Ever wondered when to consider using PCM Profitabiltiy and Cost Management ? Or what to use it for ?
Well, here are a couple of ideas based on PCM's features and functionality that allow for immediate adoption. Deployment can be based on standard, pre-configured or custom-developed scenarios.
Value Chain Costing
- Cost assignments and re-allocations for primary and support activities
- Activity Based Costing, Activity Based Budgeting and Planning, Driver-based Budgeting
- Cost driver, Rule or Time Driven oriented cost calculations
- Cost-To-Serve, IT Shared Services
Profit Management
- Profitability and margin-insight for Customer, Product or other relevant business segments
- Cost-breakdown (with trace-back) for bottom-line understanding of performance
Modeling & Simulation
- Powerful ‘what-if' analysis for enterprise optimization
- On-demand calculations of impact on cost and profit
Cost and Profit Analytics
- Standardization of performance management cycle activities (set goals, model and plan, analyze and report, optimize)
- Packaged analytical views or applications to support decision making and business management
NEW: Modeling & Simulation for SAP ERP CO
- Extraction of CO-CCA and CO-PA baseline information and modeling of selected functions and processes in PCM
- Scenario analysis of changes to cost and cost structure and ‘write-back' of results to SAP ERP CO
Distributed Models
Packaging of functions and processes of the overall value chain in manageable models, consolidation in entity-level model
Optimization of creation and maintenance in large scale SAP ERP CO implementation projects
Indirect cost costing engine
- Separation of COGS and Indirect cost calculation accommodates continuation of existing manufacturing solutions
- Grouping and reporting in Data Warehouse for consolidated, end-user oriented reporting
NEW: "Going Green' with PCM
- Leverage of standard PCM data objects and reporting and for the "going green" status and progress in the organization
- Ability to report consumption of "green" resources, internal activities and processes and application in customer facing products and processes
IT Shared Services
- Solution set (leveraging ITIL standard) to compose and cost your IT organizations activities and capacities
NEW: Lean Accounting
- Manufacturing oriented solution to report and manage your organization in ‘lean accounting' terms
NEW: Airline Route Profitability
- Airline oriented solution to gain insight into route cost (factors) and route profitability
Budgeting and Planning
- Cost management (in-depth) functionality, complement and data input for BPC based budgeting and planning processes
- Activity focus, cost re-assignments, product / customer and activity output based (causal) calculation of resources requirements and cost, fixed and variable cost consideration, treatment of utilization variances, capacity management (unused capacity cost, capacity constraints)
Any other ideas out there ?