UTILIZING SAP OAA AND COMPATIBLE UNITS WITH EHPS TO EFFECTIVELY OPTIMIZE WORK PLANNING AND CONSTRUCTION COST MANAGEMENT Greg Harby - WM/FI/CO Business Analyst-Northwestern Energy Al Colabawala — SAP EAM Consultant - My EAM GroupO Greg Harby » SAP FI/CO/FERC Business Analyst/Configuratior * Since original SAP implementation — 2000 > Project Mgr — EHPS Upgrade - 2012 > NWE employee for 30 years > Grea.Harby@northwestern.com QCAltaf (Al) Colabawala - My EAM Group > SAP EAM Solution Architect with 15 years of SAP experience in system wide Implementations, Upgrades, Business Process Re- engineering, complex system integration and software development. AL.C@myeamaroup.COM Follow @ASUG365 and #ASUG2013 on TwitterSON a taN tals LEARNING POINTS O Construction Cost Management can be a reality QO Efficiencies are evident in a relatively short time QO Foeus on defining your data metrics early SMC EI ECU cE URCCONEERENGE TALKING POINTS QNWE Background OWhy CU/OAA? O Mow does it work? QO How we are using it? OQ What do you get? SMC EI ECU cE URCO Regional Electric & Gas Dist. & Trans. Utility C) 400K electric & 250K natural gas customers in Montana, S. Dakota, Nebraska UO Corp. Headquarters — Sioux Falls, SD CIT operations located primarily in Butte, MT QO Montana operations previously know as The Montana Power Co. (MPC) until purchase by NorthWestern Corp. (NWE) in 2002. O) MPC HQ has been in Butte since 1912. QO) Approx. 1,420 employees Follow @ASUG365 and #ASUG2013 on TwitterSON a taN tals NWE BACKGROUND VF Follow @AsUG365 and #ASUG2013 on Twitterys NWE has been using SAP since 2000. We went through different projects to get to where we are today: Q MPC live on 4.5b version in May 2000 CO NWE - SD/Neb operations live June 2002 C) Upgrade to 4.6c in Nov 2002 Q) ECC 5.0 Oct 2006 C1 ECC 6.0 —- SP12 EP2 June 2008 QO) CU/OLC Go-Live Feb. 19 2009 QO EHP5 Upgrade — OLC to OAA Conversion — June 2012 Our OAA integration solution touches Fl, HR, MM, Assets, PM, CS/SD, PS, WM, BW, CU/OAA, CLM VF Follow @AsUG365 and #ASUG2013 on TwitterTHE NWE PROJECT Common Terms/ Abbreviations “SAP'tzZe” CIOAA = Operation Account Assignment > Previously OLC — Operation Level Costing OOP ACT = Operation Activity Qcu = Compatible Unit QALDPro_ = Electric & Gas distribution line design software tool SMC EI ECU cE URCCONAN INGE Naa aie)] 3 What is CU/OAA? SAP Enhancement Pack 2 delivers: OQ) Compatible Units (CU) A Compatible Unit (CU) - a defined combination of material(s) and associated labor hours to install or remove those materials SAP Enhancement Pack 5 delivers: Q Operation Account Assignment (OAA) Used in conjunction with Compatible Units + But use of CU’s is not required Delivered with ECC 6.0 EHP5 Provides estimated, planned & actual project costs in terms of defined activities (Operation Activities) * Lower level of detail than order * Includes Statistics & Settlement Rules at Oper. Act level Allows Electric & Gas, Capital & Expense work on single order Follow @ASUG365 and #ASUG2013 on Twitterai aad fel]S Why Did We Need CU/OLC? CNeed to capture more detailed construction data to: Provide more accurate customer estimates Evaluate customer collections for construction Manage costs at appropriate levels across large geographic area Provide comparative construction data for industry benchmarking Request