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CO overview

Organizations that determine costs are referred to as cost collectors, and can be categorized into the following types:

1. Cost Center

The cost center is used to determine the costs of the entire company organization.
Ex. Costs such as the administrative overhead and sales/production costs needs to be determined for each division.

2. Internal Order

It is used when comprehending the cost, regardless of corporate organization.
Ex. Regarding the Initial expenses & the Repair expense, these cost need to be managed by each case.

3. Profitability Analysis

Profitability analysis is used to determine the balance of payment by production/construction for sales and costs from various viewpoints (organizations, materials, customers, etc.).

4. WBS Element (PS : Project Management)

The basic concept is the same as internal orders, but the WBS elements have greater functionality.
Thus, if costs are mainly managed by construction or by event, this option should be used to determine costs .
It manages sales in addition to costs.