What is primary cost component split in SAP CO - Controlling?

SAP Term: primary cost component split

• Component: CO

• Component Name: Controlling

• Description: A structure that groups the costs of an activity type, a process or a material into cost components. In Overhead Cost -OM, the primary cost component split provides information on the makeup of the price for an activity type. In Product Cost -PC, the primary cost component split Release 4.0 is an alternative way of grouping the cost of goods manufactured that shows the primary costs for internal activities.

Smart SAP Assistant

• Key Concepts: 
  Primary cost component split is a feature of SAP Controlling (CO) that allows users to divide costs into different components. This feature is useful for analyzing and managing costs, as it allows users to break down costs into more manageable pieces. It also helps to identify the sources of costs and how they are distributed. 
  
  How to use it: 
  To use the primary cost component split feature, users must first define the cost components they want to use. This can be done in the Cost Component Structure (KSSK) in the SAP system. Once the cost components have been defined, users can assign them to cost objects such as orders, projects, and activities. The cost components can then be used to analyze and manage costs. 
  
  Tips & Tricks: 
  When using the primary cost component split feature, it is important to ensure that all cost components are properly assigned to the correct cost objects. This will help ensure that all costs are accurately tracked and analyzed. Additionally, it is important to keep track of any changes made to the cost components, as this can affect how costs are allocated and analyzed. 
  
  Related Information: 
  For more information on primary cost component split, please refer to SAP Help documentation or contact your local SAP support team. Additionally, there are many online resources available that provide detailed information on how to use this feature in SAP Controlling (CO).