1. Identify Annual Cost Planning and Execution

2. Terminal Learning Objective
Action:  Identify Annual Cost Planning and Execution
Condition: You are a Budget Analyst with access to a computer, the GFEBS training database, applicable GFEBS references, and awareness of Operational Environment (OE) variables and actors
Standards:  With a minimum of 80% accuracy, learners must demonstrate proficiency with:
Communicate the Cost Management Process
Examine Annual Cost Planning and Execution through Planned Inputs
Examine Annual Cost Planning and Execution through Planned Outputs
Determine Annual Cost Planning and Execution through Planned Execution
Review cost planning versus actual price variance and analysis in GFEBS

3. Associated Terms * Rate Planning and Quantity Planning *Cost Object
* Reimbursements
* Obligation
* Outcome
* Funded Cost
* Primary / Secondary Cost
* Full Cost
* Unfunded Cost
Cost Plan: The cost plan estimates what it should cost to provide products and services. Using the expected outcomes and outputs, the cost plan calculates the “cost per output or service”. During the year of execution, actual and planned costs will be compared.
Cost: The monetary value of resources used or sacrificed or liabilities incurred to achieve an objective, such as to acquire or produce a good or to perform an activity or service.
Funded Cost: The value of goods or services received because of an obligation of funds (obligation authority), by the organization performing the work. (e.g. civilian labor, building and grounds maintenance. These costs are funded in the Annual Operating Budget of the organization.
Unfunded Cost: Costs that are financed by another organization's or activity's appropriations. These costs do not result in any obligation of funds by the organization; examples include depreciation, military labor, and military rations.
Full Cost: The sum of all costs associated with an organization, product, or service to include activities performed by other entities regardless of funding sources.
Primary Cost: Expenditures initially incurred that can be traced directly to an object, such as today’s Elements of Resource (EOR).
Secondary Cost: Costs assigned to one entity that consumes products/services provided by another entity.
Cost Object: Cost Objects are master data where costs are collected to measure an activity, output, or item. For example, a cost object can be a cost center, internal order, or business process to capture the cost of an organization, a function, task, product, service, or a customer.
Outcome: The results of a program activity compared to its intended purposes. Program results may be evaluated in terms of service or product quantity and quality, customer satisfaction, and effectiveness.
Obligation: A legally binding requirement by the federal government that will result in outlays, immediately or in the future. Budgetary resources must be available before obligations can be incurred legally.
Reimbursements: Sums received as payment or advance payment for goods or services furnished either to the public or to another federal government account. If authorized by law, these sums are credited directly to specific appropriation and fund accounts. These amounts are deducted from the total obligations incurred (and outlays) in determining net obligations (and outlays) for such accounts. Reimbursements are offsetting collections.
Rate Planning and Quantity Planning: Rate and quantity planning will be used to set cost assignment prices for labor, machine, and process rates and estimate quantities of production and consumption. These values are stored in activity types and business processes.

4. Cost Management Process Overview: Objectives
Define Input Planning that is Activity Dependent.
Describe how to determine the Plan Values of SKFs
Define Assessments and Distributions and how they relate to Cost Planning
Define Settlements and how they relate to Cost Planning
Define Plan v/s Actual Analysis.
Identify and Generate relevant Plan, Actual and Plan/Actual Cost Reports.
Define the different planning aids available: Copying Actual to Plan and Copying Plan to Plan

5. Roles Defined Cost Plan Maintainer
- This role will be performed throughout the Army
- Every operational area may have this role to establish a Cost Plan (similar to a Spend Plan in the Legacy Systems)
- Most organizations will not create a full-blown cost plan until they have a year’s worth of actual costs to base the plan upon.
ECC Managerial Reporter
Responsible for creating reports and analyzing report information for cost information related to business operations, including internal management reporting on cost and performance metrics.
Cost Plan Maintainer: Responsible for performing activities and tasks related to evaluating planning options; planning primary costs on cost centers, business processes, and internal orders; and planning prices of Activity Types and business processes.
ECC Managerial Reporter: Responsible for creating reports and analyzing report information for cost information related to business operations, including internal management reporting on cost and performance metrics.

