SAP FICO stands for (Financial Accounting and Controlling), SAP Financial Accounting and Controlling module can be integrated with all other SAP modules include Material Management, Sales and distribution, Production planning, Human resource Management, Material Management etc.
The SAP FI Module has the capability of meeting all the accounting and financial needs of an organization. It is within this module that Financial Managers as well as other Managers within your business can review the financial position of the company in real time as compared to legacy systems which often times require overnight updates before financial statements can be generated and run for management review.
The real-time functionality of the SAP modules allows for better decision making and strategic planning. The FI (Financial Accounting) Module integrates with other SAP Modules such as MM (Materials Management), PP (Production Planning), SD (Sales and Distribution), PM (Plant Maintenance), and PS (Project Systems).
The FI Module also integrates with HR (Human Resources) which includes PM (Personnel Management), Time Management, Travel Management, Payroll. Document transactions occurring within the specific modules generate account postings via account determination tables.
SAP FICO Financial Accounting and Controlling Module is a combination of two ERP modules, i.e., Finance Accounting (FI) and Controlling (CO) and this FICO module is used in financial fields to generate analytical reports.
This Tutorial for beginners explains what SAP FICO. This Online Tutorial gives brief understanding of SAP Financial Accounting and Controlling module concepts and with examples,
To Create Statistical key figures relating to cost centers, profit centers, and overhead cost orders. statistical key figures may also be a value representing the services provided by one particular cost center.
Statistical key figures are represents activities or statistics … Read More
You can create or change cost centers either using the relevant menu entry or directly in the standard hierarchy maintenance function.
Cost Centers that are created or changed from within the standard hierarchy have the status ‘Inactive’, that is, they … Read More
Secondary cost elements are like production costs, material overheads, production overheads, they can be created and administered in only CO. These are used in internal cost allocation, overhead calculation, settlement transactions., it does not flow to FI.
When cost element … Read More
A profit center accounting is a division within the entity that is treated separate from the corporation. A profit center is a stand-alone section of the corporation that is required to generate its own profits and perform its own accounting.… Read More
SAP Internal Order is a cost object that collects costs for the management information system and, in some instances, revenues for an organization. IOs can be used to:
■ Monitor the costs of short-term measures… Read More
Foreign Currency Transactions:
There three types of Exchange rates defined by SAP,
Path: SAP⇒SAP Netweaver… Read More
Every one ant to know How to Create Cost Center in SAP?. The answer Cost Centre are used to track where cost occur in the organization. As costs are incurred, they are assigned or posted to the appropriate cost center. … Read More