22 September, 2020
Welcome to SAP COPA Tutorials. The objective of these tutorials is to provide an in-depth understanding of SAP COPA. In addition to free SAP COPA Tutorials, we will cover common interview questions, issues, and how to’s of SAP COPA.
SAP COPA is a submodule coming under the CO module. PA stands for profitability analysis. As the name says this module acts as a strategic & financial reporting tool for analyzing the profitability based on different segments.
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SAP CO ( Controlling ) is on the functional module and it provides you with information for management decision-making. It facilitates coordination, monitoring, and optimization of all processes in an organization. This involves recording both the consumption of production factors and the services provided by an organization. Controlling (CO) and Financial Accounting (FI) are independent components in the SAP system. The data flow between the two components takes place on a regular basis.
CO-PA allows us to take in non SAP standard data by using External Data Transfer, but the major benefit of CO-PA is that it has close relation with the SAP SD module. SD profitability data is automatically sent forward and stored within the same system. In fact, the SAP SD module without CO-PA Profitability Analysis is like air without oxygen. It is pointless using SAP without it.
CO-PA is especially important since it is the only module that shows financial figures which is appropriate in terms of cost-revenue perspective. For this reason, BW(BI) is taking data from CO-PA on many projects. BW(BI) consultants are sometimes setting up CO-PA without FI/CO consultants' knowing. CO-PA captures the cost of goods sold (COGS) and revenue at billing (FI release) at the same time (cost-based CO-PA). This becomes important when there is a timing difference between shipment and customer acceptance. COGS should not be recognized, but the FI module automatically creates COGS entry at shipment, while revenue entry will not be created until billing (or FI release). Such a case happens when for example customers will not accept payment unless they finish quality inspection, or for example when goods delivery takes months because goods are sent across by ocean, etc.. [pdekyvere: It is especially delicate to customize the Copa info source to map to your specific operating concern.
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