SAP Enterprise Asset Management – Planning, Building, and Commissioning Assets (Part 2): Product Demo

Learn how software from SAP can help you align your capital projects with company strategy and manage them in an integrated manner – from the boardroom to the building site and back (part two of a four-demo series).

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    • In this demonstration, you’ll see how the SAP Portfolio and Project Management application can help corporate portfolio managers
    • commission and manage capital projects—across teams and locations—throughout the enterprise.
    • This helps you plan and build critical assets in a transparent, timely, and cost-efficient manner.
    • Initiative Planning and Review.
    • Previously we saw Anita Patel, the chief executive officer of ABC Energy, using the SAP BusinessObjects Strategy Management
    • application to connect opportunities for operational improvement with strategic objectives and initiatives.
    • She was viewing the details of a strategic action plan to optimize ABC’s regional facilities and boost asset performance.
    • She can also use the strategic action plan page to name the person responsible for driving this initiative.
    • By clicking the link at the top of the form, Anita can automatically create an initiative in the
    • SAP Portfolio and Project Management application—where the person she has put in charge of the initiative can take over.
    • That person is Alan Hauser, ABC’s Vice President of Portfolio Management.
    • Alan starts by opening the SAP Portfolio and Project Management application, where he can see different goals within the energy generation portfolio.
    • He clicks the Portfolio Initiatives link on the left to see the initiatives within the portfolio.
    • By clicking the Portfolio Items link he can see that he is responsible for managing three distinct items—
    • developing proposals to improve maintenance plans globally, to expand in Bangkok, and to expand in Sao Paulo.
    • He can drill down into the specifics of any item simply by clicking the link.
    • Because he knows that the Sao Paulo expansion initiative may be converted into an operative project, Alan changes the process associated with the item
    • by clicking the Change Process button—and changes the project type from a proposed capital project to a performance-based contract administration project.
    • The ease with which Alan can change project types is important, because that also makes it easy for him to produce detailed project plans
    • that can be used later by on-site project managers running software from SAP, Primavera, or other popular project management software vendors.
    • Alan can also use the portfolio and project management application to develop high-level capacity and financial plans for these projects.
    • He can propose—and later monitor—the amount of time to be spent on activities in all the relevant areas.
    • As you can see, 5,000 hours every month have already been projected for the civil work.
    • This kind of high level planning will be important later, when ABC needs to determine which proposals will actually become operative projects.
    • Similarly, Alan can propose—and later monitor—project costs with the same tools.
    • Here, he enters planned costs for operating supplies; later, he can use the same screen to compare actual costs against planned costs.
    • Once he sets the overall decision points for each initiative, Alan can reach out to his regional managers
    • and ask them to use this information to create detailed project proposals for review and approval.
    • Proposal scoring and review.
    • Once the regional managers have created and input their project proposals, Alan needs to make a recommendation to Anita Patel, the CEO.
    • ABC has decided not to undertake both the Sao Paulo and Bangkok projects in parallel—
    • so Alan needs to review the proposals to determine which one should move forward and which should go on hold.
    • He can review and rate the proposals using the tools within the SAP Portfolio and Project Management application. There are a number of scoring models he can use.
    • Alan chooses a performance-based contract model, which compares each item by cost, expected commercial value, risk, and other values.
    • Ranked by total score, the proposal to expand in Sao Paulo beats the others 90 to 86 to 60. The Sao Paulo expansion takes precedence over Bangkok.
    • Going back into the item details, Alan can officially turn this proposal into an operational project by checking the box and saving the item.
    • The SAP Portfolio and Project Management application enables Alan to create a project that can be managed in the field
    • using a variety of project management tools—including tools from SAP and Primavera.
    • Here, he uses the Project drop-down menu to select PS project, which automatically creates a project definition
    • in the project system that is integrated into the SAP Portfolio and Project Management application.
    • The key information from the item itself is now embedded in the project system, where Alan’s regional managers can access it and use it to plan and manage the Sao Paulo project locally.
    • As we have seen, integrated portfolio and project management software from SAP makes it easy for Alan to connect direction from the executive suite
    • with activities in the field associated with developing, selecting, and commissioning strategic projects. Yet there’s still more to this integrated story.
    • Click the link below to see how ABC’s regional manager in Sao Paulo can manage the facility expansion project locally—using a choice of on-site project management tools—
    • while keeping the broader portfolio monitoring and management functionality of the SAP Portfolio and Project Management application in sync with local activities.
    • It’s all part of part of a broad, integrated vision for portfolio and project management from SAP.
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  • video SAP Enterprise Asset Management – Planning, Building, and Commissioning Assets (Part 2): Product Demo

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