
Commitment Management (2I3)
Commitment management is part of the cost monitoring process. Commitment items for projects are triggered by material purchase requisitions and purchase orders and are reduced by various business transactions such as goods receipt. A project cost report shows commitments versus plan and actual costs.
If this scope item is activated and the prerequisite scope item of Project Financial Control (1NT) is performed, the Project Financial Controller can monitor purchase order commitments against plan and actual costs in a report.
If the scope item is activated, and the prerequisite scope item of Overhead Cost Accounting (J54) is performed, the Cost Accountant-Overhead can monitor purchase order commitments by cost center and cost element in a report.
Key Process Steps Covered
- Monitor projects
Benefits
- Analyze project costs with information on commitments compared with actual and plan costs
Additional Information
- This scope item is excluded from the default activation
This scope item is excluded as this functionality can create high amounts of data volume and can impact performance. Only activate this scope item if the customer explicitly wants to implement Commitment Management.
Where is Commitment Management(2I3) being used?
This Scope item is used in the following way:
- As a management function of Cost Management and Profitability Analysis within Finance Scope Item Group