Issue

This Key Decision Document (KDD) serves as a comprehensive guide outlining critical decisions, considerations, and recommendations essential for the implementation and management of Procurement Categories and their strategies with the new S/4HANA system. The current process is manual, fragmented, and disconnected. There is an opportunity to introduce more structure into the category management process by implementing a specialized system to improve efficiency, accuracy, and enhance visibility.

Recommendation

Background & Context

At the moment, Convergence is used as a repository for category strategies at Syensqo. It is a custom tool that was developed on top of Salesforce, which lacks functionalities for category strategy development, collaboration, spend analysis, performance monitoring and risk management. Being a standalone system, it is unable to directly integrate with SAP ERPs, SAP Ariba Sourcing and others.

The current process is manual, complex, and disconnected. Category strategies are developed by category buyers and are typically established at a global level, with raw material strategies being managed locally. These strategies are reviewed and updated every 3-5 years. For each category, the following information is maintained: Title, Category Manager, Owner, Presentation Date, Validity Date, Strategy Year, Global Yearly Estimated Spend, and an attachment containing the detailed category strategy. There is no formal approval or collaboration process in Convergence; instead, category managers, procurement, and key buyers work together on the strategies and mutually approve them.

Assumptions

• Syensqo's future ERP system will be based on S/4HANA Cloud Private Edition. This is also subject to a separate KDD KDD026 - SAP S/4HANA Deployment Model

Constraints

Impacts

Business Rules

Currently, no specific business rules have been identified. Further updates may be determined during the detailed design phase.

Options considered

Option A: 

Option B: 

Option C: 

Option D: 

Evaluation

	Option A	Option B	Option C	Option D
Criterion 1	Pro Con	Pro Pro	Pro Con	Pro Con
Criterion 2	Pro Con	Con	Pro Pro	Con Con
Criterion 3	Pro	Con	Con	Pro

See also

Change log

Workflow history