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BU consideration for new legal entity within US

edited Jul 11, 2020 12:32AM in Purchasing 4 comments

Summary

BU consideration for new legal entity within US

Content

Hi,

We already have US ledger and BU with all business functions. We need to setup a new legal entity that is recently acquired. The new legal entity is going to be part of existing US ledger within country US. We are considering BU setup options. Our options are as follows:

Option 1: Setup Requisition BU only for new legal entity and use US BU as service provider for procurement and payables functions. 

Options2: Setup separate BU with requisition, procurement and payables functions.

I need your inputs and feedback on what option did you choose at your organization from above and why. Please note that requisitioning is decentralized while procurement and financials are centralized for this country US.

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