Advantages of Primavera EPPM in asset-intensive Organizations Problem Statement: -Project delay due to lack of on-time supply availability -Longer Supply chain & Procurement lifecycle -Limited visibility to key stake holders -Reduction in profitability Solution Approach: -Consolidated demand in P6 EPPM -Feeding real-time demand to supply chain engine -Organization wide procurement plan -Procurement plan communicated to purchasing -Real time revisions & tracking by procurement -Procure to Pay cycle effectiveness Key Benefits: -Optimum Utalization of inventory -Minimize over stocking & carrying cost -Increased demand accuracy -On schedule project delivery Where Used: -Tellecommunication -Infrastructure -Engineering -Oil & Gas
Referenced: www.p6academy.com
Source: http://coll15.mapyourshow.com
1. REMINDER
Check in on the
COLLABORATE mobile app
Primavera EPPM
in
asset-intensive Organizations
Presented by:
Parminder Singh
Sr. Business Analyst & Implementation Lead
Gaea Global Technologies
Session ID#:
Parminder.s@gaeaglobal.com 1
3. Problem Statement
In most asset intensive industries, it is very critical to keep the projects, demand supply &
procurement in check. Over the years we have seen the number of projects / organizations
impacted due to in-accurate demand supply, in-efficient project tracking & loiter procurement.
Common problems faced if there is no Project Management in “Asset Intensive” Organization
Project Management Team
• Lack of end to end project lifecycle tracking & visibility among repetitive projects.
• Difficulty in identification of reasons for Cost & Schedule over-run due to cross project
dependencies
• Fore-sighting the delays & failing to make required adjustments
• Failing to meet critical project milestone dates
Supply Chain Team
• Consolidated & Time based Project demand
• Demand accuracy
• Real Time demand change’s/updates as per changes in execution plan
• Inability to communicate real time progress to Project Team.
Procurement Team
• Accurate procurement plan
• Failing to keep procurement plan in sync with project schedule
• Insufficient data to leverage economies of scale
4. Problem Statement Cont..Demand
PlanningProcurement
Consolidated
Demand
100 % accurate Organization
wide consolidated demand
Demand fulfillment
status &
recommendations
to project team
100 % information to equip
procurement team to leverage
economies of scale
Demand revisions
from Project Team
Demand Source
information
Basic problems faced when Project Management, Demand Planning & Procurement
teams don’t share single source of truth & work in more isolated environment.
Projects Project Demand
Real time revised
project demand
Demand fulfillment status
& Recommendations
Project
Management
Negotiated price
information to
project team
Nonsourced
demand
Inaccurate
Demand
Norealtime
updates
Inaccurate
consolidated
demand
Lackof
Realtime
information
Noinformation
toprojectteam
5. Topic Introduction
This topic defines how Primavera EPPM could help demand supply and
procurement intensive industries alias ‘Asset Intensive’ to use single source of truth
for the organization wide consolidated demand and leveraging the same to increase
accuracy of demand supply and enhance economies of scale, which directly
increases revenue for the organization.
“Does Project Management, Demand Supply & Procurement Management
department in your organization work in sync ? “
6. Solution Approach
Real time status update to project team across the procurement life cycle.
Procurement cycle execution & tracking & Execution of effective Procure to Pay cycle.
Procurement plan communicated to purchasing team.
Organization wide procurement plan generated by supply chain engine.
Feeding real-time consolidated project demand to supply chain engine
Validation & Extract Approved / Baselined consolidated demand from Primavera EPPM
Project level/Business Unit level/Country/ Organization level demand plan preparation in Primavera EPPM
7. Organization level
plan
BU / Country
level plan
Project level
plan
Primavera
EPPM
Deriving
Organization
level
consolidated
demand plan
Supply Chain
Management
Processing
demands
Benefits
Consolidated
Demand
Detailed
Demand
Demand
Supply
recommended
for Demand
Process
Supply
recommendations
review/approval
by planner
Approval
Execution by
procurement
team
Procure
Recommendations
ProcurementStatus
updatestoProjects
Revised Demand as per
recommendations
Project Management
•Assess status of on-going project in
terms of schedule, cost and
profitability
•Better visibility & control of complete
project lifecycle.
•Nullify project delays & maximise
savings.
Demand Supply
•Organization wide consolidated
demand from single source.
•Reduce Planning Cycle Time
•Comprehensive Distribution Planning
•Increase planner productivity and
reduce decision making latency &
reduces manual errors
Procurement
•Aggregating demand & leverage on
economies of scale
•More realistic & accurate information
for better negotiations.
•Increase savings for the organization
& increases revenue.
•Reduction in bottom line cost to
maximise profitability
Procurement status
8. Project Structuring in Primavera EPPM
Parent Org
Continent 1
Country 1
Region 1
BU 1
Project 1 Project 2 Project …
BU ..
Region 2
BU .. BU ..
Region …
BU .. BU ..
Region …
BU ..
Country 2
Continent 2
Country …
Continent 3
9. Resource Management in in Primavera EPPM
1. Resource Management by country.
2. Resource rates maintained by country,
for better control on Exchange rates &
revisions.
3. Resource categorization.
4. Master Attribute management makes
life of PMs much easier to identify /
search respective resources for a
Country & Type.
5. Easier to manage & maintain.
6. Easier to restrict & maintain data
accessibility to different users.
