baanerp manufacturing project control...

BaanERP Manufacturing

Project Control System

Module Procedure UP055A US

Project Control System

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Document

Document code : UP055A USDocument group : User DocumentationDocument title : Project Control SystemEdition : ADate : May 1998

© Copyright 1998 Baan Development B.V. All rights reservedThe information in this document is subject to change without notice. No part of this documentmay be reproduced, stored or transmitted in any form or by any means, electronic or mechanical,for any purpose, without the express written permission of Baan Development B.V.Baan Development B.V. assumes no liability for any damages incurred, directly or indirectly, fromany errors, omissions or discrepancies between the software and the information contained in thisdocument.

Project Control Systemi

Table of contents

1. The Project Control System (PCS) module in BaanERP 1-11.1 The concept as applied in BaanERP 1-11.2 BaanERP Project Control’s functional procedures 1-21.3 The modules that are related to PCS 1-31.4 The functionality of PCS’s business objects 1-5

2. The create a project procedure 2-12.1 The create a project procedure 2-12.2 The sessions that are related to the main procedure 2-72.2.1 Copy Project (tipcs2210m000) 2-72.2.2 Delete Project (tipcs2270m000) 2-72.2.3 Print Inventory Values of Projects to Close (tipcs2402m000) 2-72.2.4 Maintain Project Details (tipcs2530m000) 2-7

3. The create a budget procedure 3-13.1 The create a budget procedure 3-13.2 The sessions that are related to the main procedure 3-53.2.1 Create Sales Order (tdsls4500m000) 3-53.2.2 Generate Sales Order Line (tdsls4501m000) 3-53.2.3 Generate Project Structure for Sales Order (tdsls4244m000) 3-5

4. The engineer a project procedure 4-14.1 The engineer a project proocedure 4-14.2 The sessions that are related to the main procedure 4-54.2.1 Delete Customized Product Structure (tipcs2233m000) 4-5

5. The project-calculation procedure 5-15.1 The project-calculation procedure 5-1

6. The network-planning procedure 6-1

7. The Link with Finance business object 7-1

Project Control Systemii

The Project Control System (PCS) module in BaanERP

Project Control System1

About this document

Read this document to get an overview of the Project Control System (PCS)module’s functionality and to learn more about the functional procedures thatare related to PCS.

You need no detailed knowledge of the BaanERP software to read thisdocument. However, you are more likely to understand the contents if you arefamiliar with:

n The overall structure of packages, modules, and sessions within theBaanERP software

n The general business procedures used in everyday business practicen The basic concepts of enterprise resource planning

For detailed descriptions of the module’s sessions, refer to BaanERP’scomprehensive online Help.

To use this document

Read Chapter 1, The Project Control System (PCS) module in BaanERP, if youwant to know more about:

n The module’s functionalityn The relationship of the module with other modulesn The functionality of the module’s business objects

Read Chapters 2, 3, 4, 5, 6, and 7 if you want to know more about:

n The sessions in the proceduresn The results of the proceduresn The sessions that are related to the proceduresn The optional procedures that are related to the procedures


Project Control System2

Acronyms used in this document

BOM Bill of Material

CF Configurator

CP Constraint Planning

CPR Cost Price Accounting

FAS Final Assembly Schedule

HRA Hours Accounting

IBD Item Base Data

IPD Item Production Data

PCS Project Control System

PUR Purchase

ROU Routing

SFC Shop Floor Control

SLS Sales

SOC Service Order Control

TP Project package

TRP Tools Requirerments Planning

TS Service

WH Warehousing

Legend

Mandatorysession

Indicates a mandatory session

Optionalsession

Indicates an optional session

Mandatorybusiness object

Indicates a mandatory business object

Optionalbusiness object

Indicates an optional business object

CFIndicates a package

PCSIndicates a module

PCSIndicates a module that is described in the module procedure

Project Control System1-1

This chapter provides information on:

n The concept as applied in BaanERPn The functional procedures of BaanERP PCSn The functionality of the business objects of PCS

1.1 The concept as applied in BaanERP

The BaanERP Project Control System (PCS) module is used in to-orderproduction situations. You can also maintain projects in the BaanERP Projectpackage. Projects from the BaanERP Project package (TP) are mostly long-termprojects. For example, the building of a power plant or the building of a bridge.

PCS covers the following components of customer order-driver production andpurchasing:

n Estimatingn Engineeringn Planningn Costingn Control

The items can be of the following types:

n Standard anonymousStandard anonymous items can be sold by a project. The item will bedelivered from the warehouse. The cost of goods sold and the revenuesgained are taken into account in a project’s estimated and actual costs. Theitem cannot be produced by the projects.

n Standard-to-orderWith standard-to-order items, PCS is used for material planning andproduction. Project engineering can be carried out when the ProjectEngineering check box is selected.

When the project is created, the standard product structure is copied to theproject. This means that standard bills of material, and routing and costingstructures are taken from:

− The BaanERP Bill of Material (BOM) module− The BaanERP Routing (ROU) module− The BaanERP Cost Accounting (CPR) module

When the project is created, engineering of the project is created.

n CustomizedThe bills of materials and the routing and costing structures can be definedfor specific projects. Customized items can be derived from engineeringitems, standard items, or generic items.

