Define Budget Control Rules
Explanation
Use this activity to define how budget control is enforced on procurement transactions for a project.
You can choose one of the following control methods:
- Control As Budgeted: Automatically generates rules based on the structure of the active
budget (WBS, cost elements, and code parts). These rules are system-generated and cannot be manually
modified.
- Control on Total Budget: Validates total consumption across all project cost elements
against the total budget. This method can be used alone or in combination with custom rules.
- Custom Rules: If no control method is selected, you must define budget control rules
manually using the Project Budget Control Rules List page. Each rule specifies which combinations are subject to
control.
Validation takes effect from the Consumption Point, which is defined in the Project
Budget Control page in Basic Data for each company. It determines when procurement costs are
considered consumed for validation purposes.
Each rule generates a Control Total value, calculated from the active budget. The
Consumed value reflects the total cost of procurement transactions recorded against that rule from
the defined consumption point. If no corresponding budget line exists, the control total is zero.
Use the Project Budget Control Summary page to monitor both the control limits and
actual consumption.
Prerequisites
- Budget control must be enabled on the project.
- An active budget must be set.
- A consumption point must be defined for the company.
- Code parts must be valid per the company’s Cost Element Code Part configuration.
System Effects
- Procurement transactions are validated based on the selected control method or defined rules.
- Control As Budgeted locks the rule structure to match the budget.
- Control on Total Budget applies a total budget cap across the project.
- If no control method or rules are defined, no validation occurs—even if budget control is enabled.