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Best practice: orders and contract management

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Hi!

 

I am currently working with a client who has impropriety set-up their contract management. I am trying to find out what the best practice in SAP PS is to harmonize such practice with the standard.

 

The situation is as follows (picture in the attachment):

 

Project structure: SAP Investment Management >>>> Investment Program >>>> Investment Measure >>>> SAP Project System >>>> Top level WBS element >>>> Network

 

How do resources get consumed? (e.g. materials)

 

To consume resources, I formalize my request through a contract. This request then becomes a contract, which successively becomes a 'buy order'.

 

The problem:

 

The budget only gets consumed when my contract becomes a 'buy order'. So during the formalization phase, the budget value will remain static. E.g. I want to plan 5 investments and have 0 buy orders at the moment. For each plan, I will have the same budget figure and when I go to implement these contracts, I will go under-budget. So the system does not calculate that maybe plans 1 and 2 will use 90% of the budget leaving not enough for plans 3,4, and 5 (who all see a full budget).

 

What is the best standard in SAP PS to deal with this issue and what tools can I use to implement this? I was thinking the project builder. If so, could someone explain how to appropriately configure this?

 

I sincerely appreciate any feedback,

 

Best regards,

 

Jessica

 


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