AC040 Cost Management and Controlling R/3 System Release 46C August 2001 Collection 13 Material number 5004 4346

R/3 SAP R/3 architecture SD FI MM CO PP FI-AA Client/Server ABAP/4 QA PS PM WF HR IS R/3 System Release 46C August 2001 Collection 13 Material number 5004 4346

CO processes Overview CO  $ +ABC t CO OM PC Profit 1 12 $ 1 12 OM PC MM $ CO HR +ABC AA t SD DM DM CO OM PC Profit Planing and integrated planning 1 12 Postings to CO from other modules Reporting tools  $ Transaction based postings in CO CO processes Representation of your businessu in CO 1 12 OM PC Profit INT EXT FI CO OM PC Profit Period end posting FI MM HR AA SD Overview of Controlling R/3 System Release 46C August 2001 Collection 13 Material number 5004 4346 CO ASAP Introduction Support of project flow Summary Navigation Introduction

Enterprise Controlling Accounting in R/3 EC Enterprise Controlling Consoli- dation Enterprise Planning Profit Centers EIS TR FI CO Financial Accounting TREASURY CONTROLLING Cash Treasury Funds General Ledger Payables/ Receivables Assets Cost Controlling Revenue Controlling The CO components can be divided into various groups. The classification indicates the general purpose of a given component. Management of an enterprise requires the use of different tools for different situations. If you want to analyze profit, for example, you need a tool appropriate to the desired perspective (for example, product profitability or the profitability of responsibility areas). To meet this requirement, profitability and sales accounting uses two tools (components): Profitability Analysis and Profit Center Accounting. Likewise, Overhead Cost Controlling and Product Cost Controlling offer different tools to meet different types of management requirements. FI IM Investments and Financing

Overview of CO Components EC Enterprise Controlling Profit center accounting Enterprise Planning EIS Consolidation CO CO CO CONTROLLING Overhead and process costs CONTROLLING Product cost calculation CONTROLLING Profitability analysis Cost/Revenue elements Cost centers Activities Internal orders and projects Activity Based Costing Sales analysis of products and services Contribution margin Profitability analysis by organizational units Product cost planning Sumiltaneous calculations Actual calculations The CO components can be divided into various groups. The classification indicates the general purpose of a given component. Management of an enterprise requires the use of different tools for different situations. If you want to analyze profit, for example, you need a tool appropriate to the desired perspective (for example, product profitability or the profitability of responsibility areas). To meet this requirement, profitability and sales accounting uses two tools (components): Profitability Analysis and Profit Center Accounting. Likewise, Overhead Cost Controlling and Product Cost Controlling offer different tools to meet different types of management requirements. Cost allocation by sources

CO Components in Mitas Branches MC Enterprise Controlling Profit center accounting CO CO CONTROLLING Overhead costs CONTROLLING Profitability analysis Cost/Revenue elements Cost centers Internal orders Sales analysis of products/goods and services Contribution margin Profitability analysis by organizational units The CO components can be divided into various groups. The classification indicates the general purpose of a given component. Management of an enterprise requires the use of different tools for different situations. If you want to analyze profit, for example, you need a tool appropriate to the desired perspective (for example, product profitability or the profitability of responsibility areas). To meet this requirement, profitability and sales accounting uses two tools (components): Profitability Analysis and Profit Center Accounting. Likewise, Overhead Cost Controlling and Product Cost Controlling offer different tools to meet different types of management requirements. Cost allocation by sources

Controlling Architecture CO- PA Profitability segment Profitability Analysis EC- PCA CO OM Overhead Cost Controlling Cost Center Internal Order Profit Center Accounting Cost Element Accounting FI Financial Accounting Asset WIP Stock Revenue HR The CO components can be divided into various groups. The classification indicates the general purpose of a given component. Management of an enterprise requires the use of different tools for different situations. If you want to analyze profit, for example, you need a tool appropriate to the desired perspective (for example, product profitability or the profitability of responsibility areas). To meet this requirement, profitability and sales accounting uses two tools (components): Profitability Analysis and Profit Center Accounting. Likewise, Overhead Cost Controlling and Product Cost Controlling offer different tools to meet different types of management requirements. Human Resources Procure Product Warehouse Sales

Important Controlling Areas Cost allocation according to source of costs Overhead Cost Controlling Profitability Analysis Planning Price Calculation Distribution Assessment Sales Planning Drill- down- Reporting Profit Centers Analysis Transfer Prices Typical Controlling Activities The CO components can be divided into various groups. The classification indicates the general purpose of a given component. Management of an enterprise requires the use of different tools for different situations. If you want to analyze profit, for example, you need a tool appropriate to the desired perspective (for example, product profitability or the profitability of responsibility areas). To meet this requirement, profitability and sales accounting uses two tools (components): Profitability Analysis and Profit Center Accounting. Likewise, Overhead Cost Controlling and Product Cost Controlling offer different tools to meet different types of management requirements.

