1. Objective and Scope

1.1. Objective of this Operation

The aim of this procedure is to provide clear, step-by-step instructions on how to create a cost center. This ensures consistency, accuracy, and compliance with Syensqo’s internal processes.

1.2. Scope

The scope of this operation is worldwide and includes all tables associated with company codes in the PF2 and WP2 SAP systems. 

2. Definitions

See Finance - Glossary

3. Tasks description

3.1. I receive the request to create a cost center

Requests must be submitted to the Data Management Finance Operations entry point through the Finance Master Data Workflow in PRS (PF2_050) using – transaction ZZF_MDWF_REQUEST or via SyRA.

3.2. I confirm that the request is made by an authorized requester

Confirm that the requester is listed as an “authorized requester” in the document . This list is maintained by the Process Expert Costing

In addition to those on the list, the following individuals may request Reporting (not at “PIF level”) and certain “auxiliary” cost centers:

• • FSL (Finance Service Leader)
  • Country Manager
  • CAM (Customer Account Manager)

This exception also applies to small companies that do not have a Controller.

3.3. I analyze and validate the information provided in the request

3.3.1. I validate the need of a new cost center

 Before proceeding, ensure that creating a new cost center is necessary and justified. Follow these validation steps:

a) Confirm the Need for a Cost Center

• • Assess Alternatives:
    • Ensure the request cannot be fulfilled with another cost object, such as a project (WBS) or an internal order.
    • Verify that an existing cost center cannot be used to meet the need.

b) Cost Center Uniqueness

• • Each cost center in SAP must be unique in terms of:
    • Codification
    • Short and long description
    • Object within a plant

c) Special Cases

• • Asset Involvement:
    If the cost object is to be linked to an asset, only a cost center can be used.
  • Payroll Accounting:
    Payroll must be assigned to a cost center; no other cost object is permitted.

3.3.2 I analyze the Request

 Before proceeding, analyze the request and question:

• What is the purpose of the requested cost center?

• Is the cost object required for asset or payroll purposes?
  • If yes, this validates the need for a cost center.

• Is the cost object only for reporting costs linked to a project?
  • If yes, suggest using a WBS (project) instead.

• Is the yearly foreseen amount above the threshold defined by PE Costing?
  • A significant amount increases urgency and priority for processing.
  • For non-significant amounts, challenge the need for a new cost center and consider suggesting an internal order.

3.3.3. I validate that all mandatory fields are informed

a) Check for Existing Cost Centers

• • Search SAP to ensure that no suitable cost center already exists within the same plant.
    • Use KS13 - Cost center: Master data report to review similar cost centers.

b) Validate required fields

Before creating a new cost center, make sure all mandatory fields are completed:

• • company code
  • valid from
  • Cost center category
  • person responsible 
  • profit centre
  • Hierarchy area
  • Alternative hierarchy (ZCBS)
  • name (short text)
  • description (long text)

3.3.4. I perform the controls

3.3.5. I challenge the creation of the cost center

“Return” the workflow request with your comment:

• suggesting another cost object, 
• suggesting an existing cost center, 
• informing that his/her need does not seem a cost center
• asking for further information.

If mandatory information is missing, or inconsistency is found:  ask for further information. 

3.4. I create the new cost center - KS01

3.5. I check if it is necessary to perform the next actions (depending of the type of cost center created)

3.6. I communicate that a new cost center has been created

I notify the Assessment Cycle Owner maintenance

I notify the requester