Customer, Product, and Channel Profitability Analysis: The Importance of Activity-Based Costing

by SAP, 08 July 2010

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topics:
Enterprise Software and Systems Technology

tags:
activity-based costing cost management policies customer relationships data management enterprise performance management SAP

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Few organizations have really tackled the issue of accurate profitability reporting based on an activity-centric costing approach. Businesses believe they are viewing accurate customer information, but are misguided by their profitability figures and are making inaccurate or inappropriate management decisions.

In this paper:

How the SAP BusinessObjects Profitability and Cost Management application leverages activity-based costing for robust customer, product, and channel profitability analysis
How best to utilize various methodologies
What represents best practice for calculating the cost of high-volume customer accounts, sales order lines, or SKUs

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SAP

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