Purchasing organization Organizational Units Operating Concern M001 CO- PA Controlling area M001 CO- OM CO- PC EC- PCA Emphasis: External Accounting Company codes AT01, DE01 … FI BA AT01 BA DE01… SD Sales organization AT01 Purchasing organization AT01, DE01 … Plant AT01 MM Sales organization DE01 Plant DE01 Sales organization … The CO components can be divided into various groups. The classification indicates the general purpose of a given component. Management of an enterprise requires the use of different tools for different situations. If you want to analyze profit, for example, you need a tool appropriate to the desired perspective (for example, product profitability or the profitability of responsibility areas). To meet this requirement, profitability and sales accounting uses two tools (components): Profitability Analysis and Profit Center Accounting. Likewise, Overhead Cost Controlling and Product Cost Controlling offer different tools to meet different types of management requirements. Plant … A A A Emphasis: Logistics Procurement and sales

Multiple Assignment Profit Center Accounting Operating Concern M001 CO PA Profitability Analysis Operating Concern M001 EC- PCA Currency: EURO CO PC CO OM Controlling area M001 Currency: EURO Chart of accounts M001 Fiscal year variant K4 Profit Center Accounting FI Company code AT01 Company code DE01 … Currency: EURO Chart of accounts M001 Fiscal year variant K4 Currency: EURO Chart of accounts M001 Fiscal year variant K4 The CO components can be divided into various groups. The classification indicates the general purpose of a given component. Management of an enterprise requires the use of different tools for different situations. If you want to analyze profit, for example, you need a tool appropriate to the desired perspective (for example, product profitability or the profitability of responsibility areas). To meet this requirement, profitability and sales accounting uses two tools (components): Profitability Analysis and Profit Center Accounting. Likewise, Overhead Cost Controlling and Product Cost Controlling offer different tools to meet different types of management requirements.

Accounts and Cost Elements Chart of Accounts M001 Financial Accounting Financial Accounting 1 2 3 4 7 8 9 Revenue/ Inventory change/ current internal activity Current assets and short- term capital Non- operating costs, revenues Material inventory Expense accounts Semi-finished products and finished Closing 1 Current assets and short- term capital 2 Non- operating costs, revenues 3 Material inventory 5 6 Primary CElems Secondary CElems Secondary CElems Revenue elements Controlling Profit Center Accounting The CO components can be divided into various groups. The classification indicates the general purpose of a given component. Management of an enterprise requires the use of different tools for different situations. If you want to analyze profit, for example, you need a tool appropriate to the desired perspective (for example, product profitability or the profitability of responsibility areas). To meet this requirement, profitability and sales accounting uses two tools (components): Profitability Analysis and Profit Center Accounting. Likewise, Overhead Cost Controlling and Product Cost Controlling offer different tools to meet different types of management requirements.

Cost Elements and Revenue Elements Costs Management level Primary costs Secondary costs Predefined by SAP Primary CElem categories Secondary CElem categories CO master data level Primary cost elements Secondary cost elements M001 use only primary CE. Primary CE categories : - 1 Cost - 11 Revenues (integration - SD) FI master data level FI G/L account The CO components can be divided into various groups. The classification indicates the general purpose of a given component. Management of an enterprise requires the use of different tools for different situations. If you want to analyze profit, for example, you need a tool appropriate to the desired perspective (for example, product profitability or the profitability of responsibility areas). To meet this requirement, profitability and sales accounting uses two tools (components): Profitability Analysis and Profit Center Accounting. Likewise, Overhead Cost Controlling and Product Cost Controlling offer different tools to meet different types of management requirements. Chart of accounts M001

Master Data in Overhead Cost Controlling Profit Center Accounting Cost Center Internal Orders Process Product Cost Controlling Cost object Profit Center Profitability Analysis The CO components can be divided into various groups. The classification indicates the general purpose of a given component. Management of an enterprise requires the use of different tools for different situations. If you want to analyze profit, for example, you need a tool appropriate to the desired perspective (for example, product profitability or the profitability of responsibility areas). To meet this requirement, profitability and sales accounting uses two tools (components): Profitability Analysis and Profit Center Accounting. Likewise, Overhead Cost Controlling and Product Cost Controlling offer different tools to meet different types of management requirements. Profitability Segment

