Question Re: Cost Centre Segreggation in Financial Management Q&A

Cost Centre Segreggation

CMA_Rishabh_Jain — Fri, 31 May 2024 12:36:45 GMT

Dear All,

Currently I am working in an organization dealing in Distribution of Electricity, In this organization we are going to review and change the cost centre's. Therefore I need your help in learning how cost centre's work in SAP, along with any SAP Documentation related to it. Also, can we have multi level cost centre in sap or cost group where I can make a group of multiple cost centre and get reports related to cost according to it.

Thanks & Regards

CMA Rishabh Jain

Re: Cost Centre Segreggation

canarendra — Fri, 31 May 2024 17:12:11 GMT

Hello Rishabh,

You can create additional hierarchy for cost center reporting and group relevant cost centers. Use KSH1 to create hierarchy and group cost centers.

regards

Narendra

Re: Cost Centre Segreggation

sanilbhandari — Mon, 03 Jun 2024 06:29:26 GMT

Hi @CMA_Rishabh_Jain

You could look at Fiori App "Manage Cost Center" (Fiori ID - F1443A) to display existing cost center, create new or modify the existing ones. The SAP Help documentation for the fiori app is as below:

SAP Fiori Apps Reference Library (ondemand.com)

There is also a fiori app to display the line items for a cost center (Firoi App: F4023), which might be helpful for reporting, that you are looking for. The help documentation on the same is available as below:

SAP Fiori Apps Reference Library (ondemand.com)

Thanks & Regards

Sanil Bhandari

Re: Cost Centre Segreggation

ABID_AQEEL — Wed, 05 Jun 2024 10:08:31 GMT

Cost centers are cost drivers that carry the costs for any department, location, or person. There is a structure developed at the Controlling Area level called the Standard Hierarchy. For instance, if the Electricity department requires separate reporting, you can create a new node in the existing Controlling Area hierarchy. This node, also known as a cost center group, can be used for reporting and allocation purposes.

If you need to change any details of a cost center, you can modify specific attributes. However, you cannot change integrated objects like the profit center or cost element category once costs have been posted.

For further understanding, you can explore free learning content on SAP.

https://learning.sap.com/learning-journeys/performing-overhead-cost-controlling-in-sap-s-4hana/using-internal-orders_fb96cf93-18ac-4c8e-96fc-c63b65f2af0f

Abid Aqeel