Budget Return Process - CJ38 T-code

[former_member42412]

Hi All,

We are using IM for budget allocation , Budget release & Annual budget process . Need to return left over budget ( I am considering available budget at t-code S_ALR_87013558 ) first from lower level WBS to L 1 WBS & then L1 WBS to IM position ID . I am getting multiple errors while returning budget from lower level to L1 WBS element at t-code CJ38 such as over all budget is less than release budget , overall budget is less than cumulative budget etc. Can any one please explain the concept in detail step by step with example how to process ?

Thanks very much .

Mohammed

[former_member42412]

Hi Paulo ,

Many thanks for your valuable input & time . I am attaching herewith budget profile together with error message I am getting error while returning budget from lower level WBS ( .03 ) to L1 WBS . Please suggest where I am doing wrong .

Thanking you very much .

Mohammed

[Paulo_Vitoriano]

Please use image attachments and not XML, that cannot be safe.

[former_member42412]

Hi Paulo ,

During annual budget distribution , do I have to distribute only from total released budget or I can distribute from overall budget also ? Suppose I have 100 K USD as overall budget out of which I have released 90 K USD . Now can I distribute all 100 K USD to different year or I can distribute only 90 K USD ?

Thanking you very much .

Mohammed

[Paulo_Vitoriano]

Hi Mohammed,

I do not know what your customizing in the budget profile is...

Below is the help screen for the Release flag:

If your AVAC is on Released budget you should be working with Released budget, in your example you will have only 90K for the annual distribution.

[former_member42412]

Hi Paulo ,

Thanks for your valuable time . My client is using budget at lowest level WBS , distributing budget annually & also using budget release process . This is how complication arises now . They need to return the budget first from lowest level WBS to L1 WBS & then to IM position ID .

Best Regards

[Paulo_Vitoriano]

Your overall budget cannot be smaller compared to your Released budget, consequently your total Released budget cannot be smaller then total of annual budgets. Your first step should be to reduce the Released budget from its annual allocations and next from its total.

Take your quality system and run the process from very beginning, allocate the budget from IM program position, distribute to lower WBS levels, release the budget, do annual distribution and roll that back.

[Paulo_Vitoriano]

Hi Mohammed,

I will not go into a calculation process for your particular case as my spare time is limited.

The budget should be maintained at the level of budget ownership, means if you have only one project manager there is no need to allocate it below level 1 WBS. Otherwise it will only generate unnecessary work load.

Same goes for the annual distribution as in most cases it will be ruined by long-lead high value procurement process that otherwise can be blocked by the system. That is yet another unnecessary complication for the budget that is often confused with annual cost planning, but it has nothing in common due to commitments that go cross multiple years.

The only benefit of the budget return to parent IM position is to allocate the unused budget to another project in need.

Maybe it is easier with the budget transfer instead if projects share the same IM position…

Regards,

Paulo

[former_member42412]

Hi Paulo ,

Thanks for your reply .

1 . Do you mean ROP as re-order planning ? We do not have ROP .

2. I could not find any column as " Available-Overall " in CJ31 t-code like S_ALR_87013558 t-code display . Do I need to manually calculate "Available-Overall" in CJ31 t-code .

3. I am trying to return budget from a L2 WBS element ( SP- 22210000.26 ) . I have made assigned value equal to release budget by de releasing extra budget . I can see value at available-overall column at S_ALR_87013558 report under this WBS SP- 22210000 . 26 = 517,724 USD , under this WBS SP- 22210000 . 26 .01 = 461,205 USD, under this WBS SP- 22210000 . 26 .01 .01 = 47,067 USD , under this WBS SP- 22210000 . 26 .01 . 10 = 413,978 USD .

Upon entering 517,724 USD only against this WBS SP- 22210000 . 26 . I am getting error message no . BQ004 ( The annual budget 4793106.12 USD in WBS element SP- 22210000 is less than the distributed budget 4,810,744.83 USD )

What value should I enter against each WBS element under return column at t-code CJ38 ?

Can you please explain this case how much I can return ? I am totally lost , please explain & if possible share some document for budget return process .

Thanking you very much .

Best Regards

Mohammed

[Paulo_Vitoriano]

Hi Mohammed,

1. When you roll back a certain process you need to follow exact same sequence in the opposite direction. In particular that means you should reduce the released budget first.

2. You should not rely on the ALR report for the available budget as that is based on a simple formula, something like budget - actuals - commitments, not even sure if ROP is there too, but you should have no ROP in TECO anyway. Bottom line is that you should use the line item ABAP report from CJ31 to check for the available budget.

Regards,

Paulo