Cost Centers Cost Center Validity Period Communication Control Data Basic Data Cost Center Address Data Indicator The CO components can be divided into various groups. The classification indicates the general purpose of a given component. Management of an enterprise requires the use of different tools for different situations. If you want to analyze profit, for example, you need a tool appropriate to the desired perspective (for example, product profitability or the profitability of responsibility areas). To meet this requirement, profitability and sales accounting uses two tools (components): Profitability Analysis and Profit Center Accounting. Likewise, Overhead Cost Controlling and Product Cost Controlling offer different tools to meet different types of management requirements.

Cost Centers in Controlling area M001 Basic Data Cost Centers in Controlling area M001 65xy CGS Germany – detail structure of CC 6820 CGS Italy 6830 CGS Spain 6840 CGS Austria 6860 CGS UK 6880 CGS France 6910 CGS Ireland The CO components can be divided into various groups. The classification indicates the general purpose of a given component. Management of an enterprise requires the use of different tools for different situations. If you want to analyze profit, for example, you need a tool appropriate to the desired perspective (for example, product profitability or the profitability of responsibility areas). To meet this requirement, profitability and sales accounting uses two tools (components): Profitability Analysis and Profit Center Accounting. Likewise, Overhead Cost Controlling and Product Cost Controlling offer different tools to meet different types of management requirements.

Internal Orders Order Type General Data Assignments Internal orders Details Period-End Closing Control Data The CO components can be divided into various groups. The classification indicates the general purpose of a given component. Management of an enterprise requires the use of different tools for different situations. If you want to analyze profit, for example, you need a tool appropriate to the desired perspective (for example, product profitability or the profitability of responsibility areas). To meet this requirement, profitability and sales accounting uses two tools (components): Profitability Analysis and Profit Center Accounting. Likewise, Overhead Cost Controlling and Product Cost Controlling offer different tools to meet different types of management requirements.

True and Statistical Objects in CO Cost Origin MM SD FI AA True Objects Statistical Objects Cost Center Internal Orders Statistical Order CO Cost Object Statistical Project Project Profitability Segment Networks Profit Center . . . . . . . . . . The CO components can be divided into various groups. The classification indicates the general purpose of a given component. Management of an enterprise requires the use of different tools for different situations. If you want to analyze profit, for example, you need a tool appropriate to the desired perspective (for example, product profitability or the profitability of responsibility areas). To meet this requirement, profitability and sales accounting uses two tools (components): Profitability Analysis and Profit Center Accounting. Likewise, Overhead Cost Controlling and Product Cost Controlling offer different tools to meet different types of management requirements.

Internal Order Types in M001: ZCA1 M001 - Cars ZFA1 M001 - Fairs ZIN1 M001 - Inv.orders Moulds ZIN2 M001 - Inv.orders R&D equipment ZIN3 M001 - Inv.orders Software projects ZPR1 M001 - R&D projects ZPR2 M001 - Sales projects ZPR3 M001 - Management projects ZPR4 M001 - Internat.projects (e.g.SAP proj.) The CO components can be divided into various groups. The classification indicates the general purpose of a given component. Management of an enterprise requires the use of different tools for different situations. If you want to analyze profit, for example, you need a tool appropriate to the desired perspective (for example, product profitability or the profitability of responsibility areas). To meet this requirement, profitability and sales accounting uses two tools (components): Profitability Analysis and Profit Center Accounting. Likewise, Overhead Cost Controlling and Product Cost Controlling offer different tools to meet different types of management requirements.

6840 6840 Master Data Groups M001 Cost Elements PL Cost Centers TOPM Internal Orders ZFA1 Profit centers Personnel 6840 6840 Trade Fairs Wages Salaries F1 F2 F3 Domestic Abroad The CO components can be divided into various groups. The classification indicates the general purpose of a given component. Management of an enterprise requires the use of different tools for different situations. If you want to analyze profit, for example, you need a tool appropriate to the desired perspective (for example, product profitability or the profitability of responsibility areas). To meet this requirement, profitability and sales accounting uses two tools (components): Profitability Analysis and Profit Center Accounting. Likewise, Overhead Cost Controlling and Product Cost Controlling offer different tools to meet different types of management requirements.

