Step-by-Step guide to setting up a project in SAP PS

The SAP Project System (PS) module is a comprehensive tool designed to manage projects of varying complexities. From planning to execution and monitoring, SAP PS provides end-to-end project management capabilities. This guide walks you through the essential steps to set up a project in SAP PS, helping you get started efficiently.

Step 1: Define the Project Profile

The project profile acts as the backbone of your project setup in SAP PS. It contains default settings that streamline the project creation process.

Steps:

1. Navigate to SPRO > Project System > Structures > Project Definition > Define Project Profile.

2. Create a new profile or copy an existing one as a template.

3. Define key parameters:

   • Project Coding Mask: Establishes the structure for project IDs.

   • Planning Profile: Links to cost planning and scheduling configurations.

   • Default Settings: Specify the controlling area, company code, and currency.

Tip:

Ensure the project profile aligns with organizational requirements to reduce repetitive configurations.

Step 2: Create the Project Definition

The project definition represents the top-level entity in the project hierarchy and acts as a container for all project elements.

Steps:

1. Navigate to SAP Easy Access > Project System > Project > Create (CJ20N).

2. Enter the project profile created earlier.

3. Define:

   • Project Start and End Dates.

   • Responsible Organizational Unit.

   • Description: Provide a meaningful name for easy identification.

4. Save the project definition.

Tip:

Use meaningful naming conventions for better tracking and reporting.

Step 3: Set Up the Work Breakdown Structure (WBS)

The WBS is the hierarchical structure that organizes the project into manageable sections.

Steps:

1. Open the project in CJ20N.

2. Create WBS elements under the project definition by selecting the relevant level.

3. Assign:

   • Start and End Dates for each WBS element.

   • Responsible Cost Centers.

   • Budget Allocations (if applicable).

4. Define relationships between WBS elements to establish dependencies.

5. Save your changes.

Tip:

Design the WBS structure to reflect deliverables rather than tasks, ensuring clear accountability.

Step 4: Create Networks and Activities

Networks and activities are used to schedule and execute tasks within the project.

Steps:

1. Navigate to the project in CJ20N.

2. Under the desired WBS element, create a network by:

   • Selecting "Create Network."

   • Assigning a Network Profile (predefined via SPRO).

3. Add activities within the network:

   • Specify Activity Types (e.g., internal, external).

   • Assign resources, dates, and costs.

4. Establish relationships between activities for proper scheduling (e.g., finish-to-start relationships).

5. Save your changes.

Tip:

Leverage predefined templates for repetitive projects to save time.

Step 5: Perform Cost Planning

Cost planning ensures project budgets are well-defined and monitored throughout the lifecycle.

Steps:

1. Open the project in CJ20N.

2. Navigate to the "Cost Planning" tab.

3. Define planned costs for:

   • WBS elements.

   • Activities.

   • Resources.

4. Use Transaction CJ40 for detailed cost planning.

5. Save and validate the planned costs.

Tip:

Integrate with SAP Controlling (CO) to track actual costs against planned budgets.

Step 6: Assign Materials and Resources

Assigning materials and resources ensures proper allocation and procurement planning.

Steps:

1. Navigate to the desired activity in CJ20N.

2. Assign resources by specifying:

   • Internal Resources: Personnel or machinery.

   • External Services: Vendors or contractors.

3. Link materials to activities using Material Components:

   • Enter the required material details (material number, quantity, etc.).

   • Assign procurement types (e.g., stock or non-stock).

4. Save your changes.

Tip:

Integrate with the Materials Management (MM) module for seamless procurement.

Step 7: Set Up Project Scheduling

Scheduling ensures that project timelines are realistic and achievable.

Steps:

1. Access the project in CJ20N.

2. Navigate to the "Scheduling" tab.

3. Define:

   • Basic Dates for WBS elements and activities.

   • Dependencies between tasks.

4. Perform scheduling by choosing Project > Dates > Schedule.

5. Review and adjust the schedule as needed.

Tip:

Use the graphical project planning board for an intuitive scheduling experience.

Step 8: Release the Project

Releasing the project allows for the execution phase to begin.

Steps:

1. Navigate to the project in CJ20N.

2. Select Project > Release from the menu.

3. Confirm the release for the:

   • Project Definition.

   • WBS Elements.

   • Networks and Activities.

Tip:

Releasing WBS elements or activities individually enables phased execution.

Step 9: Monitor and Track Progress

Continuous monitoring ensures the project stays on track.

Steps:

1. Use standard SAP PS reports like:

   • CJI3 (Actual Costs).

   • S_ALR_87013558 (Structure Overview).

   • CN41N (Project Structure).

2. Track key performance indicators (KPIs) such as:

   • Budget utilization.

   • Milestone achievements.

3. Regularly update actual costs, progress, and resource usage.

Tip:

Enable project alerts for early detection of potential delays or overruns.

Conclusion

Setting up a project in SAP PS involves a series of systematic steps that integrate planning, execution, and monitoring. By following this guide, you can ensure that your projects are well-structured and ready for execution. Whether you're managing a small initiative or a large-scale project, SAP PS provides the tools you need for success.