1. The Project Control System (PCS) module in BaanERP



n Product variantsA product variant can be produced in two ways:

− By using a job-shop type of production. The planning and production isfully controlled by PCS. The order system of the generic item must beplanned.

− By using a line assembly production. The planning is controlled by theConfigurator package. The order system must be final assemblyschedule (FAS).

1.2 BaanERP Project Control’s functional procedures

BaanERP Project Control contains a few functional procedures, which controlthe planning, production, and execution of a project. Project control consists ofa main procedure (main flow), displayed in Figure 1, and a few functionalprocedures.

Project Data

Project Engineering

Project Calculation

Project Planning

Project History

Figure 1, The main flow of PCS



The procedures of PCS are:

n Creating a projectn Creating a budgetn Project Planningn Project Engineeringn Project Calculationn Project History

1.3 The modules that are related to PCS

ROUIPD

IBD

BOM

TRP PUR

WHSLS

CPR TS

CF

TP

CP

SFC

HRA

PCS

Figure 2, The modules that are related to PCS

PCS is related to the following BaanERP Manufacturing modules:

n The BaanERP Item Production Data (IPD) module contains production datasuch as routing unit and phantom yes/no.

n The BaanERP Bill of Material (BOM) module provides the standard bill ofmaterial data. The data is copied to the project for customized items,standard-to-order items and anonymous items.

n The BaanERP Routing (ROU) module provides the standard routing data.The data is copied to the project to customize standard to order andanonymous items.

n The Cost Accounting (CPR) module is used for the calculation of estimatedproject costs. Operation rates, subcontracting rates, material surcharges, andoperation surcharges for the production of customized items are defined byprice calculation code in the CPR module. In addition, project specific ratesand surcharges are defined in the Project Control (PCS) module.



n The Hours Accounting (HRA) module is used to retrieve the number ofhours spent on the project. The number of hours spent on a project are usedto calculate the actual project costs.

n The Shop Floor Control (SFC) module is used to retrieve calculation data,which is then used to calculate actual project costs.

PCS is related to the following BaanERP modules:

n The Item Base Data (IBD) module in BaanERP Common is used to definethe order system and order method of standard and generic items.

n The Sales (SLS) module in BaanERP Warehousing contains actual costingdata.

n The Purchase (PUR) module in BaanERP Distribution contains actualcosting data.

n The Service Orders (SOC) module in BaanERP Service can contain serviceorder costs.

n In BaanERP Configurator, generic item structures (bills of material, routing,and option based prices) are defined. As a result product variants can begenerated. Two possibilities then occur:

− There is an order for a normal generic item (not FAS). You can use theGenerate Product Variant for Project Item (tipcs2220m000) session tocreate a project.

− There is an order for a generic item with order system FAS. In thissituation, planning, forecasting, critical material explosion, and orderacceptance is done in BaanERP Configurator.

n Projects from BaanERP Project can be linked to projects in the BaanERPProjects module. The project drives the requirements for the PCS projectitems. BaanERP transfers financial information from the PCS projectmodule to BaanERP Project when the PCS project is closed. The progresson a PCS project can be monitored from BaanERP Project.



1.4 The functionality of PCS’s business objects

Depending on the type of project (main project or subproject) the NetworkPlanning business object and the Module Planning business object are notmandatory.

n Project DataWith this business object you can maintain a variety of data, for example:projects, project status, project type, project stages, project parts, andproject structure. Projects can be closed, archived, deleted or copied.

n Network PlanningThe purpose of network planning is to deliver rough materials planning andcapacity planning of the project. This is used to estimate project lead timeand required capacity. The Network Planning business object is used tomaintain the data required to carry out a network planning. It is possible todefine activities and relations between activities. Capacity load tablesindicate how the rough capacity requirement is divided over the activityduration. The rough utilization for each project shows the rough capacityrequirement per activity per week.

n Module PlanningThis business object is used to establish relations between the activities ofthe network planning and the project items. Network planning must havebeen generated first. If a module is defined, the delivery date of items isalways calculated from the activity network. A module can be used todefine items quantities that are different from the sales-order quantity.Module planning can be used for the planning of critical materials with longlead times or delivery times, and for the control of delivery dates when non-production activities take place after production.

n Project EngineeringA product variant structure can be generated for a project, but only if thegeneric item is of the type planned. It is possible to copy a standard orcustomized product structure to a project and to copy a customized productstructure to a standard product structure. The definition of a customized billof materials and routing is done in the BOM and ROU modules.

n Project CalculationThis business object allows the user to maintain the data required for theestimated cost price calculations as well as the actual cost price calculationsof a project. Operation rates, subcontracting rates, and cost price surchargescan be defined by project in the CPR module. The estimated item price iscalculated in the CPR module. In the Project Calculation business object itis possible to define general project costs and calculate the total project cost.The project cost is based upon the cost of items and the cost of activities.



n Project HistoryWith the Project History business object you can display or print thehistorical data of projects and production orders. The data related topurchase orders, sales orders, and inventory transactions is stored in theDistribution package and Warehousing package. Figure 1 shows how themodule is positioned in BaanERP.

n Link to FinanceWith the Link to Finance business object you can view, delete, and print thework in process (WIP) transactions that are posted to the Finance packagefrom PCS.