Planning and Planning Integration: Overview Introduction to Planning Planning in Cost Center Accounting using different Controlling methods Integrated Planning Cycle The CO components can be divided into various groups. The classification indicates the general purpose of a given component. Management of an enterprise requires the use of different tools for different situations. If you want to analyze profit, for example, you need a tool appropriate to the desired perspective (for example, product profitability or the profitability of responsibility areas). To meet this requirement, profitability and sales accounting uses two tools (components): Profitability Analysis and Profit Center Accounting. Likewise, Overhead Cost Controlling and Product Cost Controlling offer different tools to meet different types of management requirements.

Copy Plan and Actual Data Plan data Actual data Plan 2004 Version 1 Actual 2004 Copy: Cost Centers Profitability Segments . . Plan data Plan 2005 Version 1 Revaluation The CO components can be divided into various groups. The classification indicates the general purpose of a given component. Management of an enterprise requires the use of different tools for different situations. If you want to analyze profit, for example, you need a tool appropriate to the desired perspective (for example, product profitability or the profitability of responsibility areas). To meet this requirement, profitability and sales accounting uses two tools (components): Profitability Analysis and Profit Center Accounting. Likewise, Overhead Cost Controlling and Product Cost Controlling offer different tools to meet different types of management requirements.

Primary Cost Planning Cost Centers/Internal Orders Cost Center: Production Primary cost element 420000 Direct labor costs 421000 Indirect labor costs 430000 Wages/salaries 452000 Machines & equipment 471000 Machine rental 481000 Depreciation 490000 . . . Fixed costs 300,000 100,000 130,000 400,000 50,000 . . . The CO components can be divided into various groups. The classification indicates the general purpose of a given component. Management of an enterprise requires the use of different tools for different situations. If you want to analyze profit, for example, you need a tool appropriate to the desired perspective (for example, product profitability or the profitability of responsibility areas). To meet this requirement, profitability and sales accounting uses two tools (components): Profitability Analysis and Profit Center Accounting. Likewise, Overhead Cost Controlling and Product Cost Controlling offer different tools to meet different types of management requirements.

Cost Allocation Methods for Planning Costs Cost Center Overheads Distribution Assessment Cost center 1 Cost center 2 Cost center 3 The CO components can be divided into various groups. The classification indicates the general purpose of a given component. Management of an enterprise requires the use of different tools for different situations. If you want to analyze profit, for example, you need a tool appropriate to the desired perspective (for example, product profitability or the profitability of responsibility areas). To meet this requirement, profitability and sales accounting uses two tools (components): Profitability Analysis and Profit Center Accounting. Likewise, Overhead Cost Controlling and Product Cost Controlling offer different tools to meet different types of management requirements.

Pure Cost Allocations Simplest planning method Cost center Simplest planning method Analysis: Plan/actual or actual/actual comparison Cost center Proftblty seg. Order, project The CO components can be divided into various groups. The classification indicates the general purpose of a given component. Management of an enterprise requires the use of different tools for different situations. If you want to analyze profit, for example, you need a tool appropriate to the desired perspective (for example, product profitability or the profitability of responsibility areas). To meet this requirement, profitability and sales accounting uses two tools (components): Profitability Analysis and Profit Center Accounting. Likewise, Overhead Cost Controlling and Product Cost Controlling offer different tools to meet different types of management requirements.

Assigning Planning Methods to Controlling Methods (1) Simple planning options for overhead cost controlling Only cost planning Cost allocation using distribution and assessment  Only possible to compare actual/actual costs and plan/actual costs The CO components can be divided into various groups. The classification indicates the general purpose of a given component. Management of an enterprise requires the use of different tools for different situations. If you want to analyze profit, for example, you need a tool appropriate to the desired perspective (for example, product profitability or the profitability of responsibility areas). To meet this requirement, profitability and sales accounting uses two tools (components): Profitability Analysis and Profit Center Accounting. Likewise, Overhead Cost Controlling and Product Cost Controlling offer different tools to meet different types of management requirements.

Integrated Corporate Planning Strategic Procedure planned requirements Sales Planning LIS Profit Planning Sales Cost of goods manufactured / sold Template Routing Bill of material SOP LTP Material Cost Estimate Activity input quantity Process Input quantity Activity price Process price Cost center/ Activity type The CO components can be divided into various groups. The classification indicates the general purpose of a given component. Management of an enterprise requires the use of different tools for different situations. If you want to analyze profit, for example, you need a tool appropriate to the desired perspective (for example, product profitability or the profitability of responsibility areas). To meet this requirement, profitability and sales accounting uses two tools (components): Profitability Analysis and Profit Center Accounting. Likewise, Overhead Cost Controlling and Product Cost Controlling offer different tools to meet different types of management requirements.

