What is Profit Center Planning?

Answer

Planning Process is not a one-time activity, but rather an iterative process, which is usually performed in several steps.Profit center planning is an integral part of your overall company planning. The integral character of business planning is particularly apparent within the context of Profit Center Accounting, as the planning data used here is largely created in other applications (such as Cost Center Accounting) and can be supplemented or changed in Profit Center Accounting. Profit center planning is part of shortterm business planning and thus encompasses a span of one fiscal year. During the profit center planning process, Individual planning areas are combined into an integrated planning network. We can use various plan versions in order to depict various planning Profit center planning offers us the following methods of planning:

1. Copying existing plan or actual data to a plan
2. Posting plan data by period or simultaneously by transaction from other applications
3. Manual planning of profit centers
4. Distribution and Assessment of data between profit centers
5. Various plan reports for comparison of different plan versions