Controlling Cost Centers

Controlling Cost Cent

Course Overview Objectives

Provide an overview of the CO module

Identify CO master data terminology and concepts

Understand the cost center process

List the triggers for changes to the cost center hierarchy

Describe the various tools for creating, changing, deleting, and

displaying cost centers/cost center groups

Explain the various CO master data roles

Controlling Cost Cent

Overview of Controlling (CO)

Definition

Controlling (CO) represents the Countys flow of cost and

revenue. It is also a management instrument for organizational
decisions.
Controlling facilitates coordination, monitoring and
optimization of all processes in an organization.
Controlling (CO) and Financial Accounting (FI) are independent
components in the SAP R/3 system. However, the two
components are tightly integrated and the data flow between
the two components takes place on a regular basis.

Controlling Cost Cent

SAP Financial and Purchasing Components

FI

General
Ledger

The Top book of financial

records

FI

Accounts
Payable

Manages vendor invoices

FI

Accounts
Receivable

Manages customer billing

FI

Asset
Accounting

Manages fixed assets and

depreciation
Manages responsibility
accounting

CO

Controlling

MM

Materials
Management

Manages purchasing/inventory
management

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What Goes Where

HR/Materials
Management
Modules
PAYROLL

PURCHASING

INVENTORY
MANAGEMENT

FI Module
ASSETS
ACCOUNT
S
PAYABLE

ACCOUNTS
RECEIVABL
E

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Other
Financial
Modules

FUNDS
MANAGEMENT

CONTROLLING

GRANTS
MANAGEMENT

Key CO Terminology:

Cost Center

Cost Center Group

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Cost Center
Areas of responsibility in the County that incur
costs.
Examples:
Tax Assessor Administration
Tax Motor Vehicle
Tax Automation
Human Resources Administration
Human Resources Benefits
etc.
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Cost Center

(continued)

As cost centers are created, the following attributes are defined:

Cost Center ID Number (10 digits)
Validity Period
Name (up to 20 characters)
Description (up to 40 characters)
Person Responsible (department head)
Department
Cost Center Category (ex: Admin)
Hierarchy Area (ex: Human Resources) [name of cost center group (dept)]
Business Area (use 1000*)

* For CSCD State, use 2000.

Controlling Cost Cent

Cost Center Group

A hierarchical group of cost centers.
Examples:
Elections
Tax
Human Resources
etc.

After a cost center group is created, cost centers

are assigned to that group.
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Cost Center Group

(continued)

As cost center groups are created, the following

attributes are defined:

Cost Center Group Name (10 characters, no spaces)

Description (up to 40 characters)

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Cost Center Group

Examples:

(continued)

= cost center;
= cost center group;
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Create/Change Cost Centers Business

Process
1. Create Cost
Center Group
Within Hierarchy
2.Create/Change
Cost Centers

5. Make Changes
To Cost
Centers/Groups

4. Assign Cost
Center To
Funds
Management*
* Performed in
Funds Management module

3. Assign
Cost Center
To
Hierarchy
(Cost Center
Group)

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Process Triggers and Outputs

(cost center groups)
Process:

Trigger:

Output:

Create a new
cost center
group (OKEON)

Business need for a

new cost center
group.

Updated cost
center hierarchy.

Change a cost
center group
(OKEON)

Business need to
change an existing
cost center group.

Updated cost
center hierarchy.

Business need to
move an existing cost
center group to a
new location in cost
center hierarchy.

Updated cost
center hierarchy.

Unneeded cost
center group.

Updated cost
center hierarchy.

Move a cost
center group
(OKEON)

Delete a cost
center group
(KSH2)

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Process Triggers and Outputs

(cost center)
Process:

Trigger:

Output:

Create a new
cost center
(OKEON)

Business need for a

new cost center.

Updated cost
center hierarchy.

Change a cost
center
(OKEON)

Business need to
change an existing
cost center.

Updated cost
center hierarchy.

Business need to
move an existing cost
center to a new cost
center group.

Updated cost
center hierarchy.

Unneeded cost
center.

Updated cost
center hierarchy.

Move a cost
center (OKEON)

Delete a cost
center (KS04)

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1. Creating Cost Center

Groups
TWO OPTIONS:
A. Manual Method (KSH1)

B. Standard Hierarchy Tool* (OKEON)

*Note: The Standard Hierarchy Tool allows the

user to view the existing cost center hierarchy as
they are creating their new cost center group.

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1. Creating Cost Center

Groups (continued)
A. Manual Method (KSH1)

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1. Creating Cost Center

Groups (continued)
B. Standard Hierarchy Tool (OKEON)

- used to specify timeframe for changes/updates. Must be

checked before using the Standard Hierarchy tool.

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2. Creating/Changing/Deleting
Cost Centers
OPTIONS:
A. Create A Cost Center (KS01)
B. Change A Cost Center (KS02)
C. Delete A Cost Center (KS04)
D. Collective Processing of Cost Centers
Change (KS12)

Delete (KS14)

Standard Hierarchy Tool* (OKEON)

*Note: The Standard Hierarchy Tool allows the user to view the
existing cost center hierarchy as they are creating, changing,
or moving cost centers.

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2. Creating A Cost Center

A. Create A Cost Center (KS01)

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2. Changing A Cost Center

B. Change A Cost Center (KS02)

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2. Deleting A Cost Center

C. Delete A Cost Center (KS04)

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2. Collective Processing of
Cost Centers
D. Collective Processing Change (KS12)

- used to drill down and change a cost center;

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2. Collective Processing of
Cost Centers
D. Collective Processing Delete (KS14)

Note: Reexecute with Test Run indicator removed after successful test.