6. Roles: Cost Management
Cost Plan Maintainer
Cost Rate Maintainer
BI Labor Reporter
BI Managerial Reporter
Cost ECC Display and Reporter
Spend Plan Distributor
Cost
Planning
Roles
Controlling Master Data Maintainer
Controlling Close Processor
Cost Allocation Processor
Cost Rate Maintainer
Manual Time Tracking Extension
Processor
Cost Driver Controller
Cost ECC Display and Reporter
Cost Recovery Processor
EASI Interface Processing Monitor
Cost
Accounting
Roles
Cost
Controlling
Cost Driver Controller
BI Labor Reporter
BI Managerial Reporter
Cost ECC Display and Reporter
Roles
BI Labor Reporter
BI Managerial Reporter
Cost ECC Display and Reporter
Cost
Analysis
Roles

7. Cost Management Process
In this Lesson we will focus on the Cost Planning functions in the
Cost Management Process

8. Why do we Plan? The purpose of planning is to better anticipate:
What you’re going to do?
How you’re going to do it?
How well you did it?
An additional value of planning is to provide a baseline against which you can measure changes that occur in the course of operations. 8

9. Cost VS. Budget Planning
The primary objective of a Budget Plan is to synchronize obligations with funding.
The primary objective of Cost Planning focuses on the efficient and effective use of resources to deliver products and services that support the Army.
During the year, actual costs and outcomes are compared to the plan.
Managers identify the causes of significant variances and take action to institutionalize positive performance and correct unacceptable or negative performance

10. Total Cost / Timing / Detail Cost Planning vs. Budget Planning
Focus: Mrg’s available fund
(Budget authority)
Focus: Total cost (direct and indirect).
Primary costs (budget) plus secondary costs (outside of your cost center).
Timing
Focus: When obligation is made (Record full value for 12 mo Contract Obligations)
Focus: When benefit of obligation is received.
(Records 1/12 of value of 12-month contract – monthly).
Detail
Tends to be high-level by organization and object class.
More management detail.
Adds another level of detail – plans against projects, products, services (via internal orders, business processes and WBS elements).

11. Set Planner Profile
Set Planner Profile – This is your first step in the Cost Planning Process.
Use KP04 to set your planner profile to “ZPLAN” if you are using GFEBS for the first time to perform cost planning.

12. Conduct Practical Exercise12

13. Walkthrough: Set Planner Profile
T-Code: KP04 Conduct Practical Exercise 7.0
Purpose: Use this procedure to set your planner profile to “ZPLAN”
if you are using GFEBS for the first time to perform cost planning.

14. LSA #1 Check on Learning
Q1: What is the Primary Objective of a Budget Plan? A1: Q2: T/F: Business Intelligence (BI) Managerial Reporter is a role defined within this process. A2:
Q: What is the Primary Objective of a Budget Plan? A:
Q: T/F: Business Intelligence (BI) Managerial Reporter is a role defined within this process.

15. LSA #1 Summary

16. Identify Annual Cost Planning and Execution
LSA 2: Through Planning Outputs
LSA 3: Through Planning Inputs
LSA 4: Through Planning Execution

17. Annual Cost Planning Learning Step Activity 2: Planning Outputs
Anticipated primary costs are planned on:
Cost Centers
Internal Orders
WBS Elements
For a full cost plan, managers plan for Secondary Costs.
Secondary costs are used to track the internal movement of costs, such as allocations or settlements that provide a more accurate view of costs within the organization.
Key Terms:

18. Cost Planning Objectives
Define and Explain Cost Planning.
Define and Explain the differences between Cost and Budget Planning.
Describe the purpose and benefits of Cost Planning.
Describe Cost Planning at it relates to GFEBS.
Define how to set a Planner Profile
Define Output Planning.
Define Plan Output Reports

19. Plan Outputs for Cost Center/Activity Types
The purpose of output planning for Cost Centers/Activity Types is to determine how much your organization is going to produce for a given period of time.
During this step, planned activities for Cost Center Activity Types are entered into GFEBS.
In addition, planned capacities can be entered as well to provide additional information that might be useful for managerial decision-making purposes.

