There is a need sometimes to evaluate the
different functionalities offered by Internal Orders vs Projects. Both can be used to track activities and costs. The use
of one vs the other is always a matter of choice based on the needs of the clients and mapping them to the tools available in
both the areas! Here are the main differences between Internal Orders and Projects:
* Only projects enable you to
create a hierarchical structure for the objects that collect costs.
* Orders are always one-dimensional. For example,
it is not possible to distribute budgets for several orders in a structured form from top to bottom.
* Projects also
offer the advantage of their integration with networks and the functions of logistics. With orders, for example, it is not
possible to carry out capacity and resource planning.
What is a Project?
Projects are
tasks with special characteristics:
* They are generally complex, unique, and involve a high degree of
risk.
* They have precise goals which are agreed on by you and the ordering party.
* They are limited
in duration and are cost and capacity intensive.
* They are subject to certain quality requirements.
*
They are mostly of strategic importance for the company carrying them out.
A project is structured:
*
According to how it is organized
* According to the processes involved
Work Breakdown
Structures
WBS elements are sub levels within projects. Here is some information on WBS:
The work breakdown
structure (WBS) is a model of the project that organizes project tasks into a hierarchy.
* It is the functional
basis for further planning steps in a project, for example, for process planning, cost planning, scheduling, capacity
planning or costing, as well as project control.
* It gives you a clear picture of the project and facilitates the
coordination and implementation of the project from a management standpoint.
* It shows the work involved in a
project.