process not supported by the
system
Scenario Flow
Process that communicates with third-
party software (mouse-over for details)
Further Information
The following business roles are involved in this scenario: Process with relevance to Financials

Related scenario
Project Supply Warehouse Accountant
Warehouse Info button
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Operator <Role Name> with more information
<Role Name>
 Materials in Projects
Process Details: Planning Project
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Planning Project X

Creating
Create Create Release Planning Allocating Consuming
Plan project Project Stock Invoicing
project baseline project Material Inventory Inventory
Order
i i i i

Scenario Process Description Further Information

Explorer The Planning Project business process enables you to create, plan, and structure your
project, as well as your project team setup and staffing. While planning for materials at a Performed by
Project Manager
project task level, you must clearly mention whether a material is tracked and consumed from
Scenario/Processes inventory.

In the Work Center

Business Value Project Management

Scenario Flow
See also
Further Information Creating Projects
Projects Quick Guide

© © 2014 SAP AG. All rights reserved.

 Materials in Projects
Process Details: Creating Project Stock Order
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Creating Project Stock Order X

Create Enter ship-

Planning project stock Enter from and Save project Planning Allocating Consuming
Invoicing
Project order for quantities ship-to stock order Material Inventory Inventory
project/tasks locations
i i i

Scenario Process Description Further Information

Explorer The Creating a Project Stock Order business process enables you to send the material
requirement to the supply chain, requesting them to allocate the materials for the project. Performed by
Project Manager

Scenario/Processes

In the Work Center

Business Value Project Management

Scenario Flow

Further Information

© © 2014 SAP AG. All rights reserved.

 Materials in Projects
Process Details: Planning Material
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Planning Material
X

Creating
Planning Run material Build Allocating Consuming
Project Stock Invoicing
Project planning inventory Inventory Inventory
Order
i i

Scenario Process Description Further Information

Explorer The Planning Material business process belongs to the supply chain process, and enables
the supply chain planner to plan for the demand requests from the project. Performed by
Supply Planner

Scenario/Processes

In the Work Center

Business Value Supply Planning

Scenario Flow
See also
Further Information Material Planning

© © 2014 SAP AG. All rights reserved.

 Materials in Projects
Process Details: Allocating Inventory
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Allocating Inventory X

Creating Release
Planning Planning Post goods Consuming
Project Stock customer Invoicing
Project Material issue Inventory
Order demand
i i
Click here to show process variants

Scenario Process Description Further Information

Explorer The Allocating Inventory business process belongs to the supply chain process. In this Performed by
process, the inventory is allocated to the project by reserving the stock at site for direct Supply Planner
consumption or pick up, or by pre-delivering the stock to the required location. Warehouse Manager
Warehouse Operator
Scenario/Processes
In the Work Centers
Outbound Logistics Control
Business Value Supply Planning
Outbound Logistics

Scenario Flow
See also
Further Information Customer Demand Quick Guide

© © 2014 SAP AG. All rights reserved.

 Materials in Projects
Process Details: Allocating Inventory
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chevrons for details

Allocating Inventory X

Creating Release
Planning Planning Post goods Consuming
Project Stock customer Invoicing
Project Material issue Inventory
Order demand
i i
Click here to hide process variants

Consumption at Site
Pick-up
Pre-delivery

Scenario Process Description Further Information

Explorer The Allocating Inventory business process belongs to the supply chain process. In this Performed by
process, the inventory is allocated to the project by reserving the stock at site for direct Supply Planner
consumption or pick up, or by pre-delivering the stock to the required location. Warehouse Manager
Warehouse Operator
Scenario/Processes
In the Work Centers
Outbound Logistics Control
Business Value Supply Planning
Outbound Logistics

Scenario Flow
See also
Further Information Customer Demand Quick Guide

© © 2014 SAP AG. All rights reserved.

 Materials in Projects
Process Details: Consuming Inventory
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Consuming X
Inventory

Creating
Planning Planning Allocating Consume
Project Stock Invoicing
Project Material Inventory inventory
Order

Scenario Process Description Further Information

Explorer In the Consuming Inventory business process, the project consumes the allocated
Performed by
inventory to execute a project task. It is not necessary that the entire allocated quantity is Project Manager
consumed in one step. The quantity can be consumed in multiple phases. Project Team Member
Scenario/Processes

In the Work Center

Business Value Project Management

Scenario Flow
See also
Further Information Projects Quick Guide

© © 2014 SAP AG. All rights reserved.

 Materials in Projects
Process Details: Invoicing
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Invoicing X

Creating
Planning Planning Allocating Consuming
Project Stock Invoicing
Project Material Inventory Inventory
Order

Scenario Process Description Further Information

Explorer In the Invoicing business process, the quantities consumed against a project stock order can
be invoiced in two ways: Performed by
Accountant
 By creating the project invoice request manually
Scenario/Processes
 By creating the project invoice request automatically
In the Work Center
Business Value Customer Invoicing

Scenario Flow

Further Information

© © 2014 SAP AG. All rights reserved.

 Materials in Projects
Business Value

Plan Initiate Execute Invoice

Create project Project

Plan Plan against Allocate the Project
stock order to consumes
materials to Release the project stocks invoices
initiate material the goods
Plan project consume project/ stock order against the against the
request to from
from project tasks and build project stock components
Supply Chain allocated
inventory inventory order consumed
Management stock

Scenario Overview Key Benefits

Explorer For companies that handle long running
projects where there is a general need to
store the inventory allocated to a project and
Scenario/Processes capture the expenses only when the goods
are consumed by the project, this scenario
helps to achieve the same by integrating the
Business Value projects, supply chain planning, and
warehousing operations.
Scenario Flow You can increase customer satisfaction and
grow profits by using planning capabilities to
Further Information make sure that the right amount of inventory
is available for a project when required, and
invoice for the goods that are consumed.
 Projects and Supply Chain Management are tightly integrated to pass on the
material requirements from projects to the supply chain team.
 Supply planning is closely integrated with production and purchasing to facilitate the
seamless handover of production and purchasing proposals for execution, and to
build inventory for the requests coming from a project.
 Goods can be allocated to a project and can be made unavailable to other projects,
such that you do not run into the risk of allocating the same inventory to multiple
projects.
 Goods consumed against a project are captured in expenses, rather than the ones
that are allocated to the project, thus giving a realistic picture of project expenses.
 You can manage identified stock (batches and lots) or restricted inventory.

© © 2014 SAP AG. All rights reserved.

 Materials in Projects
Scenario Flow
Project
Management Supply Planning

Creating
Planning Project Planning
Project Stock Material
Order

Outbound Logistics Control

Supply Planning Project Customer Invoicing
Outbound Logistics Management

Allocating Consuming
Invoicing
Inventory Inventory

Scenario
Explorer
• Consumption
at Site
• Pick-up
• Pre-delivery
Scenario/Processes

Business Value

Scenario Flow Legend

:
Further Information Work center in which
Process • Process process is performed
mainly Work
driven by
variant1 Work
• Process Center
Center
the user Business
variant 2 document flow

© © 2014 SAP AG. All rights reserved.

 Materials in Projects
Further Information

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Explorer
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Scenario Flow Self-Enablement Systems WIKI

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Further Information
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aspects of a business scenario.
To access the WIKI, click here.

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