Planning Preparation 

Purpose

This process enables you to prepare a planning session for personnel cost planning. The management usually provides guidelines for the coming cost planning review once a year. As personnel cost planner, you implement these specifications in the system in planning contexts and planning scenarios.

You store the following plan details according to the planning context:

·         The cost objects for which the system creates additional cost items

·         The base cost items from which the system creates which dependent cost items

You store the following plan details according to the planning context:

·         How the system valuates unvaluated cost items during the cost planning run

·         The limits that apply for the cost items

You can also change the scenario-dependent values during planning in the productive system. On the SAP Easy Access screen, choose Human Resources ® Personnel Management ® Personnel Cost Planning ® Settings ® Current Settings.

You usually only require one planning context. You only require several planning contexts in the following exceptional cases, for example:

·        Each unit at your enterprise is to perform personnel cost planning separately.

·        You want to derive the cost item Bonus once as a dependent cost item from the employees’ salary, and plan it once as an additional cost item with a fixed amount irrespective of the salary.

You usually use several planning scenarios for each planning context to compare directly different assumptions for the plan. You can create a standard and an exceptional case scenario or a worst case scenario.

You want to perform a plan in which your employees receive a salary increase of 3% and a bonus. The bonus is derived as a percentage from the employees’ salary. The bonus is not to exceed 3,000 EUR.

In an alternative plan, you want to work on the assumption of a salary increase of 3.5% and for the bonus no maximum limit exists.

To do this, you create the planning scenarios Standard Plan and Alternative Plan.

Process Flow

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       1.      The management defines the guidelines for cost planning.

       2.      In Customizing for Personnel Cost Planning and Simulation, you implement these specifications in different planning scenarios and, if necessary, different planning contexts.

For more information, see the Implementation Guide (IMG) for Personnel Cost Planning and Simulation under Planning Preparation ® Create Planning Contexts and Planning Preparation ® Create Planning Scenarios.

       3.      You define which additional and dependent cost items the system is to create for each planning context.

For more information, see the IMG for Personnel Cost Planning and Simulation, under Cost Planning Runs ® Process Dependent and Additional Cost Items.

       4.      You define for each planning scenario how the system is to valuate the cost items.

For more information, see the IMG for Personnel Cost Planning and Simulation under Cost Planning Runs ® Specify Scenario-Dependent Values.

Result

The planning contexts and scenarios are available for creating personnel cost plans. This allows you to compare the plan alternatives.

The following figure illustrates an example of different planning scenarios: