What is cost distribution in SAP TM - Transportation Management?

SAP Term: cost distribution

• Component: TM

• Component Name: Transportation Management

• Description: The division of the total cost of a freight order to lower-level objects such as a forwarding order or an ERP item. Cost distribution enables you to allocate costs from the level of a freight order to the level of the individual product or forwarding order that make up the freight order.

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• Key Concepts: 
  Cost distribution in SAP Transportation Management (TM) is the process of allocating costs associated with transportation activities to the appropriate cost centers. This includes costs such as freight, fuel, and other related expenses. The cost distribution process helps to ensure that the costs are accurately allocated and tracked.
  
  How to use it: 
  In SAP TM, cost distribution is done through the Cost Distribution module. This module allows users to define cost centers and assign them to different transportation activities. The cost centers can then be used to track and allocate costs associated with those activities. Additionally, users can also define rules for how costs should be distributed among different cost centers. 
  
  Tips & Tricks: 
  When setting up cost distribution in SAP TM, it is important to ensure that the cost centers are properly defined and assigned to the appropriate activities. Additionally, it is important to ensure that the rules for cost distribution are properly set up so that costs are accurately allocated. 
  
  Related Information: 
  For more information on cost distribution in SAP TM, please refer to the official SAP documentation here: https://help.sap.com/viewer/product/SAP_TRANSPORTATION_MANAGEMENT/9.6/en-US/f8d7f3a2b7c14e8a9f3d2b5f9c1e4d6a.html