sanv015 Conceptual Erterprise Asset Management for Pan. SCN
Conceptual Enterprise Asset Management sens
for Plant Construction Process
[See] [s4 0 me 2
Conceptual Enterprise Asset Management for Plant
Construction Process
‘Apples to:Documertisaplabi al SAP LB and ERPS. varins.
This document provides an inocuctory and conceptual overview of Entorpise Asset Management Is
usted using a case study, under the cortaxt of production lant constuction.
‘BenedctYongis2 Cord SAP 8 Consutnt and precitoner o Enero Assot Managoment(EAM) ene Busiass
betigene (BH hlds a Sachalor of anagenent (Ausra) an » Diplo Business heTech (Singapore). He
‘etansar win fe Coneuling and Suppor envitonrens wih nis verous Project Lead & Coneutant les during hie
ay in Accenture and BN. Hes shad in Singapore and is ngualn Engl and Nandan conversational
Ia proferthe good oft SCN pot plod fomat. Hence, have costes one =>
hepa seni. conise!125319700\Concep tab clerprse-Atet Management Plun-Conshucton Process
{comosyih allneseeonsusratons)
‘This s my second whitepaper. Hope ithelps the community
Conceptual Enterprise Asset Management for Plant
Construction Process
Introduction
In today’s business ervironmers the bttontne fr high system avail, costs reduction, and maximize
retum on assets ate becoming more obvious. Hence, an Inavatve need for an inerated approach to
Erieprise Asset Management (EAM) is needed to ‘Yield sigicat savings’, “improve the operational
parformance" and "proper cost cotroling’. The approach shouki spans all phases of an ‘assotfecycle,
lari Inches coat planning / budgeting, sesetinconsiicton | tna asset, specication ang design,
‘perauons and mantonanee, decansissionng and spas nd, aly repating and anys.
In SAP wars: “EAM helps companies manage piysical assels ~ production plan's, capital equipment
vehicle fleets, and faci complexes — over the complete asset ite cycle. In canunction with power
reporting and sniyss, the SAP solitons’ EAM capabltes eneble you fo reduco operating costs, otter
‘manage capital experstre, ae improve asso! tization”
Definitions
What is Enterprise Asset Management (EAM)?
Wo shatladopt a noualdefiton tom WK. 2012: "Entvieassetmanagement (EAM) mean he whole Ie
‘canstvcion commissioning, operons maintenance and decommiesininghepecement ola equipment and
Cases busines unt By managing aeantn rors th ey, rganzalons can improv teaton an prance,
Iipiscn sap comiéoes/D0C-36623 45sanv015 Conceptual Erterprise Asset Management for Pan. SCN
‘SAP ow agra prior 2072
What is SAP Offering to EAM?
+ tevostmont planing and
12fenton and deslgn ~ Gin contloverbusness planning and sutton,
8 Specticaon and design, an calorie projec management
tation and mplementaten- Opsise supp gaeaon ant
caidat eecton, basing and convactraagement calorie project manager, claborave change
{WR parts one senenspoerement, MRO nveniory managemant ealoyes and canratormanagenen
asset accountng ana manonance sudgetng, and net perfomance arab.
+ Decommisstoning andetsposal -Perom asa vans’ and ispassl, colaborave ngineasng andpojet
‘management waste management equi conplance marsgemen and asntremarkeng
What does SAP EAM comprise of?
Mundamenly ins Project Stans (PS) an Pan Matrsrance (PM) wit inoaraton wi Purchase Overs
‘rom Mati! Managemen (YALPO), Assets om Finance (FAN), and Cost Cores om Conkling (CO-CCA
What is PM and what is its function?
Plant Maintonsnce (PM) in-charge a meinansrce of lanelied isms repi overhaul nspacsontutean be
‘islomizes 0 go beyond tha. procuaton plant ian asset PM's used mens asses Pi Dy st is an area ot
‘sounds ul ut to Aeraivestels company ts not laughing mai, You sad o have malrtenancs planing. For
What is PS and what is its function?
Projet Systoms (PS) provides broacer unctonalty i suppor of project mansgamentrequramants beyond cos
‘raplaoning, pojctachedung, ele) al PS provdesLenabies nore ely and ect oa cape
Our Case Study: How do we do it?
Business Requirements.
(/)8ugpet Convo!
(2) Orde Executon
(0) Asset Setenent
‘System Setup Strategy
{a} Purchase Order win heamal Or
(b) Purchase ror win WES slant
(e) Pat Order with irl Oe
(6) PM Orer wi WS steran
‘The snestway or bueget contin is using Purchase Cre with account assignment ether aS element
bomalorser. However nine cone o FAM PM Order wl 6 mare pte fe canal ransatonal be 0%
the greler manioranceeniily tf
We witwakrvough scene) =e mast complete cesign!
