62828169-SAP-MCB

SAP ECC 6.00

June 2007

English

X73: Maintenance Cost Budgeting

SAP AGDietmar-Hopp-Allee 1669190 WalldorfGermany

Business Process Procedure

SAP Best Practices X73: Maintenance Cost Budgeting - BPP

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Contents

1 Purpose ............................................................................................................................................ 5

1.1 Scenario Overview ..................................................................................................................... 5

2 Prerequisites ..................................................................................................................................... 7

2.1 Building Blocks ........................................................................................................................... 7

2.2 Deleting Data from InfoCubes .................................................................................................... 9

2.3 Providing Data Basis .................................................................................................................. 9

2.4 Activating Status and Tracking (optional) ................................................................................. 10

2.5 Displaying Scenario-specific Master Data in ECC System ....................................................... 12

2.5.1 Task List ............................................................................................................................ 12

2.5.2 Maintenance Plans ............................................................................................................ 13

3 Process flow ................................................................................................................................... 15

3.1 Opening the Web-Interface ...................................................................................................... 15

3.2 Enterring Zero-based Preventive Budget ................................................................................ 16

3.3 Enterring Zero-based Corrective Budget .................................................................................. 17

3.4 Adhoc Budget Demo Script ...................................................................................................... 18

3.5 Budgetting Proposal ................................................................................................................ 18

3.6 Reporting Capability of Maintenance Cost Budgeting: Demo ................................................... 19

4 Appendix ........................................................................................................................................ 20

4.1 Transferring to ERP .................................................................................................................. 20



Maintenance Cost Budgeting: Business Process Procedure

1 Purpose

1.1 Scenario OverviewThe maintenance cost budgeting scenario enables management to prepare zero based as well as history based budgets. As a best practice the focus should be on preparing zero based budgets deriving the budget proposal from the preventive maintenance plans and the task lists of expected corrective maintenance. The aim should further be to limit the portion of the budget proposal derived from historical actual maintenance costs and only use historical costs to provide for truly unforeseen maintenance expenses.

Adding ad hoc items and costs to the proposed budget, without a maintenance plan, task list or history supporting the addition, is not considered as best practice. The direct adjustment of the budget proposal derived from maintenance plans and/or task lists is also not considered best practice. Budget change impacts the efficiency and effectiveness of the required maintenance. It is thus critical to adjust the maintenance plans and task lists to ensure proper understanding of the impact the derived budget change has on plant and equipment reliability, and subsequently on production.

The typical steps contained within the maintenance cost budgeting process can be summarized in the following four activities:

1. Preventive Budget: Budget proposal derived from the maintenance plan.

2. Corrective Budget: Budget proposal derived from the task lists of expected corrective maintenance.

3. Budget Adjustment (history based): Budget proposal to provide for unforeseen maintenance costs derived from historical/actual maintenance costs.

4. Budget proposal: The completed maintenance budget proposal, to be submitted for approval, compiled from the results of the preventive, corrective and historical adjusted cost budget proposals.

The four maintenance cost budgeting activities and the detailed steps are shown in the following process flow diagram:



Prerequisite to run the Zero-based Preventive Budget Scenario: Upload data to BW & BPS cubes. Refer to document: X73_C_MCB_BI_BPS_DATA_UPLOAD.ppt

Continues to step B7

Ref T-Code

Purposes Key Points

B1 - Maintenance cost budgeting (MCB):

Requirement to prepare the maintenance cost budget.

1) Maintenance cost budgets should ideally be based on planned requirements (zero based).

2) Provision should be made for unforeseen maintenance expenses.

B2 Maintenance plans:

Import the maintenance plans into the MCB module to enable the calculation of the budget required for the planned preventive maintenance.

1) The task lists linked to the maintenance plans must be complete and accurate.

2) The maintenance schedule (frequency of preventive maintenance) must be optimized.



Ref T-Code

Purposes Key Points

B3 Review budget proposal:

Review the proposed budget to evaluate feasibility and necessity.

1) Critical review of the proposed budget required for the preventive maintenance.

B4 - Budget proposal acceptable→

Decision point to determine appropriate action.

1) Evaluate the feasibility of the proposed budget (is the money available / can it be obtained).

2) Evaluate if the proposed budget is realistic (is it really necessary / can it be justified).

B5 IP12

IA06

Review and adjust maintenance plans and/or task lists:

The proposed budget is indirectly adjusted by modifying/cancelling the planned preventive maintenance.

