Gain a deep understanding of the levers affecting organisational costs and profitability with the SAP BusinessObjects Profitability and Cost Management application.

Improving profitability involves more than a headlong pursuit to increase revenues and slash costs. It's the ability to identify your most valuable customers and products, while testing the impact that changes in pricing and process improvements have on costs and profitability. This can give you the insight to act decisively with a clear understanding of what the outcome will be.

SAP BusinessObjects Profitability and Cost Management can empower you to accurately and effectively measure product, customer and channel profitability – and develop and dynamically test out ways to improve the same. By leveraging flexible activity-based costing (ABC) methodologies, you can gain better insight into the cost of business activities in both operational and shared services areas – so you can quickly identify ways to manage costs and optimise profitability.

SAP BusinessObjects Profitability and Cost Management, part of the SAP BusinessObjects Enterprise performance management solutions, provides a number of business benefits, including:

• Visibility into the true drivers that impact costs and profitability such as IT and other shared services
• Optimised financial performance thanks to a detailed understanding of the cost and profitability of products, services, customers and channels
• Alignment that keeps capacity in step with demand
• Incisive decision making due to rapid identification of the underlying causes of changes in organisational cost and profitability, with the capability to test the impact of potential adjustments

Learn more about how SAP BusinessObjects Profitability and Cost Management can help you to optimise the following processes:

• Cost and profitability reporting – Identify the sources of organisational cost and profitability with accurate and detailed reporting by line of business, customer, product, supplier, channel, account, route, sales order line, transaction, cost-to-serve or any other dimension of your business.
• Collect data and report to employees and stakeholders through an easily deployed Web interface
• Define and apply multidimensional analyses across customers, products, channels, suppliers, and any additional areas defined by you

SAP BusinessObjects Profitability and Cost Management supports the following activities:

• Cost and profitability reporting – Identify the sources of organisational cost and profitability with accurate and detailed reporting by line of business, customer, product, supplier, channel, account, route, sales order line, transaction, cost-to-serve or any other dimension of your business.
• Process costing – Pinpoint your business process costs, improve your understanding of company-wide expenses, and reveal problem areas so you can eliminate bottlenecks and wasteful activities.
• Complex capacity and resource modelling – Leverage driver-based and activity-based business scenario modelling, using an activity-based costing model for what-if scenarios. Model resources and capacity – then feed changes into the related budgeting and planning models included in SAP BusinessObjects EPM solutions.
• Services costing and cross-charging – Establish better alignment and efficient cross-charging of your IT and other shared services costs.