This chapter describes:

n The main proceduren The sessions that are related to the main procedure

2.1 The create a project procedure

The procedure describes the ways a project can be created. You can create aproject in several ways:

n Enter a project manually in the Projects (tipcs2501m000) session

n Copy a budget to a project or copy an existing project to a project using the(tipcs2210m000) session

n Generate a project from a sales order with the Generate Project Structure fora Sales Order session (tdsls4244m000)

n Customize an item in the Activity Budget Material Lines (tpptc2510m000)session

n Customize an item in the Element Budget Material Lines (tpptc1510m000)session

2. The create a project procedure

The create a project procedure


Figure 3 shows the steps in the create a project procedure.

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1

2

3

4

5

Calculation office(tcmcs0565m000)

Calculation office(tcmcs0565m000)

Projects(tipcs2501m000)

Maintain ProjectStructure (tipcs2530m000)

Generate ProjectStructure for Sales

Orders (tdsls4244m000)

Copy Projects(tipcs2210m000)

Element BudgetMaterial Lines

(tpptc1510m000)

Activity Budget(Material Lines)

(tpptc2510m000)

6Project Parts

(tipcs2511m000)Project Engineering

7

Network Planning

Module Planning

Project Calculation

Project Status(tipcs2502m000)

Close Project(tipcs2250m000)

Archive Project(tipcs2260m000)

Figure 3, Creation of a project



The procedure consists of the following steps.

Step 1 Creation of a project

You can create a project without having to manually enter a new project in theProjects (tipcs2501m000) session. You can:

n Generate a project from a sales order with the Generate Project Structure fora Sales Order (tdsls4244m000) session. For example, the sales order can bea product variant from BaanERP Configurator.

n Copy a budget to a project or copy a project to a budget with the CopyProjects (tipcs2210m000) session. (See also paragraph 2.2.1).

n Customize an item in the Activity Budget Material Lines (tpptc2510m000)session.

n Customize an item in the Element Budget Material Lines (tpptc1510m000)session.

Step 2 Calculation Office (tcmcs0565m000)

When you decide to create a project, you must assign a calculation office to theproject. A calculation office is a work center that determines the enterprise unitfor a project or production order. The calculation office has a purelyadministrative function. You can assign a calculation office in two ways:

1 You define a calculation office, which you then link to the numbergroup/series combination used (tipcs0103m000) for the project. Thecalculation office is entered by default when you enter a project.

2 You define a project after a calculation office is assigned to it.

Step 3 Price Calculation Codes (ticpr1500m000)

You can only define a project after you have assigned a price calculation codeto it. A price calculation code is a specification of how the cost price, valuationprice, or sales price of the project is calculated. The price calculation code forcustomized items is stored by project.

Step 4 Projects (tipcs2501m000)

In this session you can manually enter a project or maintain data of existingprojects. A project is a collection of manufacturing and purchasing actions thatare performed especially for a particular customer order. A project is initiatedby a customer order for items that have a to-order policy. The purpose of aproject is to plan and coordinate the production of these items.

Common data for a project, such as customer name and project type, can beentered in this session. Depending on the value of the Project Series parameterin the Maintain PCS Parameters (tipcs0100m000) session, a series can be usedfor the project code.



The Engineering Allowed field in the session is important. When this check boxis cleared, project engineering is not allowed. As a result, the check box valuechanges when the project is maintained. Thus, project calculation and projectplanning use the standard costing structures.

The Project Type field in the session is important. The field indicates theproject’s functionality and the method of operation. A project can be of thefollowing types:

Main projectA main project is a set of related subprojects. The network planning ofsubprojects is controlled by the main project. This means that the main projectcontrols the start or end dates in subprojects. The total costs of the subprojectsare aggregated to the main project.

For a main project you can:

n Maintain project activitiesn Define a network planningn Enter a price calculation coden Enter operation ratesn Enter subcontracting ratesn Enter surchargesn Assign a service order

For a main project you cannot:

n Define a module planning for a projectn Engineer the projectn Link items to the main project

SubprojectA subproject is part of a main project, and makes it is possible to manufacturecustomized products. The network planning of the main project determines theplanning method and the start and delivery dates of the subproject.

Single projectA single project is never part of a main project. The purpose of this project typeis to produce customized items. The logistical actions for these projects aredetermined by the Project Planning business object, although it can use theNetwork Planning business object.

Step 5 Maintain Project Structure (tipcs2115m000)

This session is only relevant if the project type is a main project or a subproject.The project structure defines the relation between a main project and itssubprojects. If only one level of subprojects is allowed, they are all defined onone level. The start date for a subproject is determined by the start date of themain project's activity. In other words, the main project’s activity is entered asthe start activity of the subproject.



Step 6 Project Parts (tipcs2511m000) and Project Engineering

Project engineering is the process that you use to maintain the product structureso that you can manufacture the products according to the customers wishes.This means you either create routing and BOM structures or you adapt existingrouting and BOM structures.

The routing BOM structures are assigned to an item. The item is assigned to aproject part. In order to calculate the costs of the customized product,, theproject parts must be defined.

Step 7 Network Planning, Module Planning, Project Calculation

Before you can carry out the planning procedures, project engineering must becarried out. After project engineering has been carried out, the materialrequirements and resource requirements required to produce the item areknown.