1) If the proposed budget is unacceptable the maintenance plans and/or task lists must be modified (some might be cancelled).

2) The proposed budget should not be adjusted directly but indirectly by adjusting preventive maintenance frequencies and/or the content of the required maintenance (labour, services & materials requirement plans).

3) It is critical to understand the impact on plant and equipment reliability, and subsequently on production if the budget is increased or decreased.

B6 Distribute to relevant periods (automatic):

The accepted budget is distributed to the relevant months to show the monthly budget requirement to perform the preventive maintenance work.

1) Display monthly budget required to perform the preventive maintenance work.

2 Prerequisites

2.1 Building Blocks

The following building blocks form the basis of all SAP Best Practices for Mining scenarios in system.

Building Blocks Comment

Baseline Building Blocks (Layer 0)



Building Blocks Comment

B32 – Best Practices Installation

J02 – Organization Structure

N69 – FI Basics

N70 – FI Local

N71 – CCA

J05 – Materials Management

J04 – Sales and Distribution

Baseline Building Blocks (Layer 1)

J06 – Production Planning and Control

J18 – Product Cost Planning

J19 – Batch Management

J07 – Quality Management

Quick Guide

Industry-Generic Building Blocks

X02 - Generic ORG Structure

X10 - FI CO Delta

X11 - MM Delta

X03 - Generic Master Data

X15 – PM

X20 - BW (for MCB)

X70 - Corrective Maintenance

X71 - Preventive Maintenance

BI-Building Blocks

I00 - Essential Information for SAP Best Practices for BI

B84 - BW Connectivity

B03 - General Settings for BW-Integration

The maintenance cost budgeting scenario is dependent on the existence of maintenance plans and task lists. The existence of maintenance cost history is not a prerequisite but is important if the maintenance plans and tasks lists are incomplete and/or inaccurate. The maintenance cost budgeting scenario mainly relies on the preventive maintenance scenario and to a lesser extent on the corrective maintenance scenario.



It is important that the created maintenance plans have a functional location and equipment maintained. Also the scheduling has to be done. Otherwise the simulated costs based on maintenance plans will not be displayed for the planner.

2.2 Deleting Data from InfoCubes

UseIn order to have a clean data environment we have to delete data from the Infocubes.

Procedure 1. Log on to the BW system with your user.

2. Access the activity using one of the following navigation options:

Transaction Code RSA1

3. On the screen Data Warehouse Workbench: Modeling double-click on InfoProvider.

4. Expand the InfoArea Product Lifecycle Management → Plant Maintenance. Here you will find the InfoProviders 0PM_C06 (Budget Data for Plant Maintenance) and 0PM_C05 (Simulated Plant Maintenance Costs).

5. Make a right mouse-click on InfoProvider 0PM_C06 and choose from the context menu Delete Data.

6. Confirm the Pop-Up Delete contents with Yes.

7. If the screen Delete InfoCube/DataStore Object Content appears confirm with Delete Entries.

8. Confirm the screen Log Display with Continue (Enter).

9. Repeat steps 5 to 8 for the InfoCube 0PM_C05.

10. Leave with Exit:

ResultYou have deleted old data.

To load data into InfoCubes 0PM_C01 and 0PM_C05 see the configuration guide X20.

2.3 Providing Data Basis



UseWe have uploaded data into the InfoCubes 0PM_C01 (Maintenance Orders – Costs and Allocation) and 0PM_C05 (Simulated Plant Maintenance Costs). Now we have to make them available in our planning environment by copying them into the transactional InfoCube 0PM_C06 (Budget Data for Plant Maintenance).

Procedure 1. Log on to the BW system with your user.


Transaction Code BPS0

SAP Menu (Accounting →) Strategic Enterprise Management → Business Planning and Simulation → Cross Application Planning → Planning Workbench

3. On the screen Business Planning and Simulation you will find in the upper left section a list of planning areas. Look for the planning area MCB: Provide Data Basis (technical name: 4MCBA001) and expand all levels.

4. Double-click on the Ad-hoc package below the planning level MCB: Data Basis (Plan Data Based) (MCBL020) and in the lower left corner all available planning function will be displayed.

5. Expand the tree for the planning functions and double-click on the lowest level by keeping the Ad-Hoc package highlighted.

6. Leave the screen Display logs with Back.

7. Repeat steps 5 and 6 for the Ad-Hoc package for the planning level MCB: Data Basis (History- Based) (MCBL020).

8. Choose Save.

ResultYou have copied data into InfoCube 0PM_C06.