20. Plan Outputs for Cost Center/Activity Types (Cont.)
Used to measure the Output or the contribution of Cost Centers to the organization.
Example: A Quality Control Cost Center, the output which is “Inspection Hours” is an Activity Type.
Activity Inputs: Which are Primary Cost Elements and Activity Output quantities and prices are planned and compared to actual values so that any variance can be measured and analyzed.

21. Conduct Practical Exercises21

22. Walkthrough: Change Activity Type (Price Planning)
Transaction Code: KP26 Conduct Practical Exercise 7.5
Purpose: Use this procedure to create, change or delete planned
Output (e.g., labor hours, machine hours) related to Cost
Center/Activity types.

23. Walkthrough: Display Activity Type (Price Planning)
Transaction Code: KP27 Conduct Practical Exercise 7.5
Purpose: Use this procedure to view the attributes of an activity type and
planned price for a given period. The user is able to view an
activity type and planned price by period, cost center, planned
activity, unit of measure, fixed and/or variable, allocation cost
element, scheduled activity, and description.

24. Plan Output Reports
Plan Output Reports are used to view costs related to Cost Centers and Activity prices associated with cost planning.
Reports can be used for both Output and Input Planning, with the exception of KSBT (Display Activity Type Price Report), which is the only true output report.
Plan Output Reports:
KSBT – Display Activity Type Price Report
KSBL – Display Cost Centers: Planning Overview Report
KSBP – Display Plan Cost Line Items for Cost Centers Report

25. Walkthrough: Display Activity Type Price Report
T-Code: KSBT Conduct Practical Exercise 11.7
Purpose: Use this procedure to view the price of an Activity type within a
Cost Center. Scenario: You have been assigned the role of ECC
Managerial Reporter. You are responsible for creating reports and
analyzing report information for controlling information related to
Business operations, including internal management reporting on Cost
and performance metrics.

26. LSA #2 Check on Learning
Q1: The purpose of output planning for Cost Centers/Activity Types is to:
determine how much your organization is going to produce for a given period of time.
determine how revenue your organization is going to make for a given period of time.
determine how much your organization is going to lose in a given period of time.
Q: The purpose of output planning for Cost Centers/Activity Types is to:
determine how much your organization is going to produce for a given period of time.
determine how revenue your organization is going to make for a given period of time.
determine how much your organization is going to lose in a given period of time. A:

27. LSA #2 Summary

28. Identify Annual Cost Planning (Cont.)
Learning Step Activity 3: Planning Inputs
Key Terms:
Activity Dependent Planning
Activity Independent Planning
Objective:
- Define Input Planning that is Activity Independent.
- Define Input Planning that is Activity Dependent.
- Describe how to determine the plan values of SKFs
- Define the importance of the Plan Input Report

29. Plan Primary Cost Activity Independent Cost Planning
The purpose of input planning is to determine how much your organization is going to consume in a given period of time.
Planning primary costs refers to planning direct cost.
Initially – Managers may plan primary costs (e.g., payroll, travel and supplies) on Cost Centers, Internal Orders, and WBS Elements.
Primary costs are budget-relevant expenses.
Primary cost planning is input planning for Cost Centers and Internal Orders for costs your organization directly will incur.

