202
CAPABILITY TOPICExplore the building blocks that make PS work

PS 202 · REVENUE

How does PS support customer and revenue-bearing projects?

Link sales documents and billing elements to execution, delivery, billing, revenue recognition or applicable Result Analysis, and margin reporting.

READ THE CAPABILITY

Use the project as the bridge between customer promise and delivery margin

Customer and revenue-bearing projects connect commercial scope to accountable execution. Sales or billing elements express what may be billed, while WBS and activities collect the work, cost, progress, and acceptance evidence needed to support the commercial result.

Billing, revenue recognition, results analysis, and margin reporting are related but not interchangeable. The project must preserve the link from customer commitment through delivery evidence to the recognized or billed outcome.

WORKING FLOW

From business decision to controlled evidence

Follow the capability through the records and decisions that make the result explainable.

01STEP 01

Frame the customer scope

Establish the sales or customer reference, project structure, deliverables, billing elements, dates, and commercial owner.

02STEP 02

Execute against the contract

Collect procurement, labour, material, progress, acceptance, and change evidence on the accountable work packages.

03STEP 03

Measure and bill

Apply the approved billing, milestone, progress, or results-analysis basis and retain the supporting acceptance evidence.

04STEP 04

Reconcile margin

Compare contract value, recognized revenue, billed value, actual cost, forecast, open obligations, and remaining scope.

DIAGNOSTIC EVIDENCE

What should be traceable?

When the result looks wrong, start with the last trusted record and follow the owning boundary.

PROMISE

Customer or sales reference, scope, deliverable, billing element, price, milestone, and accountable commercial owner.

DELIVERY

WBS or activity, confirmation, goods or service evidence, acceptance, change, actual cost, and progress measure.

MARGIN

Billing or recognition basis, revenue document, cost, forecast, variance, open obligation, and reconciliation decision.

SCENARIO

A milestone is accepted while a subcontractor invoice is still open

The project records customer acceptance and the commercial milestone separately from the supplier invoice. Revenue, billing, actual cost, and remaining commitment are reconciled so the margin view remains explainable while the open liability is resolved.

  • Business rule and accountable owner are explicit
  • SAP object and source evidence remain connected
  • Exception or outcome is reconciled before closure

CORE MODEL

Three questions to resolve

A sound design makes ownership, control, and evidence explicit before configuration.

CONTINUE THE PATHContinue to PS 303

See how this capability changes across valid integration models.

Open patterns