SAP FI/CO
Controlling
Overhead Cost Controlling (CO-OM)
The interface between financial accounting and controlling is called cost center and cost element accounting. G/L accounts serve as the basic element of financial accounting. G/L accounts are differentiated between balance sheet accounts (as inventory accounts) and profit and loss accounts (as profit and loss accounts). Each entry is assigned to the general ledger account. The general ledger account flows directly into the P&L or the balance sheet. Each account is assigned within its own chart of accounts. The chart of accounts is used to classify and record financial movements within financial accounting. It also contains the accounts for financial accounting postings. Analogous to the G/L account, the cost elements are managed within Controlling. Within cost element accounting, all transactions (posting) important for CO are observed as cost and revenue elements.
In part, the cost elements (as first-ranking cost elements) are derived from the G/L accounts of financial accounting as actual costs/revenues. Cost elements are used as posting accounts of the externally assigned as well as the internal accounting. They show the way in which costs were incurred. Cost centers point to the place where the costs were incurred. They are often based on the organizational structure of a company. They have the task to let accumulated costs flow together. At the same time, they represent areas of responsibility within a company. In this way, the costs incurred are allocated to the individual areas of the company, depending on who caused them.
Profit Center Accounting (EC-PCA)
Initially, Profit Center Accounting was an autonomous sub-module in Controlling – with its own settings and paths in the navigation. However, with the emergence of the new general ledger as of ERP Release 6.0, Profit Center Accounting became an area of Financial Accounting.
First, settings have to be made in Customizing. After that, the profit center can be used. The cost centers and master data have quite a similar structure. Only after creating the master data, the profit centers can be used.
Finally, you ensure that the entire P&L is divided according to profit centers by always assigning the important account assignment objects to the respective profit center. The profit centers then run autonomously and in the background as statistical account assignment objects. Each posting to an account assignment object that is assigned to a profit center is therefore documented in a self-controlled manner on exactly this profit center.
Product Cost Controlling (CO-PC)
The analysis of the costs of individual products takes place in Product Cost Controlling (CO-PC). The cost analysis shows how a cost estimate for material is used in actual production and how this material cost estimate is composed.
What are the main issues of these tasks:
- What are the cost factors that make up a product?
- What is the financial cost of manufacturing a product?
- How are actual costs handled in production and how are these costs evaluated?
Profitability Analysis (CO-PA)
Important questions that must be asked again and again for controllers from the start of sales:
- How much of the product is sold?
- What does it cost to sell a product - what part of the revenue does that represent?
- How much revenue is generated from the product?
- What is the contribution margin when the costs of the project are included?
- How does the contribution margin change when distribution costs are included on top of that?
The SAP module CO-PA (Profitability Analysis) is particularly suitable for precisely these questions and should also be used within Controlling for clarification for this reason.echnung) ist für genau diese Fragestellungen besonders geeignet und sollte innerhalb des Controllings bei der Klärung aus diesem Grund auch zum Einsatz kommen.
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