MICROSOFT DYNAMICS® AX Project Management MICROSOFT DYNAMICS® AX RSM Technology Academy

Objectives Define some basic uses and types of projects. Features of R&D Projects. Create a project and enter project transactions. End project and view project reports.

About Project Types First lesson will discuss the Project Types in AX and why Internal or Investment projects would be used for research and development

Time and Material Fixed Price Investment Cost Internal Time Project Types Time and Material Fixed Price Investment Cost Internal Time Time and Material For an external customer Customer billed for all costs – time, material, expenses, fees Fixed Price Invoiced based on contract and billing schedule Investment Long term internal project, costs are capitalized Costs for items, hours, and expenses only Cost Like investment projects; only items, hours, and expenses Cannot be capitalized to balance sheet accounts, only to P&L Internal Tracks costs internal to organization Transactions not reflected in Accrue revenue or Invoice proposals Time Tracks time associated with non chargeable activities Example – a project to record employee sick time

Construction in Process Company wants to research the cost of building a new warehouse Hours - Time spent by internal employees to discuss the design Expenses – Travel costs to inspect possible warehouse features at other locations

Company wants to track the costs of developing new products. New Product R&D Company wants to track the costs of developing new products. Hours - Time spent by internal employees to discuss the design, development, production, and testing. Expenses – Production expenses, outsourced design expenses, and so on. Items – Track products purchased and used in the design process.

Marketing Projects Company wants to track the costs of marketing campaigns against budgets Hours - Time spent by internal employees to discuss the design, setup, configuration. Expenses – Items purchased for trade shows, design costs, and so on. Items – Track products purchased and used in the design process. Integrates with Campaigns in AX CRM/Sales and Marketing functionality.

Demonstration Overview project parameters. Demonstration project groups. Create a project.

Categories Categories represent types of costs or revenues that are defined for an entire organization. Each category must be assigned to a category group. Categories and category groups are organized by type. These types correspond to the transaction types that are available in Project management and accounting.

About Categories Validation Worker/Category Project/Category Worker/Project Types Fee Hour Expense Items Groups Must be same type Posting controls Before a worker can submit project timesheet hours for a particular category, their worker profile must be associated with that category in the Worker/category validation groups form. You can use project category groups for several purposes: Group similar cost categories, such as worker hours, materials, and travel expenses. Set up default ledger posting by category group. Set up line properties by category group. Category groups are divided into four types: Fee Hour Expense Item Categories that are attached to a category group must be of the same type as the category group. The benefit of dividing category groups and their corresponding categories into types is that when you select a category on a transaction line, the categories that are available for selection are limited to the category types that are defined for the transaction. For example, if you enter an expense transaction, the categories that you can select for this transaction are limited to expense type categories.

Demonstration Create a category group Create a category

Project Transactions In Microsoft Dynamics AX, project transactions are grouped by type. Grouping transactions by type makes it easier to post and track project information, such as costs. Transaction types are assigned to category groups. Category groups include categories of the same type. For example, the Travel category group might have a transaction type of Expense, and could include the Mileage and Airfare categories.

Demonstration Create a project transaction such as an expense or fee.

Related Project Transactions (Item Tasks) Sales order Purchase order Production order Item requirements

Demonstration Create a production order related to a project. Create a purchase order related to a project.

Other Project Integrations General journals AP Invoice Journals Budgeting Fixed Assets

Demonstration Create and AP Invoice journal for a project.

Project Stages Project stages can serve as a guide to the project life cycle. You can define the project stages that you want to include in your projects on the Project stage tab of the Project parameters form. There are five predefined project stages and three user-defined stages.

Default Stages Created Estimated Scheduled In Process Finished Created - Initial stage. Estimated - Manually started. This stage typically signifies that the project estimation process has been run. Scheduled - Automatically started when hour consumption is scheduled. In process - Manually started. This stage typically signifies start of the project. Note: This is the minimum stage required for recording transactions on the project. Finished - Manually started. Note: If you select this stage, additional processes cannot be run on the project. Project stages can serve as a guide to the project life cycle. You can define the project stages that you want to include in your projects in the Project stage area in the Project management and accounting parameters form. Microsoft Dynamics AX provides five predefined project stages and three user-defined stages. Click Project management and accounting > Setup > Project management and accounting parameters. In the Project management and accounting parameters form, click the Project stage link, and then select the predefined or user-defined stage that you want to modify. If you want to rename the project stage, click Rename. In the Rename project stage form, select the language that you want to use for the new project stage name, enter the new name in the Text field, and then click OK. In the Project stage area, select or clear the Stage check boxes to make your changes to the project types.

About Estimation and Elimination Cost post to P/L Estimate Moves to WIP Eliminate Moved to Ledger, Fixed Asset, or New Project An estimate provides a snapshot of a project’s finances at a single point in time. The progress of a project to date is measured by factoring together the value of the transactions that have been incurred to date and a prediction of the cost to complete the project. In Microsoft Dynamics AX, estimates are used for Investment projects and Fixed-price projects only. Estimates and Investment projects For Investment projects, which have no immediate earnings, costs are entered on profit and loss accounts, and are transferred to work in process (WIP) accounts when estimates are posted. When the project is completed and project transactions are eliminated, the WIP value is transferred to a fixed asset, a ledger account, or a new project.

Demonstration Show the estimate and elimination forms.

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