SAP ERP PICTURES

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Picture Description

This diagram, provided in a COPA document created by Sarat Agrawal, compares the flow of processes and data in Regular COPA versus Advanced COPA in SAP, highlighting how each handles costing and profitability analysis.

Key Components of SAP Regular & Advanced COPA :

🔹 Standard Costing: Both Regular and Advanced COPA start with standard costing.

🔹 Actual Production & Consumptions: Both systems account for actual production and consumption data.

🔹 Variance Settlement: Both settle variances for production quantity.

🔹 Sales Order Process: Both follow the typical sales order > post goods issue (COGS) > billing flow.

Key Differences of SAP Regular & Advanced COPA :

  1. COPA Profitability Calculation:
    • Regular COPA: • Sales: Actual (Sales Quantity) • COGS: Standard (Sales Quantity) • Includes Production Variance (Production Quantity)
    • Advanced COPA: • Sales: Actual (Sales Quantity) • COGS: Sales Quantity * Actual Price
  2. Actual Price Calculations:
    • Advanced COPA introduces an additional step for actual per unit price calculations.
  3. COGS Update:
    • Advanced COPA features an “ACTUAL COGS UPDATE ENGINE” which is absent in Regular COPA.

Additional Steps in SAP Advanced COPA:

🔹 Actual Per Unit Price Calculation: Based on actual production and consumption data in production orders, with multi-level costing capability.

🔹 Actual COGS Update: Updates COPA with Actual sales quantity * Actual price.

Implications:

  • Advanced COPA provides a more accurate representation of actual costs and profitability.
  • It allows for multi-level costing, which can be crucial for complex manufacturing scenarios.
  • The actual COGS update engine ensures that profitability analysis is based on the most current and accurate cost data.

This comparison illustrates how Advanced COPA builds upon Regular COPA to provide more precise and comprehensive profitability analysis in SAP.

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