tariff adjustments from PSC Follow @ASUG365 and #ASUG2013 on TwitterOSUGANNUAL THE NWE PROJECT CONFERENCE What are Compatible Unit: Example ary OH 3 Phase + Transformers CU's would b Crass arm * CPOL-045-1-WRC = POLE, WRC, CL. 1, 45 FT, BUTT TRTD * COARM-T-09S-38B = XARM, TAN,SGL,9FTX3.75, X 4.75, 38IN BRC Conductor * COCND-BR-1/0AS = COND, 1/0ACSR BARE (RAVEN) Transformer COGUY-WIR-10M = WIRE, GUY, 10M (50 FEET) COXF-1P-4604310 = 1PH 25kVA 7200/12470Y 120/240 NO TAPS + Each set of hardware and all other asst. parts for a . the above CU’s would be a separate CU’s ald Guy Wire © EACH CU CONFIGURATION INCLUDES THE LABOR TO INSTALL EACH PART PLUS ALL MATERIALS REQUIRED Follow @ASUG365 and #ASUG2013 on Twitterle Unit Master Data Model CU Category H{ cu Planning Pant I (CU BOM category CU Autnorzation Group Functional Location (CU Reference Object Ci Equipment Record eS CU Classification eee (GUID and CU Description Labor Hours CU Pamary Class Materials Task List ‘Work Genter CU Influence Class: ‘Activity Type (CU Secondary Class {rere | Follow @ASUG365 and #ASUG2013 on Twittera Co) TEL Pamela Ta Operation Account Assignment QlAllows for a single order with cost objects at the operation level. ClEach of the processes available at the order header level are now available at the operation. QOlEnabled from the business switch framework by activating business function LOG_EAM_OLC. VF Follow @AsUG365 and #ASUG2013 on Twitterrere) N EA fay Operation Account As: Operation Account Assignment (conc) OThe OAA enhancement touches many parts of the EAM work processes Cost Estimation Settlements Resource Related Quotation Investment Management Procurement Confirmations — Labor & Materials G/L Postings PM Technical Objects integration QEnhancement with EHP5 also provides PS integration via WBS assignment at the operation level. Operation account elements included in PS reports Follow @ASUG365 and #ASUG2013 on TwitterL d CONFERENCE Crt Capturing and Organizing Data to capitalize on CU/OAA framework VF Follow @AsUG365 and #ASUG2013 on Twitterron sastaNtals CAPTURING THE DATA Q Budget Category Q Operation Activity SMC EI ECU cE URCron sastaNtals CAPTURING THE DATA — HOW? The Orders OQ) Order Type ® Configured as OAA in IMG » Created unique order type for OAA orders ¥CU20 © Can be used for combined Electric & Gas e Used ED20 (Electric) an GD20 (Gas) previously Q Order Number » Created unique order numbers for OLC orders Y 2A XXXKXX ¢ Used 23xxxxxx for ED/GD20 orders SMC EI ECU cE URCCAPTURING THE DATA — HOW? he Orders? (cont) OQ) Order Header (Guixt customized screen) ei 2) 18/660 One S8/5a 08 i] Display CU Order 24001607: Central Header ae ‘Onder___euzajzaeoi6e7 DIL 4907 KING AVE WEST KBLUE ONEL I] ‘y.ctatus (CLSO PCNF PRT QUAE PTBL ACAS CEER eNPdEAJEEFR RevewReaured | [Final Rewew Perorned |_AMEEIESIEEEINL. Overatons Nateiaitist Costs objects, Accouming-W8S Data Accounting Others, Enhancement _ Comp. Unit MEE Soldtepary [1068890 [Me KALUE ONELLC 2 Location 59105 [BILLINGS ur Sy PartnarTimeZene (62/20/2011 [21 31 S7|"st Puactype [999] CU raerPM Act BILLINGS SHILO RD 12 a Fue. Loe, 881 Follow @ASUG365 and #ASUG2013 on TwitterOSUGANNUAL CONFERENCE CAPTURING THE DATA — HOW? Budget Category? Broad classifications of budgeted capital dollars Defined by “Priority” number input by user on the notification