Scenario: You need to create a Fixed Fee project and modify the project template.
Project “F”: This project consists of implementing the HR solution of Assistance PSA. You will use the Sure Step Elements template but will need to make the following modifications:
Change the T&M project items to fixed fees
Change the Expenses billable to Expenses Fixed Fee
Delete both project items 4.2.0 Travel and 8.1.0 Licenses.
There are no project rates to create but you will use the rate group RATES 2015. No mileage will be charged to the client. The financial contract is established as follows:
Item Contract type Amount Budget by line
1.1.0 Requirements Fixed Fee 7000 40 hours consultant 2.1.0 Configuration & testing Fixed Fee 32000 200 hours consultant 3.1.0 Training Fixed fee 2600 16 hours consultant 3.2.0 Training material (to be
renamed Training expenses) Expenses Fixed Fee 900 Training room rental 450$/day for 2 days.
4.1.0 Project management Fixed Fee 42000 200 hours Project manager 4.2.0 Travel Expenses Fixed Fee This item needs to be deleted from the project.
8.1.0 Licenses Products This item needs to be deleted from the project.
Follow the detailed steps below to create this project and its budget.
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Step 1: Create your project
. Navigate to Assistance PSA and click Projects.
In the command bar click + New
In the PSA will open up a new project for you to complete.
Click on the first step “Identify” of the Business Process flow start. PSA will open up the section for you to complete.
Now go ahead with the creation of your project. (To navigate from one field to another simply press the Tab key or click in each field).
1
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Project name: Give a name to your project (this field is mandatory). Enter: Project F – HRM Implementation.
2. Template: This field is mandatory and is especially important as it will automatically create the breakdown structure of your project in the item section.
Click the look up button to display the list of templates you have created and select the one specific to this project (Sure Step Elements).
Note that once your project is saved, you no longer have the option to change your template.
3. Start Date: Enter the start date of your project. You can type in the date or use the dropdown calendar.
4. Project type: Click the look up button to display the list of project types you have created and select the one specific to this project (Software Implementation).
44 Projects 5. Project status: Click the look up button to display the list of project status you have created and select “10. Proposal”.
6. Select Account: Select the account of the project.
7. Legal Entity: Select the entity related to this project (Assistance Software USA). This field is mandatory.
8. Cost center: You can also select a cost center; in this case choose PSA Consulting.
Once you are done with the completion of this first step, go to the command bar and hit Save.
PSA will now generate your project number.
You are now ready to complete the second step; click Next stage at the far right on the bar.
You are ready to define the stakeholders of your project.
2. Project Supervisor: You can link your project to a supervisor and use this field for workflow purposes or as an additional parameter with regards to reporting. This field is not mandatory and can be left blank.
Select April Meyer.
2. Project Manager: Because you have set up your organization with project management approval, you will need to assign a project manager to the project. If you do not know as of yet who will be the project manager you can leave the field blank and update it at a later stage.
This person will be responsible for approving the hours and expenses of the project.
Click the look up button to display the list of PSA users and select yourself.
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45 Projects 3. Invoice Approver: This person will be responsible for approving the invoices of this project. This
person will be responsible for approving the invoices of the project.
Click the look up button to display the list of PSA users and for the purpose of this course select yourself.
Once you are done click Next stage again; PSA will automatically save your data.
You are now in the Financial step of the business process flow.
1
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Currency: The currency displayed by default here is the one set up in CRM. Leave the field as is.
2. Hourly Rate Group: Select the rate group RATES 2015.
3. Price List: You will not be using CRM Products in your project. Leave the field blank.
4. Briefing done, (contract) Sent, (contract) Signed: You are still at the proposal (opportunity) stage of your project, leave these three fields at No.
Once you are done, hide the business process flow by clicking on the bottom right arrow section (PSA will automatically save the information).
All the information that you have entered is now in the Summary section of the project screen.
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There are some elements left in this section; they do not systematically apply to all projects and as such are not part of the business flow. You will complete them (or not) according to each one of your projects.
Region: You can specify a Region for this project; it can be used for reporting purposes but also as a filter option in the Utilization sheet.
Select New York (Parent Region New York).
Internal: If you check this box, the person booking his/her time towards this project will only see internal hour types in his/her timesheet.
This is not an internal project; leave the box unchecked.
End Date: You can specify an end date for your project and use it for reporting purposes.
Leave the field blank.
Booking Restriction: If you check this box Users will only be able to book time towards project item activities assigned to them.
You are not using project item activities in this project; leave the box unchecked.
Business Unit: You can specify a business unit here; this will be used as a dimension for integrating with your financial solution. Important note: the business unit defined here is not the one related to the owner of the project record therefore it has no impact on security (CRM).
Leave the field blank.
Department: You can also select a department to relate to your project; it will be used as a dimension for integrating with your financial solution.
Select Consultancy.
Opportunity: At any time during your project you can link it to an opportunity. If you have followed the standard PSA business flow from a lead to an opportunity to a project, this field will display the name of the opportunity that generated the project. It will also automatically filled in the Account of the project.
This doesn’t apply here; leave the field blank.
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Principal/Financial Contact: You can specify the principal and financial contacts of the project.
Leave the fields blank.
Distance/Price per Mile: You can establish a specific distance and price per mile (or KM) for a project. In the timesheet PSA will be able to generate automatically an expense entry based on the information in these 2 fields.
Leave both fields blank.
Your next step is to define your project’s team members.
Select yourself and April Meyer.
There are no associated hour types or specific project rates (in addition to the group rates) to define for this project; leave both sections blank.
Go to the Financial Section.
At this point in time no information is displayed here since no data has been entered in the project. This will change, however, as the project unfolds.
There is no specific fee to define for this project; leave the section blank.
Now scroll down to the Details section (Items); you need to modify the project items. Click the Grid icon.
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In the next screen check all the project items that are T&M and click Edit.
In the next screen select Fixed Fee and click Change.
Back in the previous screen check the project item 4.2.0 Travel and 8.1.0 Licenses. Click Delete Project Item.
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PSA will ask that you confirm
the deletion of the item; click Delete.
You have one last modification to do; select the project item 3.2.0 Training material and click Edit.
PSA will open the project item; modify the description to Training Expenses and remove the 10.00 in the Expense Mark-up field.
Save your changes and change the item type to Expenses Fixed Fee.
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Once you are done, click the project name; this will bring you back to the Project screen.
Scroll down to the Details section; you will see your project structure updated with the changes you have made.
Step 2: Create your budget (and estimated profitability).
Remain in the Details section of your project.
At this point in time you want to define the budget of your project (via its project items).
To do so you have 3 options:
Enter a high level budget amount for each project item.
Create a detailed budget for each project item based on hour types and possibly resources (if wanted).
Create a detailed budget for each project item based on the project item activities of the Gantt chart.
For the purpose of this exercise we will focus on the second option (for detail on the first option please refer to the first exercise; for detail on the third option please refer to the section 4.5 Project and Resource planning of this guide).
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Step 2B-C: Budget by Line (with hour types and resources)
Your project’s team members are already confirmed; you will create your budget lines with an hour type and a resource. This will provide you with the estimated profitability of your project.
In the navigation bar click the dropdown menu of your project and click Budget.
PSA will bring you to a grid where you will find your different budget elements (project item, employee, hour type, Fee, Product, quantity, etc. Note that this guide doesn’t cover the use of equipment).
Click the + Sign to enter your first budget line.
PSA will display a pop-up window for you to select a project item for this budget line.
Select 1.1.0 Requirements and click Ok.
Back in the grid PSA will create a line for you to complete under this project item.
You can specify a different description here (to replace the standard New Budget).
Click in the field and enter Consultancy hours.
(Note that you can copy the description for future lines with CTRL+ C)
Now click the look-up button of the Employee column.
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PSA will display the list of the project’s team members.
And select April Meyer.
And click Ok.
Go to the Hour Type column and hit the look-up button.
In the new pop-up window select Consultant and click Ok.
PSA will automatically display in the grid the corresponding rates for this hour type and resource.
Your last step is to specify the budgeted number of hours for this line.
Go to the corresponding cell and enter 40.
PSA will update the line accordingly and save it automatically.
Now click the + Sign and go ahead with the creation of the following budget lines;
Project item Description Resource Hour Type Quantity Cost / Selling prices 2.1.0 Configuration &
testing Consultancy
hours April Meyer Consultant 200 Automatically defined by hour type and res.
3.1.0 Training Consultancy
hours April Meyer Consultant 16 Automatically defined by hour type and res.
53 Projects 3.2.0 Training expenses Rental of
training room
n/a n/a 2 450$ for both cost and
selling prices.
4.1.0 Project
management Consultancy
hours Yourself Consultant 200 Automatically defined by hour type and res.
You have completed the creation of your budgeted hours; you will now budget your expenses.
Click the + Sign.
You have created all of your budget lines.
Go back to the Project’s main screen (click on the project’s name in the navigation bar).
And scroll down to the Details section.
You will now see the Estimated Result of your project based on budget versus Estimated Cost of each project item; providing you with the estimated profitability of your project.
Note that due to the nature of the items you have not specified any budget for your Pre-Sales phase as well as for your Non Billable items.
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Step 3: Finalize your project.
You have reached an agreement (based on your budget) with your client and are now ready to finalize your project.
In the Summary section (or via the business process flow) of your project update the following fields:
Project status: change to 20. Active
Briefing done, contract sent and signed: Check the three boxes.
Go to the Items section; you need to update the Amount field of each one of your project items since this is the value that PSA will always invoice the client. Note that with Fixed Fees PSA will still track the time and expenses booked towards the items but only invoice the value entered in the Amount field.
You will never invoice the Pre-Sales project item therefore you will always leave the Amount field blank.
Go to the next item.
Double-click project item 1.1.0 Requirements to open the item.
You will see the budget field already populated with the budget line.
Now specify the contract amount of that project item. Enter 7,000.00 in the Amount field.
Once you are done use the down arrow to navigate to the next project item;
PSA will automatically save the amount.
Go ahead and define the amount of each project item according to the scenario:
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2.1.0 Configuration & Testing: 32,000.00
3.1.0 Training: 2,600.00
3.2.0 Training expenses: 900.00
4.1.0 Project Management: 42,000
Once you are done go back to the Details section of your project’s main screen in order to do a final review of your project’s Amounts.
Scroll to the right; the only project item that is currently available for booking time is Pre-Sales (Active is set to Yes).
Your project has now started and you want all the project items to be available for time entry.
Click the Grid icon of the Details section.
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In the next screen, click the check mark located in the header of the grid; all your items will automatically be selected.
Now click Edit.
In the Change Multiple Records screen,
check the box Active
And click Change.
Back in the previous screen, you will see Yes displayed in the Active column of all your project items.
You have completed the creation of this project, in the command bar click +New in order to create the next one.
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