Transferring Planned Values for Cost Centers PP Activity Requirements Cost Center Production Planning HR Personnel Costs Personnel COST CENTER PLANNING AA Depreciation/Interest Assets Statistical Key Figures Logistics Information System (LIS) The CO components can be divided into various groups. The classification indicates the general purpose of a given component. Management of an enterprise requires the use of different tools for different situations. If you want to analyze profit, for example, you need a tool appropriate to the desired perspective (for example, product profitability or the profitability of responsibility areas). To meet this requirement, profitability and sales accounting uses two tools (components): Profitability Analysis and Profit Center Accounting. Likewise, Overhead Cost Controlling and Product Cost Controlling offer different tools to meet different types of management requirements.

Posting to CO from Other Modules: Content Postings from other modules l Statistical and real postings The CO components can be divided into various groups. The classification indicates the general purpose of a given component. Management of an enterprise requires the use of different tools for different situations. If you want to analyze profit, for example, you need a tool appropriate to the desired perspective (for example, product profitability or the profitability of responsibility areas). To meet this requirement, profitability and sales accounting uses two tools (components): Profitability Analysis and Profit Center Accounting. Likewise, Overhead Cost Controlling and Product Cost Controlling offer different tools to meet different types of management requirements.

G/L Account (Bal. Sheet) Posting Logic FI Data Entry: Item 001 - G/L Account 420000 (P&L) - Amount - Controlling Object Item 002 - G/L Account 113100 (Bal. Sheet) FI Document # 1200000089 G/L Account 420000 (P&L) G/L Account (Bal. Sheet) 113100 Amount Amount CO Document # 1000000009 Controlling Object Cost element (420000) Amount The CO components can be divided into various groups. The classification indicates the general purpose of a given component. Management of an enterprise requires the use of different tools for different situations. If you want to analyze profit, for example, you need a tool appropriate to the desired perspective (for example, product profitability or the profitability of responsibility areas). To meet this requirement, profitability and sales accounting uses two tools (components): Profitability Analysis and Profit Center Accounting. Likewise, Overhead Cost Controlling and Product Cost Controlling offer different tools to meet different types of management requirements.

(with account assignment object) Commitments MM CO Purchase requisition (with account assignment object) Cost center 3105: Sales, vehicles Celem Commit. Actual Assigned 400000 500 0 500  500 0 500 Purchase order 1 2 Cost center 3105: Sales, vehicles Celem Commit. Actual Assigned Goods receipt 400000 0 500 500  0 500 500 The CO components can be divided into various groups. The classification indicates the general purpose of a given component. Management of an enterprise requires the use of different tools for different situations. If you want to analyze profit, for example, you need a tool appropriate to the desired perspective (for example, product profitability or the profitability of responsibility areas). To meet this requirement, profitability and sales accounting uses two tools (components): Profitability Analysis and Profit Center Accounting. Likewise, Overhead Cost Controlling and Product Cost Controlling offer different tools to meet different types of management requirements.

Transaction-Based Postings In CO: Contents Postings in Overhead Cost Controlling Postings in Cost Object Controlling Postings in Profitability and Sales Accounting Example Posting for Transfer Prices The CO components can be divided into various groups. The classification indicates the general purpose of a given component. Management of an enterprise requires the use of different tools for different situations. If you want to analyze profit, for example, you need a tool appropriate to the desired perspective (for example, product profitability or the profitability of responsibility areas). To meet this requirement, profitability and sales accounting uses two tools (components): Profitability Analysis and Profit Center Accounting. Likewise, Overhead Cost Controlling and Product Cost Controlling offer different tools to meet different types of management requirements.

FI CO Reposting Line Items Document no. 30012 473000 473000 113100 Kunde C Kunde B Kunde A Document no. 30012 CCtr 2100 473000 473000 113100 10,000 -10,000 CCtr 2100 10,000 -10,000 CCtr 2200 473000 10,000 Doc. no. 30012 The CO components can be divided into various groups. The classification indicates the general purpose of a given component. Management of an enterprise requires the use of different tools for different situations. If you want to analyze profit, for example, you need a tool appropriate to the desired perspective (for example, product profitability or the profitability of responsibility areas). To meet this requirement, profitability and sales accounting uses two tools (components): Profitability Analysis and Profit Center Accounting. Likewise, Overhead Cost Controlling and Product Cost Controlling offer different tools to meet different types of management requirements.