Before you can carry out the project calculation, the production requirements ofan item must be known so that you can calculate the costs of material, and soon. The calculation is performed for each project part, so the project parts mustalso have been defined.

Step 8 Close Projects (tipcs2260m000)

You can use this session to close a project after the logistic and financialprocesses have been completed. Final project results are calculated whenprojects are closed. Only projects that have the status Finished or Canceled canbe closed.

If a network is present, the subprojects must be closed first. You can then closethe main project.

Step 9 Project Status (tipcs2502m000)

The project status determines which project functions can be carried out. Duringthe project, and depending on the stage that the project is in, the status changes.The status of a subproject can only be changed based on the status of the mainproject.

The status of the main project depends on the status of the subproject.Note



To work with project statuses

If the status is Free you can:

n Carry out project engineering

n Define the project master schedule (PMS) by using the Module Planningbusiness object

n Maintain the project structure

n Maintain the customized product structure by using customized bills ofmaterial and routing sheets

n Carry out project estimation

If the status of the project is Simulation, you can:

n Simulate the rough capacity requirements planningn Simulate the detailed material requirements planningn Simulate the resource requirements planning (RRP) based on the network

planning

If the status of the project is Active, you can:

n Release planned orders, so that the required purchase and productionactivities can be started and completed

If the status of the project is Cancelled, you cannot:

n Release new orders for the project

If the status of the project is Finished, you:

n Closed or completed all purchase and production activitiesn Delivered all sales orders

If the status of the project is Closed, you:

n Computed the financial project resultsn Cannot post financial project transactions to the project

If the status of the project is Archived, you:

n Stored all the project data in archive files. This means that the data isremoved from the original files

Step 10 Archive projects

This session is used to transfer the data to another set of tables, by storing it inanother BaanERP client company. Although archived data is partly removedfrom the hard disk, individual project records within the primary table cannot beremoved.

This session moves the data from a closed project to an archive companynumber. The project data is deleted from the original tables. One exception tothis is the data in the Maintain Projects (tipcs2501m000) session, which hasreferences with other parts of BaanERP.



2.2 The sessions that are related to the main procedure

2.2.1 Copy Project (tipcs2210m000)

If an existing project is the same as, or very similar to, the new required project,the Copy Project session can be used to copy a project to another project. Thetarget project can be a new project or an existing project. If it is an existingproject, new data will be added without existing data being overwritten. Thedata in the Project Engineering and Project Costing business objects will also becopied. The data that is to be copied to a project can be maintained.

2.2.2 Delete Project (tipcs2270m000)

This session is used to remove a selected row of projects and the associatedproject data. Only projects with the status Free can be removed.

2.2.3 Print Inventory Values of Projects to Close (tipcs2402m000)

In the Close Project (tipcs2402m000) session, current project inventory isremoved until a value is defined. This report will give information about theproject inventory of customized items and the value of the inventory. Thisreport can be printed before a project is closed.

2.2.4 Maintain Project Details (tipcs2530m000)

This session is not mandatory. In this session you can maintain additionalproject details, such as the planning method.


This is in contrast to projects, which are related to actual orders. The purpose ofa budget is to estimate project costs and revenues, without requirements beinggenerated.

Budgets can be copied to a single project or a subproject, or the other wayaround. This includes the copying of:

n Bills of materialn Routingsn Costing structures

3.1 The create a budget procedure

The creation of a budget procedure ends when the budget is copied to a projectin the Copy Project (tipcs2210m000) session or when the budget is deleted inthe Delete Project (tipcs2270m000) session. For more information about furthersteps in the procedure, for example how to maintain project data, see the how tocreate a project procedure.

A budget:

n Cannot have a project structure

n Cannot use the network-planning procedure

n Cannot use the module-planning procedure

n Cannot generate material-requirements planning or capacity-requirementsplanning

n Can have relations with the BaanERP Configurator package (you can makea product variant for a budget)

n Does not have relations with the BaanERP Hours Accounting (HRA)module

n Does not have relations with the BaanERP Sales (SLS) module

n Does not have relations with the BaanERP Purchase (PUR) module

3. The create a budget procedure

The create a budget procedure


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1

4

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Calculation Groups (tipcs0110m000)

Price Calculation Code (tipcs1500m000)

Projects (tipcs2501m000)

Quotation Results(tdsls1101s100)

Project Parts (tipcs2511m000)

Process Quotations(tdsls1200m000)

Quotation Lines(tdsls1501m000)

Sales Quotations(tdsls1500m000)

Generate Sales Quotationsfor Project

(tipcs2240m000)

Calculate Sales Prices(tipcs2241m000)

Copy Project(tdsls2210m000)

Budget Details(tipcs2540m000)

Project Calculation

Figure 4, Procedure to create a budget


Step 1 Calculation Groups (tipcs0110m000)

You can only define a project after you have assigned a calculation office to it.A calculation office is a work center that determines the enterprise unit for aproject or production order. The calculation office has a purely administrativefunction.

Step 2 Price Calculation Codes (ticpr1500m000)

You can only define a project after you link a price-calculation code to aproject. A price-calculation code is a specification of how the cost price,valuation price, or sales price of the project is calculated. The price-calculationcode for customized items is stored by project.


In this session the project is defined as a project of the type Budget. You mustset the Project Type field to Budget. The purpose of a budget is to estimateproject costs and revenues, without generating requirements.