One Budget Category per OAA Order These will be the highest level of reporting by Operation Activities Budgot Category Priority Damages 0 Substation Reactive DOT GOV Relocate Growth Customer Requested Relocate Townsend Propane Growth SI Proactive Capacity Proactive Blanket, nJole|sfolalalefr |= DSIP (Dist. System Infrastructure Proj.) Follow @ASUG365 and #ASUG2013 on TiCAPTURING THE DATA — HOW? Operation Activities CiNeed reporting at higher level than individual CU’s (for NWE application) = Each Operation Activity will include: Roll-up (“Bundling”) of all applicable CU’s based on design All Labor, Materials, Contractor Costs, Fleet & OH Loading, Customer Payments, etc. recorded at this level Overhead Costing Sheets {ncludes Statistics (Plant Additions) and PRU’s (Property Retirement Units: Settlement Rules OCan have several Op Acts on one order Q)Also identified as a primary characteristic on CU to bundle and determine Operation VF Follow @AsUG365 and #ASUG2013 on TwitterOSUGANN CONFERE Operation Activity? O Provide for unit cost reporting and analysis O Oper Act is a 4-digit # added to our 8-digit order # Cost per foot v Overhead 3 Phase Primary Install v Underground Single Phase Primary Install Y¥ 2” Gas Main Install Cost per unit ¥ Transformer Installed v Electric Overhead Service Y Gas Service from Main iS CAPTURING THE DATA — HOW? Critical to expectation of capturing actual labor hours from crews, materials and coding of Contractor invoices «+ Ended up with 54 Operation Activities Follow @ASUG365 and #ASUG2013 on Twitter3 ANNUAL nia) en felted OPER# DESCRIPTION ELECTRIC ADDITIONS ELECTRIC REMOVAL/RETIREMENT T000__ [Primary UG Single Phase 1900 [UG Primary Removal 4010__|Primary UG 2 Phase 1910__|OH Primary Removal 1020__|[Primary UG 3 Phase 1920 [Pole Replacement - Removal 1030 |UG Cable Repl Single Phase 4930 [UG Electric Services Removal 4040 |UG Gable Repl 2 Phase 4940 [OH Electric Service Removal. 4050 |UG Gable Repl 3 Phase SHE ese 4100_|Primary OH Single Phase ubstation Removal 4110 [Primary OH 2 Phase GAS ADOITIONS 4420 [Primary OHS Phase Z000__[Gas Less than 2-Inch Main 2010 |Gas 23-inch Main 1130 |Pole Replacement - Install aot fae 4140 [Transformer Single Phase OH See reee ee 4150__|Transformer Multi Phase OH 5040 —|Gae S-Inch Main 4160__|Transformer Single Phase UG '2050_|Gas -Inch Main 4170___|Transformer Multi Phase UG 2060_|Gas Larger than 8-Inch Main 41200___|Secondary - OH & UG 2310 |Gas Sve Rés - from Stub, 4300__|Elect Svc - OH Res. 2320_|Gas Svc Res! - from Main 4310 [Elect Svc - OH Commercial 2330 |Gas Sve Com — from Stub 1320 [Elect Svc - UG trom OH Res $340 _)Gae Sve Com from Main 1330 |Elect Svc - UG from Stub Res. a 1340 [Elect Svc - UG from Xfmr Res FS REMOVAL/RETIREMENT 1350__|Elect Svc - UG from OH Gom EDC emt ce L A330 — Bee ee ee Se 2920__[Gas Main Removal 4370__|Elect Svc — UG from Xfmr Com OTHER 1400 —|Lighting — Street Light 4000 [EL Permits/Easements/Other 4410 Lighting - Yard/Aroa: 4010__|NG Permits/Easements/Other 4420 |Lighting - Post Top/Decorative [4400 Elect Engineer Labor Gov Reloc | 4500—|Substation 4410 is_Engineer Labor Gov Reloc ee —OSUGANNUAL CONFERENCE CAPTURING THE DATA — HOW? Operation Activity? OLC Order Example |@ 1 18 €6@ She anee wD ®O 3] Display CU Order 24007949: Operation Overview (4) Order cuga|/24007940 GMB 6V 