Period-End Postings in CO: Unit Contents Overhead Cost Controlling Cost Object Controlling Actual Costing/Material Ledger Profitability Analysis Schedule Manager Reconciliation Ledger The CO components can be divided into various groups. The classification indicates the general purpose of a given component. Management of an enterprise requires the use of different tools for different situations. If you want to analyze profit, for example, you need a tool appropriate to the desired perspective (for example, product profitability or the profitability of responsibility areas). To meet this requirement, profitability and sales accounting uses two tools (components): Profitability Analysis and Profit Center Accounting. Likewise, Overhead Cost Controlling and Product Cost Controlling offer different tools to meet different types of management requirements.

Periodic Activities in Overhead Cost Controlling Cost Centers Orders Sending Cost allocations - Accruals (on CCtr only) - Periodic reposting - Distribution - Assessment - Overheads - Order settlement Cost Centers Orders The CO components can be divided into various groups. The classification indicates the general purpose of a given component. Management of an enterprise requires the use of different tools for different situations. If you want to analyze profit, for example, you need a tool appropriate to the desired perspective (for example, product profitability or the profitability of responsibility areas). To meet this requirement, profitability and sales accounting uses two tools (components): Profitability Analysis and Profit Center Accounting. Likewise, Overhead Cost Controlling and Product Cost Controlling offer different tools to meet different types of management requirements. Receivers

Accrual Calculation: Percentage Method Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Wage costs 20,000 20,000 20,000 .... .... .... .... .... .... .... .... 20,000 2,000 2,000 2,000 .... .... .... .... .... .... .... .... 2,000 Rules for the periodic percentage method Accrued vacation bonus (10% of wage costs) Accrual cost object (Cost center or order) Accrual costs and effective actual costs Period 01 02 03 04 05 06 . . . 12 - 2,000 - 2,000 + 24,000 Paid vacation bonus: 24,000 The CO components can be divided into various groups. The classification indicates the general purpose of a given component. Management of an enterprise requires the use of different tools for different situations. If you want to analyze profit, for example, you need a tool appropriate to the desired perspective (for example, product profitability or the profitability of responsibility areas). To meet this requirement, profitability and sales accounting uses two tools (components): Profitability Analysis and Profit Center Accounting. Likewise, Overhead Cost Controlling and Product Cost Controlling offer different tools to meet different types of management requirements.

Distribution Cost Center: Electricity Electricity 416100 +23 000.- 416100 +23 000.- 416100 - 23 000 .- Electricity January Allocation Rule: Fixed Percentages 30% 20% 50% 4220 - Production, Pumps 4240 - Production, Paints/ Solvents 4260 - Production, Bulbs 416100 +6900.00 416100 +4600.00 416100 +11500.00 The CO components can be divided into various groups. The classification indicates the general purpose of a given component. Management of an enterprise requires the use of different tools for different situations. If you want to analyze profit, for example, you need a tool appropriate to the desired perspective (for example, product profitability or the profitability of responsibility areas). To meet this requirement, profitability and sales accounting uses two tools (components): Profitability Analysis and Profit Center Accounting. Likewise, Overhead Cost Controlling and Product Cost Controlling offer different tools to meet different types of management requirements.

Statistical Key Figure Assessment Cafeteria 420000 6,000 416000 1,000 612000 2,000  9,000 631000 -9,000 Assessment (cafeteria) 420000 Salary costs January 416100 Energy 612000 Maintenance Allocation Rule: Statistical Key Figure (Employees) Employees 30 Employees 10 Employees 50 1000 - Corporate Services 1220 - Vehicles 3200 - Marketing 631000 +3,000 631000 +1,000 631000 +5,000 The CO components can be divided into various groups. The classification indicates the general purpose of a given component. Management of an enterprise requires the use of different tools for different situations. If you want to analyze profit, for example, you need a tool appropriate to the desired perspective (for example, product profitability or the profitability of responsibility areas). To meet this requirement, profitability and sales accounting uses two tools (components): Profitability Analysis and Profit Center Accounting. Likewise, Overhead Cost Controlling and Product Cost Controlling offer different tools to meet different types of management requirements.

Overhead Overhead Rates Warehouse Warehouse Cost Center Credit from overhead calculation -200 Cost Object Costing sheet COGM Oil 1000 Overhead for storage 200 1 barrel Overhead Percentage 20% The CO components can be divided into various groups. The classification indicates the general purpose of a given component. Management of an enterprise requires the use of different tools for different situations. If you want to analyze profit, for example, you need a tool appropriate to the desired perspective (for example, product profitability or the profitability of responsibility areas). To meet this requirement, profitability and sales accounting uses two tools (components): Profitability Analysis and Profit Center Accounting. Likewise, Overhead Cost Controlling and Product Cost Controlling offer different tools to meet different types of management requirements.