CategoryRegionCountryOrg
Org
USA
NYC
T-Comm
Infra
Others
India
10. Project Budgeting in Primavera EPPM
1. Standardized project management guidelines & policies.
2. Standard project templates
3. Accurate project schedules & better control over Planned Quantities
4. Better control over revisions & updates at different stages.
5. Better control over baselined historical data for analysis.
11. Project level demand verification & Baselining
in Primavera
1. Once the demand is made & verifier the same can be baselined
i. Open the project to be baselined
ii. Action menu > Maintain Baselines > Add Baseline
iii. Save with specific Name & Type.
12. Consolidated demand verification & download
in Primavera
Demand Verification
- Project demand will be prepared in P6.
- The demand will be synced as and when a project is
baselined in P6.
- Demand will be synced with following filters
1. Demand only for Active Projects
2. Demand only for not started Activities
3. Demand only for remaining quantity
Demand file Download
- Demand file will be of CSV or Excel
format only
- Demand file can be downloaded
- Goto Resources Tab
- Goto Assignment Tab
- Select pre-defined layout
- Export the file.
Project level Demand
Consolidated Demand
13. Procure to Pay cycle tracking
Place order at
suppliers
Receipt
Internal
Demand
from P6
EPPM
Receive Ordered
Products +
Pay Supplier
Notify Project
Team in
Primavera EPPM
Automatic
Real-Time integrated
information / Status to
Primavera EPPM.
14. Real time status update to project team
1. Automatic progress updates.
2. Real time status updates to project team.
3. 100% accurate & synced data between different teams.
4. Better project tracking
5. Helps nullifying project delays & improves decision making
Actual Units & Actual Cost
will be cumulated as
updated.
15. End to End Project Lifecycle post enabling Project
Management
Demand
PlanningProcurement
Consolidated
Demand
100 % accurate Organization
wide consolidated demand
Demand fulfillment
status &
recommendations
to project team
100 % information to equip
procurement team to leverage
economies of scale
Demand revisions
from Project Team
Demand Source
information
Basic problems faced when Project Management, Demand Planning & Procurement
teams don’t share single source of truth & work in more isolated environment.
Projects Project Demand
Real time revised
project demand
Demand fulfillment status
& Recommendations
Project
Management
Negotiated price
information to
project team
Sourcebased
demand
100%accurate
Consolidated
demand
Realtime
updates
100%
Consolidated
demand
Realtime
consolidated
information
Updatesto
ProjectTeam
16. Project tracking using Primavera EPPM Dashboards
Cost Time Units
Actual
Budgeted
Dashboard to
evaluate Planned
vs Actual Cash
Flow projection.
Dashboard to
evaluate EVM.
16
17. Project tracking using Primavera EPPM Dashboards...
Dashboard to
evaluate overall
project status in
terms of Schedule,
Cost & Quantities.
Dashboard to evaluate
Planned vs Actual
Schedule, for project
& critical Milestones.
17
18. Case Study
The given methodology is not restricted for a specific industry, it is applicable for all the industries where
demand supply, procurement & project management must be considered as integrated units.
The same methodology is implemented in one of the leading telecommunication giant’s in Africa continent.
The client provides services in 21 countries. It was the most critical requirement for the client to improvise on
managing demand supply & procurement in sync with project planning & schedule.
The solution will equip project managers with full visibility of project lifecycle from project planning till closure,
and also will provide more accurate & consolidated information to procurement team to improve procure to pay
cycle & leverage economies of scale. The executive level in the organization will be able to rejoice better revenues
over the years & will be in better position to make critical & timely decisions.
Key Benefits delivered for 1st of 21 Rollout’s :
1. Effective Project Management & standardized policies.
2. Organization wide consolidated demand extracted from Primavera EPPM.
3. Sorting out the problem of unutilized inventory over 1.5 Billion USD (Phase 1 Rollout).
4. Minimize over stocking and reduction in inventory carrying cost.
5. Increased overall project lifecycle transparency to all stake holders.
6. Improved project demand accuracy.
7. On time Project Milestone achievement.
8. Handled numerous reporting & dashboard requirements.
19. Thank you!
For More Information:
http://www.gaeaglobal.com
sales@gaeaglobal.com
Personal Details:
Name : Parminder Singh
Designation : Sr. Business Analyst & Implementation Lead
Contact Number : India ( +91-8884900646)
Organization Details :
Mailing Address : Gaea Technologies India PVT Limited
F2- Alsa Mall, 147 – 149 Montieth Road,
Egmore Chennai,Tamil Nadu 600008
Office Landline ( 044-6457-4232)
20. Please complete the session
evaluation
We appreciate your feedback and insight
You may complete the session evaluation either
on paper or online via the mobile app 20
21. ■ Our purpose is to inform and educate our members on current and future
functionality of Oracle Primavera products, while offering a forum for peers to
share their experience and knowledge in the use of Primavera.
■ Educational opportunities across the Primavera product suite
■ Online Learning Series August 17th – September 4th
■ Call for presentation opening April 27th
■ Monthly Community Calls
■ 3rd Thursday of the month at 1:00 pm ET
■ Networking with other users within the Primavera community
■ Partnering with Oracle Primavera to meet the needs of our diverse
membership.
■ Membership is open to anyone with an interest in the Oracle Primavera products,
with no dues for membership. All members can vote on matters brought before
the OPSIG. Membership requests may be reviewed by the OPSIG board.
OPSIG is the home for
Primavera Users