823 N3RD ST JOSEPH CROSS a Sys.Status |CLSD PCNF PRT QUAC PTBL ACAS CSER GNP(E@)CONP HeaderData Material List, Costs» Objects» Accounting- WBS Data | fopac [operation short text [Work [un [our. Jud [pant|worctr_Jacttyp [cont [_]isos PRIMARY UG SINGLE PHASE 16H 16H | 0300 CMB-Es01 DOD2 INTL | Jit60 TRANSFORMER SINGLE PHASE UG 6H 6H | 0300 CMB-Eso1 DoD2 INTL |_]1340 ELECT svc - UG FROM XFMR RES 8H 8H || 9300 CMB-6s01 DeD2 INTL 2618 GAS 2-INCH MAIN 16H 16H | 0300 CMB-6S01 D002 INTL 2328 GAS SVC RES - FROM MAIN 8H 8H | 0300 CMB-6S01 D002 INTL Follow @ASUG365 and #ASUG2013 on Twitterron sastaNtals CAPTURING THE DATA — HOW? Operation Bundling Program VF Follow @AsUG365 and #ASUG2013 on Twitterron sastaNtals CAPTURING THE DATA — HO! Bundling Program for Order Creation ‘AS DELIVERED — Every CU used in the CU design creates an operation on the order. ¥ 1000 CU's in design = 1000 Operations on order. v The “Bundling” program combines CU’s and creates far fewer operations on the order. " Upon Creation of Order from Notification: CU’s are bundled based on Operation Activity characteristic identified in the design + Estimated Labor & Materials for individual CU’s are totaled for each Oper Act Settlement rules determined by combination of Location (Sales Office), Budget Category and Operation Activity Statistics automatically populated + Based on Custom CU's (SpanLength; TrenchLength) and/or planned materials (Poles, Conductor) and user defined fields for each operation Follow @ASUG365 and #ASUG2013 on TwitterOSUGANNUA ron sastaNtals CAPTURING THE DATA — HOW? Without Bu ¢ Program = OLC Order created with each CU as Oper Act 31 Individual Operations [ 5) Display CU Order 24000029: Operation Overview 2D) | SS) 0S) [e staus | order cu26|/24000028 Sreated trom IWS? for notif 300205962 S Sys.Status _[CRTD ACAS MANC PRC NOUS HeaderData @TTIITEMEL Components . Costs. Partner , Objects | Addit. Data, Location [_[[epacloperation short tex [ct [Worketr_[Prant|Cont...[work [Un [N.. [our [Un [acttyp [exec ‘5003 INSTALL UG EQUIPMENT Cut-LBR 0200 NCST TSH 1 15H 0002 1 [_][s006 isTALL Uc EQUIPMENT cUI-LeR 6200 NCST 83H 1 0.3H 0002 1 [_]]s009 instatL conDUcTOR CUI-LeR 6200 NCST 68H 1 6.8H 0002 17 [_][5012 INcTALL POLE HARDWARE cut-LeR 0200 NCST oH 6 oH 002 1 [_]Js015 INSTALL POLE HARDWARE cut-LeR 9200 NCST oH © 8H 0002 1 | ][s018 insTALL Uc EQUIPMENT cut-LBR 9200 NCST 63H 1 8.3H 0002 1 | ]Js021 insTALL Uc EQUIPMENT cut-LeR 0200 NCST oH © 8H 002 4 | ]}s024 INcTALL Uo - ENCLOSURE cut-LeR 0200 NCsT 1H 4 1H 002 1 [_][s027 INSTALL Uc EQUIPMENT cUI-LeR 6200 NCsT oH 8 8H poz 1 [_]]s030 instatL conpucTOR CUI-LeR 6200 NCST 24H 1 24H e026 | [[5033 instaLL conourr Cur-LeR 0200 NCST o.6H 4 06H 0002 6 SMC EI ECU cE URCeros ata Nels CAPTURING THE DATA — HOW? = OLC Order created with CU’s rolled up into applicable Oper Act 5 Operation Activities [ a) Display CU Order 24000031: Operation Overview Sl} | S| (=) (S)[ status Order cu20| 24000031 GTF SV 303 BRANDY LANE GT FALLS TEST fa Sys.Status [REL QUAC PTBL ACAS MANC PRC (Eajnous HeaderData Components » Costs, Partner, Objects » Addit Data | Location [ lopacoperation short text Jt work ctr_[Ptant{cont..Jwork [un JN... [bur [Un JActtyp [i 1200 SECONDARY GTF-L 6200 INTL 4.6H 1 4.6H 992° 1308 ELECT SVC- OH RES GTF-L 6200 INTL | 11.7H 1 | 11.7H 002 2320 GAS SVC RES - FROM