Project Management in SAP is not simple and to do it properly you need an additional solution that integrates with SAP.
SAP PPM (Portfolio and Project Management) has limited capabilities and does not meet all the needs of project business.
When business try to use SAP for project management, most end up customizing the application to such an extent that it is not cost effective, and it precludes efficient software upgrades. In addition, they still end up using third-party applications and tools to do everything that they need to do.
Overall, you should try to find a comprehensive project business application that integrates with SAP.
Why you should not manage your projects in SAP
There are many reasons why SAP does not make a good project management solution. Here are a few in summary.
1. SAP is an ERP, not a Project Management Application
SAP is a complex transactional business system originally built to accommodate repeatable business processes. It was not built with projects in mind. As such, it does not support everything required for good project management.
2. Expensive Implementation and Customization
SAP is one of the most expensive ERP implementations. (link to article) To add on to your ERP solution with another SAP application may not be the most efficient way to support your project needs.
3. No Project Business Support
SAP PPM and SAP Project System are designed mostly to address the traditional project management and scheduling needs. It does not have project costing, EAC, earned value or have a CBS and more to support your project business requirements.
Given these reasons, it is prudent to look for a project business system that supports what you need yet fully integrates with your SAP ERP.
Project Management Applications that Integrate with SAP
If projects are an important part of your business, then you are conducting project business. That means you need a project business system. Project Business Automation is one such application.
Adeaca Project Business Automation
Project Business Automation (PBA) is a business process management software designed for project-driven business that integrates all core project business processes into one, end-to-end system. PBA is now recognized by Forrester as the next category of software solutions for project-driven organizations.
PBA provides an integrated and continuously updated view of core project business processes normally managed in disparate applications. These core processes can be categorized in 3 main functional areas:
- Project Financials and Accounting
- Project Management and Operations
- Project Insight and Analytics
The key point about PBA is that all these areas are integrated in one system, providing real-time data streams that facilitate the acceleration and automation of processes that is not possible when managed in separate applications.