How to Activate Profit Center Accounting in SAP Hana

In this SAP tutorial, you will learn how to activate the profile center accounting in the SAP S4 Hana system. It is a mandatory step to activate the profit center accounting with standard hierarchy and profit center local currency.

Tip: Execute the transaction code “OKKS” and change the company code to activate the profit center for another controlling area.

Scenario 1: When you are defining the controlling area in SAP, you are allowed to activate the components of cost centers, internal order management, activity-based costing, etc, in the controlling area setup screen itself. You need to activate the profit center components using these steps.

  • IMG Path: SPRO > SAP Reference IMG > Controlling > Profit Center Accounting > Basic Settings > Controlling Area Settings > Maintain Controlling Area Setting
  • Transaction Code: 0KE5

Step 1: Execute transaction code “0KE5” or follow the IMG menu path.

Maintain controlling area settings in profit center

Step 2: Enter the controlling area “ADCA” and press enter to continue. In our case, we are going to activate the profit center for the controlling area ADCA.

Set Controlling area for profit center

Step 3: On change view “EC-PCA: controlling area settings“: overview screen, update the following details

  • Standard Hierarchy: Give the standard hierarchy for the profit center
  • PCtr Local Currency Type:  Press function key f4, choose the currency type as “Controlling area currency” for the profit center local currency.
  • Control Indication: Under the control, indicator checks the option to activate the profile center accounting for the controlling area.

 

Click on the save icon to save the details.

 

Project Work – Work Space

Now activate the profit center accounting for the controlling Area: ADUS.