Step 4 Maintain Budget Details (tipcs2540m000)

This session is optional. In this session you can determine the way the budgetcalculation is performed.

Step 5 Project Parts (tipcs2511m000)

The Project Parts session is mainly used for calculation purposes. Costs for abudget can only be calculated with project parts. Project parts are assigned tothe routing data and bill of material data, which supply data on which the costprice is based.

Step 6 The project is calculated (tpcs3250m000)

The purpose of a budget is to calculate prices so that customers can be quotedsales prices. For information on how the budget is calculated, see Chapter 5,The project calculation procedure.

Step 7 Calculate Item Sales Prices by Budget (tipcs2241m000)

The sales price can be generated for the different budget parts, based on the costprice of a budget. The sales price is calculated by adding budget costs and thedesired profit margin. The selling price is used in sales quotations.

You can change the generated selling price in the Generate Sales Quotations forBudget (tipcs2240m000) session.

Calculation groups can be entered for the budget. As a result, different coststructures and different item structures can be defined for the same budget.Parallel simulations of cost and revenues can be compared and analyzed. Forbudgeted items, estimated sales prices can be calculated in the CPR module.

Step 8 Generate Sales Quotations for a Project (tipcs2240m000)

You can use this session to generate a sales quotation, based only on a budget.As a result, you can quickly submit a quotation to a customer. During theprocess, a sales quotation line is generated for each budget part. The sales priceis based on the budget costs and includes a desired profit margin.

Step 9 Sales Quotations (tdsls1500m000)

You must use this session to gain access to the Quotation Result(tdsls1101s000) session. The Quotation Results (tdsls1101s000) session is amandatory step in the procedure.

Select, in the Quotations (tdsls1500m000) session, the sales quotation yougenerated in the Generate Sales Quotations for Project (tipcs2240m000)session. By means of the Quotations (tdsls1500m000) session and the Quotationlines (tdsls1501m000) session to access the Quotation Result (tdsls1101s000)session. You must run the Quotation Results (tdsls1101s000) session in theprocedure.



In the Quotations (tipcs1500m000) session you can maintain information that isin the quotation header. For example:

n Business partner datan Terms of paymentn Terms of delivery

Quotations can be created manually or copied from an existing quotation.

Step 10 Quotations Lines (tdsls1501m000

You must use this session to gain access to the Quotation Result(tdsls1101s000) session. The Quotation Result (tdsls1101s000) session is amandatory step in the procedure.

You selected in the Quotations Lines (tdsls1500m000) session the salesquotation you generated in the Generate sales quotations for project session(tipcs2240m000). When you select the quotation line in the Quotation Line(tdsls1501m000) session you can zoom in the specific menu to the QuotationResult (tdsls1101s000) session.

Step 11 Quotation Results (tdsls1101s100)

You can only start this session using the Quotation Order Lines (tdsls1101s000)session.

You can record the business partner’s response to the quotation with theQuotation Results (tdsls1101s100) session. The business partner can eitheraccept or reject the submitted quotation line. You can also record the reason forsuccess or failure, and the competitor that lost or obtained the order line. Thisinformation can be important for future quotations.

You can assign the following statuses to the quotation:

n FreeA quotation line receives this status as soon it is entered in the quotationline.

n ConfirmedIf a business partner accepts the quotation line, the line is confirmed forprocessing.

n CanceledThe status assigned to the quotation line, which is no longer valid, and canbe deleted.

n ProcessedThe status that is assigned to the quotation, when the quotation has beentransferred to a sales order.



If the business partner accepts the quotation, you can manually update the salesquotation with the following information:

n Delivery daten Confirmed statusn Reason for successn Competitor code

Step 12 Copy Project (tipcs2210m000)

If a customer agrees with a budget, you can copy the budget to a project usingthe Copy Project (tipcs2210m000) session. Budgets that customers do notapprove can be deleted using the Delete Project (tipcs2270m000) session.

When the budget is copied to the project all data assigned to the budget iscopied to the project. All check boxes in the Copy project (tipcs2210m000)session are selected by default. You must select the Item Data check box.

The creation of a budget procedure ends when the budget is copied to a project.If you need information about further steps in the procedure, for example howto maintain project data, see the How to create a project procedure).


3.2.1 Create Sales Order (tdsls4500m000)

You can maintain sales orders that were created from a quotation using theSales Orders (tdsls4500m000) session. Afterwards, the other sessions of thesales-order procedure are carried out.

3.2.2 Generate Sales Order Line (tdsls4501m000)

During the process, a sales-quotation line is generated for each budget part. Thesales price is calculated by adding budget costs and the desired profit margin.

3.2.3 Generate Project Structure for Sales Order (tdsls4244m000)

You can generate a product variant structure for an exisiting budget by using adefined budget calculation code.

A product variant is generated for every generic item on a sales-order line.

A customized item is generated for every to order standard item.

You can also generate a budget with a budget calculation code defined to it.


The engineer a project procedure is described below. Project engineering is theprocess in which the item data, routing data, and bill of material data ismaintained. This data is used to customize the project items to the customersown wishes. Before you can engineer a project, the project must exist. Themethod used to create a project is described in Chapter 2, The procedure tocreate a project. You can also engineer projects that already exist.

