The Appropriation Requests component supports the investment process in the phase concerned with planning and making decisions about investments to be implemented.

In a certain sense, appropriation requests serve a similar function as purchase requisitions and maintenance notifications. In the investment process, appropriation requests allow you to represent investment wishes or research and development ideas in the stages before they are actually implemented concretely.

You can plan appropriation requests and carry out preinvestment analysis for them. In the context of capital investment planning, appropriation requests make it possible to include planned investments in cyclical (annual) investment planning using an investment program.

Once the appropriation request has been approved, the information can be transferred to the measure (order or project) that will be used for actually carrying it out.

The term "investment" in this context does not refer only to investments you are required to capitalize. You can use appropriation requests and measures for many different kinds of activities your enterprise plans, but primarily if the following conditions apply:

• You want both separate management accounting, and approval for the activity on an individual basis, due to its scope.
• The activity initially causes costs and may only generate revenue or provide other benefits after a certain time period has elapsed.