Testing a Business Cycle within SAP IS-U.

A Training Document from the SAP IS-U Center of Excellence

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Author : Shankar Ramamurthy, Ravichandran Santhanaraman, Lakshmanan Subbiah Creation date : November 10, 2003 Last Updated : November 10, 2003 Version : 1.0

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Change Reference Number 1.00 Shankar Ramamurthy, Ravichandran Santhanaraman, Lakshmanan Subbiah November 10, 2003 All Initial Document Table of Contents TOC \o "1-3" \h \z \u HYPERLINK \l "_Toc56307283" 1. Introduction PAGEREF _Toc56307283 \h HYPERLINK \l "_Toc56307284" 2. Overview of the Utilities Industry PAGEREF _Toc56307284 \h HYPERLINK \l "_Toc56307285" 3. One Business Cycle PAGEREF _Toc56307285 \h HYPERLINK \l "_Toc56307286" 4. One Utilities Business Cycle in SAP ISU PAGEREF _Toc56307286 \h HYPERLINK \l "_Toc56307287" 4.1. Schedule Master Record Creation: PAGEREF _Toc56307287 \h HYPERLINK \l "_Toc56307288" 4.1.1. Step 2: Create Portion. PAGEREF _Toc56307288 \h HYPERLINK \l "_Toc56307289" 4.1.2. Step 3: Create MR unit PAGEREF _Toc56307289 \h HYPERLINK \l "_Toc56307290" 4.1.3. Step 4: Generate Schedule Records PAGEREF _Toc56307290 \h HYPERLINK \l "_Toc56307291" 4.2. Creation of Technical Master Data: PAGEREF _Toc56307291 \h HYPERLINK \l "_Toc56307292" 4.2.1. Step 5: Create Connection object PAGEREF _Toc56307292 \h HYPERLINK \l "_Toc56307293" 4.2.2 Step 6: Create Premise PAGEREF _Toc56307293 \h

HYPERLINK \l "_Toc56307294" 4.2.3 Step 7: Create Installation PAGEREF _Toc56307294 \h HYPERLINK \l "_Toc56307295" 4.2.4 Step 8: Create Device Location PAGEREF _Toc56307295 \h HYPERLINK \l "_Toc56307296" 4.2.5 Step 9: Create Device Categories PAGEREF _Toc56307296 \h HYPERLINK \l "_Toc56307297" 4.2.6 Step 10: Create Device PAGEREF _Toc56307297 \h HYPERLINK \l "_Toc56307298" 4.3 Creation of Business Master Data: PAGEREF _Toc56307298 \h HYPERLINK \l "_Toc56307299" 4.3.2 Step 11: Create Contract Partner: PAGEREF _Toc56307299 \h HYPERLINK \l "_Toc56307300" 4.3.2 Step 12: Create Contract Account PAGEREF _Toc56307300 \h HYPERLINK \l "_Toc56307301" 4.3.3 Step 13: Complete the Full Installation Process. PAGEREF _Toc56307301 \h HYPERLINK \l "_Toc56307302" 4.4 Step 14: Complete the Move-In process: PAGEREF _Toc56307302 \h HYPERLINK \l "_Toc56307303" 4.5 Step 15: Perform the Meter Read Order creation PAGEREF _Toc56307303 \h HYPERLINK \l "_Toc56307304" 4.6 Step 16: Enter the Meter Reading PAGEREF _Toc56307304 \h HYPERLINK \l "_Toc56307305" 4.7 Step 17: Billing and Invoicing PAGEREF _Toc56307305 \h HYPERLINK \l "_Toc56307306" 5 Reference PAGEREF _Toc56307306 \h Introduction The objectives of this document are to help newcomers understand the utilities industry in general and the basic flow of a complete business cycle. Terms in italics are specific to this industry. This document is a primer and should the reader be interested in furthering his knowledge, his attention is drawn to the reference reading section.

