SAP FI/CO

Controlling

Overhead Cost Controlling (CO-OM)

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)

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)

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:

Profitability Analysis (CO-PA)

Profitability Analysis (CO-PA)

Important questions that must be asked again and again for controllers from the start of sales:

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.

SAP S/4HANA is the real-time ERP suite for the digital economy

SAP S/4HANA is the real-time ERP suite for the digital economy

The solution is based on the SAP HANA platform and enables unprecedented improvements. The combination of state-of-the-art in-memory technology and a radically simplified data model make it possible to perform real-time analyses and evaluations in seconds, even in large data volumes. The role-based user interface SAP Fiori 2.0 opens up a completely new user experience for users.

Thus, the latest release not only relies on new, simplified table structures and the abandonment of summary and index tables. Rather, functions and transactions are increasingly being simplified and standardized, and old functions are gradually being completely replaced. In our estimation, this development will continue and accelerate in the coming years.

We would like to accompany you during the conversion to S/4HANA.

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Purchasing, Order & Cash

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MARCEL HÖFER

Purchasing, Order & Cash

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