Originator-Related Costs Assignment of Waste Generation

This Business Scenario Map shows you how the integration of business objects in SAP Supply Chain Management and SAP Financials leads to an integrated documentation of waste costs. The direct linking of waste generators to cost centers is used to integrate waste management into business value-added activities for detecting cost saving potential. It shows how cooperation between controllers and waste managers can reduce the time needed to obtain data for ecologically optimized production. The key benefit is the direct integration that guarantees cost-effective data maintenance and reporting.

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Value Potentials	Business Benefits
Up to 20% fewer new suppliers Up to 50% reduced manpower for redundant data records*	Disposal partners are already recorded in the system. No retyping of information
Up to 100% reduced manpower for legally required reports*	Cost controlling and quantity reporting on the fly
Up to 50% reduced manpower for reentering information in the database*	Waste management receipt generates purchase document automatically
Up to 40% reduced costs for avoiding redundant data*	Direct access to business-partner data

Controller

Waste Manager

Waste Disposer

Select external disposal partners

Outline agreement

Create purchase order

Complete cost assignment

Complete cost controlling

Document internal waste streams

Define waste disposal agreement

Generate internal receipt

Check disposal documents and quantity assignment

Prepare legally required reporting

Create quotation for waste disposal

Create hazardous waste manifest

Source:
* Discussions with Customers

The value potentials shown in this table have been reported by selected SAP customers or independent third parties as referenced herein. However, there is no guarantee that such value potentials can be realized in any particular customer-specific business processes, and SAP does not make any representations and disclaims any liability as to the appropriateness of the referenced value potentials for any specific customer situation.
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Business Benefits	Value Potentials
Integrated legally required control mechanism provides security	Up to 100% reduced costs for data administration and legally required checks*
Using master data for easily and legally checked receipts (internal and external)	Up to 30% improved user efficiency*
Generate responsibility for waste streams - improved recycling quota, improved waste separation	Up to 30% less waste streams*


Originator-Related Costs Assignment of Waste Generation Originator-Related Cost Assignment of Waste Generation By defining the master data for waste management the waste manager is able to link waste management objects specific objects defined as internal points of waste generation to meet legal requirements to the objects in controlling as cost center or cost bearer. Master data integration gives the opportunity to build up a transparent and origin-related cost and quantity assignment. This means you run a waste department as an internal profit center that serves other departments and calculates to market triggered prices. Integrated workflow helps to reduce manpower because you have to code information only once. After the waste manager has defined the internal waste streams and estimated the quantities, the purchasing officer can use this information to request known vendors for disposal possibilities. The defined master data helps to specify the requested service. Electronic customer relationship management and/or marketplaces help to determine the supplier with the best price who has an authorized license to dispose of the waste. While the purchasing officer is generating an outline agreement the waste manager has to apply for a waste disposal. Hand in hand the time to work on a task is significantly reduced. Everyday work for the waste operator involves generating internal waste receipts. If storage locations are full, the purchasing officer creates a purchase order and sends it to the disposer. Creating the purchase order automatically by posting waste streams means less manpower and less time for the process. Based on the contract and the waste approval, the disposal site technical waste officer is able to generate the required delivery note, print it out, and ship it with the truck to the required location. The waste operator checks the delivery note received and enters it in the system. Using the stored master data it takes only seconds to do so and all data that can be printed is checked for legal compliance. In the next step the waste officer is able to verify the invoice due to his technical view. Starting a workflow the controller only gets the authorized invoices with correct costing. This helps save money for non-authorized invoice items. By storing the invoice information in the SAP System related to the purchase order it is possible to trace the costs, based on the internal waste receipt, all the way back to the waste generator (which can be a cost center). The last step for the waste manager is to report all stored information in a legally required form without retyping all data for a second time while the controller uses the information from internal receipts to generate a cost center report for waste costs. * = This business process is supported by Best Practices for SAP Business Suite. Best Practices for SAP Business Suite represent prepackaged business expertise in the form of methodology, documentation and reliable preconfiguration for SAP solutions. This helps you to start with a fully documented and reusable prototype for this scenario only days after you have installed the software. A prototype representing the results of a complete implementation project done up front and encapsulated in one single product that can rapidly turn into your productive solution. Best Practices for SAP Business Suite puts the power of SAP Business Suite in your hand.