4.1 The engineer a project proocedure

As was mentioned above, project engineering is the process in which youmaintain the product structure in order to manufacture the products according tothe customers wishes. This means that you either create routing and bill ofmaterial structures or you adapt existing routing and bill of material structures.A product structure is used to calculate costs and for planning purposes. Thestructure consists of the operations that must be carried out and the materialsneeded for the product. The data in the product structure is stored in thefollowing sessions:

n Item data (tcibd0501m000) sessionn Routing data (tirou1501m000) sessionn Bill of material data (tibom1510m000) session

Project engineering can be carried out before the project-calculation procedureand the module-planning procedure are defined.

4. The engineer a project procedure

The engineer a project procedure


Figure 5 shows the steps in the engineering a project procedure.

General Item data (tcibd0501m000)

Routing Operations(tirou1501m000)

Bill of Material(tibom1510m000)

Copy Standard ProductStructure to Customized

Structure (tipcs2230m000)

Copy Cust. ProductStructure to Cust. Product Structure (tipcs2231m000)

Copy Customized Structureto Standard Structure

(tipcs2232m000)

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Copy Project(tipcs2210m000)

Maintain Sales Orders (tdsls4500m000)

Generate Project Structure for Sales Orders (tdsls4244m000)

Projects(tipcs2501m000)

Project Parts(tipcs2511m000)

Figure 5, The product-engineering procedure




Step 1 Copy project (tipcs2210m000)

You can use the Copy Project (tipcs2210m000) session to copy a budget to aproject. You can choose which data is assigned to the budget or existing project,and then copy that data to the new project. This results in a new project that hasthe product structure of the budget or existing project assigned to it. You canmaintain the product structure by using project engineering.

Step 2 Maintain Sales Orders (tdsls4500m000)

The second way to create a project, and thus to start project engineering, is toenter a sales order in the Maintain Sales Order (tdsls4500m000) session. Youcan then zoom to the Sales Order Line (tdsls4501m000) session and enter theitems and the quantity of items the customer ordered. You can enter items withthe order policy to-order and anonymous.

You can also enter a sales order when there is a demand for a generic item. Thegeneric item is a product model that is used to create an item, based on theoptions available in the Configurator package.

Generate Project Structure for Sales Orders (tdsls4244m000)

In the Generate Project Structure for Sales Orders (tdsls4244m000) session aproject structure is generated for the sales order (step 4). A project structure isdefined as follows:

n A project (subproject, budget, or single project) with a project structure.This means the project is divided into main projects and subprojects

n A single project with a project structure assigned to it

In the Generate Project Structure for Sales Orders (tdsls4244m000) session, youmust specify how BaanERP must generate a project structure. The followingoptions are available:

n BaanERP generates for each sales order line a single projectn BaanERP generates one single project for all sales order lines

After you have run this session, BaanERP creates a new project and new items.In the case of standard-to-order items, the BOM and ROU structures assigned tothe original items are copied to the items created by BaanERP. You can use theproject engineering procedure to alter the standard structures.

Step 3 Generate Product Variant for Project Item (tipcs2220m000)

In this session you create project data, not a project.


In the Projects (tipcs2501m000) session, the project that you created in theprevious steps or the project that is generated by BaanERP is displayed. Youcan engineer the project by using steps 6 until 8 in this procedure.



Step 5 Project Parts (tipcs2511m000)

The Project Parts (tipcs2511m000) session is mainly used for maintainingproject parts that are used for calculation purposes. Costs for a project can onlybe calculated for project parts. The second reason to use the Project Parts(tipcs2511m000) session is that you can maintain the product structure with theoptions on the Specific menu.

Step 6 General Item Data (tcibd0501m000)

Item data is entered in the General Item Data (tcibd0501m000) session. Itemscan be entered manually or generated by means of steps 2 and 3.

Step 7 Bill of material (tibom1510m000)

The bill of material is maintained in the Bill of Material (tibom1510m000)session. The bill of material is assigned to the item, and thus the project part,and is used to define the product structure. The order in which steps 6 until 11are carried out is entirely optional. However, an item first has to be definedbefore you can put it in a bill of material. If there are any items in the bill ofmaterial that can be linked to an operation, you must carry out step 6 beforestep 7.

Step 8 Routing (tirou1502m000)

In the Routing (tirou1502m000) session you maintain the operations that mustbe carried out to produce a product. The routing is used to define the productstructure. The order in which steps 6 until 11 are carried out is entirely optional.However, an item first has to be defined before you can put it in a bill ofmaterial. If there are any items in the bill of material that can be linked to anoperation, you must carry out step 6 before step 7.

Step 9 Copy Standard Product Structure to Project (tipcs2230m000)

You can use the Copy Standard Product Structure to Project (tipcs2230m000) tocopy a standard product structure to a project. A product structure is routing andbill of material data linked to the item and is used to create a product.

This session can be used after or before the project and its parts are defined. Theorder policy of the items is very important in the standard product structure.

Depending on the copying method used in the session and the order policy ofthe items, items either remain as standard items or become customized items.The order policy of an item is specified in the Item Ordering Data(tcibd0501m000) session by means of the Order Policy field. This functionalitycan be used if the required customized product structure is almost the same as astandard product structure.

