SAP ERP Controlling prominently known as SAP CO improves the executives over the financials range by Planning and breaking down expenses to convey reports the impact dynamic. Since pretty much every SAP ERP Financial Accounting and Logistics process closes with a controlling record, the controller needs to comprehend the worth stream and have the option to acknowledge blunders early and to address them in an auspicious way. Reports created by controlling movement must be useful and remember point by point data for any genuine/plan change.
SAP FI-CO Integration
SAP CO and FI modules are free parts in a SAP framework. The information stream between these parts happens all the time.
SAP CO Sub-Modules
The Controlling module in SAP ERP contains an assortment of sub-modules that offer usefulness for differing controlling necessities. Here is a rundown of those sub-modules.
Cost Element Accounting
Cost Elements structure incomes and costs, making them a basic bit of any association’s finished administrative bookkeeping picture. Cost and Revenue Element Accounting gives a review of cost and income happen in an association. Qualities are moved naturally from Financial Accounting to controlling. It computes cost which
Cost Center Accounting
Cost Center mirrors the hierarchical structure of an organization and showcases the zones of obligations. The cost community structure is significant in light of the fact that it characterizes the reason for different modules and overhead revealing. Cost Center is one of the cost protests in cost of creation count. It is utilized for Overhead Management in Product Cost Calculation
Interior Orders are utilized in SAP to speak to ventures. Contrasted and Cost Center Internal Orders are transiently constrained. Inside Orders don’t mirror the authoritative structure; rather, they speak to, For instance, innovative work ventures, presentation occasions or SAP Implement venture cost. Inside Order is CO is utilized to gather and control cost for a particular reason or assignment. We can allocate a financial limit for these employments with the goal that the framework naturally screens to guarantee that they won’t surpass from the set spending plan. Note that we cannot make complex structures with Internal Orders, so in the event that we have to make venture progressions, It is better looking at the Project System module of SAP ERP.
Item Costing is the center module that depends on the right arrangement of ace information in Logistics modules to make quotes. the quotes help design and examine costs and their various parts. The consequence of utilizing Product Costing is a standard value that can be discharged to the material ace and utilized for at any rate one period for stock valuation of those assembling merchandise.
Cost Object Controlling
Cost Object Controlling is required for organizations that produce merchandise or administration inside Production arranging or the Production Planning for Process Industries submodule. On the off chance that we working with Product Costing to decide our standard Cost, at that point Cost object Controlling decides our genuine expense and any fluctuations to standard expense. The cost object controlling is introduced by creation request, process Order, item Cost Collector or deals request contingent upon the sort of cost object controlling we are utilizing.
Productivity Analysis (CO-PA)
Productivity Analysis is a sub-module of SAP controlling module for which there is no format. This implies every client structures Profitability Analysis as indicated by their particular needs. Working Concern is the most noteworthy hierarchical component in the SAP authoritative structure. The working concern benefits as a valuation level for gainfulness Analysis and should be made before Profitability Analysis can be utilized. We can relegate numerous controlling regions to a working concern. It is necessitated that these controlling regions all have the equivalent Fiscal Year variation, however they can have various diagrams of records. We cannot make reports in SAP that contain information of various working concerns, so we ought to relegate every single controlling zone to one working concern if bunch detailing required.
Kinds of Profitability Analysis
Costing-based Profitability Analysis
Record based Profitability Analysis
Costing based Profitability Analysis is the sort that is utilized the most. Record based Profitability Analysis can be initiated alone or add to costing-based Profitability Analysis. With S4 HANA Finance, the utilization of record based Profitability Analysis is prescribed in light of the fact that information from account based Profitability Analysis is put away in a similar database table as the SAP Financial Accounting and Controlling archives. (Table ACDOCA) To initiate new Profitability Reporting in SAP S/4 HANA Finance, we should actuate account-based Profitability Analysis. With SAP S/4 HANA Finance the highlights of record based Profitability Analysis get upgraded.
Benefit Center Accounting
Benefit focus Accounting is utilized to figure benefit or Loss of individual, free territories inside the association. Benefit Center bookkeeping single Dimensional Analysis where as Profitability Analysis multi-Dimensional Analysis.