| Status | Approved |
| Owner | Antonio Gonzalvez |
| Stakeholders |
Issue
Syensqo uses the concept of a product hierarchy to manage its finished good material categorization. This categorization is used for pricing, sales reporting, revenue, profitability and margin analysis, as well as product reporting.
The issue that exists today is that:
- There is no systematic product hierarchy across BUs
- There is significant fragmentation and lack of harmonization in business processes associated with the definition and use of the product hieararchy
- Siloed operations across different BUs, leading to manual work, inefficiencies and inconsistencies in product data between different systems
- Hierarchy not always stored in standard SAP fields.
Recommendation
It is recommended to go with Option A which is to harmonize and standardize the product hierarchy using the standard SAP 3 tier product hierarchy definition as well as having a formal master data standard and governance process.
The definition of each of the 3 levels and the values to be used in each level will be discussed and decided in detail design.
Background & Context
Assumptions
Constraints
Impacts
Business Rules
Options considered
Option A:
Option B:
Option C:
Option D:
Evaluation
Option A | Option B | Option C | Option D | |
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| Criterion 1 |
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| Criterion 2 |
|  Con |
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| Criterion 3 |  Pro | Con | Con | Pro |
See also
Change log
Workflow history
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