The 123s of ABC in SAP

9INTEGRATED ACTIVITY-BASED COSTING

Given that integrated ABC is the core subject of this book, it would make sense for this chapter to be somewhere at the beginning instead of the end of the book. However, all the previous chapters served to establish the building blocks necessary to highlight the key concepts of SAP R/3 integrated ABC and the benefits derived from its utilization. As depicted in Exhibit 9.1, the philosophical groundwork has been laid. The conceptual requirements for the overall view, established. The operational aspects of integrated ABC with the other Controlling module components have been addressed in each chapter, focusing on a specific area of integration. This chapter pulls together the most important points addressed so far in order to provide a complete picture of the integrated ABC capabilities and the impacts of ABC’s application throughout an organization.

Exhibit 9.1 Chapter Building Blocks

INTEGRATED ACTIVITY-BASED COSTING CAPABILITIES

Many aspects can be considered the key functionality of the integrated ABC capabilities. These will be highlighted throughout this chapter. However, when focusing on the most beneficial aspects of integrated ABC, several core concepts clearly have predominance. These concepts focus on eliminating systematic issues often encountered when designing ABC models. The largest drawbacks of ABC implementations and the ...