Overview of the Utilities Industry The utilities industry consists of mainly the Gas, electricity and water sectors. Broadly, it can be represented as shown in Figure 1. Generation/Production refers to the actual generation of electricity, gas. This consists of the exploration and refining processes within the Gas sector. Examples of companies that fall under this include Indian Oil, ONGC, British Petroleum, Shell and Total Fina. In the Electricity industry it consists of generating the electricity either through thermal, nuclear or hydro electric means. NTPC, Tata Power, Total, EDF are examples of such companies. Subsequently, gas or electricity has to be transported from the point of generation to the nearest possible hub for distribution, supply to consumers. This is done through pipelines for Gas and through Transmission lines for electricity. GAIL, Oil India, Transco in UK, various state electricity boards in India are examples of Transporter, Transmission companies. (Transport is typically used with reference to the Gas industry while Transmission is more relevant to Electricity). Reaching the gas/electricity from the nearest hub/power substation to the consumer constitutes the distribution process. In most cases the transmission/transportation companies perform the distribution also. We will now trace the flow of gas from the origin to the end consumer to understand better the business processes and the roles each player performs. In order to reach gas to its consumers, in the first stage, Shell/BP first procures gas from its sites/other global locations either by pipelines or by ships etc. SHAPE \* MERGEFORMAT Fig 1: Stages in a Utilities Industry After re-gasification (which is liquid(gas state-change done by a heating process that converts Liquefied Natural Gas into Gas), Shell/BP then pumps this gas into Transcos pipeline. The amount of gas that Shell pumps in is pre-specified by Shell to Transco and these are known as Programs. Programs are communicated to Transco on a periodic basis. This gas then flows through Transcos pipelines and reached the end customer. To meet unexpected demands, Shell also maintains stock either in its own storage locations or in underground storage locations that are owned by Transco. Transco monitors the flow and consumption of gas through these pipelines to ensure that there is sufficient stock to meet demand. In case there is a shortfall, Transco uses gas from either BPs underground storage location, its own storage or if the need arises or procures additional gas from the market.

P.S: Once gas is pumped into Transcos pipelines there is no differentiation between BPs gas and Shells gas etc. Inventory management is done by measuring the quantity of gas supplied by, say BP, at the initial feed-point in the pipeline. Based on its customers consumption, the quantity of gas it holds in storage tanks, BP can then estimate the amount of gas in the pipeline and thus account for its stocks. One Business Cycle Given below is a brief description of a complete business cycle with the gas industry as a reference. Step 1: The customer contacts the utility company, say BP, and requests for supply of gas. We will assume that he has gone through the supplier evaluation process, has got quotations from all and has finally decided to buy gas from BP. Step 2: BP has also obtained credit data about this customer and has decided to register him.

SHAPE \* MERGEFORMAT Figure 2: Elementary Business Cycle Step 3: BP then sends to the network operator i.e. Transco, the details of this new customer. If the customer is already a customer of another supplier, say Shell, there may be objections from Shell. These are handled by Transco and the two suppliers i.e. Shell and BP. Once the objections are settled, Transco sends the Confirmation and BP can complete the Registration process. Step 4: The next step is to determine whether the service connection, the device/meters are available and installed. If this is available, supply can start once the customer requests so. If not, a service connection will have to be laid from the nearest take-off point or hub and the devices/meters installed. This can be done either by BP itself or subcontracted to a third party. Once this is complete the customer can be moved in. Step 5: Before starting supply, the existing/initial meter reading will be recorded since this will form the basis for the Billing. Step 6: To generate the first Bill, Meter Readings will be obtained as per the Billing schedule. This meter reading will be corrected, if required, and consumption for the billing period is then calculated. The first Bill is then generated accordingly. One Utilities Business Cycle in SAP ISU This document has been created to aid the training participants in completing one full business

cycle in SAP IS-U. The Gas industry has been taken as an example. It is advisable to backdate all entries, by say 6 months, so that you can complete the full cycle and enter meter reads for previous months and hence be able to do billing. Schedule Master Record Creation: Step 1: Create Parameter record in Scheduling Menu Path: Utility Industry > Scheduling > Parameter record > Create Transaction Code: E42B

The following scenario shows where the budget billing is not relevant. Step 2: Create Portion.