Step 10 Copy Customized Product Structure to Project (tipcs2231m000)

The Copy Customized Product Structure (tipcs2231m000) session can be usedif a customized product structure is (almost) the same as the existing structureof another project. The product structure of one customized item is then used tocopy the data to the product structure of another customized item.



Step 11 Copy Customized Product Structure to Standard (tipcs2232m000)

The customized product structure can be used to create a standard productstructure. This is the case if the customized product structure is used on such ascale that it would be wise not to define a new customized product structure forevery new request.

If stock is available on the project after all the products have been delivered tothe customer, the stock for the customized items can be transferred to standarditems. This can be accomplished by means of a warehouse order. By using theproject engineering business object, the item data of the desired standardproduct can be generated without having to enter it manually.


4.2.1 Delete Customized Product Structure (tipcs2233m000)

If the customized product structure is deleted, the customized BOMs,customized operations, and customized items, which include the cost price data,are deleted consecutively. Before the customized items are deleted, BaanERPchecks whether these items are still active in other parts of the project. If theyare active, they are not deleted.

Customized product structures are active if:

n They are used in a production order which is not completedn Inventory is availablen They are used as project parts


This chapter outlines how the cost price of a project and a budget are calculated.The procedure outlines how to:

n Define project ratesn Define project surchargesn Calculate estimated costsn Calculate actual costs

5.1 The project-calculation procedure

Special project rates and surcharges are defined in this procedure. If no projectrates are entered, the standard rates of the BaanERP Cost Accounting (CPR)module are used. For example, the rates of work centers, operations, machines,and tasks.

The calculation of the estimated and actual costs is performed in this procedure.Although the project rates can be defined at different stages in the project, theyare best calculated after the project structure has been defined.

Project Engineering(Procedure)

Project Surcharges(tipcs3520m000)

Calculate Cost Price byProject (tipcs3250m000)

Cost Price by CustomizedItem (tipcs3550m000)

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Figure 6, The project-calculation procedure

5. The project-calculation procedure

The project-calculation procedure



Step 1 Project Surcharges (tipcs3520m000)

This session is optional. You can record surcharges for each estimated andactual project calculation. Surcharges form the basis for extra costs or discounts(in percentage or in amounts) in the project’s cost-price structure.

Step 2 Calculate Cost Price by Project (tipcs3250m000)

This session is mandatory. In this session the estimated costs or actual costs are(re)calculated. The data for the estimated costs are defined by:

n Bill of material datan Routing datan Project Surcharges

The actual costing data is retrieved directly from the various BaanERP modules.For instance, the Shop Floor Control module. In the SFC module, the issuing ofmaterials and posting of hours are used to accumulate actual project costs. Allof this information is aggregated to the project and the customized items whenthe cost price calculation is performed for the project.

Step 3 Cost Price Calculation by Customized Item (tipcs3550m000)

This display session is optional. The cost calculation for standard items that areused in a project differs from the cost calculation for customized items. Thestandard item costs are calculated based upon the standard costs, whilecustomized item costs are calculated during the project cost price calculation.


The network-planning procedure consists of all the activities required to carryout a project. An activity can represent one or more operations. Each activityhas a specific lead time. The relations within the network indicate whichactivities depend on each other. The primary function of the network-planningprocedure is to:

n Deliver a rough materials and capacity planning of the project. This isneeded to estimate project lead time and required capacity.

n Coordinate the activity dates of main projects and subprojects, with thepossibility of monitoring progress.

n Check the planning, based on network messages.

n Book non-order related time to a project.

n Be able to use the module-planning procedure.

n Plan the material requirements based on the activities, and link roughcapacity requirements to them. Based on the capacity utilization reports fora work center, decisions can be made regarding the planning for that workcenter.

The network-planning procedure is used after the project-data procedure andafter Project Engineering business object. Progress control is used during theentire procedure.

6. The network-planning procedure

The network-planning procedure


Figure 7 shows the steps in the procedure.

Capacity Load TableCodes (tipcs4130m000)

Capacity Load Table (tipcs4131m000)

Maintain activities usingplanning board

(tipcs4105m000)

Maintain Activities(tipcs4501m000)

Maintain ActivityRelations (tipcs4110m000)

Generate NetworkPlanning (tipcs4210m000)

Generate ModulePlanning (tipcs4520m000)

Generate NetworkMessages (tipcs4211m000)

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3

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Figure 7, The network-planning procedure


Step 1 Maintain Capacity Load Table Codes (tipcs4130m000)

This session is used to define a code that can be used to create an activity-loadtable.

Step 2 Maintain Capacity Load Tables (tipcs4131m000)

In this session you can maintain a capacity-load table. Capacity-load tablesindicate how the rough capacity requirement is divided over the activityduration. The capacity-load table is a graph. The percentage of the lead time(activity duration) is on the horizontal axis. The vertical axis shows thepercentage of the capacity requirement (that part of the activity which must befinished after a certain activity duration). This capacity requirement is the roughcapacity recorded for the activity.

By linking different percentages of the capacity to different percentages of thelead time, the capacity load is described and can be linked to activities. This isonly required if the capacity load is required to be something other than linear.



Step 3 Maintain Activities (tipcs4501m000)

Activities are the steps that must be performed to complete a project. Byestablishing links at a later stage between the various project activities, anetwork can be created. The raw materials and capacity requirements of aproject are planned through activities.

