This section contains the following topics:
About Detailed Financial Planning
How to Set Up Detailed Financial Planning
Display Cost Plans and Budget Views
By Example: How Financial Plan Data is Copied
Detailed financial planning allows you to estimate funding for your investments using cost plans. You can get approval for such funding using budget plans. As part of the approval process, you can associate your cost plans with benefit plans to estimate the benefit from your investments.
To build financial plans, the following must be set up:
For more information, see the Project Management User Guide.
For more information, see the Project Management User Guide.
The following views are available for a cost plan or budget plan details:
The exchange rate used in the billing calculations depends on the following factors:
The following billing calculations are triggered when either the cost or the revenue changes in the financial plan for a given row:
A change in the exchange rates or billing currency does not trigger recalculation of billing amounts.
Follow these steps:
The plan list page appears.
Cost plans are an alternative to financial summaries if you want to create a detailed plan that spans more than one fiscal time period. You can track planned costs, actual costs, and variances over the lifetime of an investment. In addition, you can break down data by different grouping attributes or criteria. You can define a cost plan from scratch or populate it automatically and submit it as an investment budget for approval.
Use CA Clarity PPM cost planning to facilitate your organizational financial planning process and to enforce standards.
A cost plan consists of the following:
You can configure a cost plan to display the following revenue fields. These fields are not available by default. Posted transactions must exist for these fields to display values.
For more information, see the Studio Developer’s Guide.
Displays the aggregated actual unit for a given fiscal period.
Displays the aggregated actual cost for a given fiscal period calculated as Actual Units * Cost.
Displays the actual billing rate for a given fiscal period calculated as Actual Units * Rate.
Displays the delta between Cost and Actual Cost.
Displays the delta between Revenue and Actual Revenue.
Displays the delta between Units and Actual Units.
The plan of record (POR) is the cost plan that you intend to use as the budget plan for an investment. If there is an existing approved budget plan, you can use the POR to create a new budget plan. The first cost plan you create for an investment becomes the POR by default. You can reassign the POR to any plan and submit it for budget approval. You can keep the remaining cost plans for future use or reference. You cannot delete a POR.
When you add an investment to a portfolio, the cost plan POR is automatically associated with all portfolio scenarios related to that investment. This association with the POR verifies that the investment costs are included in the portfolio scenarios. Later, if you select a different POR for the investment, the new POR is used in the portfolio provided no approved budget exists for the investment. Once a budget is approved, switching the POR has no effect on the value displayed on the financial summary pages of the investment. The financial summary value is the same value that is shown in the portfolio.
Cost planning starts at the investment level and goes through multiple iterations of cost projections and reviews to produce the final approved budget. Investment budgets roll up to the department level and then roll up to higher levels as desired. To streamline this planning process, financial controllers can standardize the ways to capture and break down costs for the entire organization. These standards ensure that all the costs are easily recognized and roll up to the desired levels. Financial controllers can implement standardized budget approval processes to review and approve individual and departmental budgets.
The following is one example on how to manage cost plans based on standards defined by the financial controller. When a finance manager approves a cost plan, it becomes the budget plan for an investment.
You can group cost planning data using different attributes or criteria to view a breakdown of the data for the given time periods. The structure of the cost plan line item details is based on these grouping attributes and the selected time periods.
The financial controller can set default grouping attributes globally when defining an entity. The project manager can change the default attributes when defining the initial cost plan scope at the investment level. Only the grouping attributes that you define in the initial scope are available for selection when adding line item details. You must select at least one value for each available grouping attribute or select the option to automatically populate the line item details. Individual line item detail rows are created for each unique combination of selected values for all available grouping attributes.
Note: When defining a cost plan, if you do not select a particular grouping attribute, it is hidden from the cost planning pages but is still available from the configuration pages. You do not need to configure the page to manually hide the attribute.
You can create a cost plan in one of the following ways:
Before you can define cost plans, you must set them up. Use the following process to populate cost plans manually:
For more information, see the Project Management User Guide.