MAIN GTF-L 6200 INTL | 5.4H 1 5.4 0002 4000 ELECTRIC PERMITEASEMENTIOTHER| GTF-L__ 6200 INTL oH 4 8H boe2 4010 GAS PERMITEASEMENT/OTHER GTF-L 0200 INTL oH 1 OH po02 SMC EI ECU cE URCron sastaNtals CAPTURING THE DATA — HOW? Project to Install 1000 ft Single Phase UG Primary with oS padmount transformer and 80 ft UG Service Before OAA: After OAA: 1 PH UG Primary = $2,340 > 2.34/ft ~Padmount xfmr = $610 > $610/xfmr _UG Service = $740 ‘ollow @ASUG365 and #ASUG2013 on Twitterron sastaNtals CoV COU cis Uy Ne ne = Estimated (Planned) Costs = Actual Costs ® Stats — Additions/Retirements gr All by Op Act, Order & Budget Category VF Follow @AsUG365 and #ASUG2013 on Twitterron sastaNtals CAPTURING THE DATA — WHAT? = Property Units - Additions & Removals ># of E & G Services ># of Poles > Feet of Primary > Feet of Conduit > Feet of Main AGAIN - ALL AT THE OPERATION ACTIVITY LEVEL SMC EI ECU cE URCCAPTURING THE DATA — WHAT? = Stats Example - Addition [= Display CU Order 24007949: Operation Overview: WBS Element PR. 105511 -02-02 New Connects - Residential Budget Category GROWTH Cust Rule abv 6 - 2 Noorsves 8 Install Lenath 8 Statistics Type Line Quan MTU E Distrib UG CONDUIT 206.088 200.908 MTU E Primary UNDERGROUND 1 PHASE 1.060 220.900 SMC EI ECU cE URCHOW IT ALL COMES TOGETHER Notification Construction Measure CU Design U CU Assignment | [Operation Activity on CU Release Bundling Settlements, Confirmations, Good Movement, Fl and CO documents are created with operation as account assignment object. ~—| CU/OAA Order Follow @ASUG365 and #ASUG2013 on Twitterron sastaNtals CAPTURING THE DATA — HOW? What are we using the data for now that we're capturing it? VF Follow @AsUG365 and #ASUG2013 on Twitter1. Cost Per Unit Reporting > Primary purpose of OAA > BW Reports Now we have over 3 full years of data accumulated \ » Reports provided directly to users monthly by: Budget Category Y — Growth, System Integ., Cust Relocates, etc. Operation Activity; OLC order Current YTD; 12-Month; Prior Yr Total System; Division/District Overhead vs. Underground > Based on Closed OAA orders onl Follow @ASUG365 and #ASUG2013 on TwitterHOW ARE WE USING THE D. 1. Cost Per Unit Reporting (con) >» Used to evaluate : Number and average length of E & G services installed by type Cost per service by type (PSC filing requests) Primary & Main cost per foot Number of pole replacements performed and assoc. cost each Compare work practices between areas v Identify large fluctuations in costs/unit v Identify inconsistent procedures Q Contractor coding Q Labor all charged to single activity Follow @ASUG365 and #ASUG2013 on TwitterSra autaNtal= fas Soe Ca aU cm ila) Example - Pole Replacements Distribution System Infrastructure Project (DSIP) Major New Capital & Expense Initiative New Budget Category (Priority) 7 Years — est. $380M Primarily Pole, UG Cable & Gas Main Replacements Final approval in late November 2010 Kicking off January 2011 — “Soft Start” The Challenge Approved budget amount for each program Needed to develop estimated # of units that could be replaced for each SMC EI ECU cE URCee US ems Example - Pole Replacements (conc) The Solution — Pole Replacements (report example slides to follow) Pole Replacement — Installs & Removals tracked in separate Oper Acts Ran Cost/Unit Report for 12 mos ended 12/31/2010 