Ensuring Chemical Compliance Approval for Purchased Material and Supplier

Objective

After completing this lesson, you will be able to ensure Chemical Compliance Approval for Purchased Material and Supplier.

Chemical Compliance Approval for Purchased Material and Supplier

This process manages the compliance assessment of purchased materials and their suppliers for fulfillment.

Raw or purchased materials must cover the compliance requirements of the associated products that are produced by using the raw materials.

The compliance data is requested from raw material suppliers. This process lets you first approve or block a supplier, and second, assess whether the raw material fulfills the requirements. When this assessment is done, you have approved suppliers and raw materials. Additionally, detailed compliance data is available for audits.

Applicable Process Steps

  • Master Data Specialist Product Data: Sets environmental relevance for raw material master

  • Master Data Specialist Product Compliance: Processes request for external sourcing

  • Master Data Specialist Product Compliance: Assigns supplier to raw material

  • Master Data Specialist Product Compliance: Maintains supplier compliance data

  • Master Data Specialist Product Compliance: Assesses compliance of raw material

Benefits

The benefits of the Chemical Compliance in the value chain are:

  • Summarize usage of purchased material requirements
  • Manage coverage of requirements on a supplier level
  • Perform the supplier approval process
  • Aggregate and assess the compliance of a purchase material based on supplier data

Note

This process flow is covered in Scope Item: 31G- Chemical Compliance Approval for Purchased Material and Supplier.

How to ensure Chemical Compliance Approval for Purchased Material and Supplier

Introduction

This scenario deals with the compliance data of raw materials that are later processed into a finished product. In this case the raw materials are purchased from a supplier. Therefore it must be ensured, that the supplier data is compliance-relevant. At the end a compliance disclosure for the supplier also takes place.

Task 1: Create Compliance Purpose

First Otto, Product Stewardship Specialist for Product Compliance, creates a compliance purpose. This compliance purpose consists of three compliance requirements, later assigned to the new raw material. This raw material is delivered by an external supplier.

The compliance requirements already exist in the system. This is, for example, the REACH compliance requirement.

Later, an analytical composition is defined for this raw material and it is finally assigned to a product.

Task 2: Create Raw Material and Assign Compliance Purpose

Now Otto creates the data for the raw material and assigns the new created compliance purpose.

Task 3: Assign Supplier to Raw Material and enter an analytical composition

Otto also assigns a supplier to the compliance view of the raw material. The supplier compliance can then be assessed. The supplier is asked to provide the required compliance data to verify the fulfillment of requirements.

Furthermore Otto receives the data for the analytical composition from the supplier. He adds these data to the raw material.

Task 4: Assess Marketability and Approve Supplier for Raw Material

Now Otto is ready to assess the supplier against the assigned compliance requirement versions for the raw material. The result is positive. Otto approves the supplier for the raw material.

Task 5: Confirm Raw Material Composition and Check Marketability Assessments

The compliance data of the supplier is harmonized on raw material level. Otto releases the analytical composition inside raw material.

At the end Otto releases the marketability assessment for each assigned compliance requirement version.

Task 6: Process Compliance Disclosure for Supplier

At the end of the process Otto receives a compliance disclosure from the supplier in the form of a self-assessment. He assigns the relevant compliance requirement version to the supplier. Based on this data Otto assess the compliance of the supplier with the relevant due diligence act.

Now you should have an impression of "how to ensure Chemical Compliance Approval for Purchased Material and Supplier".

Summary

After completing this lesson, you are able to:

  • name the benefits of ensuring Chemical Compliance Approvals for Purchased, Raw Materials and Suppliers
  • understand the Chemical Compliance Approval process for Purchased Materials and Suppliers
  • create a Compliance purposes
  • work with Raw Materials and add a Supplier and an analytical Composition
  • assess a Marketability

Learning

SAP FacebookSAP YoutubeSAP LinkedIn