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Cost Centre Segreggation

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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

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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.


Abid Aqeel