Budget, Timeline, Register and Forecast
Industrial Equipment Manufacturing runs every customer order as a Project, a project. As the Project Management Institute defines it: A project is a temporary endeavor undertaken to create a unique product, service, or result. The temporary nature of a project indicates that a project has a definite beginning and end. This definition leads to the following basics:
Follow the happy trail from Budget to Planning lines on the Timeline to registration of Actual numbers. With this information accurate Forecasts can be made to provide visibility on the progress towards the project Deliverable
1. Budget
A Project, or Project, is temporary and creates a unique product. In other words, not a routine. For that reason, having a plan is essential: “If you fail to plan, you plan to fail”. In Industrial Equipment Manufacturing a Budget is the baseline making sure the project is calculated accurately to make the right quote, plan the correct material in the right quantities as well as the availability of your people.
2. Timeline
Projects have a definite beginning and end; within that time frame you must realize what you have planned in the budget. Based on the customers demand, or availability of material and people, you can plan forward As Soon As Possible (ASAP) from a starting date or backwards from an ending date to deliver Just in Time (JIT). Industrial Equipment Manufacturing supports both planning directions by calculating the Critical Path based on estimated number of working days per Project Task, the sequence of these Project Tasks, and taking non-working days into account as specified in the Project Calendar
3. Register
Once the budget is laid out along the timeline, correct registration makes sure you maintain visibility on your project and provide answers to questions like: “is the project progressing to plan?”, “what is the earned value to date?”, “how much do we estimate to complete this project?”. Industrial Equipment Manufacturing allows you to bind supply orders to the Project and show inventory as pegged for the Project to make costs related to the project visible as soon as possible. For the same reason Resource Tasks are automatically created from Project Tasks so, human, resources can start and stop these tasks to have their time directly recorded on the correct Project Task.
4. Forecast
A wise man once said: “The ideal project does not exist, each time there is the opportunity to realize an approximation.” This means that the more up to date your visibility on the progress of the Project is the more opportunity you have, to take corrective actions in time. Industrial Equipment Manufacturing offers a flexible Forecasting feature that allows the project manager to compare at any time budget to actual numbers and calculate an Estimate to Completion both on values as well as quantities. The project manager can set the Progress % for each Project Task to further refine the Forecast.
5. See Also
Budgeting
Timeline
Register
Forecasting
Welcome to Industrial Equipment Manufacturing