Or
See the IT Service Management User Guide for more information.
This example shows you how line item detail rows are created in a cost plan based on the values selected from the available grouping attributes.
The system creates line item detail rows based on each unique combination of selected location and department value.
Jim can now define the unit and cost values for each time period and view a breakdown of the cost plan for each unique combination of department and location.
The following procedure describes how to define a cost plan from scratch. Select at least one grouping attribute before saving a cost plan. Grouping attributes not selected in the cost plan properties are not displayed in the line item details.
Follow these steps:
The list page appears.
The properties page appears.
The cost plans list appears.
The create page appears.
Defines the name for the cost plan.
Defines the unique ID for the cost plan.
Describes the cost plan.
Defines the type of time period for the plan.
Default: The period type as defined in the entity plan defaults. If no period type is specified in the plan defaults, the period type from the entity properties is populated.
Values: 13 Periods, Weekly, Semi Monthly, Monthly, Quarterly, and Annually
Defines the fiscal start period of the cost plan.
Default: The start period is defined in the entity plan defaults. If no start period is specified in the plan defaults, the start period is based on the entity period type and start date of the project. If no active period is found for the project start and end date, no default start period displays.
Defines the fiscal end period of the cost plan.
Default: The end period is defined in the entity plan defaults. If no end period is specified in the plan defaults, the end period is based on the entity period type and the end date of the project. If no active period is found for the project end date, no default end period displays.
Defines the benefit plan associated with the cost plan.
Displays the entity home currency.
Indicates if this cost plan is the plan of record.
Defines the categories to use to define the cost plan line item detail structure.
Default: The grouping attributes are defined in the entity plan defaults.
The cost plan details page appears.
The page to select grouping attribute values appears.
A line item detail row is created for each unique combination of selected grouping attribute values.
Displays the total cost based on the costs specified for each time period.
Displays the total units based on the units specified for each time period.
Displays the total cost based on the unit and cost specified for each time period.
Displays the percentage for that line item detail based on the total cost.
Defines the work effort units, cost, and revenue for each cost plan time period. The work effort units are based on the role or resource availability for the associated investment.
When creating a cost plan, you can automatically populate the plan using values from the investment team (that is, resources or roles) or task assignments. You can also repopulate an existing cost plan.
Use the following information to set up and populate cost plans automatically from the investment team or task assignments:
Note: For more information about enabling the financial attributes for investments, see the Project Management User Guide.
Note: For more information about enabling the financial attributes for resources and roles, see the Resource Management User Guide for more information.
You can automatically populate a new cost plan using values from the investment team or task assignments.
Follow these steps:
The list page appears.
The properties page appears.
The cost plans list appears.
The properties page appears showing the default values from the associated entity and investment. You can accept these default values or change them.
The cost plan details page appears. The line item detail rows are also populated from the investment team or task assignments.
This example shows you how a cost plan line item detail row is automatically populated with cost and revenue values from the investment team.
|
Resource |
Role |
Transaction Class |
Location |
Department |
|---|---|---|---|---|
|
Sam Ricci |
Developer-1 |
Billable |
Los Angeles |
Development |
|
Role |
Location |
Cost |
|---|---|---|
|
Developer-1 |
San Francisco |
85 |
|
Developer-1 |
Los Angeles |
83 |
|
Developer-2 |
San Francisco |
75 |
|
Developer-2 |
Los Angeles |
72 |
|
Resource |
Role |
Transaction Class |
Jan 1 - Jan 31 |
Feb 1 - Feb 29 |
Mar 1 - Mar 31 |
|---|---|---|---|---|---|
|
Sam Ricci |
Developer-1 |
Billable |
83 |
83 |
83 |
The following rules describe how cost plans are automatically populated:
The following rules describe how the line item detail rows are automatically populated:
When you auto-populate a cost plan from the investment team, the system uses the following values from the investment team members to populate the cost plan fields. If a value is not defined for a team member, either the corresponding value on the investment is used or the field is left blank.