Segregated Pole Replacement — Install (1130) and Pole Replacement — Removal (1920) Oper Acts v Used SI Proactive Budget Category Most closely represents type of work to be performed Reviewed detail by OLC order to identify any “anomalies” and remove if appropriate Recalculated Ave Cost/Pole to remove & replace Follow @ASUG365 and #ASUG2013 on TwitterOSUGANNUAL HOW ARE WE USING THE DATA CONFERENCE Cost Per Unit Report > SI Proactive> By Operation Activity? OLE Cost Per Unit (prior 12 months) — Guanity]Guantiy Total Cost per cae CU Budget Category | (Each) | (Feet) Actual Costs |_ “Each Foot Overall Result 30.232 CAI 1,002,053 FT| $29, 188.499 16] $1,447 21 7EA] — $29 TO7ET [b_ GROWTH 1 6.962 EAl "711.696 FT| $11.867.020 6| $2,027 61 eal $16.70 71 SIPROACTIVE 3-183 EA] —t52.605 FT| S11.5e2.901-95] —$1.413.04 eal — $60.01 77 [PRIMARY UG SINGLE PHASE 7000] 27 eal 29.247 FT| S409 3e4 91] St4.903.14 7EA| — $18 09/7 [5 PRIMARY UG 2 PHASE toro] Teal 201] $1457.50] S1-4570 7eal $72.08 /FT| [PRIMARY UG 3 PHASE 1020| 41 Ea| 3.346 Ft] —$143,076.91| $13,006.99 /EA| sas 48 7FT| [SUG CABLE REPL SINGLE PHASE [1090] 7,125 Ea] 33,3611] $1,065 970 25|sea6.55 /ea] $31.95 ET [UG CABLE REPL 3 PHASE 4050] 1.797 Esl 12.574 FT| $487,608.77] $274.35 /eAa| — $36.70 7FT [PRIMARY OF SINGLE PHASE 4400] 11 Ea] 21.394 Ft] $248,703 75] $22,608.43 /ea] $11.62 767 [PRIMARY OF PHASE: 1a10| ‘teal aso] —siz.esr a6] _stz.es7-a6 eal — $2637 /E7 fos SS eee a Sars er POLE REPLACEMENT INSTALL 730] 7e13 eal [rss sze_000.s0|@- ea oss oz en £00 ES PTT aT $.00 [2 TRANSFORMER MULT PHASE Off 1150| 45 FA| $24.517 73] $544 B4/EAl $00 [>_TRANSFORMER SINGLE PHASE UG_[t160| 27 Ea $27. 349.07| $1,187 79 7EA| $00 [5 TRANSFORMER MULTI PHASE UG —[1170| 9 EA 560.702 47| $6744 72 7EA| $.00 [5_SECONDARY 1200| real —a.587 FT| — $20. 111.82] — $2,973.19 ea] — S267 7eT [5 ELECT Sv - OHRES 1300| eal “00 Ft] —s12-147-77| s1.st0.a7 eal — $24 30/7 [SELECT SV - OH COMMERCIAL 1310| sea] asa Ft] —"st-7ea.61| —~ seoo.s4 ea] 53.05 77 [SELECT SVE=UG FROM OH RES. 1320| real 191 Ft -$e6e7 96] 051-85 /eal S34 88 /FT| [> ELEGT Sve UG FROM STUB RES [1330 Tea] 100 FT| 14g 66 —saa0.56 eal 84-4977 [SELECT SVG=UG FROM XFMRRES [1340] 2 En| 900 FT] 20,639 60] $2,579.20 /ea| 22.9377 [SELECT Sve=UG FROM OH CoM [1350] + Ea] s70Ft| sas 722.36] — $6,490.59 /Ea] $09 52/7 [SELECT SvG= UG FROM XFMR COM [14370] 3 Ea] 210 Ft] $7,645 73] s2.640.50 Ea] $36.41 FT [5_UGHTING - STREET LIGHT 1a00| + eal $3,476.64] $065.16 /EAl 5.09 ee asec aan —aneal sie aang $09 Sa Pen ae — GAS LESS THAN ZINCH MAIN 2 EA a Gas NCH MAN 2010] 815 al 17.070 FT| $594. 348 25] $729 26 /eA| $49.74 /F1] SMC EI ECU cE URCSra autaNtal= ONFERENCE HOW ARE WE USING THE DATA Cost Per Unit Report > SI Proactive> By Operation Activity? OLC Cost Per Unit (prior 12 months) Gusev] Guan Total Cast per CU Badge Coagery (acm) | (Feet) _| Actual Costs | “Each Creral Rawal 70,232 €Al 002.055 FT] $20,156 409 16] 61 447 217A] GROWTH 5,062 €al 711.625 FT| $11 087,076 58] $2,027 61 7EA Si PROACTIVE 8.163 Al 192,685 FT|$11 562,901.99] $1,413.03 EA Tb PRIMARY UG SINGLE PHASE 70007 zrea| 22247 FT| $102-384 91| $14,903.14 7EA| E—penany UG 2 Bese fie Tea ao sta POLE REPLACEMENT - INSTALL 4130 | 7.578 El $3,326,000 7 Bilings Owsion 1 147 €Al $331.643 GIF-SI POLE REPLA CEMENT-ORCUT ES 2anoasea| — 17 EA) $68.30 65] —$4.019 46 /EA SIL SI_FEEDER 25 POLE REPLACEMENT 24007773 | fs —— ager BIL RC 4TH AVE N&N 12TH REPLACE POLE 2a00e1ege EAL $13 620.05] $13,020.05 OR BIL SI-1212 GRAND - REMOVE EXISTING VAUL 22008563 | Fm tsi BIL SI FEEDER 29 POLE REPLACE. 