Orders Order Settlement Possible Settlement Receivers Debits - Credits Cost center Order project Proftblty segment G/L Account Asset Sales order with cost collector ... Settlement Options: - By cost element or settlement cost element - Settlement rule to all cost elements or differentiated based on origin layout - Distribution: % / amount / equivalence number Debits - Credits = Order balance The CO components can be divided into various groups. The classification indicates the general purpose of a given component. Management of an enterprise requires the use of different tools for different situations. If you want to analyze profit, for example, you need a tool appropriate to the desired perspective (for example, product profitability or the profitability of responsibility areas). To meet this requirement, profitability and sales accounting uses two tools (components): Profitability Analysis and Profit Center Accounting. Likewise, Overhead Cost Controlling and Product Cost Controlling offer different tools to meet different types of management requirements.

Example of Period-End Closing in CO-OM (1) Asset Accounting Human Resources Investment Management Overhead rates Settlement of overhead cost orders Accrual calculation Periodic reposting Distribution The CO components can be divided into various groups. The classification indicates the general purpose of a given component. Management of an enterprise requires the use of different tools for different situations. If you want to analyze profit, for example, you need a tool appropriate to the desired perspective (for example, product profitability or the profitability of responsibility areas). To meet this requirement, profitability and sales accounting uses two tools (components): Profitability Analysis and Profit Center Accounting. Likewise, Overhead Cost Controlling and Product Cost Controlling offer different tools to meet different types of management requirements. Assessment

Reporting Tools: Contents Overview of Reporting Report Writer Reports Drilldown Reporting ABAP List Viewer (ALV) Report Definition with the Report Painter The CO components can be divided into various groups. The classification indicates the general purpose of a given component. Management of an enterprise requires the use of different tools for different situations. If you want to analyze profit, for example, you need a tool appropriate to the desired perspective (for example, product profitability or the profitability of responsibility areas). To meet this requirement, profitability and sales accounting uses two tools (components): Profitability Analysis and Profit Center Accounting. Likewise, Overhead Cost Controlling and Product Cost Controlling offer different tools to meet different types of management requirements.

Reporting Tools of CO Reporting tools: Report Painter/Report Writer Drilldown reports ABAP List Viewer (ALV) The CO components can be divided into various groups. The classification indicates the general purpose of a given component. Management of an enterprise requires the use of different tools for different situations. If you want to analyze profit, for example, you need a tool appropriate to the desired perspective (for example, product profitability or the profitability of responsibility areas). To meet this requirement, profitability and sales accounting uses two tools (components): Profitability Analysis and Profit Center Accounting. Likewise, Overhead Cost Controlling and Product Cost Controlling offer different tools to meet different types of management requirements.

Report Painter/Report Writer - Cost Element/Cost Center Actual/Plan: Profitability Report ***** Cost Element/Cost Center Actual/Plan ***** Reporting period .... 1 to 03 2000 Date 07/04/00 Cost Elements / Cost Centers Actual Costs Planned Costs Var. (abs.) ** Other administration costs 6,477,800.00 3,238,900.00 3,238,900.00 - 2210 Energy 112,000.00 56,000.00 56,000.00 - * 481000 Depreciation 112,000.00 56,000.00 56,000.00 ** Accrued costs 112,000.00 56,000.00 56,000.00 2110 Goods receipt 566,000.00 283,000.00 283,000.00 2120 Warehouse, receipt 849,000.00 424,500.00 424,500.00 2130 Warehouse, issue 1,414,999.84 707,499.92 707,499.92 - 2310 Building admin. 590,000.00 295,000.00 - 295,000.00 2320 Warehouse building 900,000.00 450,000.00 - 450,000.00 2330 Production building 1,340,000.00 670,000.00 - 670,000.00 * 511111 Assessment 2110 Goods receipt 1,277,159.92 638,579.96 638,579.96 - The CO components can be divided into various groups. The classification indicates the general purpose of a given component. Management of an enterprise requires the use of different tools for different situations. If you want to analyze profit, for example, you need a tool appropriate to the desired perspective (for example, product profitability or the profitability of responsibility areas). To meet this requirement, profitability and sales accounting uses two tools (components): Profitability Analysis and Profit Center Accounting. Likewise, Overhead Cost Controlling and Product Cost Controlling offer different tools to meet different types of management requirements.