|
Value |
Team Member |
Primary Source |
Secondary Source |
|---|---|---|---|
|
Charge Code |
Resource or Role |
Investment |
None. The field is blank if the value is undefined on the investment. |
|
Cost Type |
Resource or Role |
Investment |
None |
|
Input Type Code |
Resource |
Resource |
None. The field is blank if the value is undefined on the resource, or if the team member is a role. |
|
Input Type Code |
Role |
N/A |
The field is blank if the team member is a role. |
|
Department |
Resource |
Resource |
Investment |
|
Department |
Role |
Staff OBS Unit |
Investment |
|
Location |
Resource |
Resource |
Investment |
|
Location |
Role |
Staff OBS Unit |
Investment |
|
Transaction Class |
Resource |
Resource |
None. The field is blank if the value is undefined on the resource, if the resource or the resource financial properties are inactive. |
|
Transaction Class |
Role |
Role* |
None. The field is blank if the value is undefined on the role, or if the role or the role financial properties are inactive. |
|
Resource |
Resource |
Team Member |
None |
|
Resource |
Role |
NA |
The field is blank if the team member is a role. |
|
Resource Class |
Resource |
Resource |
None. The field is blank if the value is undefined on the resource, if the value is inactive, or if the resource or resource financial properties are inactive. |
|
Resource Class |
Role |
Role* |
None. The field is blank if the value is undefined on the role, if the value is inactive, or if the role or role financial properties are inactive. |
|
Role |
Resource |
Team role |
If there is no team role, the resource primary role is used. The field is blank if the resource has no primary role, or if the selected role is inactive. |
|
Role |
Role |
Team role |
If there is no team role, the team member (role) is used. The field is blank if the selected role is inactive. |
* The role that is obtained for the Role attribute.
When you automatically populate a cost plan from the task assignment, the product uses the following values from the task assignments to populate the cost plan fields. If a value is not defined for an assignment, either the corresponding value on the investment is used or the field is left blank.
|
Value |
Task Assignment |
Primary Source |
Secondary Source |
|---|---|---|---|
|
Charge Code |
Resource or Role |
Task |
Investment. The field is blank if the value is undefined on the investment. |
|
Cost Type |
Resource or Role |
Task |
Investment |
|
Input Type Code |
Resource |
Resource |
None. The field is blank if the value is inactive or undefined on the resource, or if the resource is a role. |
|
Input Type Code |
Role |
N/A |
None. The field is blank if the task assignee is a role. |
|
Department |
Resource |
Resource |
Investment |
|
Department |
Role |
Staff OBS Unit |
Investment |
|
Location |
Resource |
Resource |
Investment |
|
Location |
Role |
Staff OBS Unit |
Investment |
|
Transaction Class |
Resource |
Resource |
None. The field is blank if the value is undefined on the resource, or if the task assignment is a role. |
|
Transaction Class |
Role |
Role* |
|
|
Resource |
Resource |
Task Assignee |
None. The field is blank if the resource is inactive. |
|
Resource |
Role |
N/A |
If the task assignee is a role, then the field is blank. |
|
Resource Class |
Resource |
Resource |
None. The field is blank if the value is undefined on the resource, if the value is inactive, or if the resource or resource financial properties are inactive. |
|
Resource Class |
Role |
Role* |
None. The field is blank if the value is undefined on the role, if the value is inactive, or if the role or role financial properties are inactive. |
|
Role |
Resource |
Task role |
Team role. If the team role is undefined, the resource primary role is used. The field is blank if the resource primary role is undefined, if the resource is inactive, or if the selected role is inactive. |
|
Role |
|
Task role |
Team role. If the team role is undefined, the team member (role) is used. The field is blank if the selected role is inactive. |
* The role that is obtained for the Role attribute.
|
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