Menu Path: Utility Industry > Scheduling > Schedule Master Record > Portion > Create Transaction Code: E41B Allocate the Parameter that you created earlier to this Portion. Choose the End bill Period which is the first bill period backdated by 6 months. By selecting the Period Length as 1 Month you will have 6 billing cycles to test. Step 3: Create MR unit Menu Path: Utility Industry > Scheduling > Schedule Master Record > MR unit > Create Transaction code: E41H Allocate the Portion that you created to this Meter Reading Unit. Step 4: Generate Schedule Records Menu Path: Utility Industry > Scheduling > Schedule Record > Create Transaction Code: E43A Following schedule records were generated after the execution of the above transaction. Creation of Technical Master Data: Step 5: Create Connection object Menu Path: Utility Industry > Technical Master Data > Connection Object > Create

Transaction Code: ES55

Step 6:

Create Premise

Menu Path: Utility Industry > Technical Master Data > Premise > Create Transaction Code: ES60 Step 7: Create Installation Menu Path: Utility Industry > Technical Master Data > Installation Transaction Code: ES30 > Create

Note: It is better to ensure the creation of your Billing Master data if any, before you do this step, since the said data is required for the installation. If you are not creating any new Rate Category or Billing Class, choose an existing one. Enter the Meter Reading Unit created earlier. Step 8: Create Device Location Menu path: Utility Industry > Technical Master Data > Device Location > Create Transaction Code: ES65 Step 9: Create Device Categories Menu Path: Utility Industry > Device Management > Technology > Device Category > Create Transaction Code: EG01 Note: Prior to creating the device category, it is imperative to create the same in MM01 since device category in IS-U corresponds to Material in the material master. Material Created: Gas Meter01 with Industry Sector as Utilities.

Step 10: Create Device Menu Path: Utility Industry > Device Management > Technology > Device > Create Transaction Code: IQ01

Please note that devices can be either created within IS-U or thro standard Goods receipts process, if the company wishes to maintain their own inventory. At the time of GR process, the system will generate the serial numbers for which serial number profile needs to be attached in the Material master. Also, it creates an equipment in the back ground. Creation of Business Master Data: 4.3.2 Step 11: Create Contract Partner: Menu Path: Utility Industry > Business Master Data > Business Partner > Contract Partner > Create Transaction Code: FPP1. (Note: It is mandatory to give a reference customer) Step 12: Create Contract Account Menu Path: Utility Industry > Business Master Data > Contract Account > Create Transaction Code: CAA1 Contract Account created: 30007321 4.3.3 Step 13: Complete the Full Installation Process. Note: Before proceeding to do the same make sure that all your Billing Configuration and Master Data is present. Menu Path: Utility Industry > Device Management > Device Installation > Installation > Full Transaction Code: EG31 Step 14: Complete the Move-In process: Menu Path: Utility Industry > Customer Service > Process Execution > Move in > create Transaction Code: EC50E Move In document number: 10000271 While doing the move in, Contract is getting created in the back ground and we can see the contract number in the installation.

Step 15: Perform the Meter Read Order creation Menu Path: Utility Industry > Device Management > Meter Reading > Order Creation > Individual Order > Transaction code: EL01 Step 16: Enter the Meter Reading Menu Path: Utility Industry > Device Management > Meter Reading > Entry of meter reading results > Single entry Transaction Code: EL28 Once the above sequence has been completed, you can proceed to Billing, provided you have your Billing Configuration and Master Data in place.

Step 17: Billing and Invoicing Menu: Utility Industry > Billing > Billing Execution > Billing Analysis Transaction Code: EA00 You can do an overall check with the required date as the parameter along with information regarding the Contract or Installation. Else you could do a simulation for a period range without the meter reads or you could directly execute Billing simulation. Please note for Billing Simulation your meter reads need to be present. Once the Billing Simulation is done, you can check the billing document that has been generated. Subsequently you can do an invoice simulation and then invoice the contract. Reference For more detailed information on the utilities industry and the processes please refer to the following documents in HYPERLINK "http://knet.wipro.com/TechCenter" http://knet.wipro.com/TechCenter . Look for these documents under the category - Industry Segment Domains. 1. An Overview of the Utility Sector, Word Document. Author: Rajesh Rangmani 2. Overview of Utilities Industry, Format: PowerPoint. Author: Veena Thangamani 3. WSJ Electric Industry Overview, Word Document. 4. Overview of Oil Industry Operations Word Document. Author: Anil Kant Choudhary

Steps in SAP ISU for testing one Business Cycle EMBED MSPhotoEd.3 ________________________________________________________________________ SAP IS-U Center of Excellence PAGE NUMPAGES Distribution Transmission Wipro Confidential Page

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Transport Exit Point = Distribution Entry Point

Extraction Injection Underground Storage

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