Authorizations & Roles

Version Control

Table of contents
1 Objective and Scope
1.1 Objective of this Procedure
1.2 Scope
2 Reference Documents
3 Summary
4 Definitions
4.1 Responsibility
4.2 Abbreviations
5 Gathering Information
5.1 Threshold Definition
5.2 Fixed assets commissioning
5.3 Fixed assets disposals
6 Gathering Support Documents

Objective and Scope

Objective of this Procedure

The purpose of this document is to describe the actions needed to correctly apply the Internal Control RtR.I&D.01.01 – Modification in the assets books.

Scope

This operating procedure (OP) applies to both PF1 and RCS systems.

Reference Documents

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Summary

To perform any kind of modification regarding fixed assets, support documentation is needed. The objective of this internal control is that the fixed assets variations above 50K euro are properly justified by their support documentation, which, in general, is a report from an engineer or project manager.

Definitions

Responsibility

SBS Service Center is responsible for performing the internal control and gathering the support documentation for the movements that surpass the defined threshold.
Controllers, Plant Managers, Project Managers and Regional Managers are responsible for providing the support documentation for any movements made on fixed assets.
RtR I&D Manager is responsible for keeping the Internal Control evidences along with their justifications and to provide the documentation to internal and external auditors when requested.

Abbreviations

Gathering Information

Threshold Definition

The defined threshold for both commissioning and disposals is 50K EUR. If the company uses another reporting currency, use transaction ZRATE to convert the threshold to the company's reporting currency, filling the following fields:

• Date: last day of the month of the report;
• From currency: EUR;
• To currency: currency code of the company;
• Exchange rate: M;

Fixed assets commissioning

For fixed assets movements regarding commissioning, that being increases related to assets under construction (AUC) being transferred to the fixed asset (FXA) category. To check this kind of movement, use transaction S_ALR_87012054, filling the following fields:

• Company code;
• Asset number: "2*", as the results should only include capitalized fixed assets;
• Report date: Last day of the month of the report;
• Depreciation area: Group (50 for PF1 companies, 01 for WP1 companies);
• Sort variant: 0001;
• List assets;
• Posting date: From the first to last day of the month of the report.

After the report is executed, filter the "Transfer" amounts above the threshold (50K euro) and extract the result to Excel.

Fixed assets disposals

For fixed assets movements regarding retirement and disposals, that being decreases related to fixed assets being sold, scrapped or retired. To check this kind of movement, use transaction S_ALR_87012052, filling the following fields:

• Company code;
• Asset number: "2*", as the results should only include capitalized fixed assets;
• Report date: Last day of the month of the report;
• Depreciation area: Group (50 for PF1 companies, 01 for WP1 companies);
• Sort variant: 0001;
• List assets;
• Posting date: From the first to last day of the month of the report.

After the report is executed, filter the "Retirement" amounts above the threshold (50K euro) and extract the result to Excel.

Gathering Support Documents

After the assets that are above the threshold are listed, the support documentation for the movements should be gathered to justify the variances. Support documents can be: project managers' reports, local requests by ticket, asset on completion forms, among others.


End of document