2.4 Activating Status and Tracking (optional)

UseTo kick-off planning session the manager has prepared a pre-configured planning layout for the planners. He will notify the planners by a generated e-mail from where the planners can log-on directly into the planning application. The planners can set a status when they have finished the planning and the manager will be notified.

Procedure



1. Log on to the BW system with the user MCB-Manager.


Transaction Code BPS_TC

SAP Menu (Accounting) → Strategic Enterprise Management → Business Planning and Simulation → Cross Application Planning → Status and Tracking System → BPS_TC - Customizing

3. On the Status and Tracking System – Customizing screen enter as followed in the section Settings for Planning Session

Field name Description User action and values Note

Subplan MCB Maintenance Cost budgeting

Planning Session 800 MCB Planning

4. Choose Test Call with Display of URL and choose Execute

5. Copy the URL on the dialog box Status and Tracking System – Customizing.

6. You can choose Test Call to see if it works.

7. Close the dialog box.

8. Choose Determine Date, Person Resp., Layouts and choose Execute

9. On the screen Status and Tracking System – Customizing double-click on folder Top-Node A and maintain following data on the right side:


Person Responsible MCB-Manager User ID of the manager

Name Will be copied from User ID

E-Mail Enter the managers e-mail address

Completion time Enter a time when the planners should be finished

URL of Planning application

Paste the URL you have just copied

10. Choose Execute next to Pass On to Lower-Level Units.

11. Double Click on the folder Manger C1 and maintain following data on the right side:


Person Responsible MCB-Planner1 User ID of the manager

Name Will be copied from User ID



E-Mail Enter the planners’ e-mail address

Completion time Enter a time when the planners should be finished

URL of Planning application

Paste the URL you have just copied

12. Choose Execute next to Pass On to Lower-Level Units.

13. Do the same also for Manager C2 and assign user MCB-Planner2 to it.

14. Choose Save and then Back.

15. Choose Send Start E-mail and choose Execute

The BW server needs to be connected to an e-mail server to send e-mails.

2.5 Displaying Scenario-specific Master Data in ECC System

This section attempts to list all Plant Maintenance Master Data Entities required to complete this scenario. Although some of the Finance, Controlling and Materials Management master data are covered in this section, it is assumed that all relevant master data from other modules have been set up correctly to successfully complete this scenario. This section does not cover the procedure on how to upload maintenance plans and task lists into MCB portal.

The document for building block X20 - BW (for MCB) describes how to upload data. Do the upload prior to running this scenario.

2.5.1 Task List

UseTask lists maintenance for both recurring and planned maintenance includes inspections, preventive maintenance and planned repairs. In the PM component you can create all three types of maintenance task lists for planned maintenance tasks: equipment task lists, functional location task lists and general task lists. By allocating maintenance packages to the individual operations in your task list, you define the frequency in which the operations are to be performed. For example, every two months, every 1000 km, every 500 operating hours. For a strategy based plan a maintenance strategy must be assigned to a task list. Maintenance packages from this strategy can then be assigned to the operations within the task list.

Procedure



1. Log-on to the ERP system.


Transaction Code IA09

SAP Menu Logistics → Plant Maintenance → Preventive Maintenance → Workscheduling → Task Lists → List Editing → Display

3. On the screen Display Task Lists: Task List Selection check the Gen. Task List and FunctLoc Task List enter plant BPM1 and choose Execute.

4. The general task lists as well as the ones for functional locations maintained on the system are displayed. Highlight, for example the generic task list with the description HAUL TRUCK KUMATSO $ and choose Magnifying Glass to view its content.

To run the budget initialization for task lists in MCB at least one tasklist of type T for Functional Locations needs to exist.

5. Choose all the operations and choose Maint.Pack to view the packages assigned to each operation.

6. To view components assigned to each operation, highlight all the operations and choose Components.

7. Choose Next Operation to see components assigned to each operation.

8. Choose Exit.

ResultThe general maintenance task list has been checked.

2.5.2 Maintenance Plans

UseA maintenance plan combines the maintenance strategy, task list and technical object on which maintenance has to be performed. For example, it makes sense to use a strategy plan if different maintenance tasks for a truck are due in different cycles: oil check every 1,242.74 mi, oil change every 6,213.71 mi. A time-based maintenance plan is performed in specific cycles for time-based maintenance planning, for example, every two months or every six months.

A time-based maintenance plan must comprise the following parts for it to be scheduled: Scheduling data, Scheduling parameters, Maintenance cycle (for single cycle plans and multiple counter plans), and Maintenance strategy with maintenance packages (for strategy plans).

