Quantity-based budgeting for Construction Industry Solution.

[Former Member]

Dear All,

In a Construction Industry, quantity-based budgeting, a key requirement. I will be having similar kind of requirement with my present client in SAP PS Module.

Let me know if any one have map this kind scenario in PS.

Regards,

Rajat

[Former Member · Accepted solution]

Dear Rajat,

I wish to share my experience.

We had similar requirements of managing the Material quantities defined against the BOQs.We addressed through enhancements as we don't have any standard functionality to manage the same.

But we faced a lot of difficulty in maintaining that development as there are various scenarios which may arise due to commitment qty generated from PR & PO.

So the stabilization of the development was only achieved progressively.

We fetched the budgeted qty (planned qty) from RESB.We generate manual PRs , the PR & PO qty will updated the committed qty .The GR will update actual qty.The committed and actual qty will be validated with the planned qty.

You should also ensure the following in the enhancement,

1.Variations to plan updates your budgeted qty.

2.Cancellation of PRs, POs, Short closures of PO at project end stage updates committed qty accordingly

3.Return of material to vendor/cancellation of GR.

In case of services, since we are the main contractors, we generate PR with a single service line as lumpsum value , whereas in the quotation from subcontractor, the subcontractor will define the bill of quantities.So there, the service entry sheet qty can be validated with PO qty.Actual service value against BOQ can be validated only with planned /budget value as our plan does not have break up of BOQs of the procured service.

Regards,

Ravi

[Former Member · Accepted solution]

Hi Ravi..

Thank you for this detailed solution.

I think this dynamic approach for controlling Budgeted Qty, will be only workable option.

Thank you proposing this solution.

regards

Rajat

[sanjeevc]

Hello Patil,

you you want to budget controlling based on quantity construction industry then you have to set scope for that project so you have to create lot's of activity according to work definition then day to day you have to confirm those activity as per completion of work.

so it will reflect value work let say if any activity to be complete in 1000 Rs then if that activity has been 50% completed then 500 Rs will be required for budget so you can release 500 Rs by budget functionality.

and you can fetched project progress by any project progress report

CNE1	Project Progress (Individual Proc.)
CNE2	Project Progress (Collective Proc.)
CNE5	Progress Analysis

Let me know if you want other?

Regards,
Sanjeev

[sammar81]

Hi Rajat,

can you please elaborate more  on the requirement? What do you mean quantity based Budgeting?? Is it you want to manage the Budget based on quantity of material /services being ordered??

Regards

Sammar