System Management - Standard Operating Procedures (SOP)

System Management Process

This section covers the specific procedures relevant to the Company ERP system. The company has implemented and is operating the system ‘SAP’ as its single ERP system.

Organization structure

The current organization structure and hierarchy is mapped In the system. Future changes to the organization structure shall follow the approval process to maintain the proper hierarchy and also with a view To avoid the redundancy of data.

Changes to the organization structure

Changes to the organization structure shall be initiated by filling a request form and submitting the same to the system Administrator with required approvals to proceed with the change. Requestors need to allow a reasonable time in submitting a request form for the approval process and system change process to avoid delays in transaction processing With new entities.

Organization processes

Organization processes mapped in the system are the agreed processes during the blueprint and realization phases of the ERP implementation Project. These processes are individually also documented in the blueprint documents for each module implemented, and these documents were signed off by The core team and process owners of the ERP implementation project.
Further the Processes have been approved and validated by the Management. Therefore any requests to change or enhance processes shall follow a defined process to allow proper evaluation and documentation.

Changes to the process

Changes to the organization processes shall be initiated by filing a request form (Annexure 2) and submitting the same to the system Administrator with required approvals to proceed with the change. Requestors need to allow a reasonable time for the approval process and system change process (most of the changes approved will have to be redirected to the system Implementation partner) to complete a request.

Master Data Management

In a business, Master Data Management (MDM) comprises the Processes, governance, policies, as well as standards and tools that consistently define and manage the critical data of an organization to provide a single point of Reference. The data that is mastered may include the business objects for transactions and the dimensions for analysis.

The  Master Data Management process can be used to support master data management by eliminating duplicates, standardizing data (mass maintaining), and including rules to eliminate incorrect data From entering the Master Data Management system to create an authoritative source of master data. Master Data Management has an intention toward providing processes for collecting, aggregating, matching, consolidating, quality-assuring, persisting and delivering that kind of data throughout an organization to ensure consistency and control in the existing maintenance and application use of this information. In the Company, the creation, and maintenance of master data

will be done under the supervision of the core team (of ERP implementation project) with a few key nominated users who are assigned for this purpose. However, based on the nature of the master data certain data maintenance can be assigned to end-users as well.

Master Data – Description	SAP Module	Responsibility
Asset master	FI	Nominated centralized person
G/L master data	FI	Nominated centralized person
Activity price master	CO	Nominated a person at PMD level
Activity type master	CO	Nominated a person at PMD level
Customer/ Recipient master	SD	Nominated centralized person
Pricing master	SD	Nominated centralized person
Credit master	SD	Nominated Centralized Person
Material master	MM	Nominated Centralized Person
Vendor master	MM	Nominated Centralized Person
Service master	MM	Nominated Centralized Person
Work center master	PP	Plant Manager
Routing master	PP	Plant Manager
Bill of material master	PP	Plant Manager
Person responsible	PS	Nominated Centralized Person
Standard WBS template master	PS	Project Manager
Work center master PS	PS	Project Manager
Equipment master	ETM	Nominated a person at PMD level
Tasklist	PM	Nominated Person at PMD level
Maintenance plan	PM	Nominated A person at PMD level
Characteristics	ETM	Nominated Person at PMD level
Insurance – ETM	ETM	Nominated A person at PMD level
ETM catalogue	ETM	Nominated Person at PMD level
ETM BOM	ETM	Nominated Person at PMD level
ETM order	ETM	Nominated Person at PMD level
Maintenance strategy	PM	Nominated A person at PMD level
PM – catalog	PM	Nominated Person at PMD level
Measuring points	PM	Nominated A person at PMD level
Work center	ETM	Nominated Person at PMD level
Class	ETM	Nominated A person at PMD level

The detailed process for requesting and creating master data for main and frequently changed master data types are described below.

Asset master data creation

In this process, the Accounts Executive needs to request to create or change asset master data. This request must be approved by the Accountant. Upon approval, the Asset Accounts Executive can create or change asset master and notify the relevant personnel.

GL master data creation

The first The phase of this process is the requisition for creating or changing a new or existing GL account/s, or blocking an existing GL account using the GL creation or change template. The requests can be made by Site/PMD or CO-Accounts Executive. It is not possible to delete master data, which is created in the system; instead, they can be blocked against postings and marked for deletion. The Accountant then checks the necessity of creating GL accounts and approves to create or change new GL accounts or change existing GL accounts. It is required to create a house bank, account ID, and update the master data by the Accountant if a bank GL account is created. Creation of new or existing GL accounts and communicating with relevant parties can be done once these steps are done. Updating FSV and other relevant accounts groups are the closing phase of GL master data creation process.

Vendor master data creation

In the Procurement process once a vendor is chosen to supply a material/service, before raising a PR, a vendor master data creation can be requested (after Checking the system for the existence of the vendor). If the vendor is not available in the system, a formal request will be made to the Vendor Master Controller (Vendor Master Controller will be a nominated centralized person). Upon receiving the request, the Vendor Master Controller will check whether the vendor exists in the master data and if it exists, the requisitioner will be informed of the existing vendor code. If the vendor does not exist, the request is approved, and a new entry for the specific vendor will be created. Once it is updated to the system, a new vendor code is created in the system, and the new code will be notified to the requisitioner.