Introduction To SAP CO | How is It Different from SAP FI?

To begin with, SAP CO (SAP controlling) is a module of the SAP ERP. It enables the planning, recording, and tracking of business transactions. In addition, it consists of various methods that help in monitoring and managing costs for financial reporting. Above all, its use within an organization results in better coordination, optimization, and monitoring of all the business processes. Many institutions provide SAP CO Course in Delhi and one can enroll in them to learn this and start a career in it. 

Sub-Modules of SAP CO

• Cost Element Accounting- This sub-module provides you with an overview of a company's costs and revenues. In addition, it analyzes the reports of profit and loss statements of an organization and only calculates the costs that do not have other expenses. Above all, it represents their matching cost and revenue element accounts and describes the costs' origin and the cost component.
• Cost Center Accounting- It helps in controlling the expenses of a company and focuses on expenses rather than revenue. In addition, it deals with the cost of internal divisions such as the production of materials, sales, marketing, or human resources and helps in managing these costs. 
• Activity-Based-Accounting- This sub-module focuses on analyzing the cross-departmental business processes. In addition, it helps in getting a better grasp of the cost and allows companies to form a better and appropriate pricing strategy. 
• Internal Orders- It maintains the expenses that have taken place during the internal projects within the organization. In addition, they record the project expenses and help in settling the cost to the cost receiver. Above all, these are responsible for monitoring the part of costs in an organization. 
• Product Cost Controlling- It manages the cost data that generate the products and services of the company. In addition, it calculates the cost of manufacturing a product or service along with calculating its marketing price. Above all, it analyses the product costing in detail and controls the production cost, thus, driving the company's profitability. 
• Profitability Analysis- This sub-module analyzes the company's profitability or losses and provides insights regarding it. In addition, it facilitates decision-making on product pricing, distribution networks, and target consumer segment. Above all, it acts as the base for decision-making and enables the levels of detail in the analysis of profitability or losses. 
• Profit Center Accounting- It manages the profits that come from different business lines of a company. In addition, it also manages both costs and revenue and is responsible for evaluating the profit or loss of an individual, independent area within an organization. Moreover, you can analyze fixed assets through it and use them as investment centers.

Difference Between SAP FI & SAP CO

SAP CO facilitates planning and decision-making for the internal needs of an organization. In addition, it helps in analyzing the internal sources of funding. It includes tools such as Cost center reports, Sales & profit analysis. Etc. To further know about this module, one can visit institutions that provide SAP CO Course in Noida. 

On the other hand, SAP FI is responsible for generating and supervising the financial statements for reporting purposes. In addition, it facilitates the analysis of external sources of financing and obtaining of funds. It includes tools such as balance sheets, cash flow, and income statements. 

Conclusion

SAP CO (controlling) is one of the modules of the SAP ERP that helps in planning, recording, and tracking various business transactions. In addition, it helps in monitoring and managing costs for financial reporting and results in monitoring and managing costs for financial reporting. SAP CO consists of a few sub-modules such as Cost Element Accounting, Activity-Based-Accounting, Product Cost Controlling, Profitability Analysis, Profit Center Accounting. Etc.