Service Provider Challenges
Clients in this segment are primarily faced with challenges associated with performing customer project and contract work with routinely changing customer requirements all while managing to planned margin targets. In order to achieve these requirements, customers in this segment demand highly integrated project management systems aligned with detailed managerial accounting/job costing systems to deliver valid forecasts and full cost transparency for the duration of each contract.
Customer contracts mandate complex invoicing requirements that include retentions, incentives and cost/risk sharing type arrangements. Meeting these requirements require complex contract/project accounting and billing systems which allow the service provider to execute weekly, bi-weekly or monthly invoicing to recover incurred costs and fees associated with contract performance.
Customers in this segment are managing contracts for various public entities including contracts for state and local municipalities. These contracts require their suppliers to collect and invoice detailed “Actual” costs incurred in accordance with detailed definitions related to how such actual costs are collected and managed. The commercial major asset repair and overhaul sub-segment of this industry requires accurate tracking of each customer asset and its components throughout the induction, tear-down, inspection, re-assembly and delivery processes over the span of each customer contract. Customers need the advanced system capabilities unique to this industry to be fully integrated with their foundational ERP system to assure timely, accurate and complete business information to support their needs to manage complex long-term contracts.
The Dassian Solution Portfolio
The integrated Dassian Solution portfolio is organized and described by four major business solution pillars – all of which extend and industrialize the SAP ERP digital core platform. The Service Provider industry is supported by the full range of the Dassian solution portfolio within the market sector.
These four pillars provide solution capabilities to meet the above noted segment challenges thru delivering the following capabilities:
- A robust Contract Management and billing solution permitting flexibility in achieving complex invoicing with automated management while allowing management of contract performance against funding with automated inception-to-date reporting, system controls and alerts. Grants flexible, automated capability to communicate critical, contractual business requirements with suppliers while facilitating the flow down of prime contract clauses.
- Managerial Accounting extensions to fulfill unique requirements associated with full-time labor accounting: detailed transparency and active management of complex Indirect Rates and associated base or pools of unique expenses, flexible and risk adjusted variable considerations percentage of completion based revenue accounting processes, capability to provide detailed belly button and element of expense controls to prevent erroneous charges per charge number.
- A fully integrated and intuitive Program Management solution which supports project cost and resource integration across the enterprise. Includes the capability to manage both recurring manufacturing as well as non-recurring design/development type projects. Fully supports change management and Estimate at Completion (EAC) forecasting and provides powerful live,actionable data analytics. Solution provides a seamless integration to the SAP ERP Platform with popular non-SAP based scheduling tools to truly provide an INTEGRATED, not interfaced, Program Management System.
- Material Accounting and Logistics Pillar is a potential Solution fit. This pillar includes a seamless extension to the SAP ERP system property management solution driven by natural ERP system transactions to ensure that all customer provided property is properly identified, tracked, managed and controlled in accordance with contractual specific bailments of such property. This pillar also includes a robust Material Accounting reporting and analytics capability to provide detailed historical parts costing of any level of the Bill of Material. Solution provides unique capabilities to monitor and track dynamic changes to project/contract manufacturing costs due to MRP driven schedule changes and resulting cost shifts due to MRP soft pegging and other changes.