Options in Report Writer Reports Graphics Internet Summation Level Export ** Debit ** Credit ** Overabsorption Threshold Value Print Number Format 100.00 Call Report 100 Sort Rows Show/Hide Rows The CO components can be divided into various groups. The classification indicates the general purpose of a given component. Management of an enterprise requires the use of different tools for different situations. If you want to analyze profit, for example, you need a tool appropriate to the desired perspective (for example, product profitability or the profitability of responsibility areas). To meet this requirement, profitability and sales accounting uses two tools (components): Profitability Analysis and Profit Center Accounting. Likewise, Overhead Cost Controlling and Product Cost Controlling offer different tools to meet different types of management requirements.

Sales Report: Divisions Drilldown Reporting Sales Report: Divisions Periods 1 - 7, 1999 Characteristics Division Revenue Cost of Sales CM1 Customer group Sales organization Material group 01 Auto 1,000,000 800,000 20% 02 Bicycle 250,000 150,000 16% 03 Parts 100,000 70,000 30% Division Revenue - Divisions Revenue 1,000,000 Cost of sales 800,000 CM1 200,000 CM1 % 20% Sales & admin. 50,000 1000000 500000 250000 The CO components can be divided into various groups. The classification indicates the general purpose of a given component. Management of an enterprise requires the use of different tools for different situations. If you want to analyze profit, for example, you need a tool appropriate to the desired perspective (for example, product profitability or the profitability of responsibility areas). To meet this requirement, profitability and sales accounting uses two tools (components): Profitability Analysis and Profit Center Accounting. Likewise, Overhead Cost Controlling and Product Cost Controlling offer different tools to meet different types of management requirements. Auto Bicycles Parts

Options for Drilldown Reporting Other Reports Currency Translation Graphics Print Customer Group Microsoft Excel 01 Retail 1,000,000 02 Wholesale 2,500,000 03 Investment1,500,000 04 Mail order 1,000,000 E-Mail Microsoft Word Hierarchies Attributes Street, City, Country Display Master Data The CO components can be divided into various groups. The classification indicates the general purpose of a given component. Management of an enterprise requires the use of different tools for different situations. If you want to analyze profit, for example, you need a tool appropriate to the desired perspective (for example, product profitability or the profitability of responsibility areas). To meet this requirement, profitability and sales accounting uses two tools (components): Profitability Analysis and Profit Center Accounting. Likewise, Overhead Cost Controlling and Product Cost Controlling offer different tools to meet different types of management requirements.

Interactive Information System Account Actual Costs Plan Costs Var.(abs.) Var.(%) 470000 rent 100,000 100,000 CO Documents 470000 Rent 60,000 cost center 470000 Rent 30,000 cost center 470000 Rent 10,000 cost center FI Document Debit 470000 Rent 10,000 Credit 113100 Bank 10,000- The CO components can be divided into various groups. The classification indicates the general purpose of a given component. Management of an enterprise requires the use of different tools for different situations. If you want to analyze profit, for example, you need a tool appropriate to the desired perspective (for example, product profitability or the profitability of responsibility areas). To meet this requirement, profitability and sales accounting uses two tools (components): Profitability Analysis and Profit Center Accounting. Likewise, Overhead Cost Controlling and Product Cost Controlling offer different tools to meet different types of management requirements.

ABAP List Viewer CCtr CElem Total qty entered Unit 4220 619000 819,083 Column selection Column set Column name Column name Cost center Costs Cost element Plant Quantity ... Unit ... CCtr CElem Total qty entered Unit ... 4220 619000 819,083 h 4220 619000 105,500 h 4220 620000 1001,000 h Save as layout 4220 620000 1476,111 h 4230 619000 105,500 h Layout Layout name Default setting 4230 619000 77,747 h 1SAP Primary cost posting 4230 619000 1102,800 h 2SAP Secondary costs: Activity 4230 620000 35,001 h 3SAP Sec. costs: Val. alloc. 4230 620000 3,125 h Layout: Name: /AC040 4230 625000 10,000 h Activity allocation 4230 625000 5,500 h The CO components can be divided into various groups. The classification indicates the general purpose of a given component. Management of an enterprise requires the use of different tools for different situations. If you want to analyze profit, for example, you need a tool appropriate to the desired perspective (for example, product profitability or the profitability of responsibility areas). To meet this requirement, profitability and sales accounting uses two tools (components): Profitability Analysis and Profit Center Accounting. Likewise, Overhead Cost Controlling and Product Cost Controlling offer different tools to meet different types of management requirements. User-specific 4230 625000 82,030 h