24009901] 9 EA sree BIL SI 1509 MONAD FOR 21 POLE 822 GROKEN 2a009460| TEA $4,496.20] $4,490.20 EA] DG RC_€ PRYOR RD POLE REPLACEMENT 24009695 | SEA 35,663 69] $1132 76 EA\ SIL SI 845 YELLOWSTONE REPLACE POLE PTF 24009796 | +e $2,432 36] $2432 38 EA FOG RC_LONGENDORF LN POLE REPLACEMENT 0 [24009009 $1,752 72| $1,752.72 TEA BIL St FD; 24010000, $11,271.69] $5,635.65 EA BisiPO REVIEW EXTREMES TO eA s2'50d 07] —$2:s90-07 Teal BIL SPO) TEA $5,664.79] — $5,684.79 EA] ro si w PETERMINEIF THEY SHOULD Teal $3,298 95| $3,290.95 EA] BL S131 BE EXCLUDED TEA $5,218 65] —$0,210.69.7EA| BILSI1342 Cosiens vons rove Tar Kore TEA $1.376 83] 81.376 83 /EA| FOG RC_LONGENDORF LN POLE REP O337F-NGS 24011310] TEA $2,490.53] — $2,490.53 EA] JOL RC_STENE RO POLE REPLACEMENT POLES [24011474] Ea $5,371.07] $1.790-36 7EA| BIL Si_FEEDER 12 POLE REPLACENENTS 2a012247| 67 EA) $99,837 04] —$1.751.53 EA SIL S1649 N14TH ST_ CLEARANCE/TRESPAS 2avioats| tea $1-304 00] $1394.60 7EAl MOL Si_MOLT FOR POLE 239 REPLACE @ JONE 2a0i2419| teal $1,240 26| $1,240.20 Al BIL 512505 TERRACE OR FDR 33 POLE RE 24013218] 1 EAl $3,120_26| $3,120.26 EA EIR 2487 HIGHWAY 310 POLE CHANGE OUT Zap aust eal $2239 35] 52239 30 EA VF Follow @AsUG365 and #ASUG2013 on Twitterie ron sastaNtals HOW ARE WE USING THE DATA 2. Engineer’s Estimates vs. Actual Cost Report > Custom ABAP report * Can be run by Eng/Est, Constr. Mgrs & Dir. of Const. » Closed orders ONLY ¢ Growth & Customer Req. Relocate Budget Categories v Those where we had customer collections >» To evaluate accuracy of estimated costs * CU configuration ¥ Hours, Materials * Engineer/Estimator’s ability to prepare accurate designs Y Identify scope; circumstances; contractor needs; etc. VF Follow @AsUG365 and #ASUG2013 on TwitterHOW ARE WE USING THE DA 2. Engineer’s Estimates vs. Actual Cost Report (cont.) Estimated Costs drive customer quotes * Need to be sure we are covering costs where appropriate * Or-—that we are not over-collecting from customers Variances by individual E/E currently used as factors in their performance appraisals as of 2010. e Y Hada significant impact on the accuracy of estimates from 2009 to 2012 SMC EI ECU cE URCOSUGANNUAL HOW ARE WE USING THE DATA CONFERENCE Engineer’s Estimated Vs. Actual Report - Summary Comparison Estimated Versus Actual Order Report 2009 VARIANCE = Estimated! Variance |e ZISAGSA9 +++ 335610781 +++ 621,174.42. zn 162552697 «++ 480460415 «++ 476,497.18 to.4 195020726 +++ 255784937 +++ 50064211. ++» 3082. 49514804 «=» 4772907.08 621,061.04 1496 DASASISAG see 2AS7QT2I6 +++ 275050 vex O43 2956,06408 «++ 380076041 «+~ 70409553. «=» 6.90 409,070.00 |- 53200351 ee asa 273, 1607082232 «+++ 1039057099 » 226704067. ++ 1414 2012 VARIANCE - $171,846 Estimated Versus Actual Order Report Pant [= ___ Estates costlt pest cost Variance]. Bi Vanance ©) $349,906.12 == 140527042 «= 19536430. 