Deltek Insight 2012: Project Budgeting Using Costpoint Budgeting and Planning

Project Budgeting Using Costpoint Budgeting and Planning

Robin J. Entrekin, VP Business Processes, Camber Corp.

Martha Manning, Principal Customer Care Analyst, Deltek

GC-51

2 ©2012 Deltek, Inc. All Rights Reserved

Introductions

Project Budgeting and Project Lifecycles – Martha Manning

Real-Life application – Robin Entrekin

Key practical features of Costpoint Budgeting & Planning

Application initialization, budgeting utilities, assumptions

Difference between project budgets & organization budgets

Overview and project budget

Key CBP reports for project budgets

Questions/Conclusion

Overall Agenda

Project Lifecycle

From Proposal Preparation to Final Budget


Project Lifecycle

Proposal BudgetMonitor/

EACProject

Closeout

MS Project/Primavera

If you use Schedule Software, it can be uploaded into B&P

You can use prior projects to create a proposal

Copy your proposal to a budget

Monitor your budget and create EAC’s with actual cost

Finalize your project and continue your cycle to the next project


Upload from MS Project/Primavera


Create Proposal from Project Budget or EAC


Create Budget from Proposal


Monitor Results/ EAC


Project Lifecycle

Proposal BudgetMonitor/

EACProject

Closeout

MS Project/Primavera

Government Contractor

$500 M in revenues, 2400 employees

3 groups, 25 divisions, 80+ Orgs

Using Budgeting and Planning Module

since Summer 2009

Camber

10

Deltek Budgeting and Planning allowed Camber to rollout common processes and a tool to 3 groups, 25 divisions and

80+ orgs – all of which had their own processes and nuances when it came to planning and budgeting.

“With Costpoint Budgeting and Planning, we are able to accurately project revenues – something we could never do.

Before, everyone lived in spreadsheets and you never knew where you were. Now we have visibility and access to all

the project budgets and easily roll them up to the corporate budget. The on-screen analysis with drill downs make it an

invaluable tool for Finance and Project controls, managers and administrators alike.”

- Robin J. Entrekin, Director-Information Assurance

A “Real Life” Application

How Camber Corporation uses CBP for

Project Budgeting


Understanding the capabilities of CBP

See the value associated with using the product for budgeting

and forecasting

Understand the use of project budgets

Understand the differences between organizational and

project budgets

Understand how CBP can become an integral part of your

management information system

Key Takeaways


Costpoint Budgeting and Planning provides managers with easy access to performance data for both projects and organizations.

Provides fully integrated set of budgeting, forecasting and reporting tools in a web-based environment

Enables seamless integration with Costpoint via overnight synchronization processes

Has an “Excel®” look and feel helping users become acclimated quickly Enforces Costpoint validations for budgeting Eliminates “spreadsheet chaos” assembling multiple workbooks from

various sources (wondering and hoping that you find all the boo-boos before you submit final budgets)

Provides “one stop shopping” for budgetary analysis from the highest level summary income statements down to the utilization for specific individual employees

Incorporates multiple report options for comparison of budgets and forecasts to actual results

Practical Features of CBP

Project Budgeting

©2012 Deltek, Inc. All Rights Reserved14

Initialization Requirements

Holiday schedule

Indirect pools and rates

Employee specifications

(categories, escalation, etc.)

Generic rate categories

Account mapping to tabs

Budget utilities

Historical loads

Status maintenance

Budget assumptions

Project level for budgeting (locked

in once selected) Charge level

Revenue level

Other level

Hours (resources) to be consumed

By period (within the PoP)

Revenue assumption (for

transaction based formulas) are

integrated.

All project budgets prepared in one

source. No more wondering about

calculations, roll-up budgets, etc.

Includes proposals, non-backlog, and

EAC budgets.

Project Budgeting

30,000

40,000

50,000

60,000

70,000

80,000

90,000

100,000

Revenue

$80,000

$20,000

Project Budgets Budget Risk

Total

Organization

Budget

CBP has the

ability to

monitor the

amount of

budget risk

inherent in your

organizations.Project

Budgets

* At Camber, we

eliminate the budget risk

by creating organization

budgets from

summarized project and

non-backlog budgets.


Project vs. Organization Budgets


More global in scope

Goal-oriented targets

Blended assumptions

Focus on the functional

Fiscal period focus

Outlines detailed activities by

specific project

Identifies resource

requirements needed for

execution

Lists specific project

cost, schedule and

performance assumptions

Constrains budgets by

contractual parameters

Period of performance focus

(by fiscal period)

Strategic Budgeting

(Organizations)

Tactical Budgeting

(Projects)


OverviewA typical budget development launch screen for a budget

level project.

Functions

Navigation

Information

Reports &

Actions

The Launch Page


Functions

Cost Analysis – Actual results, reports, visual displays, drill downs, etc.

Budget Development – Develop budgets, forecasts, EACs, utilities

Performance & Variance – Comparative reports, variance analysis

New Business & Proposals – Proposal budgets, non-backlog

projects, cloning utilities, etc.

AOP/Outlook Analysis – Budget/EAC status

Supplemental Reports – Special reports and graphs (PSRs)

Earned Value Management – Reports and utilities supporting EVM (basic

EVM functionality, not ANSI-748 compliant)

The Launch Page


Navigation

Enter project ID directly – Actual

results, reports, visual displays, drill

downs, etc.

Point & Click – Develop

budgets, forecasts, EACs, utilities

Information

Important project

data provided

for user

The Launch Page


Reports

Varied reports available for

projects with drill down

capabilities

Easy export to Excel®

Module specific

Actions

Change password

Add users to project

accessibility

The Project Budget


Tabs to organize types of costs to enter

Validated point & click data entry

Data entry shortcuts

Export, save, commit, delete

Excel look & feel

The Project Budget


Budget preparation tabs

Staff Hours – Enter hours by period for employees working on project

Materials – Enter material costs by period

Subcontractors – Enter subs (as a vendor cost)

Mat’l Handling (Other) – Enter other non-labor costs consumables

Travel – Enter travel budgets (by employee, event, etc)

Consultants – Enter consultant (as a vendor cost)

Other Direct Costs – Enter other sundry direct costs

Subcontractor Hours – Enter sub costs as hours by employee or PLC

Consultant Hours – Enter consultant costs as hours by employee or PLC

Staff Escalation – Enter employee escalation by employee in effective period

Burden Cost – Summary of entered budgets, including access to revenue setup

and revenue review.

Reporting…The sky’s the limit…


Using Cognos 10, numerous and invaluable reports have been developed to provide management

with data used to evaluate projections. This particular report is one of many internally developed and

tailored to our needs.

Demonstrated the ability to create comprehensive project

budgets using comprehensive variables.

Briefly discussed the differences in the focus of preparing

project vs. organization budgets.

Reviewed ease of entry

Discussed reporting possibilities

Conclusion


Questions?

Thank You!

Contact information for questions:

Robin Entrekin

[email protected]

(256)508-9005

Martha Manning

[email protected]

(877)457-7765

Suggestions for other activities at Insight:

• GC-318 Costpoint Budgeting and Planning Roadmap

and Customer Round Table

• Visit the Costpoint Budgeting & Planning kiosk

in the Expo Hall

Technology

Deltek Insight 2012: Project Budgeting Using Costpoint Budgeting and Planning