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2. Collective Processing of
Cost Centers
D. Standard Hierarchy Tool (OKEON)

= create;

= copy;
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3. Assign Cost Center to

Hierarchy
OPTIONS:
A. Individual Processing of A Cost Center
Create (KS01)
Change (KS02)
B. Collective Processing of Cost Centers
Change (KS12)
Standard Hierarchy Tool* (OKEON)
* Can be used to drag and drop a cost center to a new cost center group.

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4. Assign Cost Center to Funds

Management (done in Funds Mgmt)
Controlling
(Managerial Reporting)

Funds Management
(Budget Control)
Fundscenter
center#1
#1
Funds
FundABC
ABC
Fund

Cost Objects

Commitment Actual Budget

Commitment Actual Budget

Cost center #6

Salaries
$60,000 $70,000
Salaries
$60,000 $70,000
Operating
15,000 25,000
Operating
15,000 25,000
Total
Total

75,000 95,000
75,000 95,000

Cost center #7
Cost element

Wages
Overtime
Travel
Utilities
Total

Actual

Plan

$10,000 $11,000
3,000
4,000
6,000
6,000
4,000
3,000
23,000 24,000

Funds center #2
Fund DEF
Commitment Actual

Salaries
Operating
Total

Budget control
is at the
combination of
the fund/funds
center/
commitment
item/functional
area

Budget

$40,000 $50,000
15,000 35,000
55,000

85,000

Note: There is a one to one relationship of cost centers to funds centers.

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5. Make Changes To Cost

Centers/Cost Center Groups
OPTIONS:
A. Cost Center Group Changes
Change A Cost Center Group (KSH1)
Collective Processing of Cost Center Groups
Standard Hierarchy Tool (OKEON)
B. Cost Center Changes
Change A Cost Center (KS02)
Delete A Cost Center (KS04)
Collective Processing of Cost Centers
Change (KS12)
Standard Hierarchy Tool (OKEON)

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Display Transaction Codes for

Centers/Cost Center Groups
DISPLAY OPTIONS:
A. Cost Centers
Display A Cost Center (KS03)
Display Standard Hierarchy Tool (OKENN)

B. Cost Center Groups

Display A Cost Center (KSH3)
Display Standard Hierarchy Tool (OKENN)

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CO Roles/
Authorized Transactions
A. CO Display Role Display A Cost Center (KS03)
Display Standard Hierarchy Tool (OKENN)
B. CO Master Data Role Create A Cost Center (KS01)
Change A Cost Center (KS02)
Delete A Cost Center (KS04)

Collectively Change Cost Centers (KS12)

Collectively Delete Cost Centers (KS14)

Standard Hierarchy Tool (OKEON)

Create Cost Center Group (KSH1)

Change Cost Center Group (KSH2)

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Course Overview Summary

You should now be able to:

Provide an overview of the CO module

Identify CO master data terminology and concepts

Understand the cost center process

List the triggers for changes to the cost center hierarchy

Describe the various tools for creating, changing, deleting,

and displaying cost centers/cost center groups

Explain the various CO master data roles

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Accessing Training Materials

All TITAN training materials for Phase II are stored on the Tarrant County
website
This website is accessed through your Internet Explorer from any computer
that has internet access; you do not have to be on the Tarrant County
network. The URL for direct link to the Training Materials website is:
http://www.tarrantcounty.com/titan/lib/titan/training/index.asp

Set up this website as a favorite in your web browser for quick future access

Enter the URL above in the address

field in your browser
When you reach the website, go to
Favorites > Add to Favorites in the
Browser menu
A pop-up window will be displayed with
a default name for the site. Click OK.
To access this site in the future, just
click on the Favorites item in the menu
and highlight the name for the website.
You will go directly to the website.

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Accessing Training Materials

(contd)

Review the instruction page to see how to use the website

Click on the Courseware link at the top of the Instruction page

A Listing of Courses will be displayed

Click on the Course Title to see a general description of the content

of the course
or

Click on one of the buttons beside the Course Title to go directly to

either the Overview, Quick Reference Cards, or Tutorials

These training materials will be available for your use and reference
at any time

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Running Tutorials

An additional learning tool is being provided with the Phase II SAP

implementation -- Tutorials

Tutorials are simulations of the SAP system that take you through a
transaction step-by-step in a mock SAP environment.

These can be viewed in two ways:

As a movie that takes you through the transaction in a demonstration, or

As an interactive, hands-on practice session that stops on each screen and
directs you to make entries in fields or take actions per instructions provided
by the wizard and in the bubbles

Tutorials are provided with each course in the Finance and Purchasing
training

A list of the tutorials is provided at the end of each course.

Go to the Training Materials website to access and run these tutorials.

Detailed instructions are provided on the website

Happy Tutoring!!
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Training Sandbox
An SAP environment (Training Sandbox) where you can practice your
skills in a real instance of SAP will be available after June 18
The sandbox can be accessed through the standard logon process
discussed in Lesson 2 of the SAP Basic Navigation course
The only differences are:
Highlight the Training environment on the Logon pad
Click logon
Enter 520 in the Client field
Enter the same User Id and Password you are assigned for Production
Feel free to practice any of the tasks in the basic navigation course and
any of the transactions included in other courses you take. Use the
Quick Reference Cards to walk you through the transactions.

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Getting Help
1

Review the on-line help in SAP

Review your training materials

and notes.

Ask your peers or super user for

assistance.

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Tarrant County Help

Problems with running tutorials?
Training Mailbox

titansaptraining@tarrantcounty.com

After utilizing the various methods of help on the

previous page, if you still have questions or
problems
or

If you have problems at any time with accessing

SAP, printing, computer or network problems, etc.
Contact the Tarrant County IT Help Desk at
817-884-3507

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