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Setting up the Developer Studio 
These settings must be made in every SAP NetWeaver Developer Studio; therefore they are usually done by the developers themselves.
You are in the Developer Studio.
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1. Configure the settings for the storage of file types. Not all files need to be stored in the DTR; in the layered development – in contrast to team-oriented development – the file types .project and .classpath must not be stored.
For all developer installations of the Developer Studio:
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a. From the menu path, choose Window ® Preferences.
The Preferences dialog window appears.
b. Choose Team ® Ignored Resources.
A list of file types that are not stored in the DTR appears.
Make sure that the checkboxes for .project and .classpath are checked so that these resources are not considered for a storage in the DTR.
2. Configure the runtime system in the Developer Studio.
a. From the menu path, choose Window ® Preferences ® SAP J2EE Engine.
b. Select SAP J2EE Engine is installed on local host and choose Browse.
A dialog box Local EngineInstallations appears.
c. Choose your local J2EE Engine instance and choose OK.
The system name, instance numbers and root paths of your engine are displayed in the Preferences dialog.
d. Choose OK.
3. Perform steps 1 and 2 for all developer installations.
4. From the menu path, choose Window ® Show View ® Other ® J2EE ® J2EE Engine.
The new view J2EE Engine appears. It displays the engines selected in the settings.
5. In the root node of the engine, choose Start Local Engine to start the J2EE Engine.
You have set up the Developer Studio for layered development.