PM Oxor witb the primary tensecionn any EAMsioms, coupod wih he busgotngfunetonaly of PS Pojact A
Pi Order PMWO} shold ony be ied! wit 8 WBS sleet arigned ofthis wl neue he Budget mechanism
Iipiscn sap comiéoes/D0C-36623sanv015 Conceptual Erterprise Asset Management for Pan
Wher a PMIND is eased, # PR wil be goneratad (by customizatan). The component aque by PYAVO wil be
‘oeed but a PO commenti raised against he budget
Wher te PO fl delveres andlor nvoiees the PO comment mers no aca eat in achat on
MasterData Setup
Functions Location par master lato the Pant Maintenance modu, ti babel an bjt at SAP ses to
tne arene fr pant maintenance, Toqoter wih equipment, fey ar fomad as achneal objec’ Teoria)
‘hjecs ne conten of PM, ara Roms Bal can be aubjecid to nenance (a. an equlpment can breakdown,
cana roam in plat} A netona eaten Inet sorepe locaton asin SAP M— ero inkago aa, ss
"is very eri fo defn furtions eaon nthe PM union, Tie even more cca when we ate ung PM in he
cana of EAM, When we usa PM EAI, wdfn the whole plant (fom ie enginasing concept ert) n= &
‘The SAP dictonary defniton 2 a lreons eeaton ie “an xganzatonl unit wihin Logics Mat stuctres he
Imaitnance objects of @ company acorn to uncons), processeatd or sata cnona. & functional locaton
Was Project I rary mastr data Projet System modula, and Me second most nporsn maser or
EAM. tisbascaly an objethat SAP uses manage and stucur costor projec
Bese on experence, tis rgetant a stuctur a Projet alles aectone Based on capializaton ypes
1) TangileCapialzaton
2} tangle Capiacaton
8) ance (no capcalizaton)
nae rec os aro broad characterizes either a tangible ora
nang cass, SAP elow eal casiicaton of WS ebantunde’ rent eal as.
{As he proc object is also used for operational puposos, te lanible secon can bo furor deal — allows
Costflow
‘rls FXA. In th assignment rl sereon, wo can allocate he costs pr PM Ordo fo XA,
‘The tow for eas tas PM Order When e Orr incurs acti cst and satement tun done, costs moved Hom
the Oror to assigned WES clement. And he a-assged ru Inthe WAS sloront moves 20 eae AUC.
‘using tie sacondselementrun coli rally moved fom AuC lo XA = provided alocn lois ade.
PIO > (2) 8S Eloment-> (2) uC» (8) FA
Our Case Study: How do we use it?
Screen Sequences
‘Besec on eu syst design and tequremantae
Asay he SAP sereon inte following saquoness
(2udget Cont, O1se Exscuton abet Setlamant we wil
2. Taehng Seren
Budgeting Screen
‘The fat step EAM is budgetmanagemet. The uncon is accesses a rensacton C420, The sep wig 8
tage avalbilily checkin fre PM One. nthe “adiional ata" of PM Order mainananc, we cn acta
randelory 85 element
Tracking Screen
Iipiscn sap comiéoes/D0C-36623
Isonsanv015 Conceptual Erterprise Asset Management for Pan. SCN
(anar ton WAS elemenapoac by satis. date sino plank knctoralleeson, equipment sles,
Settlement Screen
‘ransacton CC. allows usts allocate cost ase on PM Orde lve However, Wo maycro058 9 Boak ne
‘The ransncton 68 (or C186) tne acl oxeovon ransnton fr cost seement,
Reporting Screen
Tho repor 8 ALR. 87013558 enables us have acoso oop analy, sho Yansacton ow om budget costo
actual cor and for ararhiesl Project levels ranactonalPM Order lve Of cura hrs ae pany afther
reports that ne SAP PS ntmaton Systm can of. fh wo can sil usig seean pair wrt
Conclusion
‘Te car for neter asset management shoul tow fom te corporat eel the ground. Sater, more produce
cantotig ean. deesuse I encompesses cuca decans at Impact PM Ort, Purchase Orders, Final ASS
fn Av, a Conte and Bue
‘SAP PlanMainenanc is notjsta system or maintenance of prosucton par tan be seals ow be a comple &
system collet sralee and alles oso plant consactor and evensialy an anemia sytem so manage he
cmalaettecyle of asset estas
Credits and Content Sources
1.SDN EAM Bet rochure
hipshvwn sp containduriesniyeducsimeatnyrochureSoilon_ Ose! EAM pf
2,S0N Over otEAM etues an uncon
hipown ep conlasaaolonakamieabirshinesonlassomansgorentep
3.SAP Roadnap or AMT?
ipa p-conslng daladtvarrapinag-201 iEnarprseAssetManagement SAP Rossmap-New Soliton
Feats ps
4. SAP EAM Upcates on Otaings tom SAP "2
hipaa sp.conteampaigns2012_02 mining
ricaiasosSAP_MiningMaial, Forum, 2012_AS_SAP_Eniepie_Astel Management dt
5 Assails: Seeing the Opperuniy in Asse Manageme
hips snap comirsenigaporalrooorlirayluidn0SBe055-c51.2610-9332-857008268387
uedincindexsoverdetayoutauesa71 15790491858
pian z6nap.comineniaaporalprrectcestiorayiwidn028e085-c19.2610-39e2-8670082aKI
8. grating SAP BPC na SAP Business nligene, technically
pls sap zomoes1D0C-4262 (ny ote paperln 2010)~ someday EAM wl sway o Business
(tra)
joa (o
1.Comment
hiplscn sap.comitoes/D0C-36623saris Conceptual Enterprise Asset Management for Pan. SCN
exw pw aug 2s 21972200
Iipiscn sap comiéoes/D0C-36623