Project Forecasting

Before you start

The process can be started when:

• Budget items have been entered.
• A budget version is locked.

Follow these steps

The diagram below illustrates the activities in this process.

1. Entering Forecast Version

   A project can have more than one forecast. Each forecast is then saved as a separate version. Different versions are necessary when the project changes such as when expected costs or revenues are revised.

   The budget version indicates if the budgeting is delegated, which means it must be confirmed per project element.

   Note: You can proceed directly to step #3, Locking Forecast Version, if there are no changes in forecast values.

2. Entering Forecast Values

   Forecast values are determined when budget items or a material budget is entered.

   1. Enter Budget Items

      Forecast values are entered in budget items. Enter information on the budget, outcome and current forecast. Also, you must specify whether quantity or amount is used for each budget item. If forecasting is delegated, each forecast must be confirmed per project element.

   2. Enter Material Budget

      Forecast amounts can also be totaled from products or material connected to a budget item. This creates a sublevel to the item that contains the products/material. The forecasted amounts for these are totaled to arrive at the forecasted amount for each budget item.

      You can update forecast amounts in different currencies. For this, currency codes and exchange rates must be connected to the project in 'Project. Connect Currencies' (POS172), which is reached from 'Project. Open' (POS091). Note that the material budget is always entered in the local currency.

3. Locking Forecast Version

   Forecasts for each budget item are totaled upwards in the project structure when the forecast version is locked. This results in the total forecast at the main project level. All forecasting must be confirmed before a delegated budget can be locked.

   When a budget version is locked, a new locked forecast version is created automatically. Refer to the topic entitled Project Budgeting, for which a link is provided in the See Also section.

   A forecast version cannot be locked if product structures in the material budget are regenerated and released orders are entered in the current forecast version. The released orders must be connected to the material budget before the forecast can be locked.