What is cost analysis in SAP EPM-PCM - SAP BusinessObjects Profitability and Cost Management?

SAP Term: cost analysis

• Component: EPM-PCM

• Component Name: SAP BusinessObjects Profitability and Cost Management

• Description: The examination, quantification and explanation of costs in a business.

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• Key Concepts: 
  Cost analysis is a feature of SAP BusinessObjects Profitability and Cost Management (EPM-PCM) that allows users to analyze the cost structure of their business. It enables users to identify cost drivers, analyze cost trends, and compare actual costs to budgeted costs. Cost analysis also provides insights into the profitability of different products and services. 
  
  How to use it: 
  To use cost analysis in SAP BusinessObjects Profitability and Cost Management, users must first define their cost structure. This includes setting up cost objects, such as products or services, and assigning costs to them. Once the cost structure is defined, users can then use the cost analysis feature to analyze the costs associated with each object. 
  
  Tips & Tricks: 
  When setting up the cost structure for cost analysis, it is important to ensure that all costs are accurately assigned to the correct objects. This will ensure that the results of the cost analysis are accurate and reliable. Additionally, it is important to regularly review and update the cost structure as needed in order to keep the results of the cost analysis up-to-date. 
  
  Related Information: 
  Cost analysis is closely related to other features of SAP BusinessObjects Profitability and Cost Management, such as profitability analysis and activity-based costing. Additionally, it can be used in conjunction with other features of SAP BusinessObjects, such as reporting and analytics.