183551099 ++ 201481359 «+ 17930260. YA2051273 «= 44302350.19 = 0 | 00 ojo SMC EI ECU cE URCeros ata Nels HOW ARE WE USING THE DATA Engineer’s Estimate vs Actual Cost Report - Summary by Engineer/Estimator Estimated Versus Actual Order Report Orser Value catego F est F factual Cost 2,650,306.02 2,607,631.20 ANDREA JILL “ANDE”BUFFINGTON cs 819,386.05 89,139.10 BRIAN 5 SCHULTZ 38284 467.82 4.35004 240749 5.95161 Z26131 => Da0n8e Ta35aa7 SMC EI ECU cE URCHOW ARE WE USING THE DATA Engineer’s Estimate vs Actual Cost Report - Drilldown to Value Category Estimated Versus Actual Order Report 12/34/2012 Person Responsible [order alue Category = Estimated Goals Actual Coal BRIAN S SCHULTZ 24004277 779.00 245.28 24008656 23,467.40 19,221.86 24005137 = 2519.46, 31,980.81 24005282 4927.01 5259.00 24005850 6561 7364.31 24006004 Admin/EngineeriOther 0.00 0.00 Revenue Alowance 0.00 0.00 TaxAdder 0.00 0.00 Transformer AoW 0.00 0.00 Adrminvéng Srve Add 9.00 0.00 Service allowance 0.00 0.00 No Costsence Ad) 00 200 taper Union Sooe.08 35.95 Planned for Direct Materials 7,375.08 T40407 Internal Labor Applied Overhead 11538.26 1.133.868 Used Contractor Contibin in Aig of Cons 9.00 0.00 External Labor & Matert 0.00 T2250 006008 TIER D787 24008372 9,908.96 44,354.67 Follow @ASUG365 and #ASUG2013 on TwitterRETURN ON INVESTMENT O Accurate Estimated Costs are critical when they drive contributions from customers requesting utility construction. » Especially when contributions (CIAC’s) are collected in advance with no opportunity for “true-up” based on Actual costs. » Estimated vs. Actual cost variances on Growth and Customer Requested Relocate work: ¥ 2009 = prior to first full year of CU/OLC/OAA * $2.3M (14.1%) variance — Actual ($18.4M) > Estimated ($16.1M) 2012 — after 3 full years of CU/OLC/OAA > Follow @ASUG365 and #ASUG2013 on TwitterWHAT YOU NEED TO KNOW 1. COMPATIBLE UNITS » SAP DELIVERS * Flexibility to include about any configuration you may need Y Characteristics Y _ Install/Remove Hours VY Materials. #’s & Qty > YOU COME UP WITH * What you want to create as CU’s v Which “parts” to group together ¥ Based on Standards ¥ How to load them in ‘We were fortunate to already have most of what we needed in LDPro — our Distribution Line design tool. Note: You can create a tabular design in SAP using SAP CU design builder Follow @ASUG365 and #ASUG2013 on TwitterWHAT YOU NEED TO KNOW 2. OPERATIONAL ACCOUNT ASSIGNMENT > SAP DELIVERS Configuration to categorize an order to be an OAA order Y BADI to assign customer defaults Y —_ BADI to assign settlement rules ¥ Integration to PS via WBS assignment to an operation Hierarchical relationships — OAA order as Sub-Order Hierarchical drill-down reports in PM and PS » YOU COME UP WITH Bundling - to group CU/Operations to fulfill your requirements either for scheduling purpose , supply management etc. Billing - Customer Bill to integrate with OAA work order for credit is not supported by SAP. A Custom approach is possible. Follow @ASUG365 and #ASUG2013 on Twitterron sastaNtals CAPTURING THE DATA — HOW? QUESTIONS? VF Follow @AsUG365 and #ASUG2013 on TwitterANN CONFERE Follow @ASUG365 and ASUG CEO Bridgette Chambers @BChambersASUG on Twitter to keep up to date with everything at ASUG. Follow the ASUGNews team of Tom Wailgum: @twailgum and Courtney Bjorlin: @cbjorlin for all things SAP.THANK YOU FOR PARTICIPATING Please provide feedback on this session by completing a short survey via the event mobile application. SESSION CODE: 2610 & 4708 For ongoing education on this area of focus, visit www.ASUG.com