Step 4 Maintain Activity Relations (tipcs4110m000)

The Maintain Activity Relations (tipcs4110m000) session is used to maintainthe sequence of activities if relationships between project activities must bedefined. This session is also used to determine the start times and end times ofan activity against the next activity. In addition to the relation between thepreceding activity and the following activity, the float time is indicated.

If a network-planning procedure is used to log nonorder costs, only one activitywill be entered. In this case, this step is optional.

Step 5 Generate Network Planning

The network-planning procedure sets the activities against time, and calculatesthe earliest and latest start date and end dates for each activity. Depending onthe planning method of the project, calculation begins at a start date (planningmethod: forward) or it starts at a delivery date (planning method: backward).Network planning roughly calculates the capacity requirement, but only if theproject status is set to simulation or active.

Step 6 Generate Network Messages (tipcs4211m000)

This session is used to check the actual progress of activities per project. If theactual progress deviates from the planning, network messages are generated.This session must be used each time step 5 is carried out.

Step 7 Maintain Activities Using Planning Board (tipcs4105m000)

This session is used to maintain project activities that enable the generation of anetwork-planning procedure. Activities are expressed on a chart planning graph.

Step 8 Generate Module Planning (tipcs4520m000)

This session is used to establish relations between the activities of the network-planning procedure and project items. As a result, the network-planningprocedure must have been generated first. A module is a planning unit for acustomized, manufactured, or purchased part. If a module is defined, thedelivery date of items is always calculated from the activity network. A modulecan be used to define items quantities that are different from the sales-orderquantity. Module planning can be used for the planning of critical materialswith long lead times or delivery times. It can also be used to control deliverydates, when nonproduction activities take place after production.


The Link with Finance business object allows you to view, print, and delete theWIP transactions that are posted to BaanERP Finance from PCS. A WIPtransaction is generated when:

n Materials are issued for a production ordern Hours are booked on a production ordern Finished products are delivered into inventoryn WIP transfers are carried out between work centersn Surcharges are appliedn And so on

BaanERP Project automatically generates the transactions, and posts them to theBaanERP General Ledger (GLD) module within BaanERP Finance. Thetransactions are posted to specific ledger accounts and dimensions, based on amapping scheme for BaanERP Manufacturing, which is defined in the GLDmodule in BaanERP Finance. Mapping schemes are based on:

n The transaction’s logistic transaction origin (TROR), for example, Project(PCS)

n The classification of the financial transaction (FITR), for example, ProjectSurcharge

BaanERP uses the combination of transaction origin and financial transaction toselect the ledger accounts to which the financial transactions are posted.

Figure 8 shows the sessions that you can use to display the link with BaanERPFinance.

Delete WIP Transactionby Project/Order(tcfin1200m000)

Print WIP Transactions(tcfin1400m000)

WIP Transactions byTransaction Origin andFinancial Transaction

(tcfin1500m000)

WIP Transactions byOrder (tcfin1500m002)

WIP Transactions byFinancial Period(tcfin1500m003)

WIP Transactions byProject (tcfin1500m001)

WIP Transactions(tcfin1100s000)

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Figure 8, The link with BaanERP Finance

7. The Link with Finance business object

The Link with Finance business object



Step 1 WIP Transactions by Transaction Origin and Financial Transaction(tcfin1500m000)

This is the most important overview session. In this session, you can view allthe transactions related to projects and production orders that were posted toFinance from PCS or other origins. The transactions are grouped by theirtransaction origin and the classification of the financial transaction. Forexample, you can view a list of all transactions that were posted to the GLDmodule from project control, with regard to general hours.

Step 2 WIP Transactions by Project

In this overview session you can view all the transactions regarding projects toFinance grouped by project code.

Step 3 WIP Transactions by Order (tcfin1500m002)

In this overview session you can view the transactions grouped by the order,within the project to which they are related.

Step 4 WIP Transactions by Financial Period (tcfin1500m003)

In this overview session you can view the transactions that are grouped by thefinancial year and period in which they were posted to the GLD module withinFinance. The transactions are sorted by their transaction date.

Step 5 WIP Transactions (tcfin1100s000)

If you double-click a transaction record in one of the sessions mentioned above,the WIP Transactions details session is started. You can view detailedtransaction data about:

n The projectn The ordern The itemn The postings to GLD:

− The debit posting in the From box− The credit posting in the To box)

n The financial period

Step 6 Print WIP Transactions (tcfin1400m000)

This session gives you extensive selection capabilities to print reports aboutyour WIP transactions. You can specify how the transactions in the report mustbe sorted. You can define a selection of transactions to be printed based on anyof the transaction details displayed in the WIP Transactions details sesson. Youcan print only the transactions that were already posted to GLD (processed), orboth processed and unprocessed transactions.



Step 7 Delete WIP Transactions by Project/Order (tcfin1200m000)

You can use this session to delete (old) WIP transactions from Finance.Transactions can only be deleted when the project status is closed. The sameapplies to production-order transactions.

You can define the range of transactions to delete in different ways:

n If you use the Horizon deleting method, you can define a range of financialperiods. The WIP transactions that were posted within the period range aredeleted.

n If you use the Order, Project deleting method, you can define a range ofprojects and/or order numbers for which the WIP transactions must bedeleted.

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