SPM for Sustainable Portfolio Management, is instrumental at Solvay to take robust decisions by integrating sustainability in its business growth ambition. It will support the ambition to intensify the sustainable management of the group's portfolio.
In order to have an integrated view on “sales” & “sustainability”, it was mandatory to create a bridge between the IT tools used by the Group
- But there is only one “native” link between SPM & SAP data: the GBU
- Everything else has to be built with the use of specific links located in correlation tables
The Group is using two ERPs: PF1 (Slv Legacy) - WP1 (Rhodia legacy) with similar - but not identical - product hierarchy structure
- Some GBUs are selling products in the two ERPs
- It’s the case with SpP: majority of Sales in PF1 but a few Sales in WP1
Key user profiles:
BW transaction user
SPM dashboard users
VERSION | DATE | MODIFIED BY | DESCRIPTION |
0.01 | 27.11.2023 | Emma Glasson | Initial draft |
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Data Sources Note: list of all applications and various environment |
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2.0 Business Process
With a BW transaction ZSPM, a user can complete correlation tables to be able to correlate SAP data with SPM data.
The process is based on two consecutive steps:
- First step: the program determines what is the corresponding SPM product for a given line of the SAP P&L
- The SAP data associated at the Product level are used in order to perform this first step.
- The research in the correlation tables can use: GBU / BFC Group of Activity / Sub-Activity / [PL 02 or PIF Hierarchy] / [PL 00 or Prod Hierarchy] / Commercial product
- NB: there are two tables : one for WP1 data and one for PF1 data. Both have to be updated if the two ERP are used in your GBU
- First step: the program determines what is the corresponding SPM product for a given line of the SAP P&L
- Second Step: when the SPM product has been defined, the program determines what is the corresponding PAC (Product Application Combination) for a given line of the SAP P&L
- The SAP marketing data associated at the Ship-to / Commercial product level are used to perform this second step. These data are stored in a SAP sub-system called GBR
- The research in the correlation tables can use: Market / Segment / Application / End-Use (and as an option Ship-to and Year)
NB: there is only one table used during this second step
- Third Step: Heat map
- Based on the results on the 2 first steps, for each line in the reporting available in QlikSense, the SPM Heat Map Area(s) can be calculated and then accessible in some specific reports.
- Based on the results on the 2 first steps, for each line in the reporting available in QlikSense, the SPM Heat Map Area(s) can be calculated and then accessible in some specific reports.
- Second Step: when the SPM product has been defined, the program determines what is the corresponding PAC (Product Application Combination) for a given line of the SAP P&L
ZSPM BW Transaction:
What is happening technically:
- Every day:
- SPM send the entirety of its data to BW
- The SAP P&L is retrieved by a Corporate query
- The interface program uses these two sources of data and combines them thanks to the additional information contained in the correlation tables
- A BW cube is then updated: it contains the data that will be made available to the users
- Every week - Monday morning - Qlik Sense is updated
3.0 Application Feature Overview
| Reports | Definition | Prompts | BW Workbook Query | Query Technical Name |
|---|---|---|---|---|
| SPM Reporting | Quantity and revenu of an SPM product and application. | Auth Scope Calendar Year Calendar Month GBU Intra-GBU BFC GBU SPM BU GBR Market GBR Segment GBR Application GBR Corp end use Product Line 2 UoM for Qty conversion
| n.a | BW_QRY_MVSDSP01_0001 Qlikview Query: QV_BW_QRY_MVSDSP01_0001 |
4.0 Functional Specification
4.1 General Data/Calculations
Key words | Definitions |
|---|---|
Challenges | Red part of the heat map. PACs for which there are either strong negative signals resulting from sustainability drivers in the marketplace, or serious operations vulnerability challenges. These are products where there may be a significant negative impact on revenue over time and where products may eventually disappear. |
Solutions | Green part of the heat map. PACs with a better sustainability contribution to Solvay customers and value chain, combined with a favorable balance between value and environmental impact. |
Neutral | Grey part of the SPM Heat Map. PACs which do not have outstanding sustainability performance, if any. Low operations vulnerability is not combined with favorable sustainability drivers in the marketplace. These are products that consumers need, but which do not contribute to environmental footprint reductions. |
Not Evaluated | Product in application not evaluated with SPM. |
Not Assigned | No link defined between commercial sales and SPM |
SPM PACor PAC | Production Application Combination. A PAC is a clear and identifiable "end use" market of a product, as close as possible to the final use of the product at the level of the end user or final consumer. |
SPM Product | A SPM Product differs from SAP products in that it represents a family of commercial products with the same or very similar chemistry, manufacturing process, or "manufacturing footprint". |
SPM Market Alignment | Market alignment of products in their application analyzes the market signals of sustainability benefits and roadblocks. It categorizes products on a give scale spectrum from "challenged" to "star potential". This spectrum analyzes whether one product in a given application is part of the sustainable development solution or part of the problem from a consumer and market perspective. |
SPM OV Category | Operations Vulnerability is the ratio of monetized environmental footprints of products over their sales value. It is the monetized environmental manufacturing footprint per 1 EURO of revenue. The higher the ratio, the higher the risk for Solvay of losing business to more sustainable solutions. The lower the ratio, the higher the probability to displace a less environmentally friendly competing technology. |
SPM | Sustainable Portfolio Management. |
4.2.2. KPI's/Calculations/Indicators
Indicators available:
Indicatores/KPI's | Definition | Calculation/Extraction of data |
|---|---|---|
| Quantity P&L in KG | Quantity of an SPM product | |
| Conv. Qty | Quantity in UoM selected | |
| Act. sales P&L (EUR) | Actual sales from P&L source of a SPM product. |
5.0 Non-functional Descriptions
5.1 Usability
as per standards
5.2 Regulatory Compliance
GDPR compliant.
5.3 Security
- Only authorised Users be able to access data.
- PO2 compliance
5.4 Performance
as per standards
5.5 Reliability
as per standards
5.6 Scalability
Historical report, no small enhancements will be performed and no new access except for new joiners in HR domain.
5.7 Compatibility
as per standards
5.8 Availability
as per standards
5.9 Refresh of the Data
Refresh is scheduled daily at 05:00 (CET).