ProcedureWith performance-based maintenance plans, you can plan regular maintenance based on counter readings that are maintained on measuring points for pieces of equipment and functional locations


mk:@MSITStore:C:%5CDocuments%20and%20Settings%5Cmmadikoane%5CMy%20Documents%5CApplications%20Library%5CEN%5C00001348.chm::/3CABAF12413911D1893D0000E8323C4F/content.htm



mk:@MSITStore:C:%5CDocuments%20and%20Settings%5Cmmadikoane%5CMy%20Documents%5CApplications%20Library%5CEN%5C00001348.chm::/3CABB35D413911D1893D0000E8323C4F/content.htm


1. Log-on to the ERP system.


Transaction Code IP03

SAP Menu Logistics → Plant Maintenance → Preventive Maintenance → Maintenance Planning → Maintenance Plans → Display

3. On the screen Display Maintenance Plan: Initial position your cursor into the field Maintenance Plan and choose F4.

4. On the screen Display Maintenance Plan: Selection Criteria choose Execute.

5. On the screen Display Maintenance Plan: Maintenance Plans Selected you see all maintained maintenance plans, select one of it and choose Choose.

6. Choose Enter.

You can now view the details of a maintenance plan. A cycle for example defines in which intervals maintenance needs to be scheduled. It also defaults information about work centers and order types to be used.

For more information on how to create and description of the following master data entities, see section 5 of Preventive Maintenance Scenario.

• Functional Location

• Equipment

• Work Center

• Cost Center

• Material

• Characteristic

• Master Warranty

• Permit

• Measuring Point

• Measuring Document

• Maintenance Strategies

• Maintenance Packages

The maintenance plans needs to be scheduled and at least one should have also an equipment number assigned to it.

Result



The maintenance plans have been viewed.

3 Process flow

It is assumed that maintenance plans and task list have already been uploaded to MCB portal. Quantity and accuracy of data uploaded into MCB is not necessarily the true reflection of practical scenario in a real business environment. It is, however, sufficient to demonstrate the concept of budgeting using MCB.

A budget planner will typically create zero-based budget, then submit to the maintenance manager for approval. This demo script, however, only focuses on planner role. The workflow and approval by the manager has been excluded for simplicity purposes but MCB is fully capable of doing that.

3.1 Opening the Web-Interface

UseWe will perform the planning in a browser-based Interface.

You can either access the Web-Interface directly (as described in the procedure below) or using an URL-link if an e-mail has been sent out using the Status and Tracking system (it is not described here).

Procedure1. Log-on to the BW system with user MCB-PLANNER1.


Transaction Code BPS_WIF0

SAP BW Menu (Accounting →) Strategic Enterprise Management → Business Planning and Simulation → Cross Application Planning → Web Interface Builder → Execute

3. Enter SAPMCBW501 in the field Web Interface, and then choose Execute.

4. The browser will open and another log-in is required. Log-on again as user MCB-Planner1

5. Choose Budget Planning.

6. Choose Version PL1

7. Choose Cost Center 5000 (if not defaulted automatically)

8. Choose Budget Year 2008 (or the year you want to plan)



The Budget Planner completes each scenario (any sequence) as required to build the budget.

The system is currently customized so that both the zero based and history based options are available. These can be disabled in customizing.

9. Stay on this page

ResultThe planner has accessed the planning application and will continue with the planning tasks.

3.2 Enterring Zero-based Preventive Budget

UseThe zero-based preventive budget is based on the existing maintenance plans.

Procedure

1. Choose the Maintenance Plan tab..

2. Choose Copy Simulated Costs. The simulated costs are copied to the budget proposal column..

The proposed budget should not be adjusted directly but indirectly by adjusting preventive maintenance frequencies and/or the content (labour, services & materials requirement plans) in the maintenance plan. It is critical to understand the impact on plant and equipment reliability, and subsequently on production if the budget is increased or decreased.

3. Choose Period Planning followed by Distribute Data to Periods. The amounts are now distributed to the relevant period based on the maintenance plan call date.

4. Choose Save.

5. Stay on this web page.

ResultWe have copied the simulated costs based on the maintenance plans into a budget proposal and distributed the annual amount to a monthly plan..



3.3 Enterring Zero-based Corrective Budget

UseThe corrective budget is based on the existing tasklists. In the first step we initialize a budget proposal, which considers the task list for functional locations. Then we can add additional planning lines where we plan a budget for functional locations using generic tasklists..

Procedure

1. On the Total Overview screen in MCB, choose Task List tab.

2. Choose Initialize Budget Proposal. The Functional Location and there are task Lists that are “linked” to the chosen cost center is now displayed..

Task Lists used in Maintenance Plans are not displayed. The default frequency is 1.

3. Change the frequency.

4. Clear the Budget Proposal Amount.

5. Choose Calculate Budget Proposal. The results are shown in Budget Proposal Column below.

A general Task List can also be added if required:

a) To add general task lists, choose Add.

b) Enter the following information as required (by entering the value or using ):

• Functional Location• Equipment• Budget Use• Task List• Frequency

c) This procedure can be used to add as many Task Lists as required.

d) Choose Calculate Budget Proposal. The system calculates the new values for the Budget Proposal.

6. Choose Period Planning tab followed by Distribute Data to Periods.

7. Choose Save and stay on the web page.



ResultWe have created a budget based on tasklists and distributed annual values to months.

3.4 Adhoc Budget Demo Script

UseAlthough not recommended as part of best practice, the system has the functionality to accommodate unpredicted plant breakdown or failures

Procedure

1. Choose the Ad hoc (Task List) tab. Choose Add.

2. Enter the following information as required (by entering the value or using ):

• Functional Location

• Equipment

• Budget Category

• Budget Use

• Cost Element

• Comment

• Budget Proposal

3. This procedure can be used to include as many line items as required.

4. Choose Period Planning tab, followed by Distribute Data to Periods.

Ad hoc (Hist) is the same functionality as Ad hoc (Task Listn) tab.

ResultWe have created an additional budget based on tasklists.

3.5 Budgetting Proposal



UseThe planner can see how his planned budget compared to the budget given by his manager as a top-down approach.

Procedure

1. Choose box on right hand side of the Total Overview screen to open the graphic. The left hand side shows the Budget Proposal from the Budget Planner and the right hand side shows the Managers top down specification.

In this case, the manager has not assigned any budget hence values in all budget categories are zero. You would need to logon as manager and enter plan values to see data in this box.

Disregard the grey boxes if they appear.

2. Choose Save and stay on this web-page.

ResultYou have seen the total budget planned by you and how it compares to the one the manager has distributed top down.

3.6 Reporting Capability of Maintenance Cost Budgeting: Demo

UseMCB comes with a comprehensive list of reports where you can analyze the budget under various aspects.

Procedure

1. To view the reports, choose Reports, and then choose Version (e.g. PL1), and then Report Year (e.g. current planning (fiscal) year).

2. Choose any report from the list, e.g. Budget Proposal – Overview Objects



ResultThe budget has been analyzed using standard reports.

Other additional useful functions are functions available as follows:

• Copy data from an existing version to create another version

• Delete the current version

• Submit for approval

The system messages window can be opened at anytime to view an action log.

4 Appendix

4.1 Transferring to ERP

The results of MCB can be transferred back to ERP using retraction technique.

The standard retraction logic for the MCB budget planning is executed via transaction BPS0.

In the planning area 4MCBA004, there is a planning function for manually triggering the retraction of a planning function ("Exit" type), namely the function MCBF051 (assigned to the planning level 4MCBM051).

This function leads to the internal processing of the function module UPA_MCB_EXITF_RETRACT..

This function module is providing the BAdI UPA_MCB_RETRACT.

When the method DATA_PROCESS_R3 is implemented correctly (see also the "Parameters" section), the approved data is transferred to the R/3 system for further processing (insofar as the corresponding preparations were made in the method DATA_PREPARE).

Note that you must implement the actual further processing of the data in the R/3 system yourself. For this you can use the R/3 RFC function module PMRE_MCB_RETRACT_VIA_BADI which can be called up within the method DATA_PROCESS_R3.

Parameters

The following parameters are used to transfer the data from the R/3 system:

• Changing parameter CT_DATA:

Approved maintenance cost budgeting data (prepared by the previously called-up method DATA_PREPARE).

• Changing parameter CT_MESSAGE:

Messages to be output in the application log

• Export parameter EV_ERROR:


sapevent:DOCU_LINK%5CDS:IO.IF_EX_UPA_MCB_RETRACT%20%20%20%20%20%20%20%20%20DATA_PREPARE


Indicator for an error is occurred during the transfer or further processing of the error that occurred in the R/3 system.


62828169-SAP-MCB

Documents

unforeseen

maintenance

expected corrective

total overview

choose test

planned preventive

preventive

specific master