30. Primary Cost Planning by Cost Center
TRADOC School Example of Primary Cost Planning

31. Conduct Practical Exercises31

32. T-Code: KP06 Planning Layout 1-101F Conduct Practical Exercise 7.1
Walkthrough: Change Cost Element/Activity Input Planning for Cost Centers
T-Code: KP06 Planning Layout 1-101F Conduct Practical Exercise 7.1
Purpose: Use this procedure to plan cost and/or quantity for a
Cost Center by a Primary Cost Element. This procedure can also
be used to plan “Activity Type Dependent” costs, but this example
only illustrates planning “Activity Type Independent Cost.”

33. T-Code: KPF6 Planning Layout 1-401F Conduct Practical Exercise 7.3
Walkthrough: Change Cost Element/Activity Input Planning on Internal Orders
T-Code: KPF6 Planning Layout 1-401F Conduct Practical Exercise 7.3
Purpose: Use this procedure for Independent Cost Planning in which you would
Plan cost and/or quantity for an Internal Order b y a Primary Cost Element, using
layout 1-401F. This procedure can also be used for activity dependent cost
planning, in which you would change the layout to ZIO. Different layout are
used to support activity independent and dependent planning. Layout determine
which field are required for entry when entering Planned transaction. The
Activity Dependent Planning Layout (ZIO) contains additional field which
include: Sender Cost Center/Activity Type and Business Processes.

34. T-Code: KPF7 Planning Layout 1-401-F Conduct Practical Exercise 7.4
Walkthrough: Display Cost Element/Activity Input Planning on Internal Orders
T-Code: KPF7 Planning Layout F Conduct Practical Exercise 7.4
Purpose: Use this procedure to display planned amounts and/or
quantities for Internal Orders by Primary or Secondary Cost Element(s).
You can either display an entire Fiscal Year (FY) Or you can display by
individual periods.

35. Plan Secondary Cost Activity Dependent Cost Planning
Secondary Costs reflect Assessments made within the Controlling Module which are subsequently charged to beneficiaries (e.g., organizations, products, and services).
Planning for Secondary Cost involves consuming the output of either a Sender Cost Center activity type or Business Process.
A pre-requisite for Activity Dependent Planning is that a price or rate has been established for the Sender Cost Center/Activity Type or Business Process.

36. Plan Secondary Cost (Cont.)
Move Costs from Cost Center to Internal Orders

37. Plan Secondary Cost (Cont.)
Activity Dependent Cost Planning (Continue)
Secondary Cost Planning is input planning for costs incurred because of the consumption of another internal organization’s goods and services (e.g., IT services, facilities, electricity, etc.)
The same transactions are being used in Secondary Cost Planning that we used in Primary Cost Planning; the planning layout are different and include Sender Cost Center/Activity Type and Business Process.

38. Walkthrough: Plan Primary Cost on Cost Centers
T-Code: KP06 Planning Layout ZCC Conduct Practical Exercise 7.1
Purpose: Use this procedure to plan cost and/or quantity for a Cost
Center by a Primary Cost Element. This procedure can also be used to
plan “Activity Type Dependent” Costs, but this Example only illustrates
planning “Activity Type Independent Cost.”

39. T-Code: KP07 Planning Layout ZCC Conduct Practical Exercise 7.2
Walkthrough: Display Cost Element/Activity Input Planning for Cost Centers
T-Code: KP07 Planning Layout ZCC Conduct Practical Exercise 7.2
Purpose: Use this procedure to plan cost and/or quantity for a Cost
Center by a Primary Cost Element. This procedure can also be used to
display a planned “Activity Type Independent” Cost, but this example
only illustrates planning “Activity Type Dependent Cost.

40. Other User Procedures used in Activity Dependent Cost
Change Cost Element/Activity Input Planning on Internal Orders:
Transaction Code: KPF6
Note: The Planning Layout will be “ZIO”
Display Cost Element/Activity Input Planning on Internal Orders:
Transaction Code: KPF7
Note: The Planning Layout will be “ZIO”

41. Determine Plan Values of Statistical Key Figures (SKFs)
SKFs are Data Elements that can be used as the basis for Internal Allocation such as Assessment and Distribution Cycles.
They represent amounts or quantities, such as the number of employees, telephones, or computers in a department, or the number of square feet in a building.
There are Two Types of SKFs:
Fixed and Total Value SKFs
With Fixed Value SKFs, the SKF values are planned and set to remain constant for specific accounting periods.
With Total value SKFs, statistical data is planned for a period, but actual data is entered into GFEBS at Period Close to represent Total Values.
Estimate of SKFs (plan or actual SKF) that are unlikely to change during the execution year can be entered (Square Footage).

42. Statistical Key Figures (Cont.)
SKF Planning can be used either for informational purposes – such as Cost Center FTE or Headcount.
Or can be used as Cost Driver Data to support the Allocation of Indirect Cost such as Square Footage to support Allocation of Facility Costs.
SKFs can be planned manually or transferred from external systems.
This Activity focuses on inputting values for SKFs.

43. Walkthrough: Change SKF Plan Data for Cost Center
Purpose: Use this procedure to create, change, or delete a planned SKF quantity
for a Cost Center. The plan value or maximum value can be established in this
procedure. In this example Illustrated are the current and maximum plan value
on a SKF for a Cost Center.
Use Transaction Code: KP47 to Display SKF Plan Data for a Cost Center.

44. Walkthrough: Display SKF Plan Data for Internal Orders
T-Code: KPD7 Conduct Practical Exercise 7.1A
Use this procedure to display a planned SKF quantity for an Internal Order. SKFs are Cost
Master Data that can be used as the basis for internal allocations, such as Distributions and
Assessment. They represent amount or quantities, such as the number of employees,
Telephones or computers in a department, or the number of square feet in a building. The
two types of SKFs are Fixed and Total Value SKFs. Fixed Value SKFs remain constant
And do not change from period to period; whereas Total Value SKFs are posted period
By period and must be updated each subsequent period.
Use Transaction Code: KP47 to Display SKF Plan Data for a Cost Center.

45. Plan Input Reports
Plan Input Reports are used to view costs related to Cost Centers and Internal Orders, as well as Statistical Key Figures values, activity prices associated with Cost Planning.
Reports can be used for both Output and Input Planning, with the exception of KSBT (Display Activity Type Price Report), which is the only true output report.

46. Walkthrough: Display Cost Centers: Planning Overview Report
T-Code: KSBL Conduct Practical Exercise 11.1
Purpose: Use this procedure to help view planning for a Cost Center. This report
displays information related to Planned Cost, Planned Activity Prices, and Planned
Statistical Key Figures values for a Cost Center.

47. Walkthrough: Display Plan Cost Line Items for Cost Center
T-Code: KSBP Conduct Practical Exercise 11.2
Purpose: Use this procedure to display Planned Cost Line Item Report for Cost
Centers. Perform this procedure to view a Planned Cost Line Item on a Cost
Center(s), Cost Center Groups, Cost Element(s) or Cost Element Group.

48. Walkthrough: Display Internal Order Planning Overview Report
T-Code: KABL Conduct Practical Exercise
Purpose: Challenge: Look up the Step-by-Step Procedure found in the GFEBS
PSW and complete this procedure.

49. Walkthrough: Display Plan Cost Line Item for Internal Order
T-Code: KOBP Conduct Practical Exercise
Challenge: Look up the Step-by-Step Procedure found in the GFEBS PSW and
Complete this procedure.

50. LSA #3 Check on Learning
Q1: This is used to determine how much your organization is going to consume in a given period of time.
A1:
Q2: List and define the 2 types of SKF’s
A2:
Q: This is used to determine how much your organization is going to consume in a given period of time. A:
Q: List and define the 2 types of SKF’s

51. LSA #3 Summary

52. Identify Annual Cost Planning (Cont.)
Learning Step Activity 4: Plan Execution
Objective:
Define Assessments and Distributions and how they relate to Cost Planning.
Define Settlements and how they relate to Cost Planning.
Define Plan v/s Actual Analysis.
Identity and Generate relevant Plan, Actual and Plan/Actual Cost Reports.
Define different planning aids available: Copying Actual to Plan and Copying Plan to Plan.

53. Assessments and Distributions
Indirect Cost (Overhead or other Support Costs) transfer to receivers for automated planning through planned Settlement and Cost Assignments.
Assessments and Distributions are used for Value-Based Cost Assignments.
Direct Costs are planned on the Cost Collection Objects.
If Distributions are used, the original Planned Direct Costs on the Sender are transferred to Receivers via Primary Cost Elements.
If Assessments are used, Overhead and Indirect Support Costs are assigned through a Secondary Cost Element

54. Assessment Example
Before Assessment
After Assessment

55. Settlements
During Settlements – Planned Costs posted on certain Cost Objects (e.g., Internal Orders, WBS Elements) are settled to other objects.
Settlements move cost from one object to another object (e.g., Cost Center, Internal Order, or WBS Element) based on specific Settlement Rules defined on the Cost Object Master Record.

56. Settlement Rules
Planned and Actual Settlement Rules are defined for certain Cost Objects when they are created.
These rules tell the system where to assign the costs that are collected on a Cost Object.
The Settlement Rules must be established when the Object (e.g., IO, WBS Element) is created.
Possible receivers for settled costs include Cost Centers, WBS Elements, Business Processes, and Internal Orders.
If no Settlement Rules are established, costs remain on that cost object even after the execution of the Controlling Close Process.

57. LSA #4 Check on Learning
Q1: Assessments and Distributions are used for: [a] Planned – Actual Rules [b] Cost Centers / Cost Objects [c] Value-Based Cost Assignments. Q2. T/F: The Settlement Rules must be established when the Object (e.g., IO, WBS Element) is created. A2.
Q: Assessments and Distributions are used for:
[a] Planned – Actual Rules
[b] Cost Centers / Cost Objects
[c] Value-Based Cost Assignments.
Q. T/F: The Settlement Rules must be established when the Object (e.g., IO, WBS Element) is created. A.

58. LSA #4 Summary

59. Determine Cost Planning VS. Actual Price Variance and Analysis in GFEBS

60. Plan VS. Actual Analysis (Variance Analysis)
Variance Analysis enables managers to:
Set Planned Costs by Cost Center and Business Processes for a given period of time.
Analyze differences between Planned Costs, Actual Cost by Cost Center, and Business Processes using standard reports.
Generate better Cost Plans, and for formulating budget requests.
Cost Analysis begins after costs are posted.
Currently, most of the Army’s cost variances analysis relates to Budget Execution.

61. Various Analysis Reports
S_ALR_ – Statistical Key Figure: Period Breakdown Report
S_ALR_ – Activity Types: Period Breakdown Report
S_ALR_ – Areas: Assigned Orders: WBS Elements Report
S_ALR_ – Cost Centers: Actual/Plan/Variance Report
S_ALR_ – Orders: Actual/Plan/Variance Report
The above Plan/Actual Reports are retrieved out of ECC.

62. Variance Analysis Reports (Cont.)
The below Plan/Actual Reports are retrieved out of BI.
Role Required: Cost Managerial Reporter
Cost by Report – An ACOM Report
Unit Cost Report – All Cost Centers

63. Conduct Practical Exercises63

64. Walkthrough: Generate Statistical Key Figure Period Breakdown Report
T-Code: S_ALR_ Conduct Practical Exercise 11.11
Purpose: Use this procedure to generate a Statistical Key Figure Period
Breakdown Report to view the Planned and Actual Statistical Key
Figure (SKF) quantities for a Cost Center, by period.

65. Walkthrough: Generate Activity Types Period Breakdown Report
T-Code: S_ALR_ Conduct Practical Exercise 11.8
Purpose: Use this procedure to perform Activity Output Variance Analysis
(i.e. the deference between Planned and Actual Activities, by period). This
report displays Total Activity Quantities by Cost Center and Period. This
report can be generated by range of Cost Centers, Cost Center Groups,
Activity Types, and/or Activity Type Groups. For our purposes we will
Generate the report by Cost Center.

66. Walkthrough: Generate Assigned Orders WBS Element Report
T-Code: S_ALR_ Conduct Practical Exercise 11.10
Purpose: Use this procedure to display Plan/Actual Costs on a Cost
Center and/or associated Internal Orders or WBS Element where the Cost
Center is the Responsible Cost Center for those Objects. This report
shows total costs and does not include Cost Element Detail.

67. Walkthrough: Generate Cost Centers Actual/Plan/Variance Report
T-Code: S_ALR_ Conduct Practical Exercise 11.11
Purpose: Use this procedure to generate a Cost Centers Actual/Plan/Variance
Report. This report can be generated by entering a Cost Center, a range of Cost
Centers, Cost Center Group, a Cost Element, range of Cost Elements, or Cost
Element Groups. The Cost Centers Actual/Plan/ Variance report is a standard ECC
report that displays a side-by-side view of the Actual and Planned Costs and their
Associated cost variance for a particular Cost Center as well as drill-down view of
The Originating Transaction. Variance can be defined as the difference between
Planned and Actual Costs and/or outputs.

68. Walkthrough: Order/Actual Plan Variance Report
T-Code: S_ALR_ Conduct Practical Exercise 11.6
Purpose: Use the Order/Actual Plan Variance Report to view/display the
Actual Line Items posted to a specific Internal Order.

69. Planning Aids Copying Actual to Plan
Actual Costs, Activities, and SKFs to a plan to establish a baseline of costs for your plan.
The baseline is a starting point for the plan.
The following transactions are used to copy Actuals to a Cost Plan for both Cost Centers and Internal Orders:
KP98 – Copy Actual to Plan for Cost Centers
KO15 – Copy Actual to Plan for Internal Orders

70. Walkthrough: Copy Plan to Plan for Cost Centers
T-Code: KP97 Conduct Practical Exercise
Challenge: Look up the Step-by-Step Procedure found in the GFEBS
PSW and complete this procedure.

71. Walkthrough: Copy Plan to Plan for Internal Orders
T-Code: KO14 Conduct Practical Exercise
Challenge: Look up the Step-by-Step Procedure found in the GFEBS
PSW and complete this procedure.

72. Cost Planning Process Flow
The following Process Flow displays the transactions used in
Cost Planning. (Activity Dependent and Activity Independent)

73. Process Flow (Cont.)
The following Process is an example of an IT Support Cost
Center: Cost Planning

74. Process Flow (Cont.)
The following Cost Planning Process Flow displays an Organization/Cost
Center that are consuming the IT support service.
Organization A & B Cost Centers Example:

75. LSA #5 Check on Learning
Q1. Cost Analysis begins _____ costs are posted.
[a] Before [b] During [c] After
A1.
Q2. T/F: The report ‘S_ALR_ ’ is retrieved out of Business Intelligence (BI)
A2.
Q1. Cost Analysis begins _____ costs are posted.
[a] Before [b] During [c] After
A1.
Q2. T/F: The report ‘S_ALR_ ’ is retrieved out of Business Intelligence (BI)
A2.

76. LSA #5 Summary

77. Questions?

78. TLO Summary Action: Identify Annual Cost Planning and Execution
Condition: You are a Budget Analyst with access to a computer, the GFEBS training database, applicable GFEBS references, and awareness of Operational Environment (OE) variables and actors
Standards:  With a minimum of 80% accuracy, learners must demonstrate proficiency with:
Communicate the Cost Management Process
Examine Annual Cost Planning and Execution through Planned Inputs
Examine Annual Cost Planning and Execution through Planned Outputs
Determine Annual Cost Planning and Execution through Planned Execution
